In the last article Sue had a capital shortfall of $400,000 in order to support her desired retirement lifestyle. This amount will vary for each individual and will be larger or smaller depending upon your income, age and ability to save money as a percentage of your earned income.
There are things you need to live a healthy life, like a place to live and food to eat. There are also things that you'd like, such as a warm vacation or new ski boots. It's possible to have it all, but not all at once. If you can't afford to pay your bills for necessities like rent/mortgage, groceries, and utilities, you're not ready to soak up the sun on a sandy beach.
Canadians are living longer, healthier lives. According to Statistics Canada (2018), the average life expectancy is 80 years for men and 84 years for women. This means your retirement years may almost equal your working ones. Family therapist Rhonda Katz suggests taking some time before retirement to identify what you find enjoyable in life and thinking of ways to sustain that happiness level. She also says to honestly answer the following questions:
'Is there some aspect of my job that I would love to keep doing?'
