Part-Time Pay of $20,000 Cuts Couples' Retirement Target by $200,000
Updated
Updated · Yahoo Finance · Aug 20
Part-Time Pay of $20,000 Cuts Couples' Retirement Target by $200,000
3 articles · Updated · Yahoo Finance · Aug 20
Summary
$20,000 in annual part-time income for 10 years lowers the average savings a couple needs for a comfortable retirement to about $958,600, the analysis found.
Using the 4% withdrawal rule, each $10,000 of yearly part-time earnings effectively replaces about $100,000 in nest-egg savings over a decade.
$24,480 in annual earnings would push the national target down to roughly $914,000; that is also the 2026 earnings limit before Social Security withholds some benefits for people below full retirement age.
Nearly 1 in 5 Americans age 65 and older still work, often part-time, suggesting delayed full retirement is becoming a more common way to ease savings pressure.