Can anyone tell me what i can do to start saving for retirement?

Question

i am in school and i only make about $500 per week but i would like to know what i can do to start saving for retirement besides a regualr savings account. can anyone please give me some advice?

Answer 1

Do you have any debts? If yes, then focus first on paying them off. Once they are paid off, and you have 3-6 months of expenses saved in an emergency fund, then you should put 15% of your gross income into retirement through a 401K at work and an IRA.

Answer 2

The sooner you begin, the richer you will be!

If you are still in school, consider developing a habit that if you stick to, will make you into a millionaire or better by "middle age":

Pretend you only make $450 a week, and find a way to 'manage', ie give yourself a 10% pay cut. Invest that $50 in a broad stock market mutual fund with low expenses, and do that every week regardless of what the market does.

Let's assume you are 18 now: the most conservative estimates would turn that $50/week into over half-a-million by "middle-age", and that's assuming you never got a raise! The more realistic scenario would get you close to a million.

Answer 3

A 2001 poll* asked savers and non-savers alike if they felt "very confident" about their retirement prospects. How would you answer that question? Do you have a savings plan?

The results of the poll showed that savers felt much more optimistic about their future than their counterparts who weren't saving at all. Take a look at how those polled answered the questions below.

Will you have enough money to:
Savers Non-savers
Live comfortably? 29% 7%
Pay for basic expenses? 48% 13%
Cover medical costs? 25% 8%

Some 60% of those polled felt "behind schedule" when it came to saving for retirement. If you feel behind, start saving today — it can do wonders for your outlook. Contact a Primerica representative for details.

Answer 4

To save you must always spend less that you earn. Sounds simple, but a lot of smart people can't seem to figure that one out. Save for stuff, you INVEST for RETIREMENT.
Investing requires risk, return, and common sense. History shows that owning companies will always earn more money than loaning money. In other words, investing in stocks will make you richer than bonds and especially CDs (saving for something you will use within 2-3 years and putting that money into a CD is typically good).
Look at some of the other questions to learn about:
Mutual Funds
Roth IRAs
Roth 401ks
Then regular 401ks

Also, look around to learn about starting your own business. Entrepreneurs always make the most money.

Answer 5

Open an IRA, either Roth or traditional. In addition, even if you're only making $500 a week, see if the place you're working offers any form of 401k.

Answer 6

do not wait, commence now (in spite of when you're 21 years previous). How a lot should be adequate extremely relies upon on what style of existence form you opt on once you retired. yet do commence to save NOW. hit upon a severe pastime cost mark downs account at a monetary corporation now, than once you've adequate minimum stability requirement (each monetary corporation varies, yet some in hardship-free words require $a million,000 to open one) to fulfill the Certification Deposit account open one. because CD charges pay much better expenditures of pastime than mark downs. yet when you're already artwork finished time with 401K retirement plan, absolutely attempt to max out. intending to make a contribution as a lot as they allow you to too. maximum corporation will also tournament your contributions as a lot as 50%. case in element, in case you position (make a contribution) $one hundred to personal 401K account, the corporation tournament from 2% to 50% (relies upon on the corporation's set percentage). in the journey that your organization tournament 2%, they positioned $2 on your 401Kaccount, in the journey that they tournament as a lot as 50%, they're going to positioned $50 money on your 401K account. in the journey that your campany do not tournament something in any respect (convinced, there are organizations available do not tournament any 401K contribution), you ought to nonetheless open one, because the money you install your 401K account is pretax, which will also help decrease your tax bracket. final analysis is, you pay a lot less income tax.

Answer 7

I am not a financial adviser, but if you open an IRA and put 50.00 per month (12.50 per week), you will have quite a nest egg in about 15 years.


good luck & blessing

Answer 8

At this point, your best option is to open a ROTH IRA. IF your employer has a 401k plan...or your future employer...then make sure you take advantage of it.

Answer 9

Take a small amount of $, put in a liquid CD for a high interest rate and dont touch it.