Are you saving enough for a desirable retirement? If this is a question on your mind, you are not alone. In fact, few Americans know how much money they will need to save for retirement. To help you find more solid ground surrounding this, we have mapped out a few suggestions:
- Monitor Current Expenses – A good rule of thumb is to estimate your current expenses to remain largely the same in retirement, unless you anticipate entering retirement debt free or downsizing significantly. In rare occasions, your cost of living may go up.
- Consistency Matters – The sooner you begin saving, the faster it pays off. We typically recommend saving a minimum of 10 percent of your gross take-home-pay.
- Factor In Social Security - Estimate what your monthly payments might be during retirement and when you plan on turning it into an income stream. This will supplement your income during retirement.
- Budget For Taxes - It is important to be cognizant of tax implications when taking withdrawals in retirement years. For example, your 401k money will be subject to income tax.
- Consider Health Expenses – This may add to your income needs in retirement and is often left out of consideration when planning for retirement years.
World Trend Financial has the tools needed to accurately plan and achieve desirable retirement for every individual. Please contact Pat Campbell at (319) 248-4214 or pcampbell@tld-inc.com to schedule an appointment.