The secret to reaching retirement goals is often consistency. It seems to be the answer in various areas of our life. We win when we consistently put forth effort, it’s often that simple. While making the right money moves, choosing where to invest, and making tax-conscious decisions isn’t quite as simple; there’s no need to complicate the savings aspect of retirement planning.
Remaining consistent is often linked to sacrifice but consistency doesn’t have to be hard. Because in reality if you contribute a little bit, on a consistent basis, over a long period of time, saving for retirement doesn’t have to feel burdensome.
Because saving on a consistent basis is essential for most working Americans to reach their retirement goals — we want to provide three ways you can level up your consistency when it comes to saving for retirement.
1.Set Up Automatic-Deposits into Your Retirement Account
For starters, automatic deposits eliminate the need to make a decision each month. By putting consistent contributions on auto-pilot, you learn to live on less, meaning you’ll hardly notice the funds coming out of your monthly budget.
Secondly, there’s no forgetting with an automatic deposit in place. And third, it’s easy — take a few minutes to set up a monthly deposit today and you won’t have to think about it the rest of the year. And once the automatic deposit is set up, increasing the amount down the road takes even less time. Think of these deposits as a gift your future self is sure to appreciate.
2. Review Your Retirement Plan
Retirement plans aren’t ‘set it and forget’. Of course setting up automatic deposits allows the saving to happen automatically but checking in on your retirement plan is often necessary to stay committed to the level of consistency you initially set out to achieve. It’s easy to remain motivated for a while, but maintaining that drive isn’t easy when you still want to live today, not just for the future.
Mark your calendar to review your retirement plan at least annually. Start by reviewing your goals and envisioning your retirement dreams to get you in the right frame of mind.
Whether you want to retire in one year or 10 years, here are points to consider during your annual retirement review:
Did you get a raise this year? Consider allocating a percentage to retirement by increasing your automatic deposit.
Review your work-sponsored retirement plan — are you contributing enough to receive the full company match? If not, you’re missing out on free money.
Can you reduce your tax bill this year? Review tax-advantaged accounts such as your Individual Retirement Account (IRA), Health Savings Accounts (HSA), charitable contributions, and 529 Plans (education savings plan).
When you allocate your income in a manner that helps you reach your goals, you’re telling your money where to go. This is how you take control of your personal finances and eliminate the feeling of wondering where your paycheck goes each month.
3. Partner with a Trusted Retirement Planning Financial Advisor
We want each pre-retiree we work with to make their retirement dreams a reality. To achieve this, we empower our clients to make financial decisions with confidence. Confidence comes when you have solid answers to your questions and the knowledge to make educated decisions.
Many come to us with the following thoughts and questions:
I know I need a diversified portfolio, but I’m not confident when making investment selections.
Is this the best place to put my money?
How do I balance saving for college and retiring at the same time?
I’ve watched the market fall, should I be more conservative in my investment selection?
Feelings of uncertainty are often linked to inaction leading you to remaining stagnant in implementing a plan. When your questions are answered, you gain clarity around what steps to take. And you simply can’t level up your consistency in retirement planning without taking action.
Are You Consistently Saving for Retirement?
We hope we’ve given you a few things to think about. At the end of the day, consistency is crucial to reaching your retirement goals — we’re here to help you level up this year. Through financial planning and wealth management, we help people like you land at the retirement of your dreams.
If it’s time to check in on your progress or you have questions holding you back from taking action — we’re here for you.
About Integrated Wealth Management
Integrated Wealth Management is owned by Burt Hutchinson, CPA, CFP®. We’re a CPA-led organization, meaning we’re here to handle your complex tax scenarios and provide cost-saving insight related to your financial plan.
We’re here to guide you through the 3 stages of retirement:
Uncertainty Stage: When you are within 10 years of retirement and have questions about how to make it work
Stability Stage: When you have reached the financial milestone to retire comfortably and confidently
Reflection Stage: When you are looking to leave a legacy
We are also here to provide experienced, empathetic support during times of loss, such as the death of a life partner. You need confidence and a sense of security to enjoy retirement. As fiduciaries with a fee-only structure, we never receive commissions. Free of ulterior motives, you can be sure we’re focused on your goals.
Continued Readings:
Disclosure Statement:
This presentation is not an offer or a solicitation to buy or sell securities. The information contained in this presentation has been compiled from third-party sources and is believed to be reliable; however, its accuracy is not guaranteed and should not be relied upon in any way whatsoever. This presentation may not be construed as investment, tax, or legal advice and does not give investment recommendations. Any opinion included in this report constitutes our judgment as of the date of this report and is subject to change without notice.
Additional information, including management fees and expenses, is provided on our Form ADV Part 2 available upon request or at the SEC’s Investment Adviser Public Disclosure website, Past performance is not a guarantee of future results.