People Not Saving Enough for Retirement - News, Sports and Weather

People Not Saving Enough for Retirement

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A surprising 36% of workers claim to have less than a $1,000 dollars saved for retirement. Another 60% of workers aren't much better off saying they have less than $25,000 dollars saved, according to a recent national study conducted by the Employee Benefit Institute and Greenwald and Associates.

The Montana Federal Credit Union says that amount of savings isn't enough for retirement.

"Imagine the life you want to have when you retire. If you want to travel or want financial freedom without any debt on a home or credit card, plan now. Its never too early to start," says Becky Timmons, Vice President of Marketing for the Montana Federal Credit Union.

The study also showed that many people have not put a lot of thought into calculating how much will be needed for the future.

"The first time you think about retirement should be the first day of your first job. Once you start earning, you should start planning for when you will need your savings," advises Timmons.

For those who are getting a later start on their savings, Timmons says there are some helpful options available.

"Take advantage of free money on the table. If your employer offers a match program or any type of investment opportunity you should take advantage of that because that will grow over time. Just anywhere you should try to tuck a little bit away and watch it grow."

Timmons adds that people should try on average to put away about 10% of their earnings a month.