5 Invisible Ways to Save for Retirement

Posted on November 21, 2012 at 5:30 pm

(US News) It’s hard to save money. It takes discipline, foresight, and self-sacrifice. Plus, it helps if you take home a nice big paycheck, which most of us don’t have the luxury of doing. By the time you’ve paid your mortgage and utility bills, your taxes and credit card bill, and bought some gas and groceries, there’s usually nothing left.

So how is a mere mortal supposed to save for retirement? We know we all have to do it, because Social Security is shaky and pensions are fading away. The only way for most people to accomplish the goal is to arrange their finances so the whole process is invisible. Behind the scenes. So you never see it, never miss it, and most importantly never spend it.

Here are five ways to save for retirement—ways you don’t see, so you don’t feel the pain.

1. Sign up for your company plan. This one’s a no-brainer. If your company offers a 401(k) plan or other retirement system, sign up as soon as you’re hired. Don’t wait until after you’ve paid your first month’s rent or put a down payment on a car. Do it now, before you get used to having that extra money in your paycheck. The idea is to skim off the top, so you never miss it. Meanwhile, check to see if your company matches your contributions. You don’t want to miss out on any free money.

2. Don’t leave anything behind. This almost happened to me. I had a job back in the 1970s, when I was in my 20s and the word retirement wasn’t in my vocabulary. But recently I was talking to an old friend. He asked me what I’d done with that old retirement plan. I’d completely forgotten about it. I called up the human resources department, thinking they wouldn’t even know who I am after all these years. But sure enough, I was on their books, with a balance of about $4,500. Not a lot. But every bit helps. I had them move the money directly into my IRA account, without passing through my own greedy hands. So if you have any old employers, check with them and make sure you’re collecting all the old retirement credits you may have earned 20 or 30 years ago. CONTINUE READING

What are your thoughts? We want to hear from YOU! Go to our TAKE ACTION page and record your own story on your webcam, or leave us your comments, below!

Comments

Comment via Facebook

Post a comment and share it with your friends instantly using Facebook.

Show FB Comments

Comment via this site

Prefer to just post a comment directly to the Broken Eggs site? No problem - do that here!

Show Site Comments

5 comments

  1. Comment by Mariam Tedder on November 4, 2019 at 4:17 am

    Love posts of this author!!!

  2. Comment by Shireman on November 4, 2019 at 8:44 am

    Excellent pieces.

  3. Comment by Leonardo on November 8, 2019 at 1:37 am

    Thanks for sharing with this info, it may be useful
    for a person to use it for composing some essay, for instance.
    I especially want to notice your capacity to express information in an accessible way.

    As a popular-science blogger, then I want to be sure of
    every element of my writing to meet inquiring heads with
    quality advice and maintain their interest until
    the end of the article. You made me read it till the end

  4. Comment by Nikki on November 20, 2019 at 1:53 am

    I didn’t have any expectations regarding that title, but then the more I was astonished.
    The author did a great job. I spent a few minutes studying and assessing the facts.

    Everything is clear and understandable. I like posts that fill in your knowledge gaps.
    This one is of that sort. Moreover, I enjoy
    how the writer organized his thoughts as well as the visual component.

  5. Comment by Tatyana Yeary on November 20, 2019 at 3:47 am

    I’ve been searching for a place similar to this for a very long time.
    I was looking for someone who would be able to definitely browse me on this matter
    and was fortunate enough to locate you. Thank you a lot for your
    detailed reason, you drew attention to a very common issue!
    Although I share your view for the large part, I presume that a few things are
    worth using a more comprehensive appearance to understand what’s going on.

* Required