Once you enter retirement, you may not spend as much as you did while you were working. Even if you spend the same amount as you did while working, you would not need to replace 100% of your pre-retirement income, as you no longer need to save for retirement (and you may be entirely debt-free with a paid-off house, which means you could need even less). Generally accepted income replacement ratios in retirement range from 60% to 80%; maybe a little less if you are
This was well written and enjoyable reading. Great job, FTE Daniel! One small suggestion would be to add a comment at the end of the Health Care section recommending people (esp in their 50’s) beef up their HSA accounts to help prepare for retiree medical out of pockets.
Great article! I cannot express enough just how much I appreciate your use of relevant statistics and actual numbers to reinforce your points!
I know we have really hit the HSA hard in the past, but an article expressing the power of load it while you're young to use while you're old would be great! A few charts demonstrating potential growth of your HSA Dollars and how that can potentially offset your retirement Health Care expenses would be incredibly tangible and motivating for the majority of mutants I feel.
Maybe the Money Guy family can be the ones to start changing the statistic!