Retirement planning plays a significant role in an individual’s ability to live comfortably during their later years. Unfortunately, more than 60% of people in the United States do not have nearly enough money saved for retirement. Planning and saving early for retirement reduces the chance that an individual will not have enough money saved. Several situations can contribute to a lack of retirement resources. The Internal Revenue Service establishes rules on the contributions people can make depending on a number of factors. Despite this, people can use a range of strategies to accumulate enough wealth for retirement and the selected strategy depends on an individual’s age group.
People just entering the workforce can benefit greatly from saving in their early to mid-20s. Contributions in this age group increase substantially over time. Once an individual reaches their 30s, he should begin seriously planning his retirement. Planning in this age group is critical because the ability to gain on investments begins to dwindle. People in their 40s should consider a more aggressive savings practice because with roughly 20 years before retirement, the opportunity for investments to grow has decreased substantially. In addition, readjusting, or starting with, a mixed investment strategy will level off the overly aggressive approach that might allow money to grow steadily. Individuals in their 50s might experience financial pressure while caring for aging parents or putting children through college. Consequently, an aggressive approach to retirement savings might be required.
The 401(k) plan offers people interested in retirement planning an option for saving money. The Internal Revenue Service limits the amount of money an individual can contribute and the limitations vary depending on several factors. Generally, employers deduct the amount an employee specifies each pay period in a tax-deferred manner. Contributors do not pay taxes on payroll deductions; they are paid when someone withdraws money from the account.
This document discusses the importance of starting a 401k plan early in life.
This page offers information about 401(k) forms and a comparison of plans.
This document offers an overview of retirement planning for individuals graduating with a doctoral degree.
This document offers an overview of automatic enrollment and wealth building through pensions.
This page delivers tips for planning retirement.
This page offers a link to a paper for download that discusses an individual approach to retirement saving.
This page provides links to articles that discuss retirement planning in the 20s, 30s, 40s, 50s and 60s.
The Social Security Administration offers a range of resources on this page.
This page offers information about making the appropriate estimates when planning retirement.
This site offers sound advice and a roadmap for retirement planning at any age.
This page offers a range of retirement tools and tips.
This page offers information about retirement planning for individuals in their 20s.
This site offers information on the best way to plan for retirement.
This article delivers advice on investments, private savings and retirement planning for 20-somethings.
This site provides advice on planning retirement when you reach your 30s.
This article offers information about building a secure financial foundation in your 30s.
The Department of Labor offers facts, statistics and advice on preparing for retirement.
AARP offers a range of links and resources for retirement on this page.
This page offers advice on developing a retirement budget.
This document delivers information about reconsidering the economic climate and creating a successful retirement plan.
This page offers information about retirement plans and defined contributions.
This page delivers information on managing finances and lifestyle choices for retirement planning.
The Internal Revenue Service provides information about deferrals.
This page offers information about the retirement investment process.
This page offers information about investing retirement funds in the stock market.
This page offers advice on retirement planning during an economic crisis.
This page offers information about the rules that govern 401(k) withdrawals.
This site offers a range of 401(k) retirement resources.
This article provides information about the power of a pension plan.
This page offers links to several retirement resources.
This page provides detailed information about 401(k) plans and the retirement process.
This page offers advice and links related to planning for retirement.
This page provides information geared toward women, social security and retirement planning.
Author: Ben Michaels