Maybe you got a late start on your retirement savings. Maybe your retirement fund took a hit courtesy of the recession. Or maybe you’ve just decided that you’d like to have more money when you retire. Whatever the reason may be, if you’re looking for ways to give your retirement savings a boost, you’re not the only one.
Winning the lottery would be a wonderful solution, but unfortunately the odds aren’t in your favor. The good news is that there are lots of ways to put some extra money in your retirement fund that are pretty painless.
Here is some retirement advice on how to boost your retirement savings.
Give up bad habits. Smoking and drinking are bad for your health, and they’re bad for your wallet, too. Quitting (or even just cutting back) could save you hundreds of dollars per year. Instead of blowing the extra money, put it toward your retirement fund. You’ll never miss it, and it will make a big difference in your savings by the time you retire.
Brown bag it. Going out for lunch every workday gets expensive in a hurry. You can eat healthier and cheaper by bringing something from home. Figure up how much you’re saving by bringing your lunch and add it to your savings.
Use a credit card. Most financial advice leans toward staying away from credit cards, but when used properly, rewards cards can earn you money. There are now credit cards that allow you to deposit your reward earnings into a retirement fund instead of cashing them in on merchandise. If you have the self-control to use the card for most of your purchases and pay the bill in full each month, this would be a great way to increase your retirement savings without parting with more money.
Question retirement plan fees. Most 401(k) plans charge maintenance fees that are taken directly from your account. Few participants are aware of them because they are not well disclosed, but over time they can eat up a big chunk of your savings. While you can’t negotiate these fees directly with the plan provider, talking to your human resources department may be worth a try. If enough employees complain, they may see fit to find a plan that charges lower fees.
Get out of debt. Most credit cards and loans come with interest rates higher than those you’re earning with your retirement account. If you have a large amount of high interest debt, put any extra money toward it until it’s paid in full. You’ll come out way ahead financially, and you’ll soon be able to put all the money you were using to make debt payments toward retirement.
All of these tricks allow you to boost your retirement savings without taking more money out of your pocket. Put them to use now, and reap the rewards when it comes time to retire!
Tags: retirement advice, retirement planning, saving for retirement
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on Thursday, June 20th, 2013 at 1:18 pm and is filed under Planning.
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Maybe you got a late start on your retirement savings. Maybe your retirement fund took a hit courtesy of the recession. Or maybe you’ve just decided that you’d like to have more money when you retire. Whatever the reason may be, if you’re looking for ways to give your retirement savings a boost, you’re not the only one.
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