WebProNews

Tag: retirement savings

  • 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?

  • Retirement Plans In The Works? What You Should Know

    Good news for Americans planning their retirement: Reports indicate that retirement assets reached a record high at the end of 2013.

    This signals a sharp recovery from the disastrous 2008, when such assets were nearly halved in value.

    If you’re going to contribute to your retirement account, this seems like as good a time as any to get to work.

    Retirement planning can be tricky, even scary, when one doesn’t know where they want to start. The important thing to do is take the time to find out all the relevant information. Then you can decide which direction you wish to go in terms of ensuring a happy retirement.

    For example, are you interested in a gold IRA? This video could be of some major assistance:

    If you’re employed or seeking employment, you may be interested in a company having a solid 401(k) plan available. Luckily, the improving economy has increased the willingness of employers to restart matching 401(k) plan contributions.

    The strengthening of retirement planning and assets across all sectors is said to bode well for Americans who are working towards retirement in the future.

    Despite all these promising signs, there are still some important tips to know going forward:

    – Start saving right now. The sooner you start tucking money away for retirement, the better off you will be. There’s no reason to wait.

    – Part time work is not a bad idea. Work of any kind seems to defeat the purpose of retirement, I know, but a little extra income never hurt. Besides, simple tasks that aren’t physically demanding can stave off possible post-retirement boredom.

    – Be sure goals are realistic. Not everyone is going to retire a mega millionaire. That doesn’t mean you can’t plan to be both happy and financially secure. So long as you put in the necessary work, you should be fine.

    – Watch out for scam artists! This is especially true for early retirement planners. There are all sorts of shady characters looking to separate you from your retirement money. If someone’s retirement “advice” sounds too good to be true (see the previous tip), then it probably is.

    Any other advice to offer those planning to retire? Comment below!

    Image via YouTube

  • Shocking Financial Statistics [Infographic]

    I know, you’re sick of hearing about the money that you don’t have. Unfortunately, the fact is, many of us aren’t making enough money to pay our bills let alone, save for retirement or put away extra money for an emergency situation.

    Of course, we have all heard the non-sense financial plans that boast they will work for anyone. Come on, if you don’t have enough money to pay your phone bill, how can you put 10% of your paycheck in the bank?

    Either way, this next infographic from GreatPlainsLending.Com will either let you know you’re not alone, or remind you of what a great position you’re in. It’s packed with great financial facts, that in some cases, may surprise the hell out of you.

    42% of workers live paycheck-to-paycheck, that’s my favorite. Almost half the people graduating from college can’t find a job. Less than seven years ago, almost 90% of graduates were getting jobs, and making about $3000 more per year once they were hired. Don’t let anyone fool you, this economy isn’t getting any better, we’re just getting used to being poor.

    Take a lesson form these statistics, the situation isn’t going to change on its own. If you can cut spending and maximize your earnings, it will put you in a better position. If that’s not possible, don’t get too frustrated, it looks like half of America is right there with you.