How Much is Peace of Mind?
- The latest happiness studies say once you are over the age of 50, you will be happier.
- The average amount of money a person needs to have “peace of mind” for retirement is currently $1.4 million.
- Only you can define what peace of mind means to you, but it’s important to also recognize what phase you are in with your money to determine how you should operate to make your dollars go further.
The latest happiness studies say that once you’re over the age of 50, you’re going to be happier. There’s many theories as to why that is, but nothing definitive. However, something else happens when we reach this age as well, and it’s where people start to define what wealthy is.
It’s said that 11% of people define wealth by what they can buy to make them happy. But the majority of people just want a stress-free life and peace of mind. So, the study asks, “What’s the number that makes this happen for people?” It was about $1.2 million, but recently, that number has gone up to $1.4 million.
Now, that number is just a rule of thumb. For example, you might live on the West Coast, and it’s quite expensive there, so you’d need more money, but if you live say, in the Midwest, it’s not so expensive. So, it may take twice as much money, or less than that number, depending on where you plan to live. This is why many times, retirees will move from an urban area to a more rural area because their dollar goes a lot further.
You’re the only one who can define what peace of mind means and what a stressful life means. You also need to recognize if you get over a million dollars that you are no longer in the “Get Rich Game” but in the “Stay Rich Game,” so you may have to switch how you operate to make those dollars go further.
Overall, it’s important to remember that you can’t buy happiness, so don’t try.
Until next time, enjoy.
Learn more about TransformingWealth™ , our proprietary approach, designed to get your arms around the big picture so you can make informed financial decisions. Ask Gary about Coyle’s TransformingWealth Preview Meeting, and schedule a complimentary consultation and start living the Good Life Managed Well™.
Gary Klaben is in our Glenview, IL office and serves our clients who are now located all over the country. He has over 30 years of experience and is the author of Changing the Conversation, Wealth of Everything and co-author of The Business Battlefield. Whether advising his clients, mentoring his team, or coaching entrepreneurs, he is always simplifying complexity and motivating others to take the next action that’s right for them.
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