CHICOPEE, Mass. (WWLP) – More than half of middle-class Americans now say they are putting off saving for retirement according to a new Wells Fargo study.
But financial advisor Mark Teed told 22News the sooner you can start saving the better. He says every year you aren’t saving for your retirement you’re cutting yourself short thousands of dollars that will be needed to retire comfortably.
Teed said, “If you’re young and you say ‘I can’t afford it, I absolutely can’t afford it in my budget’, start with one percent and then have a goal to get to ten percent, do every year, on Janurary 1st, raise that another percent. So the next year, raise it to two, to three, and so on, and that will help you get to your goal.”
Teed also says it will take about $1 million of savings to retire comfortably.
If you start at age 25, you need to save about $300 a month, but every ten years you wait, that number goes up more than double.