They can be found in books, magazines, newspapers, social media, news feeds, and blogs. If you’re more of an audiovisual person, television, podcasts, and Youtube will also tell you what you should be doing with your money.
– At 25 years old — you should have 1/2 of your yearly salary saved – At 30 years old — you should have 1x your yearly salary saved – At 35 years old — you should have 2x your yearly salary saved.
You may have heard that you’ll need to replace 70% or 80% of your pre-retirement income to have a comfortable retirement. This frequently referenced guideline makes sense if and only if your spending is perfectly coupled with your income.
Setting aside 10% to 15% of your income may be adequate for a person who can work for 40 years and still retire in her early 60s, but that’s not you. You should be saving more.