No. of Recommendations: 4
gioco72 asks,

You're a fifty-one year old single woman. Life history of excellent health; life history of self-sufficiency and low consumerism. Home owner, no mortage. No credit debt. Eligible for $350 per month pension at age 58. Eligible for highest Social Security depending on retirement date (am planning on "retiring" at 62). In order to stop working now, how much current net worth do you think is needed?

The short answer is 25 times your annual living expenses beyond what a pension and Social Security will cover.

For example, say you can live on $20,000 per year and Social Security and your pension will provide a total of $10,000 per year. You'll need investments to cover the other $10,000 per year. A portfolio of 25 times $10,000 (i.e. $250,000) would provide a $10,000 per year withdrawal and allow you to increase that with inflation in subsequent years.

For more on retiring early see,

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