Retirement, and the pension that comes with it, is what you work toward throughout your working life. You pay into the retirement system and hope the money is enough to live on. But it is getting harder and harder to actually afford retirement without having to look for a side job to top up your pension. There is another way, though: you can retire rich. Retiring rich is achievable. How that works is described below.

The Current Situation for Society as a Whole

Right now we face a generational conflict and a pension system that is collapsing. Because of demographic change, fewer and fewer workers will have to finance more and more retirees in the future. In addition, benefit levels will fall. What does that mean for the individual? It means that savings, investments and much more become enormously important for old age. One study found that the average employee has to save about 1.7 million US dollars to be able to retire rich.
The goal is to build a foundation so that you can enter retirement rich.

Your Own Understanding of Being Rich and Your Individual Situation

Everyone defines being rich differently, including in material terms. Many people simply want to afford a comfortable lifestyle in old age and not have to work when they physically can't, having worked toward this privilege all their lives. Very few want to jet around the world. The latter would probably only be possible if you invested in stocks and they were very successful. It pays to think about your lifestyle in retirement and see what it means in terms of cost. If costs go down because you save on the expensive commute to work or explore your home region instead of taking expensive vacations, you can lead a rich life in old age with just as much money as you had while working.

At What Age Do I Want to Retire?
Another important point is the age at which someone wants to retire. Imagine, for example, a 55-year-old with no retirement savings: it is extremely unrealistic that this person could retire wealthy or rich at 60. But if this person is willing to save, and starts not at 55 but, say, in their 30s, the chances are good that life will be comfortable. What matters is that you think about it early and make an informed decision that you stick with determinedly your whole life. There are certain assets, such as real estate or even islands, that you can invest in to provide for old age, so that retiring rich without major (financial) worries is possible. If you catch the right moment there, keep your eyes open, reflect on your situation, and are willing to make the best of it and sustain your lifestyle through your own efforts, that is a good basis for success.