Once you stop working, you won't be paying payroll taxes or socking away income for retirement savings. Other expenses, everything from commuting to dry cleaning costs, may go down or disappear. You may even save money on food, because you'll have more time to compare prices in the grocery aisles and to prepare meals at home.
Retirement planners generally recommend saving enough to cover 70% to 85% of your preretirement income, but you'll have to estimate your own retirement income and expenses to come up with a formula that's right for you.
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