You may not have lost 15 pounds in 2010 or picked up knitting in 2013, but Sunset Bank has a New Year’s resolution that is easy to keep and has some major long-term benefits. Although it may mean making some cutbacks, the more money you save for retirement now, the more you will have later! Some simple steps to start planning your retirement are:
Get on the plan. Using your employer’s retirement plan is the most effective way to save for your future. The more you contribute now, the more you will have later. Review how much you are contributing now and see if you can increase it slightly.
Make a match. Many employers match contributions to their 401(k) plans. This is essentially free money so take advantage of it! If you are able, make sure to contribute enough to get the full match. Increasing your contribution now will reward you later!
Budget, budget, budget. If you struggle with saving, write down what you earn and everything you spend for one week. Look for small places you can cut back. It is important to track where your money goes in order to plan your spending. If you find places to save, transfer those savings into your retirement account. You may need to start small, but even the tiniest changes can make a big difference over time.
Set goals. Make a list of all your goals. If you have long-term goals in mind, it is easier to cut back today than wait until later. Find five ways to save $25 every month. Some small ways to save are packing a lunch or switching to generic products. The extra $300 at the end of the year can make a nice addition to your retirement fund.
Saving for retirement doesn’t have to be difficult or scary. Sunset Bank offers a variety of savings accounts and CDs to help maximize your retirement savings. Call to learn more about our savings options, or stop by to open an account today.