It’s one of the most meaningful questions in personal finance — and the good news is that asking it is already the first step toward answering it well. While retirement preparedness varies widely, the consistent finding across research is that those who plan thoughtfully are far better positioned than those who don’t. According to Northwestern Mutual’s 2026 Planning and Progress Study, Americans now believe they’ll need an average of $1.46 million saved to retire comfortably — a figure shaped by inflation, longer life expectancies, and evolving Social Security expectations. That number may feel daunting, but a sound plan — started or improved at any stage — can make an enormous difference in where you end up. CNBC

A comprehensive retirement readiness assessment focuses on four key areas:

• Your Retirement Income Needs — Everyone’s retirement looks different. A useful starting point is estimating 70–80% of your pre-retirement income as an annual spending target, adjusted for your lifestyle, location, and desired retirement age. Clarity on what you actually need — rather than a generic benchmark — often reveals a more achievable target than people expect.
• Your Income Sources — Retirement income typically draws from Social Security benefits, employer-sponsored plans such as 401(k)s, IRAs, pensions, and personal investments. Knowing when to claim Social Security and how to sequence withdrawals across account types can meaningfully extend how long your money lasts while reducing your lifetime tax burden — two powerful levers that good planning can optimize regardless of your current savings level.
• Healthcare & Longevity Planning — Healthcare is one of the most underestimated costs in retirement, and with lifespans extending well into the 80s and 90s, planning for the long run is essential. Nearly half of Americans believe it is somewhat or very likely they will outlive their savings — but building in provisions for healthcare costs, Medicare gaps, and inflation-adjusted expenses turns that risk into something manageable rather than something to fear.
• Investment Strategy & Withdrawal Rate — How your portfolio is allocated and how much you withdraw annually determines how long your savings endure. The widely referenced “4% rule” offers a starting benchmark, but a personalized strategy — one that accounts for market conditions, your timeline, and your spending patterns — is far more reliable. Whether you are decades away from retirement or approaching it soon, adjustments made today can have a compounding positive effect.

No matter where you are on your retirement journey, what matters most is having a clear, honest picture of where you stand and a plan to bridge any gaps. It is rarely too early — and almost never too late — to make meaningful progress.

Commonwealth Guardians works with individuals and families at every stage of retirement planning. As fiduciaries, their advisors provide objective, personalized guidance — free from the conflicts of commission-based advice — to help you build a retirement strategy tailored to your life, your goals, and your timeline.