How I Save 25% of My Income For Retirement. Merrill Lynch's 2017 Finances in Retirement Survey found that 30 years of post-employment living requires $738,400. To hone in more closely on this figure, a good rule of thumb is to multiply your annual expenses by 25. We paid well below the 28/36 rule, which measures how much mortgage you can afford based on gross monthly income, house-related expenses, and existing debts. In addition to housing, other debts considered on the back-end include auto loans, credit cards, student debt, and other personal loans with remaining payment periods of 10 months or more. Not only do we benefit from his employer's 50% matching on all contributions, we also lower our taxable income, which can save us (and you) tangible cash each year. Taxable Income 401(k) Contributions Top Federal Income Tax Bracket Taxes Paid $92,000 $0 28% $18,741.75 $74,000 $18,000 25% $14,238.75 $68,000 $24,000 25% $12,738.75 The difference is too big to ignore. Buy investment property It's tough to choose between retirement savings and other responsibilities like paying for a child's education. That lucky future trillionaire is just the beginning -- and the trend itself could be worth as much as $19.9 trillion. This Stock Could Be Like Buying Amazon in 1997 Imagine if you had bought Amazon in 1997… a $5,000 investment then would be worth almost $1 million today.
Welcome to Wise Bread’s Best Money Tips Roundup! Today we found articles on daily habits to help you become an optimist, over 90 cheap date ideas, and how to deal with family members who are terrible with money.
Top 5 Articles
How to Become an Optimist: 3 Daily Habits To Help You Get Started — Start your day on an optimistic note. Read or watch something positive or funny for 10-20 minutes in the morning, have an uplifting conversation over breakfast, or listen to a motivating audiobook or podcast during your commute. [The Positivity Blog]
Love Don’t Cost a Thing: 98 Cheap Date Ideas — Check out a flea market or thrift store and look for things that you can restore together. [PopSugar Smart Living]
How to Deal With Family Members Who Are Terrible With Money — Offer help where you can, but make sure it’s within your means. Don’t take food from your table to pay someone else’s bills. [Current on Currency]