People often ask, “How much money do I need to save before I can retire?”
Predicting how much you need depends on a number of factors, including how much you will spend each year, when you will stop working, and your sources of retirement income. In addition, you need to know the growth rate of your savings and investments, the inflation rate, and an estimation of how long you will live. Most of these variables can’t be predicted with certainty. However, you still should prepare a plan and then reassess your plan each year. It is
better to plan ahead than risk outliving your money.