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Tag: America’s economy

  • Retirement Planning: 3 Reasons To Start As Soon As Possible

    Retirement Planning: 3 Reasons To Start As Soon As Possible

    Retirement planning is typically something that individuals and couples engage in once they hit their late forties and early fifties. The conventional wisdom has been that once you hit a certain age, you should be looking to prepare to retire.

    In actuality, every American needs to start working on their “nest age” immediately. Putting it off while failing to consider drastic changes to the economy will likely result in disappointment later on.

    There IS no certain age to begin retirement planning. These three reasons to start preparations as soon as possible should hopefully help you take steps towards a happy retirement.

    More And More Americans Are Not Able To Retire…Period.

    Senior citizens were polled in 2012 and a surprising number—as many as 30 percent—said they didn’t intend to stop working until they hit 80.

    Compare that to the once held belief that 65 was the ideal retirement age.

    And 80 is being optimistic; for too many senior citizens there will simply be no retirement. Or they may have planned to retire in their 80s, but will not live to see that age.

    The recent recession and housing bust can be blamed for this grim outlook which encourages retirement-age Americans to delay or forego retiring.

    If you do not wish to be working hard into your seventies, then you shouldn’t delay retirement planning.

    The Volatile Stock Markets Aren’t Big On Reassurance

    Putting all your nest eggs in one basket? You may be setting yourself up for disaster.

    We already know that the stock markets can crash at any time, and are likely to do so at least once in our lifetimes.

    A number of aging Americans have put most of their savings into the stock markets in the hopes that what they most of their savings will still be there when they retire.

    While buying some shares isn’t a terrible idea, putting everything into something so unpredictable is never wise. Consider alternatives for investment such as CDs, real estate, and even gold.

    The Longer You Wait, The Less Money You’ll Have

    In the U.S. News article “5 Reasons to Start Investing for Retirement Today”, the writer brings up an outstanding point as to why you should begin saving for retirement as soon as possible:

    The longer you have your money invested, the more powerful compounding interest is. For example, $5,000 invested by a 20-year-old with an average 8 percent annual return will yield $160,000 by the time he retires. That same amount invested by a 39-year-old will yield only $40,000 upon retirement.

    While his example specifically addresses compounding interest, the same logic can be applied no matter how you choose to invest or save for retirement.

    The longer you wait, the fewer retirement resources you will have at your disposal!

    What other NEED TO KNOW advice can you offer persons planning to retire?

  • How America’s Stalled Economy is Hurting Our Future

    The sad news about America’s stalled economy is that many young people who would otherwise be saving for retirement, investing in a homes, starting a families, and repaying college debts are unable to do so. Former Chief of Staff of the United States Department of Labor (DOL) and the United States Office of Personnel Management (OPM), Paul T. Conway blames the current US government’s administration and President Obama.

    Conway, now president of a not-for-profit organization called Generation Opportunity, seeks to raise America’s awareness of the unemployment and underemployment issue in this country. The organization reaches out to young adults, early career professionals, college students, young mothers and fathers, construction workers, current service men and women, veterans, entrepreneurs, and all Americans who find themselves dissatisfied with the status quo.

    Generation Opportunity President Paul T. Conway comments on what’s happening to America’s youth in this poor economy:

    “Young Americans continue to suffer the impacts of the President and his administration’s bad economic policies, the resulting poor economy, and the overall lack of opportunity. The administration has failed to listen closely to the needs of young adults – they want meaningful, full-time jobs in a career path of their choice to get on with their own lives.”

    “Instead, the Obama administration continues to push a vision that offers less hope and less opportunity. Nearly every week, administration officials appear on college campuses and at gatherings of young Americans to brag about how the federal government is expanding to take over more of their healthcare, education, job training, and other decisions – where is the hope in that?”

    Generation Opportunity commissioned a poll help capture the sentiments of young Americans in workplace today. what they discovered is rather startling, but very telling about the economic situations most young people find themselves in today.

    Take a look at what they found:

    77% of young people ages 18-29 either have or will delay a major life change or purchase due to economic factors:

    * 44% delay buying a home

    * 28% delay saving for retirement

    * 27% delay paying off student loans or other debt

    * 27% delay going back to school/getting more education or training

    * 26% delay changing jobs/cities

    * 23% delay starting a family

    * 18% delay getting married.

    The poll also collected perception’s on Washington’s leadership:

    * Just 31% of 18 – 29 year-olds approve of President Obama’s handling of youth unemployment.

    * 69% say the current leadership in Washington fails to reflect the interests of the younger generation.

    * 59% of overall Millennials agree the economy grows best when individuals are allowed to create businesses without government interference.

    You can find out more about Generation Opportunity and what they are doing to help make changes that will ensure a brighter future for young Americans by visiting their website, or checking them out on Facebook.