James Laughlin argues the million-dollar retirement target is wrong for New Zealanders. Own a home and the number drops significantly. His rule: NZ$100,000 in savings supports about NZ$100 per week of spending at 65.
A lot of people in New Zealand, in the financial world, say you need a million dollars to retire. And I say, first of all, look at who's saying it. It's very often someone in the financial area who would benefit from people saving more, particularly through their kiwisaver funds or their bank or whatever. You do not need a million to have a happy retirement in New Zealand, I believe, especially if you've got your own home, for every $100,000 you have at retirement, you can spend spend $100 a week. So if you retire with $100,000, you can spend $100 a week. This is if you retire at 65. It's really interesting to work out what makes people happy in retirement. And you know what? I reckon to some extent, it's just the person's.
