By Walter Updegrave, Money Magazine senior editor
October 24, 2008: 10:40 AM ET
Life gets cheaper in retirement? Not so fast - Oct. 24, 2008
October 24, 2008: 10:40 AM ET
Life gets cheaper in retirement? Not so fast - Oct. 24, 2008
Thanks for the link. Hey, at least there is one advantage to having earned a low salary (under $50K) all my life--it takes far less to replace it than would be the case had I been earning six figures.
Yeah, it's ridiculous to make such a blanket statement.
Yep, I've got a fun budget!The projection should read 100% of current and projected real expenses plus a realistic amount for entertainment. You can cut the number down to a fairly exact number with some effort to track expenses.
Actually it's based on a 1980s study that concluded work-related expenses were roughly 20% of a budget-- work clothing, drycleaning, commuting, & lunching out.Quote: You'll need just 70% to 80% of your pre-retirement income to maintain the same standard of living when you leave work behind.
Anybody who would make a flat out statement like this is not a logical thinker.
Yep, I've got a fun budget!
I also have a bare bones budget.
Actually it's based on a 1980s study that concluded work-related expenses were roughly 20% of a budget-- work clothing, drycleaning, commuting, & lunching out.
Today it might be closer to 40% due to housecleaners, yard services, pool guy, after-school programs, foreclosure-avoidance consultants, dog-walkers...
Of course it neglects ER entertainment, travel, leisure sports, home improvement, and hobbies.
12% - after a few years ran across this forum's 33% That's My Story
Speaking of, since the search feature is hard to manage, anyone have a quick link to the 33% story and also that old favorite of mine The BS Bucket?
Lazy Sarah in the rain....
and also that old favorite of mine The BS Bucket?
Actually the most pleasurable things in life are free...aren't they? [-](well almost free)[/-]
Can I have your phone number?
i've been using airline miles (small levels i'll never be able to burn up) to renew Money mag for free. some of the "people feature" articles remind me how silly some folks can be about the costs they expect to have in retirement.Anybody who would make a flat out statement like this is not a logical thinker. I got a $10 subscription to Money Magazine last year. They sent me an offer to renew at the same price. I believe in trying to get good value for my money, so I did not renew.