Do You Have Enough to Retire?

When it comes to retirement, one question looms large: Do you have enough?

Every financial goal has one essential ingredient—having enough money to fund it. For retirement, that “enough” is what we call your number.

Why Your Number Matters

Even among affluent investors, it’s surprisingly common not to know this number. You might be doing well compared to others, earning respect from friends and colleagues. But that sense of financial success doesn’t always translate into retirement readiness.

That’s because the strategy for building wealth during your working years is very different from the strategy for preserving it when you’re no longer earning a paycheck. And that shift can catch even experienced investors off guard.

In fact, nearly half of Americans approaching retirement say they’re not sure their income will last their lifetime.

The good news? You don’t need to guess. With a few simple steps, you can begin estimating your retirement number—and get clarity about what your future really requires.

Step 1: Know Your Burn Rate

Your burn rate is the amount of money you spend each month to maintain your lifestyle. Many high earners live comfortably but don’t track their spending closely—what we call living in a “post-budget world.” That’s fine… until it’s time to plan for retirement.

Here’s a quick 3-minute exercise to estimate your monthly living costs:

1. Gather 3 months of bank statements.

2. Total up all the withdrawals.

3. Divide by 3 to get your average monthly spending.

4. Multiply by 12 for your annual burn rate.

Adjust for any non-recurring or one-time expenses that won’t carry into retirement—and be sure to include irregular costs like insurance or property taxes that might not show up monthly.

Then, subtract any predictable monthly income (like Social Security or a pension) to calculate how much your investments will need to cover.

Need help with this? Download our free worksheet to walk through the entire process step-by-step.

Step 2: Calculate Your Retirement “Number”

Once you know your annual income gap—the amount not covered by Social Security or other fixed income—you can estimate your retirement savings goal using the 4% rule.

Here’s how it works:If your investments need to generate $250,000 a year, you’ll need roughly $6.25 million in retirement savings ($250,000 ÷ 0.04).

Prefer to be more conservative? Use a 3% withdrawal rate, which would require even more saved—but could offer extra peace of mind.

A quick shortcut:Annual shortfall × 25 = your retirement number.

The Bottom Line

Your retirement doesn’t need to be a mystery. Taking the time to clarify your number can relieve anxiety, spark better decision-making, and give you confidence about the years ahead.

It’s not about chasing a giant sum—it’s about designing a future that reflects your goals, lifestyle, and legacy.

Start today by figuring out your number. And don’t forget—our free worksheet is here to help.