Quote:
Originally Posted by yads
Again, Slava, the reality is that even the top third of retired people do not spend as much money as you're making it seem:
http://www.theglobeandmail.com/globe...rticle1726568/
And that's early in retirement for most people.
People are quick to jump on Relator 1 when he makes ridiculous assertions about mortgages or the housing market, but no one seems to question when financial planners tell us we need more than our current income in order to retire and live well. And I know you're not doing it maliciously, but there is an inherent conflict of interest as a financial planner to tell people they need a certain amount to retire comfortably. Since your compensation is typically tied to how big your book is. (If you're a fee only financial planner I apologize in advance). |
Most people don't spend as much in retirement as when they're working because they don't have as much money. If people had an annuity that paid out 130% of their working income, it would get spent on lifestyle upgrades. Ultimately, it's a decision based on how much consumption you want to do when your working and how much consumption you want to do when you're retired.