This morning, I published a podcast episode with a well-known financial expert, Peter Dunn, better known as Pete the Planner. We covered a lot of ground, but two main ideas came forward:
- It’s imperative to take personal responsibility for our financial futures.
- You need to become a millionaire.
Pete referenced a University of Utah study he found troubling. In the study, the people who participated felt their personal health was only 46% their responsibility. They felt their doctors and others were responsible for the majority, or the remaining 54%.
He connected that study to the world of finance, specifically retirement savings. We talked about how it hasn’t been that long since we, as Americans, have become almost completely responsible for our financial success. It used to be that we’d work at the same company for 30 years and didn’t need to worry about saving money because we’d retire with a pension. Not anymore.
Now, pensions are available to only a small percentage of employees. It’s time we caught up with the reality that it’s up to each of us to save money.
Another topic we talked about was the idea that you need to become a millionaire. In order to replace 20 – 30 (or more) years of income in retirement, it’s probably going to take $1,000,000. Think about it: if you retired at 65 or 70, it’s highly possible you’ll live to 100. We tried to demystify the idea of becoming a millionaire and shared the reality that you can – and need – to expect to become one.
Obviously, everyone’s situation is different but it’s time for each of us to do our part. Accept personal responsibility for your financial success.
Click one of the links below to listen to my podcast episode with Pete the Planner.