By Lisa Noah, Branch Manager
When they’re planning for retirement, investors always want to know “How much should I be saving?” This question is present throughout the entire retirement planning process: How much retirement savings should I have at 35? How about at 40 or 50? Am I retiring too early?
While the exact amount you should save varies based on factors such as your income, the way you want to live in retirement and your risk tolerance, it might be helpful to establish a benchmark for yourself.
When you’re investing, it’s common to use indexes as a benchmark to measure the performance of specific stocks or bonds. If you apply the same methodology to retirement savings, you may be able to look at a study of investors saving for retirement and use their results as a benchmark for your own retirement planning (although this would only be a starting point – keep in mind that the most important component of investing is research!).
In a 2014 Scottrade® study, we surveyed 1,952 Scottrade clients to find out how much they’re saving for retirement and how confident they feel with the current state of their savings. Take a look at the results.
How Much You Save vs. How You Save
While you may be able to come up with savings guidelines based on the Scottrade® study results shown above, the truth is that saving for retirement isn’t a one-size-fits-all approach. How much you save may be just as important as how you save.
Read Next: How You Should Save for Retirement
Lisa Noah has been at Scottrade since 1999. She is the branch manager at the Newton Center, Mass. branch.
The material provided in this presentation is for informational purposes only and its use does not guarantee a profit. None of the information provided should be considered a recommendation or solicitation to invest in, or liquidate, a particular security, type of security, or pursue a specific strategy. Investors should fully research any security or strategy before making an investment decision.
Scottrade provides self-directed investors with online investing services, and does not make recommendations or offer investment advice of any kind. Survey results are provided for informational use only. Answers to Survey questions were not verified. The user assumes all risks of using the materials provided.
I'm with George; This is only statistics without directional substance, or professional advice!...
so 35% are saving nothing if your chart is correct About right but I would have thought it was higher
Good food for thought!
Do not send to all Scottrade account holders. I am 85 with a modest account and this has been a complete waste of time.
Don't forget to pay off mortgages and all other debt .