Quote:
Originally Posted by myselff77
I always worry I do not save enough to retirement, but whenever I play around with these calculators, it makes it appear I am in good shape. I don't think I've done anything special. I have contributed to the 401k for over 20 years beginning straight out of college. It goes to a handful of funds and I pretty much keep eyes off it. I started at 6% because of a company match to that point and would raise it a percentage or two whenever I received a raise. I now direct 18% of my salary to the 401k and opened a RothIRA two years ago.
So, I hope these calculators are correct, but I guess time will tell. Anyone willing to share percentages they direct towards retirement savings accounts?
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I feel the same. It's just so hard to imagine getting to a certain number and it doesn't make sense until you start running the scenarios. Starting early is key.
It sounds like you're doing great. Starting right out of college is huge and it's part of what I missed. I didn't start my career until I was 26 and then didn't start investing heavily until my early 30's, so I am a bit behind in terms of compounding interest years.
If you plan to live a similar lifestyle in retirement to your current, then 15-20% of your income should accomplish that if you give yourself decades to invest. A ROTH is huge and something I'm always doing too.
I put 15-20% of my income into retirement accounts. I just started a ROTH 401k in addition a standard ROTH IRA. I am trying to build a large tax-free investment vehicle for retirement so my taxable income in retirement can be fairly low.
I still wonder what Social Security will bring for me (or not at all!) in my retirement plan. I plan it at $0 because I don't believe in the system lasting, but if I actually do collect my calculated SS amount, I'd be golden in retirement.