Reach Your Retirement Dreams
Oh, to be retired now that's the life. You could travel the world. Devote more time to friends and family. Or, be free to dive headfirst into a favorite hobby. Here are a few tips to help you realize your retirement dreams no matter how near or far away retirement is for you.
Three Helpful Planning Tips
When it comes to retirement, the key is planning ahead. Consider these useful approaches:
- Pay yourself first. Consider for a moment how much money you'll send to your phone or cable company over your lifetime. A lot, right? It adds up because every month you diligently write them a check. Now imagine writing a monthly check to [your name here] with the same unquestioned discipline. Better yet, set up an automatic monthly transfer program to a savings account1, money market account1 or mutual fund2. Paying yourself first is a great way to build retirement savings a little at a time.
- Use the right tools for the job. Who doesn't like an easy solution to a problem? When the problem is saving a large amount of money for retirement, one tool that makes things easier is an Individual Retirement Accounts3 or IRA. With an IRA, the money you contribute grows tax-deferred until you take it out at retirement. By allowing your money to grow tax-deferred, you take advantage of compounding interest, the subject of our next tip.
- Start today. No matter what your age, there's one very good reason to start saving today for retirement it's called compounding interest. With compounding interest, the interest you earn on your money earns interest, and that interest earns interest, and so on. In addition, compounding interest helps you to outpace inflation. The longer you let your money compound, the more you'll have to fund your retirement dreams.
Here's a final tip: Dedicate your next mouse click to your retirement security. Check out our full range of retirement planning tools or contact us for personal help with your retirement planning.
Retirement Planning Tools
Take a minute to plan or fine-tune your retirement strategy with these helpful tools:
Calculate the age I should start saving for retirement.
Evaluate my current retirement savings plan.
Determine my IRA options.
Calculate how inflation will affect my retirement.