I chanced upon this over the weekend and think it is interesting enough to share.
Source: JP Morgan Asset Management
So, according to this, if we are 40 years old and making $75,000 a year, we should have $120,000 put aside for retirement by now.
By putting aside, it doesn't mean just stashing the money in a mattress or a mooncake tin, it means having money in investments which are producing a 7% annual return.
I thought of tweaking this so that it takes into consideration CPF savings. After all, a Singaporean who is 40 years old could have been working for 15 to 20 years already. There could be quite a bit of savings in his CPF account.
Then, I decided not to bother because most Singaporeans will use their CPF savings to pay for their home. How much of their CPF would they utilise and whether they would monetise their home now or in the future is hard to say......