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Don’t Make Me Say I Told You So 39
Inflation Significantly Erodes Purchasing Power Over Time
Effects of 3% inflation on purchasing power
$100k
$86,261
PLEASE REPLACE THIS WITH CHART #141
80
INFLATION SIGNIFICANTLY ERODES PURCHASING
$74,409
POWER. IT'S IN OUR SHARED DROPBOX FOLDER.
$64,186
60 $55,368
$47,761
$41,199
40
20
0
5 years 10 years 15 years 20 years 25 years 30 years
One of the most common mistakes that people make in
retirement planning is to figure out how much income they
need, then use that fixed amount for their retirement financial
plans. They fail to think about the fact that even a modest
rate of inflation will dramatically increase income needs over
time.
Chapter 2: You’ll Need More Money Than You Think
