appstate
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Rule of thumb is 15% of your GROSS income. This will leave you enough to save up for big purchases or to pay off your house if you have one. If you save more then that you will have to take out debt to pay for cars or homes or college education. Less then that you will not have enough for retirement.
By the way the best thing you can do right now is pay off all of your debt exepct your home. (Cars loans, credit cards, personal loans,) then your cash flow will be bettter and you will be able to save even more. |
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H. A
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Professionals say that ten percent of your gross income should be saved annually during your employment years which span about forty to forty five years. Start with Roth accounts and then regular IRA's. If your company has a 401 plan use it as well, but remember that if the company fails you can or could lose a good portion of what the account has made. So diversify. Saving two dollars a day for forty years will earn you a million, but you only have about 22 years of work left so I would save about twenty percent of my gross income and you should catch up and be fine. |
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iveaquestion
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atleast 50% per month n try to look for insurance plans or other possible optiions to receive a regular income once ur retired (if u ve already some saving with u)..if uve dont let it sit idle use it to generate some happy retirement plans |
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teresathegreat
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The rule of thumb is that 10-15% of your pre-tax income should be saved for retirement.
Some good reading on retirement savings:
“The Automatic Millionaire”, by David Bach |
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bigleybill
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You had better put away at least $1000.00 to $1200.00 per month. I did half that and was forced to retire at age 60 so I came up short and have to work part time to make the ends meet. Good luck!! |
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mister ed
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set down and do the math -- forget about inflation and interest on savings -- say you want to retire at 62 and estimate you will live another 15 years you will need about 630000 dollars lets say you will draw about 1371 in ss you will still need 332220 so you have so you need to be savings about 1457 a month -- good luck!!! |
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Legend
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Someone already said the rule of thumb is 15% and I'd stick with that. However, with rising costs, the rule of thumb is actually 10% since around 2001. In Japan, they save 25% which is astounding.
Are you saying $3500/mo net or gross? That's a pretty good net, but if it's gross, you're at $2500. I'd say that's great if you have your house paid off and live in a moderately taxed community. |
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Tommy G
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At your age, as much as you possibly can, you will be looking at about 20 years of growth in a ROTH. If you started when you were younger you would have to put in consideribly less.
Do you currently have other sources of retirement savings? |
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Zeltar
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The answer is derived using formulas of which you haven't provided enough input to use.
We need the following information:
- How much do you already have saved
- In what types of accounts is this savings
- What does your annual Social Security statement state your income will be upon retirement
- What age are you going to retire (early retirement means less benefit payout)
- Do you own a home, and if so, how much is it worth now and what is the long term market like in your area (e.g. 10 years at x%). Note, Home ownership is Americans #1 savings vehicle.
- Do you own a business that you will be selling to fund a part of your retirement?
It's easy to give general guidelines, but to give you the right answer requires much analysis of your personal situation. |
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Frank Castle
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If you don't smoke and you are not overweight and you are healthy then you will live for 35 more years asuming you retire at 50
If you money is invested in a decent mutual fund at 20% adjusted for inflation then you will need at least $210,000.00 by the time you are 50 |
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src50
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Not trying to be glib, but "as much as you can." If you have a 401(k) account, by all means max it out. Also start a Roth IRA and max it out. Even though you may need only $3500/mo, remember that's in today's dollars. Inflation will eat that away in another 20 or 25 years. |
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pejawa
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You may consult a PFA or your friendly banker. Most likely they will ask at what age do you intend to retire - and where? Fair question! Some countries could offer you heaven for that stipend.
Sorry I can't be straight-forward. Your question was - shall we say - rather incomplete. |
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