1. Nowadays, people are living longer so retirees are spending 30 years or more in retirement. It is important toplan ahead if you want to maintain your standard of living during that time. Investing in tax-deferred savingsplans and investing in other sources can help you get to a comfortable level for retirement. Determine yourcurrent situation. Obtain the current value of regular accounts, IRAs, and company tax-deferred savings plans. Get an estimate of any company pension plan. Estimate your future Social Security benefits. This can be done more easily with a retirement calculator.
2. Choose a retirement date.
3. No matter how young or old you are, get started today. Due to the miracle of compounding, starting a little earlier makes a big difference. Consider the following (assuming a 10% annual return): Who do you think would have more money in 40 years, a person who contributes a fixed amount every year for the first 8 years and then does nothing for 32 years, or the person who does nothing for the first 8 years and then contributes that same amount every year for the next 32 years? Believe it or not, the first person would be ahead at the end. Get started today!

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This entry was posted on Monday, December 13th, 2010 at 6:56 am and is filed under Uncategorized. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.