“Mrs. Foster, you & your husband should save at least $5million for retirement…at least!”
That’s my psychological (& literal) piggy bank passing out from that advice. Most all financial planners I met with last year suggested $5million be our retirement savings target (east coast).
What the SAM HECK do we need to save that amount for?! I’ll calm my drama-momma attitude … & attempt to answer with some calm. Feel free adding ideas to this list:
- Longevity (age 100 to be commonplace)
- Health care (allocate $150k-200k for health care costs excluding long term care)
- Housing (assuming a paid-in-full home, consider property tax per US Treasury)
- Fun (one trip annually)
With above factored in the equation — leaving $1k/mo for health care costs during retirement — our current retirement savings quest is $2.5million. It makes financial planners smirk but, although hefty it’s an aggressive goal that doesn’t leave my mental or literal piggy bank in shock.
FreeMoneyFinance writes on the $5million topic with an active discussion thread;