Winning Financially in 2025: Setting Yourself Up For Retirement
Money Rehab with Nicole Lapin
Deep Dive
What is the first step in creating a successful retirement plan?
The first step is to determine how much money you will actually need for retirement. This involves calculating your anticipated annual expenses and multiplying them by the number of years you expect to be retired.
What are the three levels of wealth outlined in Nicole's upcoming book?
The three levels are: 1) Rich Enough, where basic expenses are covered without frills; 2) Pretty Rich, which allows for maintaining your current lifestyle with occasional splurges; and 3) Super Rich, where you have more money than you can reasonably spend, enabling a luxurious lifestyle.
How can you calculate your annual 'Rich Enough' budget for retirement?
To calculate your annual 'Rich Enough' budget, list all your essential monthly expenses (e.g., housing, utilities, basic food), add them up, and then multiply the total by 12 to get your annual budget.
What is the recommended number of non-working years to budget for in retirement?
Nicole recommends budgeting for 20 non-working years in retirement, though some financial experts suggest planning for 30 years. The exact number depends on personal circumstances and preferences.
How much money is needed for a 'Rich Enough' retirement lifestyle based on average U.S. household income?
Using the average U.S. household income of $63,000 before taxes and an annual burn rate of $30,000, you would need $600,000 saved to support a 'Rich Enough' lifestyle for 20 years of retirement.
What is the estimated savings needed for a 'Pretty Rich' retirement lifestyle?
For a 'Pretty Rich' lifestyle, with an annual spending target of $67,000, you would need approximately $1.2 million saved to cover 20 years of retirement.
What is the estimated savings needed for a 'Super Rich' retirement lifestyle?
For a 'Super Rich' lifestyle, with annual spending of around $100,000, you would need approximately $2 million saved to support 20 years of retirement.
What is the purpose of Airbnb's co-host network?
Airbnb's co-host network connects hosts with experienced local co-hosts who can manage tasks like reservations, guest communication, property support, and even listing creation, making hosting easier for those who cannot manage their properties full-time.
What does NerdWallet's 2025 Best of Awards list offer?
NerdWallet's 2025 Best of Awards list provides curated recommendations for the best financial products, including credit cards, savings accounts, and auto insurance, based on extensive research and reviews of over 1,100 products.
- Three levels of retirement wealth are defined: rich enough, pretty rich, and super rich.
- The first step to retirement planning is determining how much money you will need.
- A roadmap for calculating retirement needs is presented.
Shownotes Transcript