New Retirement Formula
How will you cover your expenses when you’re no longer receiving a paycheck? And how much money will you need in retirement? Those are questions that most retirees struggle to answer.
With fewer Americans having pensions, more of us rely on savings to supplement Social Security. But Social Security typically accounts for only up to 40-50% of the monthly income retirees need.
One solution is calculating your income on a monthly basis instead of annually. It’s easier to estimate monthly expenses and compare them to your Social Security + pension + savings.
If there’s a gap, one way to supplement is by converting savings into protected lifetime income through an annuity.