New Year’s Day is the perfect time to ask: “How much do I need to retire comfortably?” The answer depends on your lifestyle, but the classic 4% Rule gives a simple starting point: Save enough to withdraw 4% yearly without running dry. With inflation and longevity rising, 2026 tweaks make it even better.
At Davenport & Associates, we help countless clients find their exact number. How much to retire comfortably in 2026? Aim for 10x your salary by 67, per Fidelity’s benchmarks. This article breaks it down simply. Ready to calculate yours? Read on.
The 4% Rule says: Withdraw 4% of your savings in year 1 of retirement, adjust for inflation yearly, and it lasts 30+ years with 95% success.
Example: $1M saved → $40K/year safe. Add inflation (3%) → $41,200 year 2. Why it works: Assumes balanced portfolio (stocks/bonds) earning 5–7% average.
2026 update: Creator William Bengen now says 4.7% is safe due to recent market data—$1M → $47K/year.
Fidelity’s guideline: Save 10x your salary by 67 for comfortable retirement (70–80% pre-retirement income).
Milestones:
Example costs (average couple, AARP 2026):
Add Social Security (~$3,000/month average 2026) to reduce savings needed.
Despite inflation, Morningstar says 3.9–4.7% is safe with diversification. Add annuities or part-time work for 5%+. Bengen’s update accounts for bonds/stocks balance.
Your 2026 Retirement Savings Guide
| Pre-Retire Income | Needed at 67 (10x) | Safe Yearly Draw (4.7%) |
|---|---|---|
| $80,000 | $800,000 | $37,600 |
| $100,000 | $1,000,000 | $47,000 |
| $150,000 | $1,500,000 | $70,500 |
| $200,000 | $2,000,000 | $94,000 |
How do I calculate mine? Use our free tool or consult. What if I add Social Security? Subtract from draw — e.g., $48K needed – $36K SS = $12K from savings → $300K at 4%. Is 4% safe forever? Adjust yearly; we review free.
The 4% Rule is your starting line—personalize it for 2026. Don’t guess alone. Ready to know exactly how much you need? Schedule a free consultation at https://jdavenportassociates.com/contact-us/ or see if you are retirement ready with our free quiz at https://iwantmywealthplan.com/quiz
John F. Davenport holds a law degree from Pace University, an MBA in finance from Fordham University and undergraduate degree from the University of Notre Dame.
He is a licensed attorney in New York and Connecticut, and a financial advisor.
He founded Davenport & Associates in 1997 and has spent more than 30 years helping CT and NY locally and families across the country build retirement income plans and estate strategies that work together, not against each other.
Davenport & Associates is located at 800 Connecticut Avenue, Suite E401, Norwalk, CT 06854.
Phone: (203) 853-6300 | jdavenportassociates.com
IMPORTANT DISCLAIMER:
Educational only—not investment/tax/legal advice. No strategy guarantees results—vary by rates, markets, laws, personal circumstances. Consult advisors.
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