Will a Lack of Savings Cause a Retirement Crisis After You Retire?

eamesBot/Shutterstock

Sooner or later, everyone is going to start retirement. Even those planning on working longer may have to retire sooner than expected. Whenever that time comes, studies indicate that most people are not financially prepared for it and may be heading for a financial crisis.

Although different numbers are circulated online as to how much you might need to retire, it depends on what you regularly spend each month and what your debt is in retirement. Another factor is how much regular income you will get after you retire and what your taxes will be.

Social Security May Be Reduced in 10 Years

In retirement, many people count on Social Security being there to make up most of their needs. Although the benefits are what most workers can count on, it will not be enough. Since its inception, it was only intended to supplement other income sources once you retire.