Comments on: How Much Do I Need to Save for Retirement? http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/ Life Improvement Tips You Can Use Today! Fri, 29 Aug 2008 02:26:43 +0000 http://wordpress.org/?v=2.3.3 By: Sheldon Vik http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-74171 Sheldon Vik Tue, 10 Jun 2008 20:46:24 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-74171 A few years ago it seemed like retirement was a long ways off. We both had good jobs, a 401K, and felt like we had time to save enough to retire comfortably. How quickly time has passed. Both of our retirement funds have lost money and the future looks grim. We have decided needed a plan B that would continue to bring in money to supplement our savings. Instead of relying solely on social security and savings, we have decided to try our hand at network marketing. It took several tries to realize that not every network marketing opportunity provides the kind of security we are looking for. A lot of them only wanted to take our money and offered nothing but hot air in return. Even though we are both computer “literate”, network marketing is a like entering a new job, and we realized we needed the support and help of a good, honest team to be a success. We have learned some really neat ways to market the five opportunities we have chosen. One of the first lessons we have learned is network marketing is just like any other job and requires hard work, time, and patience. A few years ago it seemed like retirement was a long ways off. We both had good jobs, a 401K, and felt like we had time to save enough to retire comfortably. How quickly time has passed. Both of our retirement funds have lost money and the future looks grim. We have decided needed a plan B that would continue to bring in money to supplement our savings. Instead of relying solely on social security and savings, we have decided to try our hand at network marketing. It took several tries to realize that not every network marketing opportunity provides the kind of security we are looking for. A lot of them only wanted to take our money and offered nothing but hot air in return.
Even though we are both computer “literate”, network marketing is a like entering a new job, and we realized we needed the support and help of a good, honest team to be a success. We have learned some really neat ways to market the five opportunities we have chosen. One of the first lessons we have learned is network marketing is just like any other job and requires hard work, time, and patience.

]]> By: Oregon Retirement Community http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-51657 Oregon Retirement Community Tue, 26 Feb 2008 02:11:46 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-51657 Nice advice! I just wish I had started earlier but that kind of thinking won't get you very far so I just need to get motivated and start saving I guess. Nice advice! I just wish I had started earlier but that kind of thinking won’t get you very far so I just need to get motivated and start saving I guess.

]]> By: Don't retire with debt http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-51566 Don't retire with debt Mon, 25 Feb 2008 12:26:08 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-51566 I've just Dugg this article. Great advice, especially for the debt culture that we are now living in. Never mind saving for retirement - many people will be retiring with debt! Now is definately the time to act. I’ve just Dugg this article.

Great advice, especially for the debt culture that we are now living in. Never mind saving for retirement - many people will be retiring with debt! Now is definately the time to act.

]]> By: Brenda http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-38856 Brenda Mon, 14 Jan 2008 16:30:42 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-38856 Excellent article! You have covered some vital information for everyone who is trying to plan for their retirement. And we all need to be reminded of the common sense ways of saving- spend less & save more- Excellent article! You have covered some vital information for everyone who is trying to plan for their retirement. And we all need to be reminded of the common sense ways of saving- spend less & save more-

]]> By: David Barlow http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-38031 David Barlow Fri, 11 Jan 2008 15:30:47 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-38031 I had long stints in corporate career jobs over 30 years. But a business failure in the 80's, and outsourcing at my last firm, placed us well behind the savings curve for a liveable retirement. What caught my attention (and now my energies) were alternatives to supplement conventional saving as were mentioned in an earlier post. For us this means being able to cash flow what we don't receive from a savings portfolio through a passive residual income business we are building. Additional diversity for our resources, and options for faster retirement income building than we would otherwise have had. How do you spell relief? I had long stints in corporate career jobs over 30 years. But a business failure in the 80’s, and outsourcing at my last firm, placed us well behind the savings curve for a liveable retirement. What caught my attention (and now my energies) were alternatives to supplement conventional saving as were mentioned in an earlier post. For us this means being able to cash flow what we don’t receive from a savings portfolio through a passive residual income business we are building. Additional diversity for our resources, and options for faster retirement income building than we would otherwise have had. How do you spell relief?

]]> By: Joy of retirement http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-37562 Joy of retirement Thu, 10 Jan 2008 01:24:11 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-37562 (hey bg, you need to downsize. Sell your car and buy an older one. Put whatever you're not using on ebay. Start your own business - click on my name to find out how easy it is.) (hey bg, you need to downsize. Sell your car and buy an older one. Put whatever you’re not using on ebay. Start your own business - click on my name to find out how easy it is.)

]]> By: bg http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-36827 bg Tue, 08 Jan 2008 07:21:08 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-36827 Any one got any advice for a 30yr old divorcee who has no children is struggling to make the monthly mortgage of 2000 and can't sell this house. How do I get ahead and start saving some money when I still have a car note. Any advice. I wait tables currently and do real estate. I need some counciling. How much do I start saving??? Any one got any advice for a 30yr old divorcee who has no children is struggling to make the monthly mortgage of 2000 and can’t sell this house. How do I get ahead and start saving some money when I still have a car note. Any advice. I wait tables currently and do real estate. I need some counciling. How much do I start saving???

]]> By: neil strauss http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-35711 neil strauss Thu, 03 Jan 2008 17:24:57 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-35711 The sooner you save the better. Even a few years could mean a big difference in interest. However, the best way to plan to retire to be find multiple sources of passive income The sooner you save the better. Even a few years could mean a big difference in interest. However, the best way to plan to retire to be find multiple sources of passive income

]]> By: Joy of Retiring http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-29184 Joy of Retiring Wed, 12 Dec 2007 00:10:20 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-29184 A lot of this advice assumes that you have a portfolio of "safe investments". What happens if there is a recession or, heaven forbid, a depression - which most indicators and commentators today are pointing toward? You need to have passive income and alternatives to your portfolio. One such is something like this blog. You can create such a thing, based on your interests. A lot of this advice assumes that you have a portfolio of “safe investments”.
What happens if there is a recession or, heaven forbid, a depression - which most indicators and commentators today are pointing toward?
You need to have passive income and alternatives to your portfolio. One such is something like this blog. You can create such a thing, based on your interests.

]]> By: Bourse Goldman http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-22757 Bourse Goldman Tue, 20 Nov 2007 13:08:03 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-22757 Your article is good but I think you have missed pointing a major risk when planning for retirement. It is true that when determining the right amount you will need to save for retirement, you will have to take into account things like inflation, economic conditions of the country you live in, and market risks if you don't have just a savings account but a 401k plan or perform any type of investing. Most people, clever enough to think about retirement, think about all of the listed issues. Still, plenty of people forget about another problem related to retirement savings and that is longevity. More people today are outliving their savings. They have predicted that they would live for example 20 years after retirement and it turns out they have been too pessimistic. Those people end up without any savings or income. So when you estimate how much you need to save you should always take into account this issue too (as seriously as you look at inflation) and perhaps it is a good idea that you leave a certain amount of your savings for investing so that you have some income from it in case you need it. Your article is good but I think you have missed pointing a major risk when planning for retirement.
It is true that when determining the right amount you will need to save for retirement, you will have to take into account things like inflation, economic conditions of the country you live in, and market risks if you don’t have just a savings account but a 401k plan or perform any type of investing.
Most people, clever enough to think about retirement, think about all of the listed issues. Still, plenty of people forget about another problem related to retirement savings and that is longevity.
More people today are outliving their savings. They have predicted that they would live for example 20 years after retirement and it turns out they have been too pessimistic. Those people end up without any savings or income.
So when you estimate how much you need to save you should always take into account this issue too (as seriously as you look at inflation) and perhaps it is a good idea that you leave a certain amount of your savings for investing so that you have some income from it in case you need it.

]]> By: Sunday Link Dump - 23-06-07 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1793 Sunday Link Dump - 23-06-07 Sun, 24 Jun 2007 20:24:18 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1793 [...] How Much Do I Need to Save for Retirement: How much do you need to save for retirement? Not as much as you think, according to Life Learning Today. [...] […] How Much Do I Need to Save for Retirement: How much do you need to save for retirement? Not as much as you think, according to Life Learning Today. […]

]]> By: Ember Case » Blog Archive » 13 Things I'd do if I won the Lottery http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1358 Ember Case » Blog Archive » 13 Things I'd do if I won the Lottery Thu, 21 Jun 2007 03:55:35 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1358 [...] retirement plan that would let me live to be 110 without worrying about money. According to “The 4 Percent Solution“, I need to put away about $1,625,000 before I retire. [...] […] retirement plan that would let me live to be 110 without worrying about money. According to “The 4 Percent Solution“, I need to put away about $1,625,000 before I retire. […]

]]> By: Anonymous http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1071 Anonymous Thu, 14 Jun 2007 16:28:42 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1071 <strong>How Much Do I Need to Save for Retirement...</strong> Easy guide to determine how much you need to save monthly for retirement.... How Much Do I Need to Save for Retirement…

Easy guide to determine how much you need to save monthly for retirement….

]]> By: HMG http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1049 HMG Wed, 13 Jun 2007 16:57:43 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1049 Interesting post. I like the fact that you incorporated the idea of Monte Carlo analysis and confidence levels (up to 90% probability) into the post. Many articles and advisors talk about annual returns and the corresponding amount you need to save for retirement but fail to realize that there are some scenarios that are far worse than others (and so it is possible that a scenario may play out where you don't have enough money to retire). I've done a bunch of work in insurance where monte carlo simulations are extremely important in modeling catastrophe risks (even though they are rare, they still happen). It's interesting that rare events such as a Class 5 Hurricane or Earthquake (probably akin to a huge stock market crash or a depression) do actually occur when you run say 10,000 or 100,000 simulations. When looking at the aggregate results you can then assess probable losses and the shape of the "curve". Hopefully this kind of thinking becomes more widespread in investment thinking. Interesting post. I like the fact that you incorporated the idea of Monte Carlo analysis and confidence levels (up to 90% probability) into the post.

Many articles and advisors talk about annual returns and the corresponding amount you need to save for retirement but fail to realize that there are some scenarios that are far worse than others (and so it is possible that a scenario may play out where you don’t have enough money to retire).

I’ve done a bunch of work in insurance where monte carlo simulations are extremely important in modeling catastrophe risks (even though they are rare, they still happen). It’s interesting that rare events such as a Class 5 Hurricane or Earthquake (probably akin to a huge stock market crash or a depression) do actually occur when you run say 10,000 or 100,000 simulations.

When looking at the aggregate results you can then assess probable losses and the shape of the “curve”.

Hopefully this kind of thinking becomes more widespread in investment thinking.

]]> By: Lady Rose http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1048 Lady Rose Wed, 13 Jun 2007 16:40:42 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1048 Great info. I so need to start thinking of retirement -way over due (I'm 51) - the sooner the better to start planning and saving! Lady Rose Great info. I so need to start thinking of retirement -way over due (I’m 51) - the sooner the better to start planning and saving! Lady Rose

]]> By: agentsully http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1045 agentsully Wed, 13 Jun 2007 15:16:31 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1045 steve - glad you found this helpful. It really is easy to do, and once you have a target to shoot for then you can start making progress on that goal! Glad you found the post on <a href="http://lifelearningtoday.com/2007/04/18/make-more-than-9-text-sidebar-widgets-in-wordpress-plugins/">making more text sidebar widgets helpful!</a> Steve- so true. I used to work in the investment field too and it was amazing how $1,000,000 started to seem like a small amount of money when you're talking about living on it for 30 years! We all just need to do our best to hit our target and then be careful with our money! Thanks for the comments guys! steve - glad you found this helpful. It really is easy to do, and once you have a target to shoot for then you can start making progress on that goal! Glad you found the post on making more text sidebar widgets helpful!

Steve- so true. I used to work in the investment field too and it was amazing how $1,000,000 started to seem like a small amount of money when you’re talking about living on it for 30 years! We all just need to do our best to hit our target and then be careful with our money!

Thanks for the comments guys!

]]> By: Steve http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1041 Steve Wed, 13 Jun 2007 13:38:29 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1041 Having spent some years working as an investment advisor in the UK and latterly advising offshore clients in Asia, the biggest problem with saving for retirement is often one of perceptions of what constitutes 'enough'. Many people who are in their forties now would think that a million dollars will be enough to retire on. After all, that would make them a millionaire! But, dependent on the lifestyle that they want to lead and the effects of inflation eroding the real value of their savings, that just might not be the case, hard though it may be to believe! Steve Having spent some years working as an investment advisor in the UK and latterly advising offshore clients in Asia, the biggest problem with saving for retirement is often one of perceptions of what constitutes ‘enough’.

Many people who are in their forties now would think that a million dollars will be enough to retire on. After all, that would make them a millionaire!

But, dependent on the lifestyle that they want to lead and the effects of inflation eroding the real value of their savings, that just might not be the case, hard though it may be to believe!

Steve

]]> By: steve http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1035 steve Wed, 13 Jun 2007 11:59:12 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1035 Excellent guide! Very useful info...I might use this myself actually. Just stumbled it too.. --Steve Excellent guide! Very useful info…I might use this myself actually.

Just stumbled it too..

–Steve

]]> By: How Much Do I Need to Save for Retirement? « Younger Every Year http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1033 How Much Do I Need to Save for Retirement? « Younger Every Year Wed, 13 Jun 2007 08:13:31 +0000 http://lifelearningtoday.com/2007/06/13/how-much-do-i-need-to-save-for-retirement/#comment-1033 [...] post by agentsully Share These icons link to social bookmarking sites where readers can share and discover new web [...] […] post by agentsully Share These icons link to social bookmarking sites where readers can share and discover new web […]

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