One of the most common questions we hear from ministry leaders is simple but significant: How much is enough for retirement? The answer looks different for each of us but thoughtful planning can give clarity and confidence as you look toward the future.
A helpful place to begin is with your current annual income. From there, estimate how much of that income you will need in retirement. Many people plan for 70–100 percent of what they earn today, depending on their goals. Subtract your expected Social Security benefit, and you will have a clearer picture of how much retirement income you will need from personal savings.
Next, consider the effect of inflation. Dollars today will not have the same buying power in 10, 20, or 30 years. Applying an inflation factor (some advisors recommend 2-4% per year) gives you a more realistic target for what your retirement income should be in the future. Once you calculate your future need, multiply that number by the factor that reflects how long you expect to be retired. This helps you arrive at a practical retirement goal.
From there, compare your goal with the value of your current investments and estimate what those investments may grow to over time. The difference between the two numbers reveals your retirement shortfall. Dividing that shortfall by the years you have left to save gives you an annual saving goal.
At ServantSolutions.org/financial-calculators, we have an excellent Retirement Planning Calculator, among others, for your use. You can also find our Retirement Planning booklet in the Employee section of our Toolbox Series, which includes a worksheet to help you calculate what you may need and a practical checklist for the final years leading up to retirement.
While these steps provide structure, the bigger picture matters too. Longer life expectancy means planning for more years of purposeful living. Diversifying your income streams through Social Security, retirement savings, personal investments, and even part-time work can strengthen your overall plan.
As you take these steps, consider a few guiding questions: Am I managing my cash flow well? Am I investing wisely? Am I protecting my family? Most importantly, do my financial goals reflect my calling and life’s purpose? Keep in mind that planning for retirement is not just about living, but also about giving.
Thoughtful planning today can help you prepare for a future marked by stability, generosity, and joy.
Rev. David Boots
Director of Member Services - Western Region
Rev. David Boots serves as the Servant Solutions Director of Member Relations for the Western Region. He brings his experience and knowledge of 35 years of vocational church ministry, having served three large congregations of the Church of God full time as Executive Pastor, overseeing operations, administration and finance. He has also served those congregations at times as Worship Pastor.