By Patricia Uceda, Spring 2015 Graduate Research Assistant
Generally, you will need about 80% of your pre-retirement income today to retire comfortably, and at least 70% to maintain your standard of living. If you are a lower earner, this percentage climbs to 90% or more. While social security benefits can help, the average benefit amount paid monthly by the SSA is only $1,177, which amounts to approximately $14,124 annually.
If you want to know how much you should be saving monthly in order to meet your retirement goal of 80% of your annual income, you can go here to use FINRA’s Retirement calculator. This calculator will use factors such as your current savings balance, your ideal annual retirement income, and retirement age to tell you the annual contribution that you should invest each year in order to meet your annual retirement income goal.
If you want a more accurate estimate of what your SSA benefits will be, you can go here to use SSA’s Retirement Estimator. This calculator will give you an estimate based on your actual Social Security earnings record.