How Much Money is Enough (Live Comfortably and Free) | Wildchildretire

Tired of working and want to know how much money is enough to get by and live comfortably?

Here, we’ll show you 7 essential questions you need to ask yourself about how much money you need in life.

Personally, these 7 questions have helped my wife and I fine-tune our early retirement age (for me, that’s 40!) and helped us live a low-stress life.

So check out the easy read below if you want to know what you value in life, how much you should spend on personal health, or maybe your kid’s future.

Enjoy the blog below. 😊

How Much Income Is Needed To Live Comfortably? (7 Questions To Ask Yourself)

That is a good question.

“The questions of all questions!” one might say.

With these 7 questions, we will eliminate the mystery and help you fully define how much money is enough. 😊

1. What Makes Me Happy?

To determine how much money is enough in life, you need to look at what makes you happy. What do you value? What do you enjoy doing?

For the folks who know how to enjoy life without money, simply being able to wake up and see the sunrise is enough to make them happy. Others may enjoy taking walks or spending time with family and friends. If these things bring you happiness, you likely won’t need a lot of money to be happy.

On the other hand, if you find that you enjoy fancy cars and clothes or go out to expensive restaurants, you will likely need more money to maintain your happiness.

Ultimately, it is up to you to decide what makes you happy and how much money you need to live a happy life. There is no right or wrong answer – it all depends on your circumstances and preferences. But by taking the time to figure out what makes you happy, you will be one step closer to understanding how much money is enough for you.

2. When Do I Want To Retire?

You need to figure out when you want to retire to determine how much money is enough in life.

At 64.6 years, men retire, while women retire at age 62.3 years on average.

If you want to retire early, for example, at 40 years of age, you may need more money to do what you want to do in life.

Your retirement age is a personal decision that only you can make. It will be based on many factors, including your health, your family’s health, job satisfaction, and financial situation.

If you are in good health and enjoy your work, you may want to consider working longer. On the other hand, if you have health problems or are unhappy with your job, you may want to retire sooner.

You also need to think about your financial situation. For example, how much money do you have saved for retirement? Do you have a pension or other income that will continue after you retire?

You need to make sure you have enough money saved to afford to retire when you want to. Use this retirement calculator to see how much you need to keep. And I highly recommend the free app Personal Capital to help manage your retirement funds.

Remember, your retirement age is a personal decision. Think about what is important to you and what will make you happy. Then, you can decide when the right time for you to retire is, and maybe budget for fun ways to enjoy retirement. 😊

3. How Long Do I Plan On Living?

To figure out how much money is enough in life, you need to consider how long you plan on living. Longevity differs from person to person, and no one can be sure how long they will live. However, some averages can give you a general idea.

According to cdc.gov, the average life expectancy in the U.S. is 78.6 years—76.1 years for men and 81.1 years for women. This means that if you’re a man, there’s about a 1 in 4 chance you will live past 90, and if you’re a woman, there’s about a 1 in 3 chance you will live past 90.

Of course, these are just averages, and many factors can affect your lifespans, such as lifestyle choices, genetics, and access to healthcare. However, using these averages can give you a starting point to figure out how much money you will need in retirement.

If you plan to retire at 65 and think you have a good chance of living to the average life expectancy, you will need enough money to support yourself for about 13-14 years. However, if you think you have a higher chance of living to 90 or beyond, you will need enough money to support yourself for 25-30 years in retirement.

Of course, these are just rough estimates, and you should consult with a financial advisor to get a more accurate idea of how much money you will need in retirement. But understanding longevity is an essential part of the equation.

So how long do you think you will live? What factors do you think will affect your lifespan? Use this information to start planning your retirement and figure out how much money you will need to have a comfortable life.

4. How Much Will I Spend On My Health?

Self-care is essential, but it can also be expensive. To figure out how much money you’ll need in life, you need to organize your personal finances to calculate how much you’ll spend on your health.

The average monthly national cost for health insurance is $456 for an individual and $1,152 for a family. However, prices vary among the wide selection of health plans. If you’re healthy and only need basic coverage, you may be able to find a plan for less. But if you have chronic health conditions, you’ll likely need a more comprehensive (and expensive) plan.

In addition to health insurance, you may also need to budget for other health-related costs, like gym memberships and healthy food. Average gym memberships cost $507 a year, and eating healthy can also be pricey. For example, a single organic egg can cost as much as $0.50.

Of course, the amount you’ll need to spend on self-care will depend on your individual health needs. But it’s important to factor these costs into your overall financial planning. Then, you can ensure that you have enough money to live a healthy and happy life.

5. How Much Will I Spend On My Child’s Future?

Raising a child has never been cheap, but the price tag for giving your kids a bright future has risen astronomically in recent years. According to the U.S. Department of Agriculture, the average cost of raising a child born in 2015 until they turn 18 is a staggering $233,610.

This figure does not include the cost of college, which has also become increasingly expensive. Per valuepenguin.com, for the 2017–2018 school year, the national average cost of tuition and fees was $20,770 for public institutions (in-state) and $46,950 for private nonprofit colleges and universities.

So, how much money is enough to provide your children with the future you want them to have? The answer depends on several factors, including the number of children you have, your family’s income, and the specific goals for your children’s future. (PRO TIP: Learn how to make a family budget. It will make this financial journey A WHOLE LOT EASIER!

If you’re struggling to save for your children’s future, many options are available to help you make ends meet. For example, you can start a 529 plan and tax-advantaged savings account that can be used to cover the cost of college. You can also look into scholarships and financial aid, which can help reduce the cost of college.

No matter how much money you have, it’s important to start planning for your children’s future as early as possible. By figuring out how much you’ll need to save, you can ensure that your children have the bright future they deserve.

6. How Much Traveling Will I Be Doing?

To figure out how much money is enough in life, you need to consider how much traveling you plan to do. For example, are you the type of person who likes to stay in one place for extended periods, or do you prefer to move around frequently?

If you plan on doing a lot of traveling, you should expect it to cost between $20,000 to $30,000 per person to travel around the world for a year. This figure includes transportation costs, accommodation costs, and food expenses. But, of course, your actual costs may be higher or lower depending on your specific travel plans.

If you don’t plan on doing much traveling, then you can obviously get by with a lot less money. However, it’s still important to have a savings cushion in case of unexpected expenses or life changes.

No matter how much money you have, it’s always important to be mindful of your spending and ensure that you’re living within your means. Then, you can ensure that you’ll have enough money to live the life you want, whether that involves a lot of travel or not.

7. How Much Will I Be Investing?

An essential step to finding out how much money is enough in life is to identify how much you’ll be investing. This cannot be easy to answer, as many variables are considered. For example, you need to think about how much money you have to invest, what you’re comfortable with risking, and your investment goals.

If you’re not sure where to start, a good rule is to invest 10% of your income. This will allow you to grow your money while still having enough left over to cover your expenses. It’s also a great way to stay on track to accomplishing your investor’s goal.

Once you’ve decided how much you’re going to invest, the next step is to figure out what you’re comfortable with risk. Again, this is a personal decision, as some people are more risk-averse than others. If you’re not sure how much risk you’re comfortable with, an excellent place to start is with a conservative investment portfolio. This will allow you to earn a return on your investment still, but it won’t be as high as if you were investing in riskier assets.

Once you’ve decided how much money you’re going to invest and what level of risk you’re comfortable with, the next step is to set some investment goals. This will help you figure out how much money you need to make to reach your financial goals.

Some people may want to grow their money as quickly as possible, while others may be more interested in preserving their capital. There’s no right or wrong answer here, and it all depends on your personal financial goals.

Now let’s say you invested $1,000,000 over some time and, unfortunately, lost most of it. You may have to work more to make up the difference. But the exact opposite can happen as well, where that $1,000,000 turns into $20,000,000, and you, as a result, may be able to work less. These are essential points to consider when considering how much money is enough in life.

The amount of money you need to live a comfortable life will depend on your circumstances. However, by figuring out how much you’re going to invest and what your goals are, you’ll be well on your way to finding out how much money is enough for you.

FAQ

How Much Money Is A Lot of Money?

This isn’t easy to answer because it varies from person to person. A few hundred dollars may be considered a lot of money for some people, while a few million dollars may not be enough for others. For others, having enough to secure financial independence is all they need.

How Much Money Does A Person Need In A Lifetime?

It depends on several factors, such as your lifestyle, health, whether you have dependents, your age, and your retirement plans.

If you plan on retiring at 55 and live to 95, you will need enough money to cover 40 years of living expenses.

Your health is another major factor to consider. If you have a chronic illness, you will need more money to cover medical expenses.

How Much Money Is Enough For A Good Living?

You can use some general guidelines to help figure out how much money you’ll need to have a good life.

First, consider your lifestyle. Do you want to live a luxurious lifestyle, with expensive cars and homes? Or are you happy with a more modest lifestyle?

Your lifestyle will significantly impact how much money you’ll need. For example, if you want to live extravagantly, you’ll need more money than someone content with a modest lifestyle.

How Much Money Do You Need To Not Work For The Rest of Your Life?

It depends on how much money you have saved up, how much money you expect to earn from interest or dividends, and how much money you will need to cover your living expenses.

If you have a million dollars saved up and you expect to earn 10% interest on that money, you will have $100,000 per year to live on. That may be enough for some people, but it may not be enough for others.

How Much Money Do You Need To Survive A Year?

Everyone needs to cover some basic costs to live, such as food, shelter, and clothing.

Assuming you need to cover these costs and live in an expensive city, you would likely need at least $15,000 a year to get by. But, of course, this is a fundamental lifestyle – you would probably want a bit more than this if you wanted to live comfortably.

Summary

Now that you know how much money is enough, it’s time to make a change. Start living the life you want and deserve by making minor tweaks to your budget until you hit that magic number. Once you have enough, you can relax and enjoy life without worrying about money every day.

Use this information as a starting point and adjust as needed – there’s no one correct answer for everyone.

So what are you waiting for?

Get started today!