Here's how much you should have in retirement at every age

Saving for retirement is a race against time. You need to max out your contributions while you are young and use the power of compound interest in your favor. The goal is to have 10 times your annual salary saved up before you retire, according to Fidelity. Watch this video to find out what milestones you need to reach to get to your goal.

[KarenDuncan-os]

It's recommended to save at least 20% of your income in a 401k. You can use online calculators to estimate how much you should save based on your age and income. Saving at least 20% of your income in a 401(k) can help ensure that you have enough money to retire comfortably. By saving this much, you can take advantage of compound interest and potentially grow your retirement savings over time.

[patrickmorris]

Early saving and investing money creates compounds growth, it's a beautiful thing.But it takes focus and discipline. You need to be focused enough to commit to a plan and a process.I’m a dividend investor, my wife and I have invested in the s&p500, both through my TSP with the government and through fidelity in her 401-k. Cashed out 370k from the S&P and invested with a full service broker.. Until about 3years ago we were 100% in the s&p after over 30 years. I’m retiring at the end of the month at 59, while my wife will retire next year at 54. We currently have 5.7 million in out tex deferred savings.

[Ame_rodri]

>When you read articles about financial freedom, you may hear people drone on and on about how they are spending practically nothing so they can retire at a younger age, like 30. Conversely, they may have already achieved financial freedom and are bragging about how frugal they were so they could retire well before the typical retirement age.<>

[amarachelly]

The question isn't at what age I want to retire, it's at what income.

[hsiukarl]

This doesn't make sense to me. I know just two ways to have enough money for retirement at any age in 2021. 1 is to buy and stock bitcoins, who can guess the other?

[milkncookie]

Anticipate/projected Annual expense in retirement is more important than annual income.

Rule of thumb, Just have 25x your annual expense and you should generally be fine.

Make more if you're worried. Make less if you're flexible/able to downsize.
Worst case scenario, if you're in early retirement, just find a side hustle to do.

[anthonymendoza]

10X, that is crazy. 1% of the people maybe will do that. Most people aren't anywhere near that.

[lifestoryguy]

i think it would actually make more sense to think about your annual expenditure alongside your likely life expectancy and work out what you need to retire from that to see when you might want to retire. For example, because I've paid off my mortgage at 40 years of age and only need £4000 a year to cover my living costs, and because I live in the UK, it means in order to retire I actually only need £100, 000. At a 4% withdrawl rate, assuming a 30 year retirement, the £100, 000 would probably be enough. Of course, considering I also live in Glasgow where the average life expectancy is just 69 and i have a 25% chance of dying by the time I'm 60 due to a health phenomena called "The Glasgow Effect" my retirement plans also have to factor in the likelyhood of an early death. Sadly most people do not live into their 90s anyway, so it's worth considering that when you think about what you actually need to retire. The chances are you don't need enough to cover a 30 year retirement period, but it might be best to assume that you will be in the minority that do make it into their 90s. I mention this grim fact not to depress you but to remind you might get by pretty well on a lot less than the $800, 000 mentioned in this video and it may be worth your time retiring earlier than most people if you think living into your 90s isn't on the catrds for you due to where you live, your family history and your own medical history.

[gaymoderate]

So if a person makes $10 million a year and his monthly expenses are $5, 000, he needs $100 MILLION TO RETIRE? Okay.

[drmitofit]

My wife and I are age 59 and are at 17X and 24X depending on whether you mean pre-tax salary or after-tax salary. In addition, we will get retirement government pensions for about 30% of our salaries. Key points: we live well below our means, worked full-time our entire adult lives, were starving students who got highly educated, had affordable tuitions due to merit based scholarships and comparison shopping, maxed out 401k contributions and employer matching, invest in the S&P 500 with no individual stocks, no kids, no out of town vacations, no vacation home/rental.

[flamingdeathbanana]

Thank you for actual numbers. Other channels take forever to get right to the point.

[StevenBanks]

Fidelity exaggerates how much you need in your 60’s because they want you to save a LOT. They are not wrong that you should save; it’s good for them, but it’s good for you. The trouble is they set the bar so high a lot of people are going to give up before they start.

[shayan]

So 80000 income minus taxes gets you about 60000 and assume you eat dirt cheap and buy no clothe or entertainment that gets you 50000 (assume you spent only 10000 a year on food+living expenses). Let's say you dont save up for buying a house and transportation by remote working and living in your parent's basement. from 30 to 35 with 50000 savings gets you 250, 000. barely made it to 3x income

[drmitofit]

These salary x calculations never specify whether it's your salary before or after taxes. Huge difference especially if you are in a high tax bracket. Yet glossed over here. I think it should be your take home pay (what you live on), and not your pre tax salary.

[gaymoderate]

So if a person makes $1, 000 a year, he only needs $10, 000 to retire? SWEET!

[zoebergin]

Does money invested in a home count as savings?

[esonon]

How do you factor large pay increases? Very few people make the same, exact salary for years.

[a.k]

Is this per person? Or per married couple?

[ANTHONY_esq]

What are your thoughts on ETFs and Stocks with dividends?

[mrmoore]

Retirement is now a nightmare see the stock market is in shambles we are gonna die of hunger.