A new study by Northwestern Mutual found the amount of money Americans need to save to retire comfortably is up 15% since last year.
These findings say the new "magic number" is a result of inflation, longer life expectancy, and uncertainty around Social Security.
The average needed savings for Americans used to be $1.26 million last year. Now it is $1.46 million.
And the way things are going, that number will keep going up.
Especially if you live in California.
Unsurprisingly, our number is even higher.
According to a report by MoneyLion, California retirees will need $2.44 million to pay for 20 years of retirement.
And that's just for two decades of retired life.
But as people live longer, more worry about outliving their savings.
A quarter of Americans actually expect to live to be 100, well past the usual retirement age of 65.
Because of this, almost half of Americans expect to outlive their retirement savings. And one-third of those surveyed by Northwestern Mutual admit they have not adjusted their financial plans to prepare for this.
The lesson here: Plan ahead. And if you can, work with financial advisers to create a long-term plan.
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