How do people without millions manage to retire?

[Perryinva]

So then she IS one of those dastardly filthy rich retirees??!!!

[dcfas]

To the OP: I just wanted to also point out what is obvious to many but is sometimes useful to mention. If you have a modest pension of, say, 40k per year, and multiply that by 25 years- voila! That's a million bucks. If your spouse also has a similar pension, your household "income" is two million over 25 years (less taxes, etc.). That's before factoring in SS. Most folks on these pensions are not living luxuriously, and there are still no guarantees regarding the X factor of medical costs. Pensions are golden.
DC

[TuborgP]

Originally Posted by dcfas

To the OP: I just wanted to also point out what is obvious to many but is sometimes useful to mention. If you have a modest pension of, say, 40k per year, and multiply that by 25 years- voila! That's a million bucks. If your spouse also has a similar pension, your household "income" is two million over 25 years (less taxes, etc.). That's before factoring in SS. Most folks on these pensions are not living luxuriously, and there are still no guarantees regarding the X factor of medical costs. Pensions are golden.
DC

Bada Bing they are golden and if they took advantage of their 401/403 savings options that couple is well over six figures. Marriage is a game changer. If they elect spousal benefits their pension is lower but the combined amount remains the same if one dies.