Transamerica Center For Retirement Study, Mike Ovitz, USA discussed on McClure Capital's Common Sense Investing
Transamerica Center for Retirement Study says most people aren't really realistic when it comes to thinking about that amount. Most workers think they'll need to replace about 67% of their pre retirement income. Because they expect their cost of living to go down. You guys would agree with that. How much do we typically need to replace? Where'd we go? Strongly? Disagree. Let me just throw in real quick. The old number was if you could Generate 80% in retirement of what you have learned while you were working wife would be okay. And now my rule of thumb. You always want a margin for error. And you may hear us talk about that a lot today to give yourself a buffer. So if you're in a position, and it's just a matter of saving and budget right to reproduce your income in retirement, where you're able if you wanted to see that you get 100%. You know they were talking about the cove it 19 virus, and there's AH deal. I was reading the other day that said that more than 70% of retirees in the USA that they're willing and perhaps goingto have to offer financial support. To family members, So there's all sorts of unexpected things that come up and if there's no margin for air You know you get in trouble. Quick. Let me ask you. This is a good question. You gotta ask yourself all right if I retired tomorrow. You probably pay less gasoline, right cause not driving work, Right? Right. Ah, What about clothing? Well, if you are a suit every day, maybe a little less clothing, dry cleaning, dry cleaning, right? So sort of like Mike Ovitz Wardrobe. Yeah. So what about not eating at the office that one mil days of food might be a little bit higher, right? Well, you travel typically Maurin retirement, right? So that travels up a little bit. But what about your electric bill? Where your home more often somebody that electric Bill goes up? A bit of your water goes up a little bit. You and all that together. You're about the same. Same isn't something's there last week. Some things are more depends what your hobbies are. You know if you're gonna go to the golf course. If you're going to go shopping, Maura gonna go travel is a big one. I mean, I Amazon shop like a banshee on the weekend. There's no way I can't work if I had all day. Oh, my pet sitter has been coming there and you know she has I divorced a couple years ago. She bit our pets it over a long time. She goes honestly, this whole time she pick ups are packages during lunch. I thought it was user of that Your wife had the shopping Now I realize there doubled these packages have doubled since your divorce. OK, I got a problem. You have no restraint. She's already kind of held back a little. I want to know what you buy. I'm curious. Oh, there's a lot of what you had the house painted. But every single electric like a light switch was a beige. Now it's white. So I got to change out every electoral well, and he also made it For smartphones house, our house and you know, since I used to be the engineering, I think I could do all this myself Some stuff. Everyone so honestly had a pulling electrician's most over 90% of good. The other 10% electricity had to build bail me out. Then it gets really expensive, ft. But you know, my husband's not handyman, and I'm told that that's a good thing, actually, because then it's you know, you just pick up the phone and you call and you get it done and and it gets done right. We'll have done all my TV is in the house. All the light fixtures changed. It's not that bad, but some electricity. If you forget to turn off the power projects that I've tried, I find that the cost of material and tools far exceeds what would have Somebody to come over. All right, We've gotten off track, but we're going to get back on track. We've got more coming on the common sense Investing show. We hope you'll stick around. We'll be right back. You've got construction over the weekend. That's going to be causing some traffic.