The average American household spent more than $60,000 in 2019.
To keep up that level in retirement, without depleting your savings, you’ll need to have a large nest egg generating money from your investments.
CNBC crunched the numbers, and we can tell you how much you need to save now to get $60,000 every year in retirement, without taking a bite out of your principal.
First, some ground rules. The numbers assume you will retire at 65 and have no money in savings now.
For investing, we assume an annual 6% return when you are saving and a more conservative 3% rate for your “interest-only” retirement. We do not factor in inflation, taxes or any additional income you may get from Social Security.
Check out this video to learn more.
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Disclosure: NBCUniversal and Comcast Ventures are investors in Acorns.
