Saving for Your Retirement is Essential
Most people think more about what they will do when they retire than how they will save the money needed to make those plans a reality. With increasing life expectancies and the uncertain future of government-funded pensions, you must take your retirement savings into your own hands.
“Exploring different ways to save for retirement is important for building a secure financial future.”
Whether retirement is years away or quickly approaching, the effort you put in now and the ways you save can make all the difference. Evaluate your projected financial requirements for retirement and create a sound investment strategy that will move you toward those goals.
Effortless and Secure Savings Tools
Certificate Accounts are deposit accounts that generally offer a higher rate of interest than regular savings accounts while maintaining the same level of security. The flexibility of term lengths is a major benefit of Certificate Accounts, offering investors time-frame options that suit their retirement goals and lifestyle preferences.
There are several types of Individual Retirement Accounts (IRAs), but the two most popular are the Traditional IRA and the Roth IRA. Traditional IRAs offer tax-deferred growth*, meaning you won’t pay taxes on your earnings until you withdraw them during retirement. On the other hand, Roth IRAs provide tax-free growth*, allowing you to withdraw your contributions and earnings tax-free once you reach retirement age. It’s important to consult your tax advisor to determine how each account can work for you.
The Benefit of Compounding Interest
The power of compounding interest means that the earlier you start saving, the more time your money has to grow. Even small contributions made consistently over time can result in significant savings by the time you are ready to retire.
While navigating the world of retirement planning can seem daunting, you don’t have to do it alone. Fortunately, there are trusted Credit Union resources that can answer questions and offer support.
