Solid Numbers For Savings Goals
The analysis suggests you need a surprisingly large amount of money to keep up your standard of living. A couple that has gone through life with two children and with an income of $136,000 needs to have $850,000 in the bank, and a paid-off house, if they expect to maintain their living standard.
Skinner lists a number of markers along the way that can let you know whether you’re on track. At 40, this couple should have $167,000 in the bank, and at 50 they should have $399,000.
That same couple with an income of $272,000 needs to save a lot more, of course. They should try to have $1.53 million when they retire, and would need to have $316,000 at age 40, and $590,000 at age 50. Skinner also lays out a wide array of other incomes and scenarios.
It’s a large amount of money to save, but at least it’s something to mark your progress against. The rest of the article is worth your time too. Be sure to read the story here.
