How much should a 40 year old saved?

You may be starting to think about your retirement goals more seriously. By age 40, you should have saved a little over $175,000 if you're earning an average salary and follow the general guideline that you should have saved about three times your salary by that time.

fool.com - How Much Money Should I Have Saved by 40? | The Motley Fool

Who is the crybaby of the zodiac?

Pisces. This list of crybaby zodiac signs would be incomplete without Pisces. This dreamy zodiac sign is so lost in their ideal fantasyland that...

Last updated Jul 28, 2021

What is the best motto in life?

25 Mottos to Live By Be kind; you never know the battles others are fighting. Be the change you wish to see in the world. Live each day as if it...

Last updated Apr 5, 2018

Awaken your dormant DNA ability to attract wealth effortlessly

The simple yet scientifically proven Wealth DNA method laid out in the report allows you to effortlessly start attracting the wealth and abundance you deserve.

Learn More »

Promotion

The Motley Fool: Because of the COVID-19 pandemic, many Americans now fear they won’t be able to retire. What is your advice for someone who may be worried about retiring because of recent financial setbacks?

Keri Dogan: Concern about retirement income is mounting among Americans approaching retirement, with many worried they won’t have enough money to last their lifetime. This is especially true given the uncertain world we live in, due in part to the pandemic, as well as market volatility and inflation so top of mind this past year. If you are still in your saving years, retirement savers justifiably concerned about the impact of market volatility may be reassured to know there are important arguments that can reinforce one’s faith in looking long-term and not making changes based on short-term economic swings. One of these is the profound impact making continuous contributions over even a relatively short period of time can have on one’s retirement readiness. For example, if you contributed the 2021 maximum $6,000 IRA contribution at age 25 and keep it going all the way to age 70, you would have amassed $1,440,5928 by retirement. Even shorter term, according to Fidelity’s analysis, the average 401(k) balance for people who have been in their same plan with the same employer for just a 5-year continuous period is more than double the average retirement account balance. This can make a huge difference. If you are near or entering retirement, as a general rule of thumb, Fidelity believes that day-to-day, must-have expenses in retirement like housing, food, and health care, are best covered by lifetime guaranteed income sources, such as Social Security, pensions, or income annuities. If you can afford to, consider paying nice-to-have, more easily adjusted expenses with your withdrawals from savings. Another factor is the age at which you stop working. Most people are eligible to receive Social Security benefits as early as age 62, but those benefits increase if you wait until your full retirement age (usually 67) and rise even more if you delay until age 70. The earlier you retire, the more you will have to rely on savings to meet your income needs, because your Social Security payments will be lower. So, if you retire but can afford to wait to draw down Social Security until you are 67-70, that may be helpful—and also, don’t forget about the possibility of working part time in retirement.

The Motley Fool: According to a recent survey by The Motley Fool, men were most likely to say, "I rely on Social Security benefits a little," while women were most likely to say, "I rely on them a lot." Men were also more likely to be "slightly worried" about losing their benefits, while women were most likely to be "very worried." Why do you think men seem to fare better than women in retirement years and have more confidence in their financial stability? What are the potential implications of this trend?

Which zodiac is the sweetest?

Cancer. Cancers are known for being incredibly caring to the people they hold close. They'll do anything to protect their friends and family and...

Last updated Aug 27, 2018

Why is $1000 called a grand?

The name 'grand' for $ 1,000 comes from a $ 1,000 banknote with the portrait of Ulysses Grant, 18th president of the USA. The banknote was called a...

Last updated Oct 5, 2021

Promotion

Keri Dogan: One factor may be that women are more likely than men to live longer, with a statistically good chance of living into their mid-90s. That means, naturally, they need their income to last longer. Longer lives mean more years to enjoy, but it also requires anticipating more expenses in retirement, especially higher health care costs. Because women are likely to live into their 90s, Social Security is a critical component of retirement income. That is why it is important for women to understand Social Security eligibility to claim maximum monthly benefits. Making the decision as to when to take the initial benefit will permanently impact how much is received monthly. It also means women have a greater need to have a comprehensive retirement plan in place. And yet, according to Fidelity research, only 68% of women say they do have a financial plan in place. Planning can have a powerful impact on a feeling of financial wellness, and what we have observed is that greater planning leads to an increased sense of confidence in a variety of areas, both short- and long-term. While men tend to feel like their financial lives are more in control than women, women’s confidence matches that of men when they have a plan in place.

The Motley Fool: When asked about the 8.7% cost-of-living adjustment for Social Security benefits in 2023, 55% of respondents said they didn’t think it was enough. Why do you think retirees feel this way when it's one of the biggest COLAs in history? Did the SSA make a mistake in not raising it more?

Keri Dogan: This year's increase is the largest in a generation and is definitely a helpful boost for many retirees, especially those who are looking to live within their Social Security budget.

What are the 12 zodiac dates?

SO, WHAT'S YOUR SIGN? Aries—March 21-April 19. Taurus—April 20-May 20. Gemini—May 21-June 20. Cancer—June 21-July 22. Leo—July 23-August 22....

Last updated Aug 20, 2021

What color means strong?

Red Red. Red is the color of fire and blood, and symbolizes strong and intense emotions such as war, danger, strength, power, determination,...

Last updated Jan 27, 2019

Awaken your dormant DNA ability to attract wealth effortlessly

The simple yet scientifically proven Wealth DNA method laid out in the report allows you to effortlessly start attracting the wealth and abundance you deserve.

Learn More »

Promotion

The increase could help ease the pain of record inflation for many retirees struggling with rising costs for everything from gas to groceries. And while many retirees are not as adversely impacted by inflation in some areas (i.e. gas for travel and food costs, as their needs here may not be as great), they especially feel the pinch when it comes to rising health care costs. We also see that retirees are already adept at reducing their essential and discretionary spending and have been throughout the pandemic. While the concern retirees may feel about the size of the increase is understandable, one piece of advice for retirement savers—or those in retirement—is to try not to worry too much. Based on what we know about retirees and their satisfaction once they get to retirement, most aren’t spending as much as they could be and yet they’re feeling pretty good about where they are – satisfied with retirement and at the same/higher standard of living compared to pre-retirement. In fact, Fidelity analyzed extensive spending data and found that most people needed to replace between 55% and 80% of their pretax, preretirement income after they stopped working to maintain their lifestyle in retirement.

fool.com - How Much Money Should I Have Saved by 40? | The Motley Fool

What color means brave?

Red has a range of symbolic meanings through many different cultures, including life, health, vigor, war, courage, anger, love and religious...

Last updated Nov 17, 2020

What should I not do in a bedroom?

5 Things To Avoid In Your Bedroom Television. Often, the blue light that emits from your television will disrupt your sleep cycle. ... Phone. Keep...

Last updated May 26, 2021

Promotion

What causes crazy dreams?

Problems with friends, family, school, or work can trigger intense dreams as can big events like getting married or buying a house. Stressed caused...

Last updated May 29, 2018

Awaken your dormant DNA ability to attract wealth effortlessly

The simple yet scientifically proven Wealth DNA method laid out in the report allows you to effortlessly start attracting the wealth and abundance you deserve.

Learn More »

Promotion

What should not be kept in wallet?

What Not to Keep in Your Wallet Social Security Card. Losing your Social Security number is a sure ticket to identity theft. ... Password Cheat...

Last updated Sep 20, 2018