What Should I Consider When Saving for Retirement?
If you start saving for retirement early on, you have a great advantage. In fact, starting just five years early can mean a difference of several hundred thousand dollars by the time you retire. The ideal time to start saving for retirement is not later than 30 years old. This age gives you a chance to put aside a small amount each month rather than a large lump sum. For example, if you start saving in your late 20s, you need to put aside about ten percent of your annual salary; if you start in your early 40s, the percentage goes up to 30 percent. But whatever your plans on saving for retirement are, here are a few guidelines on what you should keep in mind. Before you even start saving for retirement, consider how much money you really need to keep your current lifestyle after 60. Do you want to keep the same level of monthly salary as you have now? Do you want to be able to travel and spend more money annually than you do now? Experts estimate that you need at least 75 percent of you
