My expenses and retirement will be less so i won't need as much income. I highly doubt it. In reality, your expenses in retirement will probably be the same as they are now as our spending habits don't magically change after we stop working. In fact 64 percent of state employees said their expenses stayed the same and 20 percent said their expenses were higher after they retired. Think about it maybe you'll save on gas since you're not driving to and from work, maybe your home will be paid off but you'll still have basic utilities, food, transportation, hobbies, taxes, emergencies, family, travel and entertainment, and your biggest expense, health care premiums. Just so you know, the average retiree couple will need at least three hundred thousand dollars saved just to cover healthcare costs in retirement and even more if the couple retires prior to age 65. Living expenses are going to continue to get higher and higher which is why it's so important that you are saving now so when retirement comes around you will have an additional source of money to pay for things.
