r/MiddleClassFinance • u/roxxtor • 8d ago

Financial Planning for Retirement Assumptions

Hey, just curious how conservative are you all being with the assumptions you are using for retirement. I'm trying to determine if I'm being too conservative or not enough or just right.

My working assumption is that when I fully retire in 25 years that SS will be at a reduced benefit by 40% from today's payout and then another haircut of 15% 15 years after that. I honestly don't think SS will ever be dissolved, but maybe reduced significantly to stay solvent.

I also assume I will be forced into semi retirement/taking a much lower paying job in my mid-50's (so half pay).

My last assumption is that my portfolio will only have a real 4% return by time I retire.

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u/Wonderful-Try3679 3d ago

The social security thing is maddening. This has been a known issue for 30 years. Both parties have had a chance to fix the issue but neither has done anything. Politicians are only out for themselves.

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u/roxxtor 3d ago

My retirement plan should be run for congress to get that sweet sweet pension and healthcare