You May Not Need as Much Retirement Income as the Experts Claim
Contrary to the advice of those financial advisers who recommended you need 70-80 per cent of your pre-retirement income to retire comfortably, most retired people get by on a lot less.
Surprisingly, research by Statistics Canada found that people whose pre-retirement income was $70,000 or greater tended to retire on about 45 per cent of that – or around $31,500. Those who earned around the average national wage – between $40,000 and $50,000 – retired on 59 per cent of their pre-retirement income.
Most interestingly, only one in six people with a pre-retirement income of $40,000 or more had a replacement ratio of 75 per cent or more.
Working in Retirement Jobs in Your Retirement Years
According to Statistics about Retirement generated by Statistics Canada, more than 300,000 Canadians 65 or older worked in 2001:
- 57% were 65-69
- 26% were 70-74
- 17% were 75 or older
Importance of Money Quotes at the The Retirement Quotes Cafe