If you are like me, saving up for retirement can be a little overwhelming to say the least. Many Americans feel a little stress from time to time just managing to pay their monthly bills. How can it even be possible to save up enough money to cover living and medical expenses for ten or even twenty years during retirement? Some Americans find themselves relying completely on social security while others don't believe there will be enough social security by the time they retire. Many individuals find themselves employed well into their sixties or seventies just so that they will have the money needed to pay their bills. In my personal opinion, social security will be available when I retire, but it may not be enough to cover my expenses. There is speculation that perhaps instead of getting 100% of my projected benefits, the government may only be able to afford to pay out 70% or even less. There is really no way to predict the future and that is one simple reason why it is an excellent idea to start saving for retirement today. There are many ways to save and this article will mention one way that is simple, easy, and stress free.
Many employers offer 401k investments to employees. This benefit is one way that employees can set aside money from paychecks and deposit it directly into a savings or retirement account. Depending on the benefits offered, some employers may match a certain percentage of employee contributions. This is free money they are willing to give employees for contributing into a retirement account. If your employer currently offers a 401k benefit and is willing to match up to 5% of your contributions, it would be a good idea to contribute at least 5% so that you can get the extra savings your employer is willing to offer. There are a variety of different retirement accounts and 401k investments offered by employers and financial institutions. By taking advantage of this benefit, it will make saving for retirement easy and worry free since it will take care of itself. Every paycheck an employee receives will have had a portion of it already withheld for savings.
If your employer does not offer a 401k option, there are many ways to save as an individual. By meeting with an investment advisor, you can learn even more about what options you have available and which type of savings account is right for you.