The question is whether they’re frugal or overly optimistic. When that research came out recently — from the Insured Retirement Institute and the Center for Generational Kinetics, which also noted that today’s 65- to 74-year-olds are spending an average of $46,757 per year — much of the reaction reflected the latter view.
But more than half of Americans earn $30,000 a year or less, according to Social Security Administration wage data. Surely, then, it has to be possible to retire on that amount — or, in the case of millennials, an equal amount in future dollars. How?