Debunking the Million Dollar Retirement Myth

Рет қаралды 10,221

Күн бұрын

Today, I want to tackle this topic that's been buzzing around in the financial world like a persistent mosquito - the dreaded Million Dollar Retirement Myth.
A client of mine recently told me that she had been putting her head in the sand about retirement planning because she’s been reading everywhere that she needs at least a million dollars to retire.
She confided, “What’s the point of even trying? I’ll NEVER be able to get that much”
And that’s why this myth irks me so much - it scares people!
And people who are scared tend to avoid retirement planning altogether.
Please - if this describes you, watch this video. The vast majority of North Americans don’t have a million dollar nest egg set aside for retirement. And the sooner you start getting serious about socking away money for retirement, the better off you’ll be.
Don’t let the Million Dollar Retirement Myth stop you!
(And that client of mine? She’s happy with her retirement plan that we built for her, which doesn’t require a million dollars.)
Chapters
0:00 Intro
0:15 Why this myth is so harmful
1:47 Typical retirement savings
3:07 Two women, different retirement needs
4:20 How do you know how much you need?
5:01 Make a money plan
6:07 Final thoughts
FREE COURSE
Watch my free COURSE on Overcoming the 5 Roadblocks to Early Retirement that will help you get to retirement sooner.
Grab it here: www.karencarle.com
LIKE AND SUBSCRIBE
If you liked this video, please give it a thumbs up, subscribe and share it with your friends.
CONNECT WITH ME
Facebook group: urlgeni.us/facebook/pivottoea...
Website: www.karencarle.com
Instagram: urlgeni.us/instagram/KarenCC
The legal stuff:
I am not a financial advisor. This video is for information and entertainment purposes only. I like to think of my videos as a great way to prepare you for a good conversation with your financial advisor. Please consult with a certified financial planner before making financial and investment decisions. They can give you specific advice for your unique situation.

Пікірлер: 45

@joyblevins8712 Ай бұрын

I retired at 60 on March. My brother and husband passed away at 59. Time is something I could never take back

@PivottoEarlyRetirement Ай бұрын

I’m so sorry for your losses. I feel the same way about time. I’ve lost loved ones who went too young. It certainly wakes you up to how precious time is.

@tom_olofsson Ай бұрын

I watched an “expert” recently say $5 million was necessary to retire. Thank you for being more realistic.

@PivottoEarlyRetirement Ай бұрын

Thanks for watching and I'm glad you found it helpful. The fact is that no number you see on the internet is realistic or helpful. Knowing your numbers is where you can really gain confidence in what you need to retire.

@Madskillsuniversity 2 күн бұрын

Great video. I hope your channel grows. I retired when Covid hit at 59 and have no way near $1 million dollars, but there is nothing I need or want at this point, either. My wife and I planned for this when we were 30. The key things is to have no debt, own your home, cars, etc. Once you are there, you are pretty much good to go. The biggest issue in retirement IMHO is boredom. LOL On a side note, a good friend of mine worked until he was 65 to get more money, but dired around 30 days after retirement. SMH

@tonylevine2716 Ай бұрын

New subscriber. Whoever started the “you need $1M to retire” idea needs to be tarred and feathered! 😂 It’s all about your expenses in retirement. Good video!

@PivottoEarlyRetirement Ай бұрын

Thanks, I’m glad you found it helpful. The fact is that many people will need a heck of a lot more than a million and many will need less. You have to crunch your own numbers and know what brings you joy.

@michellemahoney6211 2 ай бұрын

These are all good points. I am not a fan of the million-dollar retirement plan, it gives me anxiety. It is comforting knowing that by working with you I can plan for retirement sooner than I thought.

@billsview Ай бұрын

Thank you. Now I'm realizing I need more like 2 million to retire. I'm glad you mentioned these calculations. Thank you

@PivottoEarlyRetirement Ай бұрын

My pleasure. Better to crunch the numbers now so you can make informed choices, whatever your goals and dreams.

@tonylevine2716 Ай бұрын

You need $2M to retire? Why?

@JoBeginsAgain 2 ай бұрын

Great content and I appreciate that you provide Canadian stats.

@djsone3499 Ай бұрын

I took my current salary (minus the amount I'm saving/investing) and extrapolated that with a 3% increase annually until retirement, in my case 20-23 years from now, to figure out my likely expenses just before retirement. Using the 4% rule as a rough guideline, I then figured out what my total balance would need to be to replace that salary. That is what allowed me to set my contribution percentage with a little less guesswork.

@PivottoEarlyRetirement 25 күн бұрын

That's a great way to get a ballpark figure.

@wildfoodietours 2 ай бұрын

Thank you so much for this video bringing some truth to retirement savings! There's such a large disconnect especially considering the average American has well UNDER $200k saved for retirement yet they believe they need well over $1 million.

@PivottoEarlyRetirement 2 ай бұрын

I’m so glad you found it helpful. Retirement may look different than we thought, but it can still be a wonderful life on far less than a million!

@derrick8224 Ай бұрын

Good. Thanks for sharing

@PivottoEarlyRetirement Ай бұрын

I'm glad you found it helpful.

@Bob-yh7ir Ай бұрын

So true. You must know your expenses now and adjust them for retirement based on what costs go away and what new costs you may have ( insurance, travel, clothing, food, etc.) My parents retired with less than 100K to their name. They receive their SS and have a little invested. fast forward 27 years later and their net worth is now 3 times what it was when they retired. They did some travel in the early years but then do not do any now. So their money is just growing. Compare that to our family living in a more expensive area and taking several trips a year and our numbers/needs are much more than my parents. But when we get into the numbers, we have lots of margin. because most of our retirement spend will be entertainment/travel until we slow down at some point. So in any given bad few years of returns, we can just take fewer trips or less expensive ones and have a nice chunk we could cut out of our spending. But you gotta know that by tracking and doing a budget.

@loueckert4970 Ай бұрын

Be prepared, get to hell OUT OF DEBT.

@PivottoEarlyRetirement Ай бұрын

Are referencing Erin Skye Kelly’s book Get the Hell Out of Debt? I LOVE her stuff.

@jimpchip 2 ай бұрын

All good points!

@PivottoEarlyRetirement 2 ай бұрын

I'm glad you found it helpful!

@jonscrivner9087 Ай бұрын

The way to have a secure retirement is to have a dependable source of income. Stating the obvious. Your retirement nest egg is for all the extras.

@PivottoEarlyRetirement 25 күн бұрын

Having dependable sources of income is essential - and multiple income streams provide security.

@timelston4260 Ай бұрын

The experts I watch don't say you need $1M. They say you can retire on less. I've seen them model as little as $300K, and even Social Security alone. But they often model $1M-plus portfolios because they cater to high net worth clientele.

@tonylevine2716 Ай бұрын

No one should rely on SS as their main income!!

@PivottoEarlyRetirement Ай бұрын

Many media articles talk about a million but I agree that most experts are more nuanced when they talk about how much you need.

@jonnelson9760 Ай бұрын

The high net worth clients are the only ones they can make money off of.

@KatieLibby1315 Ай бұрын

It all starts with creating an annual budget. It takes the guesswork out of planning. If you won't do that, you are not serious about retirement planning

@PivottoEarlyRetirement Ай бұрын

YES!!!!!! It's amazing how many people are scared they won't have enough to retire, but without a current budget, they are missing they key to helping them figure it all out. I think some people just find it overwhelming and don't know where to start. Even tracking your current spending is a great step in the right direction.

@Pihlalorjoone Ай бұрын

"you have to estimate the inflation"... How? Economists can't do that, let alone somebody who has never budgeted. I call bs!

@dllemm 28 күн бұрын

I agree that $1M is a myth, it's more like $2M.

@PivottoEarlyRetirement 26 күн бұрын

And that's why it's so important to know your numbers. There is no "one size fits all" for retirement nest eggs.

@ryanchinh1040 2 ай бұрын

I retired at 35 years old last year 2023.

@PivottoEarlyRetirement 2 ай бұрын

Congrats! That’s a huge achievement.

@tonylevine2716 Ай бұрын

Wow. FIRE?

@sweetmallow Ай бұрын

all of this is true, but if you want to live in Toronto and be retired with less than a million, you aren't going to be traveling, taking cruises or having much money to spend.

@PivottoEarlyRetirement Ай бұрын

That’s very true. I really want to encourage people not to go with any set number they read about. It’s crucial to understand your own values and retirement goals and look at how to get there. NEVER just read about a general number meet and assume it’s right for you.