Is $500,000 Enough to Retire With?

A lot of us are winging it when it comes to estimating our retirement expenses. If you ask most people how much they think they'll need to retire comfortably, they'll probably just throw out a number. The Transamerica Center for Retirement Studies did that recently and found that the median estimate was $500,000. When asked how they arrived at that conclusion, 39% of men and 54% of women admitted to guessing.

It seems like a reasonable estimate at first glance; half a million dollars is a substantial sum. It's definitely more than most of us spend in a year and more than some of us spend in a decade. But when you actually do the math, you might be surprised at how quickly you could burn through it.

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Source Fool.com