What does retirement planning for young families look like? If you are a young family starting to think about your future, you should realize that you have the advantage right now. With time on your side, you can make the most of even the smallest amount of money. The benefits of compound interest will allow you to actually save less each year and have more money later. Most likely though, you are left wondering how much do we need to save or where to invest your money. You may even be wondering where to start? What is the best investment? Or how to juggle saving for retirement while you have costs of childcare? I won’t be able to address all of these questions today, but it is important to address them now, at the beginning of this series on retirement.
Everyone has questions about Retirement
These are normal questions to ask. The first step in any retirement plan should be to realize that you are not alone in feeling uneducated. Everyone has questions. It is only the people who seek answers that will be on their way to a comfortable retirement. If you are afraid to ask these questions now (when you aren’t expected to know the answers), think how much more difficult it will be to ask them when you are middle age.
Retirement Planning Starts with Saving Money
If you are spending more money than you make, it will be difficult to save for retirement. Realizing that retirement planning is dependent on extra money that you save each month will go a long ways to helping you reduce your spending (if you are over-spending your budget each month). If you want to have a comfortable retirement, you need to cut back now so that you can have security later. It’s all about delayed satisfaction. If you can overcome this obstacle, you will be well on your way to a comfortable retirement.