Retirement? You must be kidding, right?
I was SHOCKED to read this question posted by someone on another site:
my wife and i have been investing $100 each month in the ….. Balanced Fund. Do you think itis enough? say to retire in another 15 years time?
Even if this person meant $100 each, he would only be saving/investing $2,400 per year. That would be $36,000 for the 15-year term. At 9% pa (pure returns w/o any cost of investment – which is not possible), the retirement nest would grow to $76,000.
This amount would NOT even be enough for 1 person to retire, needless to say 2. You know what, we have yet to include inflation. How much do you think $76,000 is worth in 15 years time. Can you buy more things or less compared to today?
My advice: Save more or retire later, say 40 years instead of 15. You would have a more comfortable nest of $883,000.