Please join IAI in celebrating National Save for Retirement Week (October 18 – 25). Studies indicate that many Americans are not prepared financially for their retirement. In an effort to help find ways to increase your retirement savings, we suggest changing small spending habits and turning them into small savings habits.
A small change could be making morning coffee at home instead of buying your favorite $4 specialty cup twice a week. That’s $32 dollars a month you could contribute to a personal IRA or your company’s 401(k) retirement plan. That yearly total is $384; multiply that by 12 months a year for 20 years and you get $7,680. That specialty coffee twice a week contributed into your person IRA or 401(k) retirement plan with a hypothetical 6% interest rate over 20 years equates to an estimated $14,581 savings in retirement.
That small change in your spending habit today could result in a significant retirement savings growth when you reach retirement age. During National Save for Retirement Week we encourage you to think of other ways to change your spending habits and turn them into savings habits. Remember that it is never too early or too late to start saving toward your own retirement.
Here is an informative website for learning more about saving towards your own retirement: www.FeedThePig.org/get-started