Most Americans say one of their biggest financial fears is not having enough money for retirement. Yet fewer than half actually make any plans to set aside funds for this very important time of life. Retirement is a phase of life to look forward to but for most people, retirement planning brings more questions than answers.
When should we start planning?
How much will I need for retirement?
Are we saving enough?
What questions should I be asking?
How can we best manage our assets to secure our retirement?
What should I know about Individual Retirement Accounts?
Who can give us some help?
While Social Security is still considered the primary source of retirement income, it is no longer enough to depend solely on Social Security. Personal savings from another type of retirement plan are essential to retirement security. Like building your legacy, planning for your retirement is a lifelong process. The earlier you start, the more prepared you will be when the big day finally arrives. Here’s just one example of the benefits of starting early on retirement saving.
If you start saving at age 25 and set aside $100 a month in a retirement plan or IRA at a 3% return (compounded quarterly), you will have $100,547 at age 65.
If you start at age 35, and make the same $100 a month contribution at the same 3% return, your account value at age 65 will be only $63,258.
Covenant Trust Company® can assist you with the whole process of planning your financial future. In addition to serving as trustee for both traditional and Roth IRA accounts, Covenant Trust Company offers asset management services which may be helpful to you. Talk to your Financial Services Representative for more information. [view Directory]
Retirement Central™ provides information for retirement and pre-retirement planning: information on IRA accounts; planning calculators; up-to-the-minute news affecting your finances and retirement; resources for learning what questions to ask; and current items of interest. There is also an FAQ [Frequently Asked Questions] section for Social Security, Medicare and IRAs. Visit Retirement Central now.