Plan Today, Retire With Confidence
Smart planning helps every generation build a secure future
Retirement readiness isn’t about a magic number — it’s about knowing needs, preparing for surprises and creating a plan that flexes as life changes.
From Gen Z to Boomers, every stage of life calls for different strategies, but the goal is the same: a retirement that balances peace of mind with financial freedom.
Audrey Emerson, financial planner and owner of Cents of Joy, joined money experts at Experian, a consumer credit reporting company, to take a realistic look at retirement readiness.
Be Retirement-Ready Now Rather Than Wait
Being able to cover living costs for the rest of your life without relying on work sums up retirement readiness. If income sources — savings, Social Security, pensions, investments — cover projected expenses plus inflation and a cushion for surprises, you’re ready.
“Retirement readiness is less about a number and more about a feeling: the confidence that your money can support the life you truly want to live,” Emerson said. “You’re ready when your financial plan aligns with your life’s purpose, which can be hard to pin down.”
According to Experian, future-ready budgeting means planning with today’s tools for tomorrow’s goals. It’s about using tech to stay organized, prioritizing saving for goals and emergencies, and making choices that support long-term stability.
Many Different Factors
If only there was a magic number for retirement savings, but there are many factors to consider when setting a retirement goal.
“The only ‘magic number’ is the one that funds your unique life,” Emerson said. “Key factors aren’t just market returns, but your values: What does a joyful life look like for you? How do you want to spend your time? Where do you want to live? Start there, then do the math.”
A common rule of thumb is to aim for 10 to 12 times annual income. Experian’s app is one option for planning. With features like credit monitoring, Boost® and Go™, and access to a personalized credit marketplace, it helps make smarter financial decisions easier and more accessible.
Businesses Neglect Crucial Retirement Plans
Estimate retirement savings needs realistically by starting with the current monthly budget, subtract work-only costs such as commuting and office wardrobe, add retirement-specific ones including travel and health care. Factor about 2 to 3 percent inflation yearly and possible long-term care.
Online calculators can model spending decades ahead.
“Start with your current spending, but don’t just copy and paste,” Emerson said. “Dream a little. What expenses go away like a mortgage? What expenses will bring you joy such as travel or yoga? Your retirement spending should reflect the life you’re excited to live.”
Contact a retirement plan provider for personalized guidance, or connect with a financial planner who can be a great resource to help plan for the bigger picture and build a strategy that fits your life.
Bankrate’s retirement calculator is a simple tool to help get an idea of how much to save for retirement.
Myths Versus Reality
Common myths or misconceptions surround how much money anyone needs to retire.
Myth: Social Security alone is enough: It replaces only about 40 percent of average pre-retirement income.
Myth: You’ll spend far less in retirement: Many spend more in early years on travel or hobbies.
Myth: You can always “just work longer”: Health or job loss can derail that.
“The biggest myth is that you need a specific, astronomical number to be happy,” Emerson said. “The truth is, a well-lived retirement is about intentionality, not extravagance.”
An article from Kiplinger shoots down the myth that people need $1 million to retire. The truth is that it depends on lifestyle and location.
Good Retirements Owe Their Success to Early Planning
Beyond debunking myths, it helps to look at what retirement planning means at different life stages.
Gen Z, Millennials and Gen Xers should each approach retirement planning differently based on their stage of life, which Emerson spells out:
Gen Z: Your superpower is time. Start small, be consistent, and let compounding do the heavy lifting.
Millennials: You’re likely juggling many goals. It’s about finding a balance. Don’t let perfect be the enemy of good.
Gen X: You’re in your peak earning years. It’s time to get focused and create a clear vision for what’s next.
While each generation has unique challenges, Experian emphasizes that consistency is key.
Overcome Retirement Obstacles
People face big obstacles when trying to save for retirement. These include high debt, living costs, lack of financial literacy and procrastination. To address that, automate contributions, create a realistic budget, pay off high-interest debt first and seek advice early.
Even small, consistent savings beat waiting for “extra” money.
“The biggest obstacle isn’t the math; it’s the emotion — feeling overwhelmed, ashamed you didn’t start sooner or just plain confused,” Emerson said. “I suggest a single, small, achievable first step. Open the account, automate money in, and the momentum will build.”
Save for Retirement as You Pay Down Debt
Balance saving for retirement with paying off debt or supporting the family today.
Prioritize high-interest debt repayment while still contributing at least enough to get the employer’s match — free money. Use a balanced budget: some to debt, some to savings, some to current needs. Reassess regularly as debts shrink or income changes.
“I like finding a ‘both-and’ approach,” Emerson said. “Your financial plan should be a reflection of your values. If supporting family is a core value, we build a plan that honors that while still making intentional progress toward your future.”
If struggling to create a budget to help meet financial goals, an article from Ask Experian can be a good starting point.
Select the Right Tool
Tools, calculators or strategies can help people figure out if they’re on track for retirement.
Try the Social Security Retirement Estimator, Fidelity’s Retirement Score or AARP’s calculator. Review annually, rebalance investments and track progress toward your “number.” Don’t forget to adjust for inflation and possible health care costs.
“Online calculators are like WebMD for your finances,” Emerson said. “They may help, but they might also convince you you’re financially doomed. Proceed with caution and maybe reach out to a fee-only Certified Financial Planner as a starting point.”
Experian’s free credit monitoring tool can also support overall financial health.
Teach Your Children Well So They Have a Great Retirement
Prepare for unexpected costs or life changes that could impact retirement plans.
Diversify income sources, and avoid over-concentration in one asset. Stay flexible — sometimes scaling back expenses or part-time work protects plans during rough patches.
“Your plan will absolutely change — 100 percent guarantee,” Emerson said. “A good plan isn’t a rigid script; it’s more like an improv scene. Build a healthy emergency fund so you have the freedom to say ‘yes, and…’ when life throws you a curveball.”
An article from Ask Experian touches on all these points.
Those just starting — or restarting — their retirement savings journey should start now, start small, but start. Even $25 a week in a retirement account can grow significantly over decades. Automate contributions so saving happens without thinking, and increase the amount when possible.
“Be kind to yourself,” Emerson said. “There is no ‘behind.’ Your journey starts today, and every single dollar you save is a gift to your future self. Start small, be consistent and celebrate your progress.”
Retirement readiness isn’t about hitting a single number — it’s about building a plan that flexes with life. Start early, save steadily and adapt along the way. Your best retirement strategy is the one you’ll stick with.
Thanks for sharing Jim!