Retirement Savings Account

Even if you don't yet have a retirement savings account, it's quite possible to save your retirement dollars in the last ten years prior to retirement.

First, read about the Decision Decade so that you don't make this mistake as so many boomers do!

It's really interesting and once you read it, you'll realize how many folks do just this. They are living "high on the hog" those few years before retirement.

Does that increase their retirement expectations?

I think so!

Second, consider this:

My mother remarried 35 years ago, and for many years, they paid child support to his five children. During the last ten years of employment, they saved, like crazy. They saved so well that they ended up financially well off with a nice retirement savings account... having moved into new homes several times after retirement, buying a condo in Las Vegas, and having the funds they needed thusfar (age 82 and 84). It can be done... not easily, but it certainly helped them with their retirement years.

Save, Save, Save! Yes, you can do it in just your last few years – not as well as if you had saved for many years – but JUST DO IT!

Instead of spending, payoff your mortgage or save your hard earned monies – you will need it later!

You can often do a catch-up with a 401K or Deferred Compensation plan. Now say you can defer $20,000 per year (yes, I said it wasn't easy). That's $1,666 per month ($400 per week) going into savings.

$20,000 per year = $100,000 in five years! That's a nice nest egg!

If you can do this for 10 years, you've got $200,000 in a retirement savings account!

Finally, you can delay retirement if you haven't saved yet... then you withdraw less from your savings as you are still living on working income. You can also save longer! One more reason, at age 62, Social Security might be $750 and it increases to $1,320 at age 70.

Think twice about the early retirement Social Security benefit, you really can save nicely with waiting! It's a big monthly increase... maybe you decide you want at least $1000/mo... just work longer!

Better yet, wait till full retirement age kicks in and the Social Security Income Limit kicks in!

Yeah... it's a triple dipper reason on why you should work longer (not retire like I did at 55.. grin!)