Actively Saving Checklist
You've tackled the challenge of starting to save for retirement. Now all you have to do is keep at it! With some small tweaks, you can stay on track. Use the checklist below to keep your momentum going.
Manage Your Money
- Revisit your budget. At this point in life, you've likely seen changes in jobs, family, location and lifestyle. Your salary has probably increased, but your expenses may have as well. Take a look at how your priorities have altered and how you can reallocate or eliminate spending if needed.
- Live within your means. Know your limitations and exercise restraint on purchases and upgrades. Keep your expenses within your budget and don't get caught up in keeping up with anyone else.
Protect Your Earnings
- Keep up with your emergency fund. With so many demands on your income, it's important to continue building an adequate safety net in case of emergencies like disability, job loss or major home repairs. Save three to six months of living expenses in a checking or savings account to avoid tapping into your retirement funds.
- Adjust your insurance coverage. As your assets grow, you may need more insurance to cover them. If you're ill or injured, disability insurance will replace a portion of your lost income. Life insurance, too, can help take care of your family should something happen to you.
Invest in Your Future
- Maximize free money. Take advantage of any matching retirement contributions your employer offers, and make sure you're contributing enough to get the full match. Set aside financial windfalls, like bonuses or tax refunds, for retirement or other savings goals.
- Increase your contributions. Increase your retirement contributions as your pay increases. Consider bumping up your contributions by one percent or more each year. Use any raises you receive as an opportunity to increase your retirement savings.
- Keep retirement top of mind. If you've changed jobs or you're seeking a new one, don't let your retirement take a hit. Enroll in your new employer's plan, if available, as soon as you're eligible. You can also roll over existing retirement funds into an Individual Retirement Account (IRA).
- Review your investments. Rebalance your portfolio annually to keep it in sync with your savings target. Work with one of our financial advisors to determine how your portfolio should be rebalanced or reallocated based on your timeline, risk tolerance, current needs, lifestyle and future goals.
Want to increase your retirement savings?
Not sure where to start? Contact a financial advisor at 1-877-221-8108.