Retirement Plans

[David88vert]

Who has a retirement plan, and are you actively pursuing it?
Are you saving enough?
How many are utilizing their 401k and IRA options?

The Wells Fargo retirement survey, which polled nearly 2,000 middle-class Americans ranging from 20 to 60 years old, found that Americans aren't saving enough, they are underestimating the amount of money they will need in retirement, and they are more likely to end up working through retirement.
http://money.cnn.com/2010/12/08/retirement/savings_nest_egg/index.htm

[BanginJimmy]

I honestly think this is a byproduct of social security. For generations we have seen people forgo personal investment and retirements in favor of SS. Now that is coming to a point where the program is unsustainable and the lack of personal retirement accounts will push most seniors into poverty or forced to move in with children.



I have a 401k through work and my employer also offers a lifetime pension for retirees. I also have a Roth IRA and stock that is separated from my work accounts. According to one of those generic online calcs, my Roth plus the 401k will be worth about 1.5mil (my target sum) if I retire at 68.

[quickdodge®]

I use work supplied 401K and I have a Roth. But I'm in a fortunate situation. My house is paid for (since the mid 80's) so I should never have to worry about a roof over my family and I's heads. So basically my retirement will be able to take care of other things such as utilities. Later, QD.

[bu villain]

401k from my company, separate Roth IRA, separate non-retirement brokerage account. Am I saving enough? Can't predict the future so I don't know. What I do know is that I'll work as long as I can doing what I love.

[ek forever]

I work for ~$8/hour at a radio station as a news caster and reporter and wait tables on the weekend. I make about $19,000 a year after taxes.

I just put $1000 into a prospectful drilling company in the tri-forks area in North Dakota.
$100/month direct deposit in my Roth-IRA
and I've still got about $5500 in a high risk annuity.

Bu villain:

The financial advisors I've spoken to say the "norm" of ~12% of your earnings in retirement is more like 15-20% now.

With 15-20% you've got a much better shot at not only sustaining your standard of living in retirement, but also a better chance at being able to retire early, or with a lot more money.

[bu villain]

@ek: Yes 15-20% is a standard range thrown around by financial advisors but it is only a generic guideline and not that great of one in my opinion. How much you need to save depends on your expenses during retirement, it has nothing to do with your salary. If I were to double my salary tomorrow, I wouldn't suddenly need more money for retirement. If anything, I would need to save a smaller percentage of my salary.

[ek forever]

If your salary doubled tomorrow, you would need to increased your savings IF you want to maintain your standard of living.

If you want to scrape by in retirement, save as little as possible.

Besides, what negative aspects are there in saving too much? Heaven forbid some hard working determined person save 50% of their salary and retire at 45 and live comfortable for the rest of their life.

[SLOWR/T]

Retirement plans.... Whats that??? LOL.

[bu villain]

If your salary doubled tomorrow, you would need to increased your savings IF you want to maintain your standard of living.

No you wouldn't because you could give away half your salary and still have the same standard of living you had before the doubling. Salary does not equal standard of living.


If you want to scrape by in retirement, save as little as possible.

Besides, what negative aspects are there in saving too much? Heaven forbid some hard working determined person save 50% of their salary and retire at 45 and live comfortable for the rest of their life.

Who is advocating not saving? I save approx 25% of my income and I'm saying I can't be sure that is enough even.