How much is average saving during retirement?

[73ss454]

Sounds like your in good shape RR. How did you ever get an 80K pension if you never earned over 60K in one year?

 

[RetireeRobert]

Sounds like your in good shape RR. How did you ever get an 80K pension if you never earned over 60K in one year?

Fortunate to be in a pension plan that allowed equity investment, and it also had an option that based pension on account balance, as well as an option that based pension on years of service.

From day 1, I allocated max allowed to equities and stayed the course over 23 years until I switched it all to fixed income type just a few years before I retired. In other words, I rode the stock boom of the eighties and nineties, and got out January 2000, before the tech bust of 2000-2002.

 

[73ss454]

Sounds like you have good timing.

 

[RetireeRobert]

Sounds like you have good timing.

Not really. I stayed in max-allowed equities from starting the job till just 2 years before I retired. Approaching retirement was the main impetus to switching my pension allocation to 100% fixed income. Having seen four good years in the market just prior to then was just an additional reason to make me push the button. Now it "looks" like real good timing.

I suppose my best timing was in choosing to be born when I was, so that I was in a career pension accumulation stage that just so happened to coincide with the boom of the 80's and 90's.

At any rate, I am not complaining. You can be sure of that!

 

[Jeb-NY]

Once you are no longer drawing a salary, you can't "save" in the traditional sense. That option is truly out the window. You gave it up by retiring.

Once retired, the only thing you can do is draw conservatively from your nest egg, invest wisely for the long term which includes investing to counteract inflation, and build up a large enough nest egg before retiring so that it does indeed cover the living expenses you expect to meet the lifestyle you wish to enjoy in retirement.

Audrey

What she said.

Jeb