How to Save for Retirement
Planning for the Future | 05/21/20
Retirement should be all about enjoying what you’ve spent your life working toward. Of course, that means you’ll need enough in savings. According to a recent Fidelity report, only 66% of people in the Baby Boomer generation feel they have enough in savings for the lifestyle they want during retirement.
The lifestyle you envision for yourself is going to directly impact the amount of money you save up during your working years. While a consultation with a financial advisor should be on your to-do list, you can start adding to your savings right now with the following ways to save for retirement.
5 Ways to Save Money for Retirement
- Start now and set a goal.
Saving for retirement is something you want to do as soon as you’re able. Even investing a small amount can turn into larger savings later thanks to compounding interest. As you continue to invest, figure out how much you need to retire with the lifestyle you want. Many experts suggest planning on 70-90% of your yearly income. Keep in mind what you want your retirement to look like: golden years filled with travel will need a different budget than spending your time at home enjoying family.
- Take advantage of your 401(k) and employer match.
Many employers now offer a 401(k) benefit. If yours does, take advantage of it immediately – this is pre-taxed money that will continue to grow until you withdraw it. An employer-matched contribution is also common, so find out what it is and make sure you’re contributing the full amount.
- Consider an IRA.
An individual retirement account (IRA) can help to make up any extra savings that you’re not adding to your 401(k). Speak to a financial advisor to see if a Traditional or Roth suits for your goal.
- Automate your savings.
Automating monthly savings means your money is coming directly out of your paycheck and going into your savings without having to lift a finger. This will save you time and money as well as ease your mind about the money coming out of your budget.
- Consider delaying your Social Security.
Even pushing your social security payment back for a year can be beneficial. This will increase your monthly benefit, adding more to your retirement budget.
Discover Your Financial Options with Meadow Lakes in East Windsor, NJ
To ensure you’ll live your golden years the way you want, Meadow Lakes offers financial advice through our sales counselors. During a personal consultation, we can help you find a plan to suit your budget, preferences and goals.
If you’d like to learn more about financing your dream retirement, download our FREE guide, Protect Your Financial Future: Financing Your Retirement at Springpoint. You can also contact us today to speak with a sales counselor about vibrant, affordable senior living at Meadow Lakes.