Skip to content
Planning For Retirement
- Start Saving Now. The longer your interest has to accumulate, the harder your money will be working for you. Here’s a good example. An 18 year old who put 2000 dollars into an IRA would have 50,000 adjusted for inflation by the time she reached retirement. But 2,000 put away at age 35 would become just 20,000!
- Anticipate Your Retirement Needs. Take a little time to daydream! What kind of retirement do you see yourself enjoying? Some people may be content settling down in a small town on a small budget, whereas others may wish to travel around the world and live large. Having a rough idea of how you plan to live will help you set goals. Other factors, such as the desire to help your children or grandchildren financially, could also play a role in a your decision.
- Contribute To Your Employer’s Plan. Take advantage of the lower taxes, company dollar-to-dollar matching policies, and convenience that employee retirement plans offer. Take time to learn about and consider any pension plans that your employer offers, as well.
- Study the Basics of Investing. A bit of homework can pay off big time by helping you make smarter and more informed decisions about how to manage your money.
- Don’t Touch Your Savings! Last but not least, it’s important to remember that taking money out of your retirement savings can be harmful in a number of ways: not only will it decrease the amount of money that builds up in your account over the years, it will also likely entail hefty fees.
- Diversify! The more diverse your savings are, the likelier they will be to stay strong throughout the inevitable fluctuations of the economy.