If You And Your Partner Have A Combined Retirement Income Above This Number, You're Set Up For Success

Are you prepared for retirement? That's not a hypothetical question — rather, it's a real one that we should all be considering, whether we are set to retire in the near future or decades from now. There are a lot of opportunities to continue making money during retirement to ensure that income continues to flow, though it is important to take into account Social Security and retirement account withdrawals ahead of clocking out of the workforce.

This becomes twice as vital to address if you have a partner with whom you share finances, as well as your expenses. SmartAsset crunched the numbers and found that the average couple with a combined retired income of $5,616 per month or $67,392 annually are in the best financial shape. What does it take to make sure that you and your partner reach that number so that your money is set up for your success in retirement?

The Social Security Administration listed that as of January, 2025, the monthly retirement benefit is estimated to be $1,975 on average. Doing the math, if two people in a partnership are each receiving this payout, the monthly total adds up to $3,950 and over the course of a year adds up to $47,400 in household benefit earnings. This combined total falls short of the sought out number for retirement success and needs to be offset, namely by savings.

Annuities can help bolster retirees' savings along with other saving strategies. The earlier a couple starts saving, the better off they will be when it comes time to retire. Financial professionals often recommend that everyone try to save a minimum of 15% on their annual pre-tax income, which can include wages, employer retirement contributions, and matching programs for 401(k)s. 2024 data from Fidelity also found that the average 401(k) balance was $246,500 for those individuals between ages 60 and 64.

Hypothetically, if each person in a married couple combines those savings together, only drawing 5% each year, it would come out to roughly $24,650 annually or about $2,054 each month. Put that together with Social Security payments, you and your partner are in the perfect financial zone for living comfortably in retirement.

Retirement is a luxury that not everyone can afford. As your age goes up, you might start to see more and more signs that you are not ready to retire because you simply do not have the money to do so. Those who are about to retire should define what retirement means for them, as well as set a budget and take stock of any assets. You and your partner will also need to account for health costs, if one or both of you will need to continue working in retirement, and find ways to reduce expenses while living on a fixed income.

If all of this seems like a lot, that's because it is. However, finding a professional financial planner to work with can help address a lot of your concerns, such as paying off enough debt before deciding to retire and managing your taxes during retirement. There are important steps to choosing a financial planner that is right for you and your partner, so take your time, do your research, and make sure you trust the person who will be mapping out your fiscal future.