Boost Your Retirement Savings with These Essential Roth IRA Moves for 2024
Key Roth IRA Strategies for 2024
You won't have to worry about living on Social Security alone if you make these Roth IRA moves this year. It's no secret that Social Security is in trouble.
The Social Security trust fund is projected to run dry within the next 10 years, which can be alarming. But to be clear, you'll still be able to receive about 77% of benefits you were promised, according to the latest trustees' report, so you don't have to worry about benefits going away completely.
However, no matter what the future of Social Security looks like or how many years you have until retirement, it's never too early to start exploring your retirement savings options. A Roth IRA, for example, could provide you with tax-free retirement income that can supplement your Social Security benefits.
1. Contribute as much as possible to a Roth IRA
- Create a budget so you can have a plan for your money.
- Track your spending.
- Trim unnecessary expenses.
- Funnel extra income or bonuses into your account.
- Set up recurring contributions from a checking to a Roth IRA.
Investing your Roth IRA contributions
Maxing out your Roth IRA can be a major retirement milestone, but you can't stop there. If you want to grow your Roth IRA balance over time and create another stream of income during retirement, you need to invest the funds in your account.Dividend-income investing may be a great option for you if you don't want to depend on Social Security benefits alone. With dividends, you can earn an extra stream of income every month or quarter as long as the company continues to declare dividends.
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.