Early Bird Gets the Savings
$1 Million: Amount that can be accumulated by age 62 by saving $4,000 per year at 8%
Starting a first job means a litany of expenses—rent, utilities, food, car payments, and the list goes on. Retirement is probably far from top of mind. But saving early can lead to financial independence and flexibility much earlier in life. Given an 8% average annual return, a worker saving $4,000 a year starting at age 22 would accumulate $1 million by age 62. However, if that same worker waits until age 32 to start saving, he or she will have to save over $8,800 per year to reach the same goal. Haven't started your savings yet? It's never too late. This National Save for Retirement Week take the time to establish a savings plan and vow to stick with it.
Source: BlackRock; MSN Money, "Your 20s: Planning pays off richly," October
24, 2011
Prepared by BlackRock
Delivered courtesy Joel W. Grams, CRPC®, CLTC
Registered Representative, Financial Planner, 212 Capital Group
38 Main Street Suite 360, Westlake Ohio 44145
(440) 835-4501 Ext 17, jgrams@212capitalgroup.com
The foregoing discussion is general in nature and not intended as specific advice.
New England Financial nor its representatives are engaged in rendering tax,
accounting or legal advice. A qualified professional should be consulted regarding the effect of such considerations on the matters covered in this publication.
