How much do you have saved for retirement?

[Ember]

Apparently the average person on America has $25,000 saved for retirement and plans on working until they are 80. I found this shocking, but when I think about the people I actually know, I can sort of see it...

Anyway, I thought we might have our own informal poll. I know that as DIS members, we will naturally be much better at saving than those average people.

 

[eliza61]

Apparently the average person on America has $25,000 saved for retirement and plans on working until they are 80. I found this shocking, but when I think about the people I actually know, I can sort of see it...

Anyway, I thought we might have our own informal poll. I know that as DIS members, we will naturally be much better at saving than those average people.

Too little. LOL. I do plan on working as long as I'm physically able, mainly because I like working although I do dream of opening my own bakery. That will definitely be a job and do I really want to schlep 50lb bags of flour at 80

I am pretty lucky in that I work for a company that still has a defined pension plus a 401K

 

[happygirl]

I'm impressed with those that say they have more then 90,000 in there retirement fund

 

[I loveStitchnippyjon]

We would have been very comfortable living off our investments, until the economic collapse in the last few years. Now our plans will definitely have to be scaled down,,,

 

[runwad]

Had my first real job at 24 and started saving right from the get go started at 6% and increased it every year as I got raises. Been at it 21 years now and 10 of those years have been part time. No way I'm working till 80!! Compound interest and time is your friend. I've never had a high paying job but I have more money in my 401k than my manager who made 70% more than me. Why? He never had any money to save, ya he'll be working till he's 80.

 

[Ember]

We would have been very comfortable living off our investments, until the economic collapse in the last few years. Now our plans will definitely have to be scaled down,,,

This happened to my uncle, only he was very near to retiring... I've watched him struggle with trying to find a new job, and no one wanting to hire an extremely experienced but older employee.

I'm sorry you're facing this. When you do everything right, it is really unfair that things go badly.

 

[Christine]

I'm impressed with those that say they have more then 90,000 in there retirement fund

I started a 401K in my late 20s. About 10 years ago, I got to a point where I could max my contributions plus I always got a company match. I did lose a LOT in 2008 so I am probably $200K behind but I've been saving for about 20 years now and it really does work when you're in it for the long haul.

 

[tvguy]

15% of my take home off the top plus a 3 % company match for 30 years.
Even if I made minimum wage all those years, I'd have $90,000 which is nothing.
Being that 2/3 of my 401k was in the market when the market soared in the late 1990's (38% return one year), I've been lucky that recent declines haven't off set that.

 

[lovin'fl]

I was surprised to see such low choices. We didn't think we had that much saved, but apparently we do. Though we're no where near where we want to be and DH won't be able to retire for a long long time.

 

[Ember]

I was surprised to see such low choices. We didn't think we had that much saved, but apparently we do. Though we're no where near where we want to be and DH won't be able to retire for a long long time.

To be honest, with the average being only $25,000, I wasn't sure how to set it... Looking at all the amazing savers, I clearly should have used bigger increments.

I must own to finding the large number of big savers intimidating. At 31 and with hubby having just completed his PhD, I thought we were doing pretty good. I also know we'll be able to save increasingly more now that we're both at a professional level. But it's really hard to know if you're on track for your age.

 

[clh2]

We are trying to convince DD (now 17) that she should start a Roth IRA with some of her income. She isn't easily convinced, so we may have to "18th-birthday gift her an "opening deposit". I also don't have a problem with that - because if I spend all my money having a grand-old time in my retirement, then I won't feel guilty, as my "gift" to her would be growing! (Of course - I am stressed out about college expennses, but that is a whole different thread!)

 

[jrmasm]

At least $20 million.

 

[Stitchfans]

We would have been very comfortable living off our investments, until the economic collapse in the last few years. Now our plans will definitely have to be scaled down,,,

Same here, but in our case a divorce really ruined all that we had saved and worked for. Whatever I have in the saving right now is for DD to go to college (text books, hoping for scholarships, whatever) and to use if a big emergency comes up. Not sure if what I have is enough for either one of those things. Only time will tell.

 

[disykat]

To be honest, with the average being only $25,000, I wasn't sure how to set it... Looking at all the amazing savers, I clearly should have used bigger increments.

I must own to finding the large number of big savers intimidating. At 31 and with hubby having just completed his PhD, I thought we were doing pretty good. I also know we'll be able to save increasingly more now that we're both at a professional level. But it's really hard to know if you're on track for your age.

At 31, my numbers would have shown up on your poll. At 50, I'd be in trouble if they did. A few decades can make a huge difference and there are a lot of us on in here our 40s, 50s, 60s, 70s etc.

 

[GaSleepingBeautyFan]

I have no problem believing that study. My parents are in that group because they waited too long to sell their property (40 acres) that they were counting on to get a nice profit for their retirement and then real estate market collapsed. If they had sold it a year earlier instead of turning down offers, they would have been in better shape.

Between my husband and I, we are on track even though we did lose some when the economy collapsed.

 

[Gigi22]

I took 'other' in the poll--we each have an indexed pension coming in, plus savings. If only the markets would just behave, our investments would stabilize, and I would be a lot happier!

 

[tar heel]

Even if the numbers in the poll went up to seven figures, they still wouldn't mean much IMO. Someone who has pension/retirement pay that gives them essentially the same salary they made while working and company-paid healthcare could have saved a more modest amount(more than $90,000, though) but actually be better off than someone who has saved several hundred thousand dollars but has a mortgage, no company retirement income of any kind, etc. Age is a primary factor. Inheritances may also be in some cases.

 

[denisenh]

At least $20 million.

me too, at least

 

[Handbag Lady]

I have no problem believing that study. My parents are in that group because they waited too long to sell their property (40 acres) that they were counting on to get a nice profit for their retirement and then real estate market collapsed. If they had sold it a year earlier instead of turning down offers, they would have been in better shape.

Between my husband and I, we are on track even though we did lose some when the economy collapsed.

How could your parents have possibly known, though? No one does. If someone offers me $100 for a necklace I have now, who knows if it will be worth $125 to someone else next year? Besides, property values are always supposed to go up, not down. The whole thing is horrible for so many people.

For me, I have a bit in my 401k and my IRA. My husband has more. We will both get pensions in additon from our current employer. And, we'll get some small inheritance from above.

I still plan to work until I'm 80. I hate not working.

 

[monkeybug]

Can I ask a question to all you savvy retirement planners? My husband is in the military and plans on staying in for 30 (or more if they'll let him) years. His pension will be 75% of his three highest paying years plus cost of living increases.
We have savings, and he has a TSP (thrift savings plan), but how dow we figure out how much we need to have in those accounts when we retire? We've thought about paying for a home with cash eventually (and thus escaping 30 years of interest payments), but that would obviously deplete a huge chunk of those accounts. When you have a pension do you still need to save huge amounts of money for retirement?