Are Your Retirement Savings on Target?

Work forever?

I am a 54 year old widow with about $25,000 left in my 403 after the crash. My social security will be about $720 if I retire at 65. I could take my husband's at age 60 if I become disabled and have no alternative. That would be about $620.

My pension from my nursing job will be about $380.00. I own my home clear of debt though it's value has crashed to $80,000.My husband was self employed and left me without insurance or pension. I need to buy a car soon and will have to withdraw from my 401 to do it. I'm currently on short term disability due to extensive foot surgery. Living carefully, I'm able to invest12% in the 403Ihave less than $1,000 in savings. Presciption costs are $240/mo in co-pays. The Catholic health system for which I have worked for 11 years will cut off all healthcare benefits upon retirement. Any suggestions for improving this scenario would be appreciated.women in my family tend to live to age 90 or more.

D. Wilson of MI @ Aug 15, 2009 11:05:34 AM

Retirement

Husband retired at age 54 with pension of $3,100/mo and paid medical insurance. I want to retire in 2.5 yrs when he can roll over his 401k at age 59.5. He has $140,000 now in very conservative investments. I work, make $55,000/yr, save $25,000/yr in 401k and have $90,000 as of today. I'll get $400/mo in pension at age 65 plus $1,300/mo in SS. We have house pymt and no other debt; no kids in house. The Fidelity formulas are positive for my plan and we'll have enough to be comfortable. Most of our monthly income will come from pensions and SS (we'll both take SS at age 62). It will be nice to retire young! And if I have to work a couple of days a week at a law office, that's fine.

Debbie of NY @ Aug 01, 2009 00:16:47 AM

Retired at 69

I have income from pensions after taxes and insurance of $940.00. My SS after Medicare is $1,067. I own my home free and clear. I have no debt and enough in savings to take a trip to family each year and to buy another used car if this one fails. My 503b has a total of $74k, + or -. In the last 3 years I have withdrawn about $14,5k and my total is only down by about $4k. Pretty comfy for a 72 y/o. I only withdraw money from the 503b for work on my home now. When I first retired I took enough to pay our car off and we were debt free. I live alone and have my SS and 2 small retirements (mine & late husband's). The smart move we made at retirement, although our pensions were smaller, was to take an even smaller retirement payment and set it up as 100% for surviving spouse.

I know times can and will get harder, so I am saving one of the retirements each month now. Our highest joint income over the years was probably about $45k. So I am comfortable and set for all but the worst case scenario. I do have good health insurance and life insurance from my state job. I thank God regularly for the comfortable place I am in right now.

Georgia of MO @ Jul 29, 2009 22:27:29 PM

Scared to death

Currently our household income is 145K annually. I save 20% in a 401K and 5K in an IRA annually.

We have about 325k left after the big fall. I own clear my home (300K) and a farm and rental house (500K). No payments and no excessive life style.

If Social Security stays in tack I should receive about 2.5K per month. That leaves about 4K short of my current spendable income per month.

Assuming the market comes back in the next 8 years, I would expect to have about 750K by are 65.

I can not figure out what return I can expect. Is 6% realistic?

JerryR of Tennessee of TN @ Jul 29, 2009 17:03:49 PM

Retirement

I am 56 - make $120,000/yr. I have $500,000 in my 401K, 75% bonds, 15% stock, 10% my company stock. I am investing 20% of my income in the 401K - plus 5% in a personal savings account for fun and emergencies.. I don't own my home - but the payments are only $505.00/mo.....I own one car, year 1995. My wife doesn't work. We are still helping adult children - hey - their time is coming....I don't want to work until i am 66 - I want to retire - buy 1 more motorcyle, 1 more nice car - play golf and take care of my house and yard. Maybe a little travel. I'm healthy - but you never know....My target date to retire is February, 2016......and I still feel like what I am doing is not enough - it's the fear of a big medical hit that keeps my wallet closed tight for now.

darryl of IN @ Jul 29, 2009 06:03:13 AM

Retirement at 64

I have 430.000 in IRA and 200,000 in C.D.I have 1 year to be 64 and should save 25,000 more. I own my home and have no other payments.I make 70,000 a year and save half what I clear.I bargin shop and mostley buy my food on sale I do think I could live on 30,000 clear a year.But I am very afraid to retire. I would love to let my three sons something to help them in thier retirement.WHAT CAN I DO AND WHEN?

Harold Haire of PA @ Mar 05, 2009 13:08:34 PM

John...can you live on 52K?

People say that if you can live on 4% of what you have in savings...you can retire. Granted- just as this article states- facts and figures vary. If you can live on 52,000 which is 4% of 1.3 million then yes, you can retire per most $$$ gurus opinions.

Can you and your wife live on 52K a year? Only you can answer that.

Alyssa of NY @ Mar 04, 2009 13:49:36 PM

regional adjustments

Does any "canned" calulation ever compensate for regional cost differences ? For example; the upper midwest costs vs NY or California costs...

what % alerations might be in play ?

Dave of WI @ Mar 04, 2009 13:03:49 PM