Why Social Security Might Not Be Enough to Live Comfortably in Retirement
Social Security benefits are a great perk for Americans. Throughout your career, you pay Social Security taxes, and in retirement, you become eligible to begin receiving monthly payments. For some, these payments are the foundation of their retirement income. However, these benefits alone may not be enough to live comfortably in retirement for many people.
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Unfortunately, there's no concrete answer to how much someone will need in retirement; different lifestyles will inevitably require different amounts. However, you can apply good rules of thumb to help as a guideline for determining an approximate amount. First, it helps to begin with the 80% rule, which states you should aim to have 80% of your pre-retirement annual income in retirement to keep your current lifestyle. So, if you're currently making $80,000, you should aim to have $64,000 annually in retirement.
Source Fool.com
