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1. If you wait until you're 45 to begin investing, how much money will you need to invest, just for retirement,per year? Why might this be difficult?

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1. If you wait until you're 45 to begin investing, how much money will you need to invest, just for retirement,per
year? Why might this be difficult?

1. If you wait until you're 45 to begin investing, how much money will you need to invest, just for retirement,per year? Why might this be difficult?

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KieraVeteran · Tutor for 10 years

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<p> The answer varies based on individual circumstances which include the desired retirement age, type of retirement lifestyle one wants to continue, other income inflows during retirement, including benefits, pensions and Social Security, as well as major life factors (such as medical expenses). The toughness of investing towards retirement beginning at age 45 emanates mainly from general late preparation, potential return limitations, and potential conflict with other upper-age priority funding.</p>

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<p> The amount of money you need to invest each year, starting at 45, for retirement depends on a number of parameters like the age one want to retire at, their expected retirement income needs, estimated returns on the investment, and many more. The high demand and dependency of thoughtful retirement planning is especially significant when starting at a later age due to several reasons. <br /><br />Firstly, beginning investing at 45 means you have around 20 years until your customary retirement period (assentringly if one plans to retire at 65), which prompts the need for more aggressive savings and strategies to have enough fund for a worry-free post-retirement life. <br /><br />Secondly, with less earning years left until retirement, investing with an eye toward lower-risk (and likely lower-in-return), investments might not be able to keep pace with inflation. Hence makes the generation of sufficient return within limited period difficult. <br /><br />Thirdly, for the most of people, their later middle age centered working years generally brings greater earning potency coupled with other financial responsibilities which might also involve children’s advanced education, mortgage and healthcare costs. Along with these, the pivot towards investing more delays as being the remedial action against dearth of early savings requires not just caution, but balancing act. These reasons make it difficult to put in sufficient investments annually just retirement starting at an age like 45. </p>
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