3 Useful Tips To Boost Your Retirement Fund
It is never too early to start planning your retirement fund. Learn this 3 great tips in how to boost your retirement funds from streetwisejournal.com
It’s easy to see why. You have responsibilities that need your urgent attention, which often cause you to neglect the equally important task of planning and saving for your retirement. Complicating the matter are wages, which have stagnated in recent times, and there’s the cost of living that continues to rise year after year.
For many people, the 401(k) workplace-savings plan, which is supposed to supplement traditional pensions, has become their sole or main retirement-savings solution, but some financial experts say that wouldn’t be sufficient.
1. Start a rainy day fund and pay off your debt
One of the biggest expense competing with most people’s retirement savings plans are unexpected costs like house repairs or emergency medical expenses. To address this, wealth managers suggest that you start a rainy day fund, which is at least six months’ worth of your monthly living expenses. You can start by setting aside a small portion of your income, then increase it after a few months. This should be your top priority.
2. Automate your savings and invest your money
As you reduce your liabilities, begin saving for your retirement. To make it more manageable, start by saving at least 10% of your income. Then increase it in increments over time.
If your place of work has a 401(k), make sure you contribute to it. Some 401(k) plans offer an auto-escalation feature that automatically increases your contribution after a set period of time. If your company doesn’t have 401(k) plan, find a low-cost brokerage firm and ask about opening an individual retirement account. read more at streetwisejournal.com
You could also engage our wealth advisory to plan your retirement early in Singapore by contacting our retirement planner.