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“When I was young I used to think that money was the most important thing in life; now that I’m old, I know it is.” Oscar Wilde

Ahh, retirement. That time of life where you can kick back and read a book all day long and no one will notice or care (unless the Honey-Do list is going unattended or dinner isn’t fixed…). Maybe you want to do volunteer work with your favorite charity. What could be better? Travel the world? Yes, please… All these things sound great until reality hits you in the face like a flying fish thrown at Pike Place.

A show of hands, please. And age of the reader does not matter. Have you started saving for retirement? For you youngsters, it’s never too early. For those of you who, like me, are of “a certain age”, it’s not too late to get started.

First, for the youngsters…

Think of something in life you’ve made a habit out of. Weekly manicure? Daily trip to the coffee shop? Movies out? While having fun with your money is one of the joys of becoming an adult, it’s never too early for you to start thinking about your retirement years. It seems like a lifetime away, and it is, but that lifetime will fly by in a wink. You’ll look around 40 years from now and wonder where the time went. Trust me on this one…What if you took some of that money you’re spending on indulgences and put it away for the proverbial rainy day? And before you think I’m against indulging yourself, the occasional indulgence is perfectly fine. It’s the daily & weekly indulgences that probably need to be given a second look as they can add up pretty quickly. Anyhow, if your employer offers a 401(k) or 403 (b) plan, take advantage of it. If they offer a match, contribute at least the minimum matching amount. More is better. but you don’t want to leave free money on the table! It’s also likely you can contribute to an Individual Retirement Account, or IRA, at the same time. You should consult with a professional financial advisor (as I am NOT one!) to advise you on what your individual limits are. Don’t wait on this-compound interest is a thing, and something you want to take advantage of early and often!

Now on to the older folks…

According to a study cited by Chris Hogan in his book, “Retire Inspired”, close to 35% of American retirees over the age of 65 rely almost entirely on a Social Security payment that averages only around $1,194 per month. He also cites studies that show half of 401(k) participants only have $10,000 saved for retirement. That’s scary stuff! I don’t know about you but that doesn’t sound like travel around the world money to me. The good news is, it’s not too late to get started saving for retirement. After age 50 the 2018 contribution limit into an IRA increases to $6,500. As with the youngsters, it’s best to rely on the advice of a professional financial planner to set you up and get your savings going. Depending on your situation there are multiple strategies you can employ to get to your goal of a stress-free retirement and a pro can help you get there.

I cannot stress enough the idea that it’s not too late to start saving for retirement if you’re in your 40s, 50s, or even in your 60s, especially if you own property. There are ways to fund your retirement if you’re late to the table. Don’t wait, though-every day that goes by is a lost opportunity. Check with friends and family and get a recommendation for a good financial planner. Wall Street Journal also has a guide for choosing a financial planner including some of the questions to ask before working with one. You may have to interview one or more before you find one that will help you reach your goals but don’t let that stop you. A little homework now will save you frustration later! It may even keep you from having to work longer than you had expected.

Be well and God Bless-until we meet again…

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