Determining the Ideal Amount to Save in Your 401(k) for Retirement Comfort
Wednesday, 6 March 2024, 15:20
Importance of Saving for Retirement
Matching contributions are the only guaranteed returns you'll find in your 401(k). Financial planners recommend saving 15% to 20% of your income for a secure retirement.
Insufficient Savings Rates
On average, Americans save only 3.8% of their earnings, falling well short of the recommended savings rate, which can impact their ability to maintain their lifestyle post-retirement.
Benefit of Employer Contributions
Employer matches represent 'free money' and not taking advantage of them can be a missed opportunity to grow your retirement savings.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.