Remember the fable about the grasshopper that spent the warm months singing while the ant worked to store food for winter? When the winter arrives, the grasshopper is left with nothing on which to survive, while the ant enjoys his hard-earned comforts.
This is a question I get asked a lot. In fact, it’s probably one of the most discussed financial topics out there. Some experts have created guidelines that give you an idea of what you’ll need to put aside for retirement based on your age, but there are so many other factors to consider.
How much you’ll need to save depends on what age you intend to retire at, if you have a pension, if you’ll retire with no debt, and what kind of lifestyle you expect to have in your retirement.
Do you have sacred cows when it comes to spending? Things that you absolutely refuse to put on a budget?
There are no sacred cows when it comes to our budget. Instead, I must justify what I spend on everything, all the time.
We have lofty financial goals that include being completely debt-free with a certain amount in savings by the age of 37. At which point my husband will retire, and we’ll support our family on my income alone. What it takes to reach this goal is sacrificing those things we once held as sacred cows.
