How much do you save toward retirement?

  • Posted by a hidden member.
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    Oct 15, 2009 6:15 PM GMT
    I'm just curious what others save toward retirement. I save about $1,500 per month but don't have any kind of pension so I will be on my own when I retire...my financial advisor wants me to save more but I like eating and the occasional vacation so unless I start making a lot more money that's gonna be tough. icon_confused.gif
  • Posted by a hidden member.
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    Oct 15, 2009 6:50 PM GMT
    Is that $1500 going in to a 401K? A lot of companies these days have a matching program where they will match the amount of money you put in to your 401K.

    Either way, I think $1500 isn't too bad actually. You're still young, so you have a lot of time to invest that money and make it grow. I guess it all depends on when you want to retire and the quality of life you want to maintain.
  • Posted by a hidden member.
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    Oct 15, 2009 7:01 PM GMT
    Smart move, Budd!
    Want to do something smarter?
    Watch Suze Orman every Saturday on CNBC and DO NOT take out a Whole Life Policy or any other-named life insurance that alleges to build cash value!
    IF you need insurance, Term Life is all you need.
  • kinetic

    Posts: 1125

    Oct 15, 2009 7:01 PM GMT
    Save for retirement?! icon_lol.gif Yeah right. I'm young and struggling. LOLZZ icon_lol.gif

    Maybe someday...*sigh*
  • Posted by a hidden member.
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    Oct 15, 2009 7:11 PM GMT
    hmm, i can't save anything ... wrong.. i just don't save.
    and not really concerned.
    life provides.. and sometimes an inheritance ...

    i plan on keeping swimming that life stream till it gets too tiring, then i'll just sink. Just like the Inuits when they're too old to follow and go fishing/hunting
  • rnch

    Posts: 11524

    Oct 15, 2009 7:18 PM GMT
    easily the best advantage a federal civil service employee has is the Thrift Savings Plan (the fed's version a a 401-K).

    i've been "maxed out" in it for 24 years; and will be until i take early retirement.
  • coolarmydude

    Posts: 9190

    Oct 15, 2009 10:49 PM GMT
    rnch saideasily the best advantage a federal civil service employee has is the Thrift Savings Plan (the fed's version a a 401-K).

    i've been "maxed out" in it for 24 years; and will be until i take early retirement.




    Hey, I invest 15% of my base pay into the TSP. Last year, my investment was down 24% for the year because of the economic downturn. Then after some changes in strategies, it was up 8% over the 12 month period ending on 24 AUG. Now, as of the other day, I am up 21% over this time 12 months ago. And it still looks miniscule. I've only been investing in it since 2005. I wish we had matching funds. OMG!! At least they're tax deferred and all contributions made from a combat zone are tax exempt!!

    Anyways, I started investing directly into the markets back in March and I'm already up about 67%. It has peaked around 80% before though.

    Now I'm trying to sell my car and put that cash into a 5 year CD at 3.51% APY. This is to go towards my down payment for my first-home purchase in about 5 years from now.

    I also have about 4K or 5K in Savings Bonds from the '90s.

    I also have a sizeable savings/checking account for emergencies and a credit card with very low interest rate (7%) and a lot of credit on it. Also for emergencies. My aim is to keep my FICO score around 800. That'll do the trick...

    When I retire from the Army in about 3 years, I will get a $2K monthly pension for life. That will take care of the mortgage, property tax and insurance.
  • coolarmydude

    Posts: 9190

    Oct 15, 2009 10:52 PM GMT
    StudlyScrewRite saidWatch Suze Orman every Saturday on CNBC and DO NOT take out a Whole Life Policy or any other-named life insurance that alleges to build cash value!
    IF you need insurance, Term Life is all you need.



    Alleges?? It does build cash value. My Dad opened one for me shortly after my birth and it has a few thousand dollars accrued. My brothers already cashed in theirs.
  • MSUBioNerd

    Posts: 1813

    Oct 15, 2009 11:50 PM GMT
    My sole retirement investment at the moment is that I max out my IRA (Roth), set to purchase shares of an equity fund monthly to, in effect, average the price of shares across the year. That's only $5,000 a year, but given that that represents a little more than 20% of my gross annual salary (yay for being a grad student. Years of very high academic achievement have gotten me into a position where my hourly salary is well below that of a janitor), I feel pretty good about it. I'm in my 20s, my only debt is mortgage debt, and I've got a fixed-rate loan for that which I'm making the monthly payments on, so I think I'm in decent shape. I'll be able to put away more per year after I finish the Ph.D.
  • Posted by a hidden member.
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    Oct 16, 2009 12:31 AM GMT
    I need to make money before I can start saving.... blugh.
  • barriehomeboy

    Posts: 2475

    Oct 16, 2009 12:56 AM GMT
    Go find a book called The Wealthy Barber. It's a cult classic. If you had started saving that much at age 20, you'd retire a millionaire at 45. It's all in the book. Really. It's the resource that Canadians use to plan their retirement.
  • Webster666

    Posts: 9217

    Oct 16, 2009 1:01 AM GMT
    When I was working, I was having 15% of my wages put into my retirement fund.
  • Webster666

    Posts: 9217

    Oct 16, 2009 1:03 AM GMT
    " If you had started saving that much at age 20, you'd retire a millionaire at 45."
    ______________________________________________
    Fine. But, how many 20 year olds MAKE $1500 per month, much less are able to save that much ?
  • Posted by a hidden member.
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    Oct 16, 2009 1:33 AM GMT
    As much as you can afford too.
  • Posted by a hidden member.
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    Oct 16, 2009 1:42 AM GMT
    coolarmydude said
    StudlyScrewRite saidWatch Suze Orman every Saturday on CNBC and DO NOT take out a Whole Life Policy or any other-named life insurance that alleges to build cash value!
    IF you need insurance, Term Life is all you need.



    Alleges?? It does build cash value. My Dad opened one for me shortly after my birth and it has a few thousand dollars accrued. My brothers already cashed in theirs.


    Ok, fine. I misspoke. How about "Does a piss poor job of building cash"? You'd be better off putting that insurance payment into a regular savings account until you get enough to buy a 1 year CD. Then save that much again and buy another 3 or 5 year CD. So when one comes due, you can roll it over to a possibly higher rate CD, Or take the money and invest elsewhere.The only person to profit from a whole life policy is your broker! {unless you happen to die, then it's your benificary!}
    Since most of you are single, no dependents, get only as much insurance as you think you'll need to cover your debts if you die. Why die and leave someone wealthy?
  • HndsmKansan

    Posts: 16311

    Oct 16, 2009 1:49 AM GMT
    About 15%.. but I had better.. I encourage others and its my job, so I had better set a good example...

    icon_smile.gif
  • HndsmKansan

    Posts: 16311

    Oct 16, 2009 1:51 AM GMT
    scftnsguy saidI'm just curious what others save toward retirement. I save about $1,500 per month but don't have any kind of pension so I will be on my own when I retire...my financial advisor wants me to save more but I like eating and the occasional vacation so unless I start making a lot more money that's gonna be tough. icon_confused.gif


    Well if you have that amount, you will be in fantastic shape. I assume you
    fully fund your IRA and non qualified plans....
  • Posted by a hidden member.
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    Oct 16, 2009 1:55 AM GMT
    I was putting 8% into my 401k for many years but recently changed to 10% with an annual increase of 1% each year until 15%. I only have a 50% matching up to 4% - the wording if deceiving...that's actually only 2% or 4% of my investment. I may change that 15% max when I get there but for now the annual increase is less than my raise so it works.
  • Posted by a hidden member.
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    Oct 16, 2009 2:03 AM GMT
    scftnsguy saidI'm just curious what others save toward retirement. I save about $1,500 per month but don't have any kind of pension so I will be on my own when I retire...my financial advisor wants me to save more but I like eating and the occasional vacation so unless I start making a lot more money that's gonna be tough. icon_confused.gif


    You save $1,500 per month? Wow, my gross income isn't much more than that. Your income must be a lot , if you ca n save that much.
  • Posted by a hidden member.
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    Oct 16, 2009 5:16 AM GMT
    Saving $1500 per month is a lot for a 31 year old! Congrats! I've been pretty fortunate to have the wisdom and ability to max out my 401k and Roth IRA contributions since I began working 14 years ago, but I'm still down from the peak two years ago. Right now I'm putting about $1800/month toward retirement, and everything is aggressively invested in mutual funds. Hopefully I'll have enough to retire (and maintain my current standard of living) before I turn 50. *crosses fingers*
  • Posted by a hidden member.
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    Oct 16, 2009 5:17 AM GMT
    i save about1200$. i don't make a lot, i just live a simple life.

    6% (+3% employer match) of my salary goees into my 401k.
  • Posted by a hidden member.
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    Oct 16, 2009 5:32 AM GMT
    My father showed us by example that by putting 1/2 of your take home pay into savings, you'll be able to retire at 58 beautifully. He did this for over 30 years and his employer actually matched the 50% he put away! I've never been able to put away that much money - and I have never had an employer as generous as Lockheed was in the 50's, 60's, 70's and 80's. I guess I'll be working until I'm 70!
  • coolarmydude

    Posts: 9190

    Oct 16, 2009 1:40 PM GMT
    StudlyScrewRite said
    coolarmydude said
    StudlyScrewRite saidWatch Suze Orman every Saturday on CNBC and DO NOT take out a Whole Life Policy or any other-named life insurance that alleges to build cash value!
    IF you need insurance, Term Life is all you need.



    Alleges?? It does build cash value. My Dad opened one for me shortly after my birth and it has a few thousand dollars accrued. My brothers already cashed in theirs.


    Ok, fine. I misspoke. How about "Does a piss poor job of building cash"? You'd be better off putting that insurance payment into a regular savings account until you get enough to buy a 1 year CD. Then save that much again and buy another 3 or 5 year CD. So when one comes due, you can roll it over to a possibly higher rate CD, Or take the money and invest elsewhere.The only person to profit from a whole life policy is your broker! {unless you happen to die, then it's your benificary!}
    Since most of you are single, no dependents, get only as much insurance as you think you'll need to cover your debts if you die. Why die and leave someone wealthy?



    Okay. But insurance is not an investment tool, at least it shouldn't be, but between term and whole life insurance, whole life insurance provides a little something extra.
  • Little_Spoon

    Posts: 1562

    Oct 16, 2009 1:40 PM GMT
    Ideas.

    xD
  • Csrobbie2000

    Posts: 359

    Oct 16, 2009 2:25 PM GMT
    I started my 401K about 10 years ago and maxed it out until I bought a house 4 years ago. I'm still trying to put in 9% of my income toward my 401K. I read an article back then, and one of the biggest mistake people usually make is not participating in the 401K program especially if their employer offers a good match.