Quote:
Originally Posted by GeoffD
There isn't enough information to give reasonable advice. All we know is age 58 and NOVA.
If your total net worth is low, you're running out of time to do anything but rely on your children for housing. If you're high enough income and have a bit of 401(k) match, you can save about $250K between now and full retirement age with a $24K max contribution plus an employer match. That would give you about $10K/year of income stream.
An awful lot of people with no/minimal pension, no home equity, and low IRA/401(k) balances are going to be faced with retirement math where they really can't retire until age 70. The Social Security check as primary source of income simply isn't big enough to afford housing, utilities, Medicare/supplemental premiums, a car, food, and the rest of middle class trappings. With a small in-law apartment, it becomes possible.
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Hello.
I hope everyone had a great holiday. Thank you for your advice. Please do not misunderstand. I am not in any way planning or needing to rely on my children for housing now or in retirement. Some people may need to live with their children, and that is okay. I am simply looking for ways to maximize my income for retirement.
I make a good income in a very high cost of living area. I have a 401k and I am taking advantage of my employers 6% match, as well as contributing to an HSA and a 401k Roth. I am not maxed at 24K, but reducing my housing would help to reach the max contribution. Since I plan to work to 66, I plan to take my pension at 62 and that will add to my emergency account. Which would be around $50K. I won't need it for living expenses, since I'll still be working. Currently I am estimating 45K in retirement. It's not a lot, but better than most. Worst case scenario...surely I can live someplace in this great land on $45k.
Thank you for the advice. Will work on 10K income stream.
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