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The Alemian File: How Much do I Need to Save for My Retirement?

By David Alemian

The question most asked about retirement is: How much do I need to save for retirement?

That one question, makes me, as an insurance agent ask other questions:

  • Is the person asking “How much in total lump sum do I need to have saved?”
  • Is the person asking “How much do I need to save every month?

Let’s first answer question.  Most financial planners will tell you it’s best to have a lump sum.  They will have you draw a certain percentage each year, in an income stream.  Every one of those plans that I have seen shows a 20-year income stream. The first problem with that strategy is the fact that we are living longer.  What happens when you outlive that 20-year income stream?  Moreover, why are all those types of plans accompanied with multiple disclaimers?  Hmmmmmm.

A better solution would be to think of having a permanent lifetime income stream that you cannot outlive.  Two vehicles that will accomplish this are permanent cash value life insurance and annuities.

Now let’s move on to question number two, how much you need to save every month.  The answer to this question is based on a number of factors.

  • How old are you today?
  • At what age do you wish to retire?
  • How much money will you need in a permanent income stream at retirement?

Answer these three questions and an experienced life insurance agent who, specializes in retirement can answer the question of how much you need to save.

The earlier you start, the less money you will need to put away on a monthly basis to meet your goals.  I will focus on this issue in next week’s edition of the Alemian file.

If you know someone who is interested in retirement, please forward this article to them, because there is a high likelihood that they will benefit from this information.  For those who are interested and would like to talk with an insurance agent about a plan like this, Lowest Quote Life is an agency that has agents who can answer your questions.


About David Alemian

Successfully creating affordable retirement plans guaranteed to last a lifetime is a unique, specialty skill. It’s a challenging arena but respected writer David Alemian makes it look easy. Alemian is a leading retirement expert and nationally recognized authority whose expertise is shared via video columns, numerous journals, and talk-shows.

His national recognition results from both revolutionizing and revitalizing how organizations and individuals like you and me plan and save for retirement. Alemian is considered “The Go-To Guy” for creating and implementing absolutely irresistible, lifetime retirement pension programs.

Formerly the host of “It’s About Money” Radio Show, Alemian has also produced and is featured in over 200 financial education videos. Additional content can be found in many well-respected, publications including: MD Magazine, Physician’s Money Digest, Physicians Practice, Journal of Clinical Oncology, Consultant Live, Psychiatric Times, Cancer Network, OB/GYN.net, and The Healthcare Executives Network.


This article reflects the thoughts and opinions of the author and is being provided for educational and informational purposes only. It should not be considered financial or tax advice. Please consult your financial or tax advisor about your situation.