How much Cash do you need to retire?

  Social Security is not the widest safety net possible, and everyone is waiting see what happens when the large Baby Boomer generation empties out the nation’s S.S. funds.

The amount of cash needed in retirement must equate to a monthly payout.  Retirement savings usually needs to be involved with some investments, during life, and even during retirement.   

        We should have a look at the hypothetical situation that someone saves money, yet never use investments – we must take an ALL-CASH look at retirement…

When it comes to retiring, certain needs must be met, your greatest priority should be:

  1. Securing housing that is paid for – including future repairs – utility costs – and property taxes
  2. Securing some kind of (infallible) medical insurance plan for older-age needs.
  3. If you plan on transporting yourself anywhere, then those costs would need to be factored in (Also remember that at some point, we will probably lose the ability to drive!)
  4. Ensuring that you have ZERO debt if possible.

Sure, food is important, clothing, entertainment of some kind, but compared to the major bills mentioned above, those costs are mild, and can be reduced significantly, such as clothing (Goodwill) and entertainment ( talking, laughing, and starring at walls)

Life gets a lot more expensive
when you cease making income.


If you want to retire at 65
and plan to live until you’re 95
A span of 30 years is what’s ahead.

See the chart below to see the monthly payout you get from each amount of savings.


Saved: $50,000      —   $1,667 / year  — $139 / month
Saved: $100,000    —   $3,333 / year  — $278 / month
Saved: $200,000    —   $6,667 / year  — $556 / month
Saved: $400,000    —   $13,333 / year  — $1111 / month
Saved: $1 Million  —   $33,333 / year  — $2778 / month
Saved: $2.5 Million  — $83,333 / year  — $6945 / month

While having this amount of savings in investments will yield MUCH more money, this is the Cash-only picture of retirement savings – and the picture is bleak.  By this chart you need enormous amounts of money saved to even reach $1,000+ per month: some people would consider that very, very modest income: it’s about the same amount earned at 40/hours a week at minimum wage.

Investments can give this cash a bigger life, and your retirement income will continue to grow, even as you start taking from it.

         When you invest money for long-term growth, you earn interest (or profits), and if you use those profits back into those savings to re-invest, then the fund grows considerably in a snow-ball effect over the years.  We’ll look at examples of compound interest and life-long investment later – but taking this look at how poorly cash spreads by itself is very important.

         With investment, less cash will eventually yield a higher slot in the CASH ONLY RETIREMENT CHART above.  That means you can save $25,000 in younger years, and hopefully with the right investments, it will expand considerably when you’re 65 years old.

         Even the most passive way of investing money, like mutual funds can yield a 4% – 6% return every year. Some funds like the Vanguard funds assert 8%, but you never know.

As Big Commerce threatens to roll you over, remember, everyone is working for a paycheck, and none of them are signing their check over to you.  Do good in this lifetime, but remember, for this moment in time, with this economic structure, no one else is watching your back for you!

SAGA can save your friends! Feel free to like and share!

22 Responses to RETIREMENT Primer – #3 SAVING CASH MONEY

  1. Desirae says:

    Following study some of the weblog posts on your site now, and I really like your way of blogging. I bookmarked it to my bookmark website list and will likely be checking back soon. Pls take a look at my website too and let me know what you believe.

  2. new gpt sites says:

    I am curious to find out what blog system you are utilizing? I’m experiencing some small security problems with my latest website and I’d like to find something more safeguarded. Do you have any solutions?

    • SAGA says:

      Hi there, EA SAGA is managed on WordPress with paid hosting space, thankfully there are tons of articles on WordPress security, and of course there are people you could potentially pay to implement these features. Here’s a good one:

      It’s known that if you set up wordpress and take zero steps to ensure security, then it’s can be easily hit by bots/hacks, so due diligence is needed there! WordPress does take some work, and if you want a plug-and-play website, Blogspot is the way to go, but with blogspot, you don’t officially own the website, which means it can get wiped off the map. Good luck!

  3. legit ptc sites says:

    Aw, this was a definitely good post. In notion I’d like to put in writing like this in addition – taking time and actual effort to create a really good article… but what can I say… I procrastinate alot and by no means appear to obtain something completed.

  4. flamethrower boom beach says:

    Really enjoyed this post, is there any way I can receive an alert email every time you write a fresh post?

    • SAGA says:

      Hi there, thanks and yes I’m working on setting up the RSS feed with email-post-notification combo. It will be finished in the next couple weeks: I appreciate your interest, and will reply here again when it’s finished!

  5. castle clash app says:

    obviously like your web-site but you have to check the spelling on several of your posts. Many of them are rife with spelling issues and I find it very troublesome to tell the truth nevertheless I will certainly come back again.

    • SAGA says:

      Thanks, rife with spelling issues is like an exotic spice on a foreign meal, exciting!! We’ll run the checker more diligently. Welcome to the Saga!

  6. free download of subway surfers says:

    It’s perfect time to make a few plans for the future and it is time to be happy. I’ve learn this publish and if I may I want to counsel you some fascinating things or advice. Maybe you could write subsequent articles referring to this article. I wish to learn even more issues about it!

  7. preparat na wypadanie włosów says:

    Someone essentially help to make critically posts I’d state.
    That is the first time I frequented your web page and up to
    now? I amazed with the analysis you made to make this particular publish incredible.
    Excellent job!

  8. brave frontier apk says:

    What i don’t realize is actually how you’re not actually much more well-liked than you might be right now. You are very intelligent. You realize thus considerably relating to this subject, produced me personally consider it from a lot of varied angles. Its like men and women aren’t fascinated unless it’s one thing to accomplish with Lady gaga! Your own stuffs outstanding. Always maintain it up!

    • SAGA says:

      Thank you friend, I really appreciate such kind feedback. SAGA is fairly fresh and during the next few months we’ll see many new posts due to porting from another web-space. It really is a pleasure to cover topics that help us all stare-down the feat of Early Retirement! I wish you the best!

  9. download game minion rush says:

    you’re really a good webmaster. The website loading speed is incredible. It seems that you are doing any unique trick. In addition, The contents are masterwork. you’ve done a fantastic job on this topic!

    • SAGA says:

      Hi there, many thanks – SAGA is managed with a custom WordPress setup, but nothing extremely unique, the combination seems to be working well though!

  10. online car title loan says:

    Howdy very nice site!! Man .. Excellent .. Superb .. I’ll bookmark your website and take the feeds additionally…I’m glad to seek out so many useful info right here within the publish, we’d like develop more techniques in this regard, thanks for sharing. . . . . .

  11. cleaning services rates says:

    Magnificent site. A lot of useful info here. I’m sending it to some friends ans also sharing in delicious. And obviously, thanks for your sweat!

  12. manning pool service says:

    I would like to thank you for the efforts you have put in writing this website. I’m hoping the same high-grade website post from you in the upcoming as well. Actually your creative writing skills has encouraged me to get my own website now. Really the blogging is spreading its wings rapidly. Your write up is a good example of it.

  13. car door repair says:

    Hey there just wanted to give you a brief heads up and let you know a few of the pictures aren’t loading correctly. I’m not sure why but I think its a linking issue. I’ve tried it in two different web browsers and both show the same results.

  14. cheap miami beach says:

    Simply wish to say your article is as amazing. The clearness in your post is simply spectacular and i can assume you are an expert on this subject. Well with your permission let me to grab your RSS feed to keep up to date with forthcoming post. Thanks a million and please carry on the gratifying work.

Leave a Reply

Your email address will not be published.