Retirement is a time to enjoy the fruits of your labor, but it's important to plan ahead to ensure you have enough money to maintain the quality of life you want. A good retirement income is typically around 80% of your pre-retirement income, and it's possible to achieve this with a good mix of savings and income sources. To determine how much you need to retire comfortably, you should start by estimating your retirement expenses and consider your personal financial goals, future travel plans, and other expenses. Saving for retirement can be a daunting task, but it's essential to have a retirement plan that includes a variety of sources.
This includes 401(k) plans, IRAs, health savings accounts (HSAs), and other accounts you've set aside for retirement. According to the National Retirement Security Institute, nearly 40 million households have no retirement savings. This is why it's important to spend a healthy amount on retirement savings during your working years or risk having your quality of life decline during retirement. When planning your retirement income strategy, you should also consider the legacy you want to leave.
The average length of retirement in New York is 16 years, with an average retirement age of 64 and an average life expectancy of 80.80 years. In Missouri, the average retirement age is 63 and the average life expectancy is 77.1 years. Michigan's average retirement age is 62 and its average life expectancy is 77.60 years, meaning the average person should expect to live in retirement for 15.6 years. With a retirement calculator, you can estimate how much you need to contribute to an annuity to retire comfortably.Retirement planning can be complex, but it's possible to achieve a comfortable retirement income with the right strategy.
It's important to save enough money during your working years and consider all the different variables that are included in your particular retirement income plan. With careful planning and budgeting, you can ensure that you have enough money to maintain the quality of life you want after you retire.