Most people retire with not much savings and have to rely mainly on Social Security. Not good planning. So how do you become a millionaire? Start investing early. This table, courtesy of Kiplinger’s 2007 retirement planning guide, shows what you need to save monthly to accumulate $1 million by age 65. Start now!
IF YOU’RE 25
You’ve saved: $0
What you need to save per month: $286
IF YOU’RE 35
You’ve saved: $0
What you need to save per month: $671
You’ve saved: $50,000
What you need to save per month: $304
IF YOU’RE 45
You’ve saved: $0
What you need to save per month: $1,698
You’ve saved: $50,000
What you need to save per month: $1,298
You’ve saved: $100,000
What you need to save per month: $861
IF YOU’RE 55
You’ve saved: $0
What you need to save per month: $5,466
You’ve saved:$50,000
What you need to save per month: $4,859
You’ve saved: $100,000
What you need to save per month: $4,253
You’ve saved: $200,000
What you need to save per month: $3,040
The figures assume the money is invested in a tax-deferred retirement account, earning 8 percent annually with all earnings reinvested.