They say that a journey of a thousand miles starts with a single step. The same can be said for retirement planning.
How much have you contributed to your retirement so far this year? Will you have enough to live on for the last twenty or thirty years of your life? If you are like most people today, the answer is somewhere between “not enough” and “I’ll never retire at this rate!” The lack of retirement savings by Americans is a growing crisis now that a mere 28% of millennials have more than $10,000 saved and 42% of millennials have no retirement funds at all. Still worse, 31% of Generation X between the ages of 35 and 54, now closer to retirement, haven’t saved anything at all.
It is easy to see why so few have retirement funds tucked away as we all feel the weight of student loans, healthcare expenses, rising home prices, and the lure of instant gratification. A secure retirement, however, is really just a matter of careful long-term planning. While the number of Americans without savings is alarming, it is also true that 25% of workers over 55 have more than $300,000 saved—showing the real power of long-term planning. So how can you put yourself in that 25% who can retire confidently at 65?