What to Consider When Saving for Retirement

Welcome to the Broken Pie Chart Podcast. This is episode 1, and I'm your host, Derek Moore. Today we'll be discussing key factors in saving for retirement and a bit about retirement calculators. The genesis of this discussion came about when I was recently asked, "Do I have enough saved based upon my age? When do you think I can retire?" Where you are as an investor is a function of several inputs. So I thought it would be helpful today if I went through some of the inputs that go into these calculations, such as: the percentage you're investing annually, other means of income in saving, building equity, inflation, risk management, and more. I also talk about the different ways these calculators are programmed and what you have to be careful of, and consider, when inputting your information into these calculators. Key Takeaways: [:12] Today's topic of discussion: retirement calculators and what to consider when saving for retirement. [2:30] How these retirement calculators work and all the components you need to consider in your calculations. [9:09] The most important factor in saving for retirement. [10:42] The difference between the percentage of your contribution amount. [13:29] Accommodating for inflation and why it matters. [16:42] Why you shouldn't depend fully on social security. [19:16] Another extremely important factor: your return on investment. [22:12] What would happen if we had a year like the 2008 market crash again? [24:11] Other means of income in saving for your retirement. [26:13] About the Monte Carlo simulation. [27:12] Things to be careful of when calculating. [29:27] If you have any questions, reach out to me at RazorWealth.com. Mentioned in this Episode: Cost-of-Living-Adjustment (COLA) Social Security Monte Carlo Simulation RazorWealth.com