Saving for Retirement
Choose an Account
We all know the importance of saving for retirement, but when it comes to choosing the right way it can be overwhelming. For many individuals, choosing the plan that your employer offers is a great first step. Accounts like SIMPLE IRAs and 401ks were created specifically to incent people to save for their retirement and generally have great perks like employer matching. Unlike regular investment accounts, these are tax deferred.
If your employer offers a company-sponsored plan, it can match any portion of your contributions to increase your savings. Since this is essentially free money, it is always recommended to contribute enough to receive the maximum employer match.
Any money that you are able to contribute to your future retirement is a win—it lowers your annual taxable income and your money grows tax free. As your accounts grow over time, ensure you stay consistent with your savings and make adjustments as needed.