This couple started saving too late for retirement and now face some tough choices

Even with good cash flow, starting your retirement too late can have serious long-term implications. Take the time to review your current cash flow and future goals and speak to a professional to ensure you are on track to retire comfortably.

“Based on these assumptions, Evelyn and Rocky fall way short of their retirement goal,” the planner says. They would run out of savings by 2031, when Evelyn is only 67. To make the plan work, they would need to reduce their target spending by 35 per cent to $4,250 after tax a month.

“There is no magic bullet for retirement planning. You have to retire later, save more, spend less or improve returns.” In Rocky and Evelyn’s situation, it is a combination of these four factors.

Saving too late for retirement

Michael Thorpe