Savings for Retirement

justasknow

How much money would i need to save for retirement when i'm 67. I am now 37 yrs old with no savings & no mortgage. I have an income off 30,000 euro. I hope 2 have kids and and get married but would like to know how much would i need to save when i retire at 67 yrs??

strmin

Hope that helps:

http://www.pensionsauthority.ie/en/Calculators/Pensions_Calculator/

justasknow

Tks

SBarrett

It really depends on what you want to do when you retire and for how long. There are three stages in retirement to consider:

1. Active retirement - when you go travelling, do lots of different activities. This typically lasts until your early 70's.
2. Passive retirement - all the travelling and activities gets a bit much and you stay at home a bit more. Spending time doing things that take less effort. Typically starts at early 70's
3. Care - You can't look after yourself and most of your money goes on care and medicine.

For those with enough assets, they tend to spend more money in the Active retirement stage than they used to earn. Remember, there's no working week anymore, you can go away or do whatever you want now.

Passive retirement sees income go down to about 50% of past salary.

Care - if you have the money, your money will go in care costs. If you don't, the State will take most of your OAP and a portion of the value of your home to cover the costs.

Most people don't have what they ideally need in retirement but it is useful to think about what you want first and then what needs to be done to achieve your goals.

Steven

justasknow

Ah the state they must take everything:-)

Tks Steven for reply

mix_up

good to see people taking measures in order to secure there retirement , the state pension will not be as generous in thirty years time

SBarrett

If it's even around! McCreevy brought in the pension reserve fund to take the burden off the state in the future. Between bailing out the banks and semi state pension schemes, they spent most of it. Noonan decided he might as well empty it. Sure, he'll be long gone before the crises really hits.