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Image source: Getty Images. 1. Calculate your retirement number. The best way to know exactly how much you should save is to calculate your retirement number.To do this, you'll first need to know ...
1. Use the Rule of 25 to get a ballpark number. A good rule of thumb to estimate your retirement savings goal is the Rule of 25.Simply multiply your desired annual retirement income by 25.
Rule of 25: After accounting for her Social Security and other sources of retirement income, Katie plans to spend $40,000 a year in retirement. 40,000 x 25 = $1 million, so Katie would need $1 ...
Estimate your retirement age: First, decide when you want to retire. This will greatly impact your retirement savings goal. ... Use a retirement calculator: ... SmartAsset’s free tool matches ...
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And among those who haven’t saved enough for retirement, EBRI research estimates that households as of January 2020 saved $3.68 trillion less than what they should have in their retirement accounts.
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