- October 31, 2022
- Posted by: Karl B
- Categories: Dividends, Trading Article
Have Enough to Retire?
This simple formula will calculate how much you need to retire.
This is the million dollar question…
Do I have enough to retire?
Well, like anything in the world, you can make this easy or hard. Today, I’m going to keep this as simple as possible…
1 Minute to Calculate Your Retirement Goal
Ok, here we go. How much money every month do you need to retire?
Write that amount down. Let’s say it’s $5,000.
Now take $5,000 and Multiply it by 12 to get your annual expenditures.
So: 5,000 x 12 = 60,000 If you’re going to need $60,000 a year to retire… that means you’ll need $1.2 million in savings. How’d I get to that number?
Dividend Stock Portfolio
I figured a good portfolio of dividend stocks should payout about 5% per year… so I divided $60,000 by 5%.
In other words: 60,000 / 0.05 = 1,200,000
That’s what you need to retire – all calculated in 1 minute. Your retirement number is $1.2 million.
How much do you THINK you need to retire? Have you actually done the calculations… or how’d you get to your number? Comment below and let me know what you think you need to save!
By the way, In my next article “7 Minutes to Calculate a Real Retirement Savings Goal” I’ll share a more detailed description…
I’ll show you a more precise way to figure out what your retirement number really needs to be… for most people, it’s a lot less than $1.2 million.
My Personal Retirement Stocks
Oh, if you want to see some of the dividend stocks I have in my personal portfolio… and you want to get the inside track on new dividend stocks I like… check out my newsletter – The Dividend Tree!
I write about different dividend stocks every month, and also give you my thoughts on living a joyful retirement. Because sometimes there’s more to retirement than just investing your money!
Click here to sign up today… my next dividend stock idea will be out in just a few days. I hope to see you as a member.