Finance Quick Answers
How much money do I need to retire?
There is no absolute answer to this question - it differs for each person. Some factors to consider are:
- Housing: Where will you live? Same location? Will you rent or own?
- Travel: Will you take fewer trips? Will you fly?
- Social: What hobbies will you have? How will you spend your spare time?
- Transition process: Will you work part time?
- Family: Will you still have dependents (children, grandchildren, etc.)?
- Medical: Do you anticipate large medical bills due to a current medical condition? Is there a family history of disease or illness?
- Sources of income: Will you have a pension or retirement plan? Personal investments/savings? Social security (see www.ssa.gov to request a benefits estimate)? Part time employment? Other sources?
Dr. Joyce Cavanagh, Former Assistant Professor and State Specialist, Consumer and Family Economics
Last update: Tuesday, July 22, 2008