Boost your savings by putting your money to work for you - at work.
Here’s the most important part of this savings exercise: putting that extra cash into your 401(k) plan.
You can do this by increasing the percentage of your salary that’s automatically contributed to your account every payday.
It’s easy to make this change usually via your plan’s website or calling a toll-free number.
Boosting your contributions, even a little, may significantly increase the size of your nest egg over time.
By finding a few places to cut back on your spending, then directing the savings to your retirement account, you also have the opportunity to increase the size of yoru retirement account - and gain greater confidence about your financial future.
My employer matches our contributions 100% so you can bet I max out as much as I can afford each month.
And should I have months where I can’t contribute as much as I would like (due to money needed for extensive car repairs or whatever else may pop up), I can go into my plan’s website and lower my contributions.
BUT the beauty of this is - my employer is still matching what I contribute 100%.
Oh, yea, easy money!!!
If you are not yet contributing to your 401(k) plan, START RIGHT NOW!
Besides, you never know if you need those funds earlier than retirement and even though there is a tax penalty for pulling them out early, if they are needed, they are there for you.
Do you know what I wish?
I wish my parents had been financially savy enough to advise me to start contributions when I was first employed.
What you can do? Help your kids to become financially savy investors.