5 Ways to Plan for Retirement
Keep your eyes on the prize. Everyone works so one day we won’t have to work. It’s never too early to start planning for the golden years of retirement. Here are five ways to help your retirement strategy.
Learn about your company’s 401(k) 401(k) plans and begin to contribute to your account. Many companies will match your contribution to your 401(k), and many 401(k)s will also let you contribute pretax money, meaning you don’t lose as much of your paycheck to tax.
Open an IRA
IRAs are personal savings accounts. There are two different IRA accounts, traditional IRA and Roth IRA. Traditional IRA accounts allow you to pay taxes when you take the money out for retirement. While Roth IRA’s take tax out when money is placed in the account.
Track Your Progress
Be sure to keep in contact with your account manager and his or her recommendations for changing the diversification of your account.
Automate Your Savings
Set up an automatic movement of money to a savings account. It will be easier than actively remembering to add to your accounts every month.
Set a Goal
Understanding how much you will need for retirement will help you to save for the future. Use a personal retirement calculator to find how much you should save.