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MINNEAPOLIS, Minn. (Fox 9) – It’s something that’s always in the back of the mind of every worker in the United States — when can I realistically retire? A new study sought to find that exact answer down to the dollar.
How much do I need to retire?
Big picture view:
A new study from SmartAsset calculated the retirement savings needed to cover the essential expenses as well as any typical extra expenses for an average retiree in 55 of the country’s largest counties.
The study also found how much a renter needs to save versus a homeowner and how much you need if you are earning Social Security versus not.
If you’re hoping to start saving for retirement soon, SmartAsset states that you should withdraw 4.7% of your salary for retirement for at least a 30-year period if you have plans to retire comfortably.
Local perspective:
For residents of Minneapolis, the study found that an average retiree who is a homeowner with Social Security needs roughly $118,939 if they hope to retire. For a renter with Social Security, the study found that they would need $264,471.
For someone not earning Social Security, you’re going to need a bit more in the bank. For a homeowner, you should have around $736,302. Renters should save $881,834.
Rest of the Midwest
The other side:
As for the rest of the Midwest, counties throughout the area rank similarly in terms of how much they need to save.
Here is how much Midwestern renters need to save if they hope to retire:
- Naperville, Illinois — $913,915 without Social Security; $303,091 with Social Security
- Joliet, Illinois — $909,574 without Social Security; $341,873 with Social Security
- Chicago, Illinois — $908,553 without Social Security; $381,657 with Social Security
- Milwaukee, Wisconsin — $772,406 without Social Security; $241,115 with Social Security
- Minneapolis, Minnesota — $881,834 without Social Security; $264,471 with Social Security
- Troy, Michigan — $772,406 without Social Security; $180,796 with Social Security
- Detroit, Michigan — $790,655 without Social Security; $252,760 with Social Security
- Indianapolis, Indiana — $770,268 without Social Security; $229,425 with Social Security
- Columbus, Ohio — $812,975 without Social Security; $288,611 with Social Security
- Cleveland, Ohio — $744,379 without Social Security; $224,241 with Social Security
- Cincinnati, Ohio — $748,379 without Social Security; $207,755 with Social Security
On the other side, here is how much Midwest homeowners need to save for retirement:
- Naperville, Illinois — $773,745 without Social Security; $162,921 with Social Security
- Joliet, Illinois — $743,106 without Social Security; $175,405 with Social Security
- Chicago, Illinois — $742,596 without Social Security; $215,699 with Social Security
- Milwaukee, Wisconsin — $686,438 without Social Security; $155,072 with Social Security
- Minneapolis, Minnesota — $736,302 without Social Security; $118,939 with Social Security
- Troy, Michigan — $712,017 without Social Security; $97,306 with Social Security
- Detroit, Michigan — $670,400 without Social Security; $132,504 with Social Security
- Indianapolis, Indiana — $628,056 without Social Security; $87,212 with Social Security
- Columbus, Ohio — $691,954 without Social Security; $167,590 with Social Security
- Cleveland, Ohio — $651,869 without Social Security; $131,560 with Social Security
- Cincinnati, Ohio — $668,975 without Social Security; $128,350 with Social Security
The Source: This story was written using information from a study done by SmartAsset and was reported out of Eden Prairie, Minnesota.