Calculate how much of your pre-retirement income you need to replace in retirement. Typical target: 70-80% for middle income, 60-70% for high income. Factors: work expenses eliminated, mortgage paid off, lower taxes.
Enter the values for the scenario you are assessing. Calculate how much of your pre-retirement income you need to replace in retirement. Typical target: 70-80% for middle income, 60-70% for high income. Factors: work expenses eliminated, mortgage paid off, lower taxes. Use the retirement replacement ratio result to inform your calculation.