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“Most Americans are Unprepared for Retirement”

 

Perhaps this type of headline gets old, but the unfortunate reality is that it’s true!  Based on research recently completed by the CFP Board, roughly 26% of Americans delay retirement savings until their 30’s, while another 15% wait until they are 40 years old to begin saving for retirement.  While these are big percentages, the most alarming statistic is that 8% of respondents in their survey delayed saving ANYTHING for retirement until they were past 50 years old!  Keep in mind this was a survey completed by the Certified Financial Planner Board, which means the survey participants contacted from their database are already likely more aware of financial matters and their retirement standing.  So, is it all doom and gloom?  If you’ve waited to get started on retirement, what can you do?

 

Start Somewhere

Even if it’s $50 or $100 per month, the key is to start.  No matter what your age, starting now will allow any savings you can put aside the possibility of compounding interest which is a powerful force.  One of our 3 key guiding principles at Van Gelder Financial is “Consistency”, so once you’ve found the courage to start, it’s important to remain consistent and keep up your savings goal’s month in and month out.

 

Take Ownership

For those in their 20’s and 30’s the phrase of the day is #adulting.  Really, taking ownership is simply caring enough about your financial future and the loved ones around you.  We take ownership in many other areas of our lives whether eating, exercising, socializing, studying etc…  Finances should really be no different.

 

Seek Out Expertise

If people want a proper education, they get taught by experts in a particular field.  If someone is serious about their diet and exercise they may seek the help of a personal trainer or nutritionist.  Why should our finances be any different?  Sure, the DIY approach has certainly gained traction over the past 10 years when index investing in the stock market has achieved great results, but the value and guidance that an independent financial advisor can provide shines in the ups and downs of a market and encompasses SO much more than the return of a portfolio.