• Two-thirds of Americans share this surprising retirement confession

    From a425couple@21:1/5 to All on Wed Oct 2 08:51:16 2019
    XPost: or.politics, alt.economics, alt.politics.economics

    from https://www.msn.com/en-us/money/retirement/two-thirds-of-americans-share-this-surprising-retirement-confession/ar-AAIa7xD

    (The key - even when clearly told, 2/3 are not willing to
    cut back on their spending & indulgance, to make future better.)

    The Motley Fool
    Two-thirds of Americans share this surprising retirement confession
    Katie Brockman 5 hrs ago

    There's no one "right" way to save for retirement, and everyone will
    have different goals and strategies. But regardless of how you choose to
    save, it's essential to stash at least a little away for retirement now.

    The earlier you begin saving for retirement, the easier it is to
    accumulate several hundred thousand dollars (or more) for your golden
    years. But if you start falling behind and put off saving for too long,
    you'll likely need to make some sacrifices to be able to catch up.

    However, not everyone is willing to make those sacrifices. Surprisingly,
    67% of Americans say they'd rather cut back on expenses in retirement
    than make sacrifices now to save more, a survey from TD Ameritrade
    found. Although it's good that workers realize they'll need to make
    sacrifices at some point, not saving for the future could have greater consequences than you think.

    a man wearing a suit and tie: Businessman with a scale weighing coins
    © Getty Images Businessman with a scale weighing coins
    The cost of not saving for retirement
    If you don't have enough money saved to cover your retirement expenses,
    you'll need to make some lifestyle adjustments. But there is a chance
    those lifestyle adjustments will be more than you bargained for.

    You may be left to depend on Social Security benefits alone if you run
    out of savings in retirement, and the average check comes out to just
    $1,471 per month. If that's not enough to cover all your basic living
    expenses, you'll need to make some cutbacks.

    In addition, you could see your costs increase in retirement, making it
    even harder to live without savings. Healthcare expenses, for example,
    continue to rise, and the average retiree spends approximately $4,300
    per year on out-of-pocket healthcare costs, according to a report from
    the Center for Retirement Research at Boston College. Long-term care
    costs could also potentially break the bank, with the average
    semiprivate nursing home room costing around $6,800 per month. Medicare typically won't help with long-term care, either, so expect to foot the
    bill for those expenses.

    At the very least, spending retirement with little to no savings will
    make it hard to live the life you may have envisioned. Even if you don't
    go bankrupt, you likely won't be able to travel extensively, spend your
    time taking classes or learning new hobbies, or go out to weekly dinners
    with friends. Rather, you'll be pinching pennies just trying to get by
    every month. If that doesn't sound like how you want to spend
    retirement, it's a good idea to ramp up your savings now.

    Related video: Saving for retirement automatically (provided by CNBC)

    Small sacrifices now add up to big savings later
    The good news is that you don't need to sacrifice everything you love
    now to grow your retirement fund. Especially if you get started saving
    early, even a couple hundred dollars per month can go a long way.

    The first step is to figure out where all your money is going to see if
    you're overspending in certain areas. When you're not tracking your
    expenses, it's hard to see exactly how much you're spending on
    nonessential costs. A few dollars here and there on takeout,
    subscription services, or morning coffee may not seem to make much
    difference, but combined, these costs add up quickly.

    It's easier than ever to start tracking your expenses, and you can even
    use an app on your phone to do it for you automatically. Once you know
    where you're spending each month, set limits in each spending category
    and put the savings toward your retirement fund.

    Keep in mind that you may not have to make drastic cuts. In fact, you
    might be more likely to stick to your budget if you instead make several
    minor adjustments. If you slash everything you love from your budget,
    telling yourself you'll never buy lattes or go out for lunch again, it
    probably won't take more than a few weeks for you to abandon your budget
    and go back to your old spending ways. But if you aim to simply cut back
    on -- not eliminate -- certain expenses, you can start making more
    financially healthy choices that don't feel like major sacrifices. For
    example, rather than getting coffee every day, cut back to just two or
    three times a week. Or if you want to go out to dinner with friends
    every so often, eat dinner at home the rest of the week.

    By making small adjustments across your budget, you may be able to save hundreds more per month -- and that money can add up significantly over
    time. For example, if you save an extra $200 per month and stash it in
    your retirement fund earning a 7% annual rate of return, that will
    amount to close to $100,000 after 20 years.

    Saving for retirement requires sacrifices to some degree, and if you
    don't make those sacrifices now, it will come back to haunt you later in
    life. However, you don't have to slash your budget to the bare bones to increase your retirement savings. By making smart financial choices and
    cutting back where you can, you'll be able to grow a healthy nest egg
    that will make for a more enjoyable retirement.

    The Motley Fool has a disclosure policy.

    The $16,728 Social Security bonus most retirees completely overlook

    If you're like most Americans, you're a few years (or more) behind on
    your retirement savings. But a handful of little-known "Social Security secrets" could help ensure a boost in your retirement income. For
    example: one easy trick could pay you as much as $16,728 more... each
    year! Once you learn how to maximize your Social Security benefits, we
    think you could retire confidently with the peace of mind we're all
    after. Simply click here to discover how to learn more about these

    Microsoft may earn an Affiliate Commission if you purchase something
    through recommended links in this article.

    --- SoupGate-Win32 v1.05
    * Origin: fsxNet Usenet Gateway (21:1/5)