Approximately 85% of your current income. The two things most people do not plan for are unexpected medical expenses and living well beyond expectations.

Good question Keithold: Never the right answer ! Never enough !

Depends on lifestyle and other factors like if you plan to travel in retirement, etc. If it costs $50K per year for this, say to maintain the house, paying the taxes, insurance, electric, cable, a cruise a year, a new car every ten years, etc. and you plan to retire at 65 and live for 30 years, then it's about $800K needed over the 30 year period, assuming no inflation. You must, however, account for inflation (loss of purchasing power over time) and compounding of any principle and taxes on both. Figure 3% annual inflation and the money is in a fund that returns 7% per year. This would then require about $1M starting value to retire on. I calculate about $190K in savings for every $10K you want to spend each year for the 30 year period of retirement. This means, at retirement, you have NO INCOME except from the money you have saved. The $190K per $10K to spend will keep you in front of inflation, pay the taxes on the income, and leave enough after taking out $10K to last you the thirty years. Remember, in 30 years, the $50K it cost you to live this year will cost you about $120K (inflation at 3% a year). Look at an ad from 1979 for the average car, the price was around $3K ... a similar car today would cost $20K+ (food, gas, utilities, insurance rates and the like move up in kind) ... so THAT INFLATION aspect of goods and services is what you must plan for! Personally, I think it will be incredibly more difficult given the current political structure and the obvious trend to big government. This creates a VERY difficult problem planning for potential tax and cost of living increases as predicting government impact on retirement becomes difficult! For example, if we become a debtor nation of 50% or more of our GDP, we will have no choice but to move to a higher tax rate and/or the government may add additional taxes to assets thereby destroying your retirement model. I would anticipate an asset tax in the coming decade that puts an additional federal tax on the value of the assets you own paid to the government of approx 1-4%. So if you live in a $1M home (or it is appraised at $1M and may have cost you $200K at the time of purchase), a car valued at $40K and a second home valued at $300K, then you'll have a NEW tax due, you did not anticipate, of about $40K and if that is to be factored in, you must anticipate the growth required to keep up with that! Additionally, planning for insurance needs (both medical and asset protection insurance) is tricky as there is no known effect of the public health plan over a thirty year period. Life sure was easier back in the day :-)

As much as you can squirrel away.

You can never have enough...

Never enough.

You could have a million dollars saved up and it would not be enough. Eventually, most people that are extremely old end up relying on their children and grandchildren. I don't think I will ever be able to afford to retire.

couple of billions would be adequate.