Be Aware of Your Number

What is the magic number for retirement? Many Americans believe they need around $1.7 million to retire, according to a recent survey from Charles Schwab. However, the figures might vary from one person to another. “One million dollars isn’t the magic number,” Scott said. “In most cases, it doesn’t even have to be close to that number.”

Unfortunately, many future retirees have not saved enough to cover not even half of their costs in retirement. That’s why it’s important to have an accurate picture of your retirement number, how much you need to have to retire and how much you should save each month to reach that number. You can use free online retirement calculators such as those provided by Fidelity, Schwab and Vanguard.

“Even if you don’t get to $1 million and you only get to $100,000, at least you’re not retiring on just Social Security,” Scott explained.