Assessing Your Retirement Number
July 3, 2025
When thinking about retirement planning, most people are concerned about adding to their nest egg and finding new ways to grow. But the real challenge is having confidence that it will be enough to finance your envisioned lifestyle once you pull the lever on retirement and start to take from what has been accumulated. Knowing your “retirement number” is an important step in the planning process. Without a clear understanding of this figure, it is difficult to plan effectively, make informed decisions, or stay on track toward financial independence.
Your retirement number is influenced by several factors. These include expected retirement age, estimated living expenses, healthcare needs, inflation, life expectancy, and sources of income such as Social Security or pensions. It is easy to listen to friends who have retired before you or come up with a number that “seems right,” but doing the extra work may bring more clarity and confidence. By calculating your retirement number, you gain a realistic target to aim for. This helps determine how much to save monthly, how to allocate your investments, and when you can reasonably expect to retire.
Knowing your number also empowers you to adjust your strategy early. If you discover a shortfall, you can take proactive steps- such as increasing contributions, reducing spending, or extending your working years- rather than face financial stress later in life. It can also serve as motivation; having a clear goal can help keep you focused and disciplined with your saving and investment habits.
Your retirement number is more than just a figure. It is a roadmap to financial confidence. Contact us today to schedule a meeting to design a retirement plan you can build with confidence.