How much do you need to be free?
In retirement, the foundation of your financial life is your answer to the following:
Do you know how much money you need to retire comfortably — and remain comfortably retired?
We've asked this question for a quarter-century. When answered honestly, the only answer we've heard is no. We are changing that — one family at a time — and calculating your freedom number is the first step.
Years until retirement
Don't worry about months or partial years, just enter a whole number. If there is more than one person in the household, use the average number of years until retirement.
Retirees collecting full CPP
How many household members will receive full or nearly full CPP? For partial CPP benefits, please select a half increment.
Suppose next month is the first full month of retirement. How much money does your household need to support your desired lifestyle?
Monthly employer pension (before tax)
This is the total of your household's defined benefit employer pensions. Do not include estimates from employer-sponsored defined contribution plans or group RRSPs.
Annual big-ticket expenses
Perhaps this is the travel budget, the annual expenditure on hobbies and club dues, or other big annual expenses. Add up all the annual big-ticket items and enter that here.
Your Freedom Number is an average estimate, based on average assumptions. If you and your family aren't average and don't want an average retirement, you need a personal financial plan. You need a plan built around the goals, hopes and dreams you and your family share, a plan that's responsive to your circumstances and respectful of your needs. A plan that knows, when it comes to your family, average does not apply.