Many Americans understand the importance of retirement planning and many begin such plans early in life through employer programs or other methods. But facing the task of figuring out just how much to set aside for a comfortable retirement can be a daunting problem.
There is no set amount that will allow all individuals to retire comfortably. Just as each person has individual needs and a certain comfort level of living, so each person's amount needed for retirement will vary. Several factors are involved in the determining of your specific financial retirement needs. Also, length of life will factor into financial planning. Since the average life expectancy rate is increasing in North America, persons should plan for retirement to an average age of 90.
So how much should planners save for comfortable retirement? Many financial planners state that a good goal is fifteen times your current annual income. This amount should fund your most basic needs until the age of 90. If you plan on beginning new hobbies, traveling more often, or incurring new expenses during retirement, adjust your goal amount accordingly (roughly twenty-two times your annual income).
Many financial planners advise people to begin financial retirement planning in the 20's and 30's, yet it is never too late to begin saving for the future. The sooner you begin, the smaller the amount needs to be saved each month (and the better chance of reaching your retirement goal amount).
Antelope Valley estate planning law firm Thompson Von Tungeln (TVT) offers sophisticated estate planning and administration for the affluent, discriminating client. As Board Certified Specialists in Estate Planning, Trusts and Probate as certified by the State Bar of California Board of Legal Specialization, partners Mark E. Thompson and Kevin L. Von Tungeln are expertly equipped to serve these clients with the creative, effective and custom solutions they demand. For more information, contact TVT at (661) 426-2499 or visit their websites at www.EstatePlanningSpecialists.com and www.Medi-CalHelp.com.
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