• How much money have I saved/invested?
  You may already have put away some money for retirement…and it may be more than you think. If you haven’t…just remember it’s never too late to start. And the sooner you begin the better.
• What is my current income? How much do I expect it to increase?
  What you need to live on today will affect the amount you need for retirement. It also determines how much you will be able to save on a monthly basis.

 

• At what age do I want to retire?
  Most people want to retire earlier rather than later, but realistically, when can you afford to retire and be sure you’ll have enough money to last the rest of your life? Talk to one of our representatives to help you find out.
• How much income will I need for retirement?
  Before you make your plan, it’s important to determine how much money you’ll need to live on in retirement. Your expenses will generally be less than they are when you are working. Your mortgage may be paid off, your children will be grown and on their own, and you won’t have work-related expenses such as commuting costs, meals, and work clothes. However, some expenses, such as medical costs, may be higher. The general rule of thumb is that retirees need about 80% of their pre-retirement income to live comfortably.
• Where will my retirement income come from?
  More and more people today are realizing that they cannot depend on Social Security alone to provide the income they need when they retire. Actually, Social Security was never intended to be the sole source of retirement income. In fact, as the chart below indicates, Social Security provides only about 25% of the average American's retirement income.

Investment/Savings — 24%

Any after-tax investments or savings you may have. This would include money from a Roth IRA, since it is generally not taxed upon withdrawal.

 

Pensions — 19%

This includes any employer-sponsored retirement plans, such as a 401(k).

 

Earned Income — 30%

Any income that is taxable, such as money taken out of a traditional IRA.

 

Social Security — 25%

Your Social Security benefit will be based on your income level and the number of years that you have made SS contributions. Call the Social Security Administration and they will send you a breakout of your benefits to date.

 

Other Benefits — 2%

 

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