You may have been told by you parent or friend to always plan ahead for your retirement. Some media also indicate Americans are not saving enough for retirement. You may start wondering whether you should spend your money or keep it for your retirement. In fact, some economists argue that people are currently saving more than they could spend after retirement. Now, let look at reasons for not to save too much for retirement.

-No personalized retirement planning

The reason you unable to determine the right amount for saving is that current existing retirement plan might be too general. You must have seen the retirement plan calculator on financial website and try to use it calculate your savings. The point is that not everyone has the same living standard even though their incomes are in the same level. Also, these automated programs do not take into account inflation rate and cannot predict the income you will earn in the future which could c

-Calculate cost of living based on you current spending

Even though you choose to do the calculation by yourself, there still a change you have misunderstand your own situation. When people calculate their cost of living after retirement, they are more like to be overestimate. In fact, the cost of living after retirement will be lower if you stop saving for your retirement like what you do on your workdays.

More than that, you will not need to pay mortgage if you have pay off them already. These things are considered to be large portion of your monthly spending. Also, you will not worry about saving for your children’s education since they may go to college already at the time you retired.

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