Feel financially secure for this next step in your life by knowing how much you’ll need to sustain your retirement lifestyle. Watch out for these common misconceptions people have about retirement spending. It is important to recognize that the changing realm of retirement (including rising healthcare costs and longer, more active retirement years) requires a reevaluation of your financial plan.
5:29 “When you retire, every day is a Saturday, and on Saturdays what we do as Americans is we tend to spend more money because we have more time”
5:36 “When it comes to planning for retirement, many people buy into the outdated formula of estimating they’ll spend only 70-80% of the money they do while they’re working”
5:59 “Research from Boston College shows that half of all American households will not have enough money in retirement to maintain their standard of living before they retired”
6:17 “Prior to turning age 65 when you are covered by Medicare, now you’ve got to go out and not only find your own health insurance, but you have to pay for it as well, and that could range anywhere from $1,000 to $2,000 a month for a couple for comprehensive health insurance”