Using a Retirement Savings Calculator

A retirement savings calculator is a good way to estimate one’s needs in order to live the comfortable retirement he or she desires. Not only does this calculator tell an individual how much he or she will need to retire when the time comes, but it will also help him or her determine how fast assets can and will grow in order to reach one’s financial goals. With the right financial planning, one should be able to live the lifestyle to which one is accustomed or maybe even improve and upgrade the quality of life in retirement.

 

How to Use a Retirement Savings Calculator

A retirement savings calculator takes in a few factors to help one determine what he or she needs to live out their remaining years. The calculator looks at one’s current age and income, the age at which one plans to desire, the percentage of his or her income he or she wants to put away, how long one expects to live in retirement and any expected funds from social security and/or pensions. There may also be other factors such as investments or income from post retirement jobs.

A retirement calculator may also help one determine other important financial issues one may have to consider. For instance, one may want to know if he or she can retire early. Another may need to compare the cost of living in two different cities. Those who have various sources of income such as investments may need to look at their asset allocations. Those who depend primarily upon savings may want to calculate how fast their savings will grow.

  

Where Can One Find a Retirement Savings Calculator?

It is relatively easy to find a retirement savings calculator online. There are sites familiar to many that feature their own calculators. CNNMoney.com not only has the basic calculator, but also many others to help answer the above-mentioned questions one may have about their other retirement options. One may also consider going to Kiplinger.com to check out its calculator, especially if he or she plans to retire with a spouse and needs to figure in home equity and investments. It also has little guideposts along the way to let one know how much of the income percentage is good to estimate one’s needs.

Retirementsavingscalculator.com lets one factor in expected inflation manually as well as the post-tax investment return one expects. Of course various banks and investment firms have their own calculators for their clients as well as others. One may also find a calculator available for download to Microsoft Excel at vertex42.com. However, those who want to cover all bases in considering their retirement options may want to consider the resources at Kiplinger or CNNMoney.

  

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