Retirement savings advice

Here’s an interesting article from the Washington Post about how important it is to save enough for retirement. One big issue is learning how to invest:

If you have $50,000 in savings, and you earn 5 percent a year on that money, you’ll run out of money in 14 years if you withdraw $400 a month. If you can earn 10 percent a year on that money, you can withdraw $400 a month forever.

Another suggestion is to have a source of income ready for retirement, like a business. If you own a home you can factor in using your home equity in retirement. You can either sell your house (and get a cheaper place) or get a reverse mortgage.

Anyway, it’s an interesting article and worth the read.

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