Retirees’ biggest fear is outliving their money, leading to sacrifices, returning to work, or relying on family. Setting retirement goals too low or too high can have financial consequences. Experts suggest a $2 million nest egg to retire comfortably, considering key variables that come into play as you age.

More than 60% of retirees have paid off their mortgages, reducing monthly expenses. Downsizing homes can further ease financial burdens. Health care costs tend to rise in retirement, but expenses like entertainment and travel may decrease. Cutting back on discretionary purchases as you age can help preserve your nest egg.

The 4% withdrawal rule allows for tapping into $80,000 per year from a $2 million nest egg. With Social Security benefits, retirees may receive over $10,000 monthly, exceeding typical expenses. Continuing to contribute to retirement accounts is crucial, even with a substantial nest egg. Setting ambitious financial goals after reaching $2 million can provide flexibility and enjoyment in retirement.

Read more at Yahoo Finance: Why You Should Aim for $2 Million in Retirement Savings