If you’re like most Americans, you probably think you can get by on your current savings when you retire. But according to a new study from NerdWallet, you’re going to need an extra $1,000 a month to survive in retirement.
The study looked at data from the Bureau of Labor Statistics and found that the average retired person spends about $3,000 a month on expenses. But when you factor in things like healthcare and inflation, that number jumps to $4,000 a month. And if you want to maintain your current lifestyle in retirement, you’ll need even more.
So how can you make sure you have enough saved up? For starters, you’ll need to start saving early and often. If you’re already in your 50s, or even early 60s, it’s not too late to start, but you’ll need to be especially diligent about it. You should consider working a few extra years to boost your savings if your account or lifestyle needs demand it. Finally, you may need to rethink your retirement plans. Instead of retiring as soon as you’re eligible, you may need to work a little longer or downsize your lifestyle expectations.
Conversely, if you want to make an extra $1,000 a month, one option is to take on a part-time job in addition to your regular full-time job. This can be a great way to boost your income and reach your financial goals. There are a number of ways to find part-time jobs, such as through online job boards, classified ads, or by asking friends and family. Once you find a few potential positions, be sure to put your best foot forward during the interview process.
No matter what, it’s important to be prepared for retirement. Otherwise, you could find yourself struggling to make ends meet.