retirement institution, we're on a mission to #RetireInequality. So in addition to closing the 30% gender retirement gap, we're also focused on the 54% of Black Americans who, due. to a system of inequities, don't have enough savings to. retire.

The 4% rule is a popular retirement withdrawal strategy that suggests retirees can safely withdraw the amount equal to 4 percent of their savings during the year they retire and then adjust for inflation each subsequent year for 30 years.

Use the 3% rule if you're looking at a more average retirement. Maybe you're not retiring early but on time. If that's the case, you might fare well by following the 3% rule, where you remove 3% of your savings balance the first year you're no longer working and take it from there.

Here are some ideas to consider:

1. Go through your expenses and look for ways to cut back.
2. Take advantage of tax-sheltered retirement accounts.
3. Try to pay off your debts by the time you retire.
4. See how much you qualify for in Social Security benefits.
5. Earn additional income.
6. Tap into home equity.

The Bottom Line With $5 million you can plan on retiring early almost anywhere. While you should be more careful with your money in extremely high-cost areas, this size nest egg can generate more than $100,000 per year of income. That should be more than enough to live comfortably on starting at age 55.

In fact, $5 million might be the magic number needed to gift yourself an early exit from the workforce. Depending on your location, this sum could allow you to live on $100,000 annually for all of your post-retirement endeavors.

If you want to leave money to your family or heirs, you may need more money or more time to earn it. With $5 million you can plan on retiring early almost anywhere. While you should be more careful with your money in extremely high-cost areas, this size nest egg can generate more than $100,000 per year of income.

A $1 million retirement account gives you around $40,000 per year for the first few years of your retirement. Once Social Security kicks in, this will give you on average anywhere from $65,000 to $95,000 per year depending on your lifetime earnings and when you began collecting benefits.

A 3% withdrawal rate on $3 million comes to $90,000 in the first year. When adjusted for inflation afterward, that amount can fund a comfortable if not lavish retirement lifestyle in most communities.

A $1 million retirement account gives you around $40,000 per year for the first few years of your retirement. Once Social Security kicks in, this will give you on average anywhere from $65,000 to $95,000 per year depending on your lifetime earnings and when you began collecting benefits.

With $8 million in savings, even a modestly invested portfolio can generate enough money to live a very comfortable life indefinitely. Of course, that's all relative as the amount of money you need in retirement is going to vary based on an individual's life choices and desires.

How Far Will $5 Million Go? The good news is even if you don't invest your money and generate returns, $5 million is still enough that you could live on $100,000 a year for 50 years. That'll last you until the age of 95, far beyond the average lifespan.