Retirement Calculator Edwardsville, IL
Experienced, Honest, and Talented Edwardsville, IL Retirement Consultants and Financial Advisors
Retirement Calculator in Edwardsville, IL. Ideally, you should start saving for retirement the moment you enter the workforce, but many people in Edwardsville, IL don't have the time, knowledge, or interest to calculate how much they'll need in retirement. While Googling "retirement calculator" may be helpful to give you a sense of where you currently stand, you'll need knowledgeable and ethical Edwardsville, IL financial advisors to get the retirement you've been planning for. At Correct Capital Wealth Management, we build a personalized plan based on your existing financial realities, how your money is likely to grow, and what activities and trips you want to take in retirement to apply our investment knowledge to help you get the retirement of your dreams. For a talented human retirement calculator, call us today at 314-930-401K or reach out through our website.
How Retirement Calculating Works in Edwardsville, IL
In order to calculate what savings you'll need for retirement planning you'll need to balance the money you'll use with how much money you'll have coming in. To do this, you'll have to take the following into account:
- Your current status — Before calculating how to get to where you want to go, it's important develop an understanding of where you are now. This includes your age, how much money your household makes, current retirement savings, and how much your monthly contributions to your retirement savings are. Doing this will help identify areas where your financial portfolio can be improved.
- Your real rate of return calculations — This is how much you're getting back from your various accounts, both while saving for retirement and once you retire. Your real rate of return adjusts the increase in your savings and investments with inflation. For example, if your accounts grew by 10% last year, but the cost of living went up 3%, your savings really grew by 7%.
- How your earnings will increase — On average, salaries increase every year. Average wages and salaries rose an average of almost 5% year over year in the second quarter of 2022. Depending on what stage you're at in your career, you may also soon go from an hourly employee to a white-collar job, be promoted several time, get offered company stock, or keep an eye out on the job market to move to more lucrative job titles. A higher income will allow you to save more, but will also likely make you accustomed to an increasingly lavish lifestyle.
- How long you'll need a retirement income — Obviously, none of us know precisely how long our golden years will last. But having a good understanding of your retirement age and any health concerns is crucial to knowing how much savings you'll need.
- Expected rate of inflation — As we've seen over the last few years, forecasting variations in the market and inflation is an uncertain enterprise to say the least. Nevertheless, most wealth managers will advise to keep a steady course of action and assume 3% annual inflation for workers calculating their retirement needs.
- Your Social Security benefits — Understanding what benefits you are entitled to is a key aspect of calculating how much you'll need in retirement. Different ways of earning a living, for example household employment, military service, or being self-employed have benefit rules specific to that employment.
Financial experts have vary opinions on how exactly to calculate your retirement needs. One rule of thumb some retirement calculators use is that your income need in retirement will be 80-100% of your total income the year just before you retired. Another guideline is the 4% rule, which states that every year you'll be able to withdraw 4% of your savings at the time of your retirement to have a comfortable but financially secure retirement as many as three decades. To know what works best for you, you need to reach out to a skilled Edwardsville, IL retirement consultant who will be able to take into consideration your complete financial situation and decide what the best way to calculate your retirement needs is for you.
Other Questions to Ask Yourself | Edwardsville, IL Retirement Calculator
An addition to the technical aspects of a retirement calculator, you'll also want to ask yourself:
- What age would you like to retire? Some people want to see the white sands of Playa Norte while have enough energy left to run across them. Others see little point in leaving the workforce as long as they enjoy what they do and are physically able to do it. Whenever you'd like to retire, the age you retire will determine how long you need retirement savings for, and whether or not there are any tax implications for how much you receive from Social Security.
- Where do you want to spend your retirement? The cost of living is not the same in Edwardsville, IL as it is in Chicago, Nebraska, Australia, or wherever you choose to retire. Each area also has varying tax systems, housing costs, health care expenses, how much it costs to travel to and from your home, and even different possibilities for a part-time gig if you want to keep busy.
- What do you want to do in retirement? Do you have foreign counties to see, fishing trips, and white water rafting to cross off your bucket list? Would you rather sit on the back porch with a newspaper and a moderately-priced pinot? Or does your family live far away from Edwardsville, IL and you want to take twice yearly trips to see them? The more you want to do, the more money you'll need.
- Do you have a spouse? Married couples have a higher maximum Social Security benefit than unmarried people. They'll also have more expenses, yet potentially have more income. Whether you'll spend the coming decades with a spouse will go a long way in
- Do you have dependents? How much longer? If put dependents on your taxes, taking care of them will be expensive, and you might provide for them in other ways, for example helping them with their first down payment on a house. This will affect how much you can responsibly put away for retirement each year.
Why Choose Correct Capital's Edwardsville, IL Financial Advisors as Your Retirement Calculators
Your Edwardsville, IL financial team at Correct Capital consists of CERTIFIED FINANCIAL PLANNER™ professionals, a five-time Top 1200 Advisor by Barrons, an Accredited Investment Fiduciary®, and a support team committed to optimizing your gains and retirement savings. We help Edwardsville, IL families and individuals prepare for the golden years of their dreams, in addition to business owners who wish to give their employees a great 401(k) plan.
Regardless of where you're starting and what your ideal retirement looks like, our holistic financial advice includes helping you develop a picture of different saving opportunities like Roth IRAs, the benefits or disadvantages of rolling over your 401(k) when changing jobs, and how to best manage your assets with the goal of growing your retirement savings.
Savology and Correct Capital's Retirement Calculator
When choosing a retirement consultant firm, you should also take into consideration what tools they can offer you to optimize your retirement calculation. Alongside Savology, we've developed an advanced online retirement calculator for Edwardsville, IL individuals and families to use free of charge. You can reach a more secure financial future in three easy steps:
- Take the survey — It takes just 5 minutes to open an account and answer a few quick question. Then, you'll receive a personalized plan aimed at improving your financial wellness and financial literacy.
- Plan Your Finances — You'll get a report card that grades your financial health in over 10 categories, for example retirement, debt, income, and estate planning. We'll also provide you with clear action items you can take to help you reach your financial goals.
- Work with Retirement Consultant from Correct Capital in Edwardsville, IL — We'll go over your plan and help you understand how they'll help you reach your goals.
Through Savology and Correct Capital's partnership, you'll receive clear instructions that help you understand what you can do now that will help you reach the retirement of your dreams.
Edwardsville, IL Retirement Calculator | Correct Capital Wealth Management
As Correct Capital is an entirely independent firm, our retirement consultants will only recommend products and strategies that we believe are in your best interest. We strive to build a relationship with you, and we will never take your trust for granted. As fiduciary advisors, we are legally and ethically compelled to only do what we think is best for you and your retirement dreams. For a skilled and experienced human retirement calculator in Edwardsville, IL, get in touch with Correct Capital today at 314-930-401K or contact us online.