How old is too old to start saving for retirement? Most of us know that the earlier you start saving for retirement the easier it will be and the better off you will be when you are ready to retire, but what if you’ve waited till your 40 to start? What if you are 50, 60 or even 70 and haven’t saved a dime for retirement? Don’t worry it’s never to late to start.
Now, I’m not writing this article to let those younger think they can wait until they are older to start saving for retirement. You will be much better off and able to enjoy a much happier retirement if start young. This article is to encourage older people that it’s never too late to start saving for a more enjoyable retirement.
Obviously, you are going to have to invest a little more money each month to get to this comfortable retirement, but it will be well worth the effort.Â If you got 20 or 25 more years in your career then you will still be able to build a good nest egg for yourself.
The first step is to realize that you are going to be able to pull this feat off. Don’t keep telling yourself that you’ve waited too late in life to start, it’s never too late. You don’t know how long you are going to live, you could live to be 100. If so you will be kicking yourself for saying it was too late when you were 40 or even 50, well if you can get your legs off the ground!
Let’s be honest you are going to have to save a lot in order to catch up for lost time. Find any way possible to cut everyday living costs and expenses in order to save for your future. Turn those lights off when you leave a room, use lamps instead of overhead lights, turn the water off when burshing your teeth, and the list continues. Every penny you save today may be worth 3 in the future!
Next, take all this new found savings and start investing it. The first place to start would be an employee sponsored 401k program that matches your contributions. Next, setup a Roth IRA so your withdrawals will not be taxed, it doesn’t matter how much you invest to start, but consistently put something in your Roth. Finally, try to pay down those bills and debt. Being debt free will greatly reduce your financial needs when you retire.
Finally, don’t stop. Keep the momentium going until that long awaited day of retirement. When you get a raise at work increase your 401k contributions. Finish paying off a debt, add it to your monthly investment in your Roth IRA. Save, save, save and you will be a happy camper!