How Much Do You Need to Retire?

There are three options to calculate how much funds you need to retire comfortably. This I learned in my internet search for retirement planning guides:

The first option is based on a study that living costs double every 10 years. Suppose you are 30 years old now and your current monthly expenses is PhP20,000. By the time you reach 60 years old, your monthly expenses will amount to PhP100,000. Annually it will add up to PhP 1.2 million. When you live until 80 years old, your annual expenses will reach PhP 4.8 million.

The second option is based on the assumption that your retirement needs is lower than your pre-retirement. Some financial experts estimates a replacement ratio of 85%. This means that only 85% of your current living expenses is needed during retirement.

The third option is a more detailed one with the use of a retirement calculator.


  • Modify the values in the calculator and replace with your own data.

  • Convert peso values to $ using the usual conversion rate of 50 pesos to a dollar

  • Click the calculate button.

  • Convert your dollar values to pesos.

Now you have an idea of how much income your will need to retire with dignity. Enjoy your retirement planning journey.