How Much Do You Need — What’s Your Number?
No matter what your current age, the younger the better, if you haven’t taken the time to sit down and think about this important question, it’s time to do it right now. There are all kinds of apps out there to help you come up with a number, so there is really no excuse. Your number is the amount of money you need in the bank or investments on which you can comfortably retire!
- How much do you have now?
- At what age do you want to retire?
- How much will you have to save each month to reach that number?
- At what percentage rate of return are your numbers based?
- Are there any lump sums you expect to add by the sale of a house or business or inheritance?
- How long do you expect to live?
- How much do you need in order to live out your days in style?
- What is your number?
That’s it — pretty simple, but just a handful of people actually do it, maybe because the answer scares them to death. Nonetheless, if you don’t know your number, you have little chance of making any progress. It’s all too easy to push this off, especially if you are in your twenties or thirties, but the sooner you know this number, the sooner you can start chipping away at it!
Just Google “retirement planning tools” to go through this exercise online. It’s quite eye opening.
What is your number?
Everything you do should be based on reaching it!