A retirement planning calculator is a useful tool to help you calculate how much you will need to retire. Social Security benefits are based on a sliding scale that increases yearly based on the Consumer Price Index. Adding a spouse can boost your benefit by 1.5 times. The calculator also allows you to input other sources of retirement savings. To find out exactly how much you will need to retire, fill out the form below and then hit submit.
One thing you should always consider when planning your retirement is inflation. The purchasing power of your money is greatly diminished over the years, so the amount you have saved now will not go as far in 20 or 30 years. To account for this, most retirement planning calculators include a 3% inflation rate. This way, your retirement plan can be as accurate as possible. Make sure to adjust your budget based on these factors. Aim to replace 110% of your pre-retirement income.
Another factor to consider is your lifestyle. If you’re 15 years away from retirement, you can invest smaller amounts every month. For people less than two years away, you may want to put your money into a safer investment, like gold or stocks. Or perhaps you want to pursue a new hobby. Then, your monthly and yearly spending will depend on your desired lifestyle. Consider how long you want to stay in your home and work and how much you’d like to spend each month.