Need $10,000 Per Month in Retirement? Here's How Much to Save.

I’d be retiring or working less in 5 years, and considering this financial recession, I’m curious to know best how people split their pay, how much of it goes into savings, spendings or investments, I earn around $250K per year but nothing to show for it yet

excelent video. well done.

Great video. It gave me something to think about as I really haven’t considered inflation for my budget. Appreciate all the thoughtful video’s.

Thank you…if you live in the NYC area you need just about that much. Property taxes, state income taxes, insurances, transportation, health care surcharges for uninsured…..10k per month is not out of line even for single people.

Great video! Nice indicator that time helps yield the biggest return for the least amount of work/stress. 🤙

Extremely well and clearly presented. Quite useful. Thank you!

Great ballpark discussion. I'm leaving at 62 in 2 years and won't draw SS until 65 or 67.

What do you think of warren buffet’s 90/10 assett allocation recommendation for his family members?

Your scenarios left out an important and significant financial aspect, which is taxation, both on the deferred tax portfolio as well as the social security benefits. If the couples in the examples must maintain that $10K/month net spending level, then the drawdown from the portfolio will have to exceed the 4% rule, and shorten the life of the retirement fund.

First need to calculate in expected life expectancy, I’m leaving the work force just before age 60, wife is 5 years older and we are over the 1m mark combined. Calculated to age 95 our monthly combined income gross will be just over 5 k. For 10 k a month need a lot more or planning on a short life. Most people will not even have the 1m saved. 10grand a month you are very wealthy. In addition, should also retire debt free, no mortgage, car payments or credit card debt. In other words live debt free before retirement. I have been fortunate to do so for several years.

God bless you

Social security should also be inflated at 2.6%/year not just the other numbers. Increases in SS will reduce the amount needed from the portfolio.

No problemo.

I would use the 3.3% rule and estimate about $3 million. Yields are lower today than when the 4% rule was recommended. Let's say Social Security income is $4,000 per month. Then a $6,000 monthly income is required from portfolio. Then a $1.8 million portfolio is required.

The way things are going, $15,000 is the new $10,000.

I teach a bit to my guys about the tsp. What plan would you give someone just starting out at the age of 20? They get up to a 5% match as well. Thanks :)

If you need $10K you'll need about $13.3K before State and Federal taxes. That's $9.3K per month after deducting their combined social security benefits. That $ 2.79 million in investments.

Nice video but it seems like you should have increased the amount of social security if delaying retirement.

Doesn’t retirement length have a big impact on the amount needed? Plus if you retire early you have increased healthcare costs before Medicare and you lose SS because you didn’t get 35 years of credits in. This plan seems to work for people close to SS age.

Great video. Is the $10k / month after tax or before tax? To make $10k after tax every month, I need a whole lot more to save than those in the video if most of my savings is in pre-tax accounts like 401k. Just federal tax alone reduces $10k by 22% easily :-\