Generation Y may not need to save as much for retirement

According to a recent U.S. News & World Report article, the advance of baby boomers moving toward retirement has gotten the attention of Generation Y members, who are now beginning to consider their own strategy for saving.

The article advised the younger generation to set a financial goal for themselves to get started. According to a survey conducted by a financial planning company last year, 77 percent of advisors suggested Generation Y needs at least $2 million in retirement savings to live a comfortable life after leaving their jobs. This amount is the same for Generation X members as well, the poll revealed.

"For a generation Y person who thinks she wants to retire at around age 70 who is going to have slightly above-average annual expenses, $2 million is probably the right number," a financial advisor told the news source.

However, the article also explains that Generation Y may not need this much in retirement savings, as younger people may be able to get by on less. A human resources consulting firm forecast Generation Y workers will need 18.7 times their final pay for retirement to maintain a comfortable lifestyle in their post-career lives. For a worker who earns $75,000 per year, the total would then be just over $1.4 million, which may be more attainable when Social Security, pensions and other investments are factored in.

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