You hear about the pending retirement crisis in the U.S., where most people are not saving enough to retire at age 65 or 67. I am just curious, what % of your income do you save for retirement? I try to save around 15% - 17% of my income for retirement (I put a good chunk into 401k, and max out IRA). I feel if I do this for 35 or 40 years I should be in good shape, although saving is tough (there is always plenty of stuff to spend money on). What about you guys?
Save 8% in the 401k with a 6% match, so that is 14% of salary. Have about $20-30k liquid at a given time and one rental property, which I consider an investment for the long run. Used to have two rental properties, but I now live in one.
7% + 3% match - relying on you savers to finance my golden years. Don’t blame me when the govmint takes all y’all’s 401Ks to pay for my medical expenses. I warned you.
(Except you New Zealander guy and ohai. Your repsective govmints are already screwing you over with too damn high taxes, I imagine.)
3% for group RRSP, company matches 3% (maxed out, will change to 5% in another year or two)
3% to employee share ownership plan RRSP, with employer matching 30% of that. I can contribute up to 15% max and get the 30% match, but unfortunately I don’t make enough to pay my student loans and do that at the same time. Come raises in a couple months and I’ll be able to do it though (hopefully)
So currently, I’m effectively contributing 9.9%, plan to up it to 25.5% effectively by June.
I do a lot of different vehicles (401K, SEP IRA, ROTH when I can, reg IRA when not, then traditional account) and overall I think of my gross income from all sources (self employment, salary, bonus, dividend/int income, etc) I must put like 25-30% and then get small company match.
I max my Roth IRA. Also, when I start my new job in a couple weeks, I’ll be putting 5% in my 401k (simply to get the full company match). Company matches dollar for dollar first 5% + 5% year end bonus. Those two accounts put me at ~20% savings/income.
My cost of living is cheap relative to my income so cash just builds in my bank/taxable investment accounts. Personally I’d rather have the majority of my investments in taxable accounts to take advantage of the favorable tax rates on investment income. Also if I decide I want to move countries or something later, its a lot easier to just move cash rather then having a bunch of PITA retirement accounts.