How much money do you need to retire?

[JamesDouglas]

How much money do you need to retire?

It all depends on your age, lifestyle etc., but I'd argue that anyone can easily retire with 1.5 million, at any age. It doesn't matter if you're 65, 45, or 25, if you have 1.5 million and invest it with a 5% return you'll be making 75k per year without even touching the principal. If you have 2 million you'd make 100k per year, definitely more than enough to retire on.

 

[bazokajoe]

100K/yr is alot less after taxes.If you are retired I think you will need more unless you plan on sitting at home.Then 100K before taxes might do.

 

[MrPrezident]

1. Do you plan to continue hobbying over the age of 90?
2. Can you economize by giving up duos on your birthday?
3. Will you need an assistant to lift you on and off?

 

[elwoodinontario]

If I had $2mil today, I would be done working for good.

 

[The Fruity Hare]

100K/yr is alot less after taxes.If you are retired I think you will need more unless you plan on sitting at home.Then 100K before taxes might do.

I don't think you need as much as $100k annually after retirement. That would give you about $70k after taxes, you no longer pay EI and CCP deductions. That would give you about 6K after taxes each month. You should be able to survive quite well on that.

 

[hot4rub]

I don't think you need as much as $100k annually after retirement. That would give you about $70k after taxes, you no longer pay EI and CCP deductions. That would give you about 6K after taxes each month. You should be able to survive quite well on that.

Yep, I agree. House should be paid off, kids done with school/married. Probably have a paid off car. $6k a month should do just fine.

 

[blackrock13]

It depends on what you plan to do when you retire. I once heard someone say 20x your present annual salary, if you retiring soon, in 10 years, but what did he know. He died in his 60's.

 

[nobody123]

It depends on what you plan to do when you retire. I once heard someone say 20x your present annual salary, if you retiring soon, in 10 years, but what did he know. He died in his 60's.

Prolly worked hisself to death trying to put together that retirement bundle.

 

[Adam_hadam]

How much money do you need to retire?

It all depends on your age, lifestyle etc., but I'd argue that anyone can easily retire with 1.5 million, at any age. It doesn't matter if you're 65, 45, or 25, if you have 1.5 million and invest it with a 5% return you'll be making 75k per year without even touching the principal. If you have 2 million you'd make 100k per year, definitely more than enough to retire on.

A paid off house, $350k RRSP w/ cpp oas. You can live alright and still travel.

 

[oil&gas]

1. Do you plan to continue hobbying over the age of 90?
2. Can you economize by giving up duos on your birthday?
3. Will you need an assistant to lift you on and off?

Cost of 1 is infinitesimal compared to 3. Having a nurse to feed
you and wipe your butt daily is way more expensive than hobbying.

 

[TeasePlease]

It all depends on lifestyle. $2mm isn't going to be enough if you want to maintain a couple vacation homes, travel, etc.

Age is a huge factor. If you're 25 now, $2mm when you're 65 is more like $400k of today's dollars. Could you live 20 years on $400k?