Tags: Retirement | retirement | saving | how to begin

How to Begin Saving For Retirement

By    |   Sunday, 14 June 2015 10:54 PM

The idea of saving for retirement can be daunting to anyone, especially for those people who feel they're already drowning in current bills. Still, putting money aside for retirement is an important step toward guaranteeing comfort in later years.

It's unclear what Social Security will look like in the future, or how retirement benefits will match up with cost of living increases. Once your realize that saving is mandatory, you can begin to put away money toward a nest egg.

Free Retirement Calculator: When Can You Retire? — Click Here to Find Out

Here are some things to know about getting started saving for retirement.

A helpful concept to embrace is the importance of paying yourself first, which Investopedia calls "one of the pillars of personal finance." Once your paycheck arrives, stash some cash in a savings account before paying bills or buying groceries. The rule of thumb is to think of personal savings as the first bill you must pay each month, even if it's a small amount.

Don't worry if you can only save a small amount each time. It will add up. Accept the challenges and embrace the discipline as it will benefit you in the long run. Save as much as possible as often as possible. A few hundred dollars a month is a meaningful start, and you might discover that you don't even miss it.

How Soon Can You Retire? Free Test Shows You When — Click Here

Most online bank accounts let customers set an amount to automatically deduct each month, or maybe your employer offers a 401(k) program, in which money can be subtracted before being deposited in your account, according to Investopedia.

Once you begin to accumulate money, you will need to make decisions regarding the types of financial risks you're willing to take, and much of that is determined by factors such as age, dependents and lifestyle. Risk aversion often evolves over time.

As you acquire more security, you can adjust your strategy accordingly, and diversify across multiple strategies. In general, the most important thing is to simply construct a retirement strategy. There are different ways to invest, and many factors will dictate which plan is right for you at various stages of your life. Stick with a consistent, disciplined approach, and let the money increase organically, and it will result in a more secure financial future.

An Extremely Simple Way to Determine If You're Ready to Retire — Find Out Now

Related Stories:

© 2021 Newsmax. All rights reserved.


   
1Like our page
2Share
Money-Wire
The idea of saving for retirement can be daunting to anyone, especially for those people who feel they're already drowning in current bills. Still, putting money aside for retirement is an important step toward guaranteeing comfort in later years.
retirement, saving, how to begin
425
2015-54-14
Sunday, 14 June 2015 10:54 PM
Newsmax Media, Inc.
 
Newsmax TV Live

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved