CONCERNED ABOUT MONEY FOR RETIREMENT?

Do you sometimes wonder whether you’ll be able to afford retirement?   It’s a common concern among all workers.  You should be able to relieve at least some concerns about retirement income by understanding just how much money is needed, and then planning a way to reach that goal.

Most financial advisors say that you will need at least 70 to 80 percent of your pre-retirement income to enjoy a comfortable retirement.  So where will it come from?

The truth is that today Social Security is the largest source of income for most older Americans.  For the average wage-earner, Social Security benefits replace about 40 percent of pre-retirement earnings.  The other income you need to reach the 70-80 percent replacement income goal will need to come from other savings, investments or pension income, or even part-time work.

If you want to learn more about how and why to save, you should visit www.mymoney.gov, a federal government website dedicated to teaching all Americans the basics of financial management.”

The topics discussed at this website include paying for an education, starting a small business and, of course, retirement planning. 

The retirement planning link takes you to more than a dozen other links with valuable financial information.  There is, for example,  “A Special Guide for Seniors and Families” from the FDIC;  “Top 10 Ways To Prepare For Retirement” from the Department of Labor; “Tax Information for Retirement Plan Participants” from the IRS; and several links to Social Security sites, including Social Security retirement benefit calculators, special guides for women and retirement planners.

So if you are concerned about being able to afford retirement, just remember that knowledge is power.