User uShare Login | Register
Login
Register

Along with posting photos, videos, and stories, your uShare account lets you post Classified Ads, recipes on What's For Dinner, and Announcements.


51° View Weather Current Conditions Sioux Falls Change Location
Set Weather Options

RADAR LOCATION

TEMPERATURE LOCATION

News

[0] My Saved Articles
Back to all news

Business

Find local businesses
on the KELO Pages!

 

New Retirement Savings Guidelines

September 14, 2012, 9:50 PM by Angela Kennecke

New Retirement Savings Guidelines
SIOUX FALLS, SD -

You've heard all kinds of formulas for how much money you should save for retirement. But this week the nation's largest 401(k) administrator, Fidelity, is taking out the guess work. 

The new guidelines for how much you should be saving might make you a little bit nervous.

Your golden years are going to be a lot more golden if you have eight times your final annual salary saved by the time you're 67.  Fidelity says that will meet just your basic income needs during retirement. 

“Anytime they talk about savings, it's beautiful. It gives people a goal; they put it in their mind and start attacking it," Rob Huber of First Financial said.

Attack it, by saving at least the equivalent of one year's salary by the time you're 35 and twice that amount by the time you hit 40. 

“Although it makes me nervous, it at least gives me a target to shoot for that's recommended," Craig Markhardt said.

“You have to pay yourself first.  Get your priorities in line; get a budget out, pay yourself first and then the bills come later," Huber said.

“I think it's good to have guidelines and goals to shoot for and good to have some advice on what those goals should be from a well-known group like Fidelity.  Too many people kind of operate on a hoping they're going to get where they need to be and this gives them a way to measure their progress of where they should be," Paul Batcheller said.

While it may be a little overwhelming, taking advantage of your 401(k) plan at work and your employer's match is the best place to start.

“It's free money and if people are turning away that free money; that's crazy. That's like seeing a $20 sitting on the ground and you don't pick it up," Huber said.

If you're way behind the eight ball when it comes to these new retirement savings guidelines, don't despair.  Even if you don't start until you are in your 40's, you have a good 20 some years to save before you hit Social Security age.

Click here to learn more about retirement planning.

Previous Story

Next Story


Comments





Sponsored
Find Local Businesses on KELO Pages!

View business

You may also like

Empire Mall Burger King Closes

3/22/2015 2:30 PM

The Burger King inside The Empire Mall in Sioux Falls is closing Sunday, March 22.

Full Story
Plans Released For Pump Park in Brookings

3/27/2015 4:51 PM

The same company that designs BMX bike tracks for the Olympics is coming to South Dakota to create Brookings' newest park.

Full Story
Speed Limit Sign Changes

3/25/2015 6:06 PM

The speed limit is only going up on stretches of road where the limit was 75 miles per hour, now going up to 80 mph.

Full Story | Watch
Woman Pushing For $20 Bill Makover

3/25/2015 9:54 AM

Barbara Ortiz Howard already has a day job maintaining apartment buildings near New York City. Now she has a second job and it's all about money. ...

Full Story
New Car Wash To Open Near 26th St. & Sycamore Ave.

3/24/2015 3:48 PM

Sioux Falls will soon be home to a second Silverstar Car Wash.

Full Story


Events