Retirement? What You Need To Know About It Before You Do

Retirement Planning and Your Future

Fact - Less than half of Americans have put aside money specifically or retirement.

You can't retire with security unless you really prepare for it. That means facing up to reality, and beginning to take action for tomorrow as well as today.

Fact - In 1993, of those who had 401(k) coverage available, one-third didn't participate.

Putting away money for retirement is like giving yourself a raise. It's money that gives you freedom when you want it-and deserve it.

Fact -  The average American spends 18 years in retirement.

The information from the following companies and organizations may help you get a focus on ideas and direction you wish to take, but as we said, it really is up to you to determine what it is you want this period of time to be. After all, you earned it.

If you have found something that makes sense to you please write us and share.

Retirement Idea Email Hotline

Remember, we are all going to face this period and we all could use as much help in doing it right as possible.

10 WAYS to beat the clock and prepare for retirement

1) Know your retirement needs.

Retirement is expensive. Experts estimate that you'll need about 70% of your pre-retirement income-lower earners, 90% or more - to maintain your standard of living when you stop working. Understand your financial future.

2) Find out about your Social Security benefits.

Social Security pays the average retiree about 40% of pre-retirement earnings. Call the Social Security Administration at 1-800-772-1213 for a free Personal Earnings and Benefit Estimate Statement (PEBES).

3) Learn about your employer's pension or profit sharing plan.

If your employer offers a plan, check to see what your benefit is worth. Most employers will provide an individual benefit statement if you request one. Before you change jobs, find out what will happen to your pension. Learn what benefits you may have from previous employment. Find out if you will be entitled to benefits from your spouse's plan. For a free booklet on private pensions, call the U.S. Department of Labor at 1-800-998-7542.

4) Contribute to a tax-sheltered savings plan.

If your employer offers a tax sheltered savings plan, such as a 401(k), sign up and contribute all you can. Your taxes will be lower, your company may kick in more, and automatic deductions make it easy. Over time, deferral of taxes and compounding of interest make a big difference in the amount of money you will accumulate..

5) Ask your employer to start a plan.

If your employer doesn't offer a retirement plan, suggest that he/she start one. Simplified plans can be set up by certain employers. For information on simplified employee pensions, order Internal Revenue Service Publication 590 by calling 1-800-829-3676.