Thursday, January 9, 2014

How Much Should You Have Saved for Retirement at Your Age #savings #retirement

I have been saving for retirement as much as possible over the years, but I have often wondered, am I saving enough?  I finally found an answer to my question.  Clark Howard shared Fidelity Investments new easy rules of thumbs to make sure you know you are where you need to be based upon your age.

Their guidelines suggest that by age 35, you should have saved up one times your annual salary for retirement.  Then by 40, you should have saved 2 times, by age 45, three times, by age 50, four times and so forth till you reach 67 and you should have eight times your annual salary saved up.

If you have a 401(k) investment plan at work, make sure you take full advantage of it, especially if your employer will match what you contribute.  Don't be afraid to do this--you will notice very little difference in your paycheck as these are pre-taxed dollars!

1 comment:

tannawings said...

I wish I had a 301K it is a pretty painless way to save. I certainly have nowhere close to what I should have saved.

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