Make a personal budget. You will be able to determine your capacity to save.
In order to accumulate the amounts that will allow you to ensure the income you will need once you retire, you will have to set
savings goals. If you have a good savings capacity, it is recommended that you save around 10% of your annual net income.
To properly evaluate your situation, use
SimulR. This simulator tool will help you:
Emma wants to know how much she must save for her retirement. By using SimulR, Emma knows the approximate amounts of benefits she will receive, which will come from public retirement plans, as well as from the pension plan offered by her employer. She notes that she has very little personal savings accumulated.
|Annual income required for her retirement:||
SimulR recommends that she saves:||
* This example was calculated by considering that these amounts will generate a 5% return until Emma retires at age 65.
Please note that it is generally better to reduce or eliminate your debts before you start saving, especially when interest rates are high. Make sure you have an emergency fund for unforeseen events, and then think about saving for your projects and your retirement. Regularly review your budget and adjust your savings amount according to your current financial situation.