Are You Saving Enough for Retirement?

How do you know if you are saving enough for retirement?

Capital Budget Strategies, LLC, Austin’s best Money Coach, has an easy way to give you a general idea how well you’re doing.

First, understand that your expenses will change in retirement. For instance, you will no longer need to “save” for retirement and hopefully your school loans, mortgage and car are all paid off. Remember, debt ruins more happy retirements than rain on a Florida beach.

Experts suggest you will need about 70% of the average of your final three years of salary. The thinking being that your final years will be your highest income years and 70% should keep you at your current standard of living.

Here is a quick way to see how you are doing. At the following benchmark ages, you should have the following amounts in your 401(k) or a personal IRA:

At age 30, you should have savings equal to at least your current salary

At age 35, you should have savings equal to twice your salary

At age 40, you should have three times your salary

At age 45, 4 times

At age 50, 6 times

At age 55, 7 times.

At age 60, 8 times

At age 67, 10 times

Chances are, sorry to say, you are not saving near enough.

Need help getting to retirement?

For only $149, our Austin Money Coach will work with you step-by-step to organize your finances. In about four hours we will create a personal Family Budget, an Emergency Fund and a Snowball Debt Repayment Plan (if you need one). You will know exactly how much you are worth, how much you bring home and how much you owe.

We can meet you during the week, on weekends or in the evening. We can meet at your office, your home, our home office or any quiet place that has comfy chairs, coffee and a large table!

Let Capital Budget Strategies, LLC, Austin’s best Money Coach, help you win your retirement.