Making $65K a Year? Find Out How Your Retirement Savings Compare to Others
Financial education represents a foundational element in improving retirement outcomes. Resources ranging from workplace financial wellness programs to online courses and professional financial advice can enhance understanding and confidence in retirement planning decisions.
Setting Realistic Retirement Goals
Establishing realistic retirement goals requires understanding both current financial capabilities and future needs. Financial planners often suggest aiming to replace 70-80% of pre-retirement income through various income sources, including retirement accounts, Social Security, and possibly part-time work.
The calculation varies based on anticipated lifestyle, healthcare needs, housing costs, and longevity expectations. Americans living longer need to prepare for potentially extended retirement periods, increasing the necessary savings to maintain comfortable living standards.
Understanding Social Security benefits forms an essential component of retirement planning. While the program provides valuable support, benefits typically replace only about 40% of pre-retirement income for average earners. The remaining income needs must come from personal savings and investments.
Regular retirement planning checkups help ensure progress toward goals. Annual reviews of savings rates, investment performance, and changing needs allow for timely adjustments to strategies and expectations, keeping retirement plans aligned with evolving financial realities.
