How to Predict Your Retirement Income Requirements

A lot of Australian retirees do not have a clear plan for their retirement. They don't know if they are going to fly economy or first class and stay in five star resorts when they go on holidays. You need to think about this and plan for this otherwise you will waltz into retirement without any clear plan how much income you really need. Amy is 35 years old and she has an income of about $150,000 per annum at the moment. She's trying to work out how much she needs in gross income in retirement when she stops working. So in simple rule of thumb for her is around $105,000 in retirement income per year.