How much money do you need for your retirement?

You would want to have a comfortable retirement and the only way to achieve that is to save as much money as possible.

14:41 18 March 2013

Saving for retirement is definitely one of the hottest topics these days. With certain speculations concerning the government and the state pension, which may come into effect in the coming years, saving for retirement becomes extremely important now more than ever.

When saving for your retirement, the first thing that you need to do is to list down your objectives.

What do you want to do when you hit retirement? Do you want to finally go around and see the world? Or do you just want to spend more time with your family? The kind of lifestyle that you want will help you determine how much money you need.

Next step is to figure out how to raise the money you need for a comfortable retirement. The safest way to do this is by getting 50 to 70per cent of your annual income and multiplying it by 20. This is because most people live 20 years after they retire.

The third and most crucial step is to start saving. The key here is to start as early as possible and to set aside as much funds as you can. You can never have too much money when you retire.