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Maximize Your Retirement Savings with these 3 Simple Strategies

(gentle music) – Retirement planning
is an ongoing process that requires monitoring
and tweaking over many years to help ensure you have enough to meet your retirement goals. In this video, we're gonna cover three best practices you can implement today. If you're approaching
retirement, you may want to download our retirement
checklist to see just how prepared you really are. Just click on the link in the description for access to this free
checklist right now. Now let's go over the three best practices for retirement planning that
you can implement today. Number one, make a minor
increase to your savings rate. Boosting retirement savings
doesn't require major shifts in contributions. Small increases can
still have a big impact. For example, increasing your contribution by just one percentage point because of the impact of compounding
may really boost your savings.

Many employers will allow
you to automate your savings and divert a percentage of each paycheck to
your retirement account. Number two, extend your retirement date. The longer you hold off on retiring the more time you will have to save money and take advantage of compounding returns. A study by the National Bureau
of Economic Research found that a 66 year old who
works one additional year before retiring could
increase their retirement savings income by 7.75%. Let's say you have a
million dollars in your 401k and you max out your contributions
at $1,875 every month. A 7% annual return rate
compounded annually would mean you gain an additional $92,500 after one more year of work
and $191,000 after two years. Number three, think long term and boring. Work with financial professionals
to find investments that are most likely to help you
reach your retirement goals. While there are always exciting
investments to consider, most find it best to think
boring and long term. Oftentimes, the more
exciting investments come with big market fluctuations. These fluctuations can cause
feelings of greed or fear which could cause you to buy or sell your investments
at the worst possible time.

Small behavioral changes
can make a big difference in your retirement savings. Boosting your savings rate, extending your retirement date, and selecting smart investments,
even if they're boring, can really help you maximize
your retirement savings. I encourage you to speak with an advisor about how these strategies
can be tailored to fit your unique financial situation and help you achieve
your retirement goals. Call us today at (602) 343-9301 or visit and click on the orange
schedule meeting button. To download our retirement checklist, click on the link in the description.

Thanks for watching, and please subscribe to our page for more content like this. (gentle music).

As found on YouTube

Hilltop Community

Posted in Retire Wealthy, Retirement Planning

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