The Shocking Truth About Your “Magic Number”
Once inputs like inflation, healthcare costs, and lifestyle realities are taken into account, the $1.5 million goalpost seems less like a magic number and more like a bare minimum for retirement savings.
“I talk to a lot of people who think $1.5 million is the finish line. In reality, it’s more like a checkpoint,” says Taylor Kovar, the CEO and founder of 11 Financial. “That $1.5 million can go a long way, but it depends on your lifestyle, your spending, and how long you need it to last.”
Hilary Hendershott, the President and Chief Advisor at Hendershott Wealth Management, agrees that the $1.5 million mark shouldn’t be thought of as the endpoint for retirement planning. In fact, she thinks retirement savings goals should be less of a “magic number” and more of a “moving target.”
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