Most Are Unprepared for Retirement

Studies and polls have consistently shown that most Americans are dismally unprepared for retirement. And it doesn’t just span one generation, this unpreparedness unfortunately spans multiple generations, from baby boomers, to generation x’ers, to current almost-retirees. Where is it that you feel you may fall in this important category? I myself plan to fall in the “over prepared” category.

My husband and I make a good living at our jobs, but we also are careful not to spend above our means. We rarely eat out, and when we do, we tend to feel that post-eating out guilt that thrifty, practical people tend to feel. I will splurge on thinks like skin care and makeup, but rarely will I splurge on expensive clothes.

I will also splurge on things to fix the house up, but I don’t feel so guilty about that, since I view the home as your largest investment in your lifetime, even though home prices are currently stagnant and actually losing money, I know that will eventually turn around.

We are very careful to put away generous amounts of our income into automatic retirement and tax sheltered savings plans, to the maximum that we are allowed, because we look at it as money that we never had. Out of sight, out of mind is the best theory when it comes to socking away money for retirement and that best thing about it is that it is also tax deductible.

With about half of every generation being unprepared for a comfortable retirement, and social security’s future at risk and highly questionable, I’m not taking any chances. I want to put my money in relatively safe investment vehicles, and know that I will not touch it until I can do so without any penalty.

We live a nice life now, we just don’t over do it, and spend our money on unnecessary things and pure pleasure things a whole lot. It’s this sort of perceived deprivation that gets you ahead in life and makes your savings balloon over the years.

Plus, I’m not gonna lie, I don’t want to work in corporate America until I’m old and grey, I want to be able to retire early and enjoy life and do the things I didn’t get to do when I was young and working all the time toward something!