Retirement: Do you have enough saved for retirement? | Amyr Rocha Lima | TEDxKingstonUponThames
The first retirement video I watched was another TED Talk. This video accurately captures what my situation was when I started to really think about retirement. Another one of those, "I didn't know what I didn't know" situations. I knew what I was spending and saving each month. I had no idea what my spending in retirement would be. My "inside voice" answer was always, "I don't see my spending changing much after I retire." I think we should look harder that that part of our retirement equation.
Some future spending is not difficult to predict:
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When will your house be paid off? You still have to worry about taxes and insurance, and they'll continue to increase over time.
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Future home maintenance costs like a new roof, a new HVAC system, appliances, etc.
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Automobiles. How many more cars are you buying when you're 65 years old?
For me there was future spending that was harder to predict:
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Home remodeling. When you really haven't done much in over 20 years, there's a lot that could be done.
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Travel. You should probably do it sooner while your body is able, but where do you want to go? Does your spouse have the same plan?
This video gives you an estimated starting point. When retirement is far off, that's good enough. When retirement is around the corner, sharpen your pencil, start making plans, and put some cost numbers with them.