Does this title above shock you?

It shocked me too.

I read this from a link from The Real Singapore.

The article claimed that you would require at least SGD$ 2 Million to retire comfortably.

How did they arrive at this calculation?

Firstly, they assume that you're a graduate and have an annual salary of $40,000 which would bring your monthly salary to be $3,300-$4000/month.


Assuming…

You just finished school and started working at age 25
You live the life of a regular Singaporean lifestyle that requires $4000 per month during retirement
You have a car to maintain
You aim to take 1 vacation a year during your retirement
You retire at the age of 65 (Current Retirement Age)
You live till the ripe old age of 85
(Average Life Expectancy in Singapore is 80 for Men and 85 for Women)

That means you would need…

$4,000 x 12month = ......