Final answer:
When saving for retirement, it's important to consider the amount of money needed, the rate at which you save, and the investment options chosen. By saving around 15% of your income and investing wisely, you can live comfortably in retirement.
Step-by-step explanation:
When saving for retirement, several considerations are involved in living comfortably. One important factor is the amount of money you will need. Financial advisers generally recommend saving approximately 70% of your pre-retirement income to maintain a comfortable lifestyle in retirement.
Another consideration is the rate at which you save. Economists suggest saving around 15% of your income to provide for 60-80% of your pre-retirement income during retirement.
Additionally, the various investment options you choose will affect the income you have in old age. Investing in stocks, bonds, annuities, or savings accounts all come with differing levels of risk and potential returns.