More than a third of Americans feel their retirement savings are falling significantly short, according to Bankrate’s 2024 Retirement Savings Survey. 35% of American workers believe they are way off track in saving for their retirement. Retirement is a major life milestone, and planning for it can seem overwhelming.
However, it’s never too late to start or enhance your retirement savings. Whether you’re just starting out in the workforce or nearing retirement age, there are steps you can take to secure your financial future. If you haven’t yet, consider opening a retirement account such as a 401(k) or an IRA.
These tax-advantaged accounts can significantly boost your savings. If your employer offers a matching 401(k) contribution, make sure you contribute enough to take full advantage of the match. It’s essentially free money.
Set up automatic contributions to your retirement account. This ensures consistent savings without having to think about it each month.
americans’ retirement savings challenges
Review your budget and identify areas where you can cut back. Redirect those savings into your retirement fund. If you can’t max out your retirement contributions immediately, start by increasing them slightly each year.
A financial adviser can help you develop a plan that’s tailored to your unique financial situation, time horizon, and risk tolerance. Keep up to date with financial news and periodically review your retirement plan to make necessary adjustments. By taking these steps, you can improve your retirement savings outlook and work towards a more secure financial future.
Retirement planning doesn’t have to be daunting. With a little effort and the right advice, you can get back on track. Start where you are, with whatever you can manage.
The habit of saving and the discipline of planning are just as important as the amount. Small, consistent steps will build up over time.