Retirement Planners: Here’s How Much I Tell My Millennial Clients To Save For Retirement

Core Insights - Millennials face significant financial challenges, including high student loan debt and housing costs, leading to uncertainty about retirement savings [1] - Financial planners emphasize the need for simple yet adaptable savings frameworks for millennials [2] Savings Strategies - Experts recommend millennials save 15% to 20% of their gross income for retirement, as this approach is deemed simple and resilient [3] - An alternative strategy focuses on achieving financial milestones rather than strict percentage savings, prioritizing debt repayment and emergency funds first [4] Retirement Benchmarks - Financial benchmarks suggest millennials aim for one times their annual salary by age 30, two times by age 35, and three times by age 40 to measure progress [5] - Emphasis is placed on maximizing 401(k) contributions in their 40s after addressing debt in their 30s [6] Individualized Retirement Planning - Different planners advocate for personalized retirement savings goals, with one approach calculating backward from desired lifestyle and another using simulations to account for various financial factors [7]