How Much Do You Need to Retire?

Today, we cover a method for calculating how much you'll need to save for retirement.

DISCLAIMER:
This channel is for education purposes only and does not constitute financial advice - Richard is not responsible for investment actions taken by viewers. Please seek out a registered advisor if you require assistance (while Richard is a registered portfolio manager at WDS Investment Management, he does not provide advice through The Plain Bagel, which is not affiliated with his employer).

[JackDuffley]

Ha, jokes on you. Someone told me all I need to do to retire is to take out $5, 997 in credit card debt to complete their course 💸💯📈

[melsoderlund]

Best finance channel on YouTube and it’s not even close.

[hyakushiki]

Great episode Richard. It is a complex topic for anyone at any age and you provide a well structured explanation to get started. I enjoy your old school videos the most and this definitely felt like a throw back to your old school days.

[jbullionaire]

You know you're too into investing when you see living longer as a risk :D

[brendansullivan]

Great information that’s definitely needed. One comment is that I think you should use annual spending instead of annual income for the calculations. It doesn’t matter how much you earn it matters how much you spend. Plus it would get people thinking about their budgets. Thanks for the great content!

[theodt]

That oldschool Bagel hits different - the hiphop beat in the background and straight shooting info aged like wine 🍷 no wonder channel growth has been significant!

[gaoalexander]

Yea my parents strategy was to have lots of kids to take care of them...

[Daniel-gseh]

A flight to Switzerland and euthanasia treatment only costs about £6, 000 I've already met my retirement goals

[jayfromaz]

Wise words for everybody. I started planning many years ago and I should have started planning earlier. But I ended up with two pensions, social security is one of them, which are almost what I was making when I was working. On top of that I own my own house. I have no bills. Additionally I'm putting a little money aside. However, I see people my age who are also retired that are struggling. That's why taking this advice is so very important.

[damssen]

if you consistently practice going hungry and sleeping in the cold, circumstances can no longer scare or manipulate you

[KingUnKaged]

Plain Bagel is the only channel I follow where the phrase "this is not financial advice" feels like it actually means something

[roguestowl]

This is so helpful. It’s nice to have some ideas about how to calculate the amount that I need to put in my 401k.

[badidea]

Something I have rarely seen discussed in the reduced income needs is the reduction in taxes and retirement contributions. In the USA, my salary is reduced by 7.8% for Social Security and Medicare. I won't pay those (or they will be a lot less) if I don't earn a salary in retirement. I also won't contribute to a 401k or IRA...All told, the 120K income example should be reduced by at least 10% right from the start, before including other income sources, likely reduced housing expenses, and costs of supporting children. It should be easy to get to 75%.

[Idiotsincarshere]

The best thing you can do is live below your means, obtain employable skills, save up an emergency fund, and invest as much as possible in a low cost, broadly diversified index funds. I'm lucky enough to have obtained a job with a pension but I'm still trying to max his/her Roth IRAs and do 10% into our 403b. It's tough and we make sacrifices but it will be worth it in the end.

[Simon-jjpu]

Retired at 55 on an investment “pension”, living now in Spain, ex U.K., in 12 years the state pension kicks in at 10k each, investment income is based on a 750k portfolio drawing down 7% house already paid for

[perochialjoe]

Plain Bagel talking about being able to retire. What a kidder. Next he'll be saying we can buy a house at some point in our life.

[martata]

I do not know why I got completely different numbers for the example plugged into the computer, PV = 3, 451, 652 after plugging in 1, 300 for N, 2, 45 % for I /Y, 7, 500 for PMT and 0 for FV? Also I do not know why he uses this calculator not the specific one for the retirement (to which there is a link on the page as well) 🤔Thank you for the great video.

[foobar]

You north americans have a huge advantage. You know you cannot rely on your government. Over here in Europe the most tricky part imho is to estimate how much one can live off government retirement in 2060. It is simply impossible to gage

[brianyule]

Depending on where you out the stress in the sentence, the video's title could have very different connotations.

[canadianinvestor]

Thanks for the video, I’m learning to become a CFP in Canada found this video helpful.