How much of your income should you save for retirement?

[frederick_9]

It really depends on the type of person you are and the kind of job that you do. For example if you are a gambler I don’t think you will be saving your money

 

[Bigron]

Retirement planning resources suggest 66% to 75% of final earnings as a "rule of thumb." However, many people have to adjust to a 1/4 to 1/3 drop in their income. I personally recommend no more than half of the income earned, as you get closer to the age where you can retire. That is, ofcourse, if you do not have any major debts you need to pay towards.

I think taking all financial conditions into consideration, setting aside around a third of your income can only benefit you and alleviate the challenges in your life during retirement

 

[HayKay]

Retirement planning resources suggest 66% to 75% of final earnings as a "rule of thumb." However, many people have to adjust to a 1/4 to 1/3 drop in their income. I personally recommend no more than half of the income earned, as you get closer to the age where you can retire. That is, ofcourse, if you do not have any major debts you need to pay towards.

I couldn't disagree less. One way to achieve this will be to start out by saving between 10-15% in the first few years then increase it as time goes by till you can comfortably save 50-70% of your salary as advised.

 

[tyrim88]

For some one who is about to retired determine how much he or she will save, it all depends on he way of spending, life style and family plans. It's usually normal to save 40% to 55%.

The issue of pension has to do with the discipline of the individual involved,the lifestyle is a huge factor here,and then if he does not spend much then he will be able to something appriciable.

 

[Robust]

The way things are stuff and hard this days.. it is very good to start saving your money at your early age of work before reaching retirement age. At least your saves should start 15 to 20 years before retirement.

 

[Syldan]

Personally I always believe, savings for your retirement greatly depends on how you earned from your work. simply because you can't be saving much more than your income. so you save based on your income.

 

[Imran_Noori]

Retirement planning resources suggest 66% to 75% of final earnings as a "rule of thumb." However, many people have to adjust to a 1/4 to 1/3 drop in their income. I personally recommend no more than half of the income earned, as you get closer to the age where you can retire. That is, ofcourse, if you do not have any major debts you need to pay towards.

I divide my income into three portions, one for investment, one for spendings and the other portion for savings, I think everyone should have a plan for their incomes.

 

[Abigael]

I think you should start saving more as you get closer to retirement. If you were saving a quarter of your salary, you should double it up to a half. Then you should also focus on investments that will keep earning you income while retired.

 

[eLdavis]

Truth be told, majority of us do not follow does calculations, people mostly save based on what they earn or what they plan on doing after retirement. These are the factors that mainly influence us.

 

[Nomad]

There are a lot of factors that determine how much should you save for retirement. if you have your own house, if you have investment portfolios, you might not have to save a lot of money for your retirement.