That would be to save for retirement! But AD, I am only in my twenties and I want to have fun. But AD, I am only in my thirties and my kids are so expensive. But AD, I am only in my forties and I need to pay for my children’s college. But AD, I am only in my fifties, the kids are leaving, and and it is time for us to spend on ourselves. Now I am in my sixties, AD, and I will never be able to retire. I will be working until I die.
In all my years of living, I have heard it all. There are always excuses and the biggest one is that I have lots of time left to save for retirement. Tell that to all of the seniors who are living on social security only and wondering how to make ends meet, skimping on food to pay for medical prescriptions or going without. They are also wondering if their social security and medicare will be cut because the government spent all the money they put into pay for those things in retirement. Now they say the system is going broke in a couple of years.
Funny thing about time, it flies right by so fast that you really don’t even notice until it is too late.
Pension plans were a terrific retirement vehicle in my day but they are almost non existent now. Besides so many companies pension plans have gone broke and their retirees have lost everything.
Government pensions plans were better. However take a look at how many states like California and Illinois and many others did not fully fund their employees pension plans while those employees were working. Now they are in the hole trying to pay them. Unless you have that money in your hand, you can’t count on it. These states could easily tell retirees, we can no longer afford to pay you so sorry. Some states have already reduced the amounts the retirees are getting monthly. You can only count on yourself!
I can vividly remember the first time we put money away for retirement. I was 19 years old and Hubby was 20. We are so glad we saved because if our small pension goes away and social security too, we will be just fine.
If you are in your twenties or even thirties, you have a long timeline to invest and be set in retirement. If you are in your 40’s or 50’s, it is a necessity that you save for retirement. You will have to put more away but it isn’t too late. Many retirees ramped up their savings when they were in their fifties and now are living a great life in retirement. Waiting until your 60’s is much harder. You may have to always supplement with a full or part time job.
For those of you whose employers offer a match on your 401K, make sure that you are taking advantage of that. If you aren’t, you are throwing away free money.
To go along with this, pay off all of your debt before you retire including your mortgage. The last thing you want hanging over your head in retirement are mortgage, car, or credit card payments. If you have a paid off car going into retirement, start saving to replace that car.
Too many seniors now have debt in retirement. The most recent debt statistics that I could find were for 2016. It shows that seniors over the age of 65 had a median average debt of $ 31,300. That has to affect these seniors mental health. The stress must be tremendous!
Do something to save for retirement now! You do not want to be one of these seniors when you retire.
all know that prices go up. We will be retired 19 years in 2020. The
money that we retired with has lost 45.3% of it’s buying power due to inflation since we
retired. An item that cost us $1,000. in 2001 now costs us $1453.15 in 2020. So you have to account for inflation when you are saving for retirement. It is a fact of life.
I hadn’t planned on writing on this today but looking at everyone’s goals on their blogs or on You Tube, only a couple suggested saving for retirement and I believe it is the most important thing that you can do.
Now for an example of rising costs. We got our January property tax bill that I will be paying today. Since we moved here 10 years ago, our assessment on our home has gone up by $ 50,700. and our property and school taxes have gone up over $ 1250. annually. If we hadn’t accounted for these increases, we would not be able to stay in our beautiful home that we love.
I think back to when we were paying a total of $2500. in property and school taxes in AZ when we moved. That was wonderful. Now we pay about $ 8400. annually here in New York. Yes, moving was our choice. We moved to be near our children and our grandchildren. But isn’t it fantastic that we had that choice!
So please save for your retirement this year! When you are as “young” as me, you will be so happy that you did.