8 Reasons Why You Need To Save for Retirement
The standard answer, having money when you stop working, is obvious, but there may be other good reasons to save
1. The world will not end before you die
This is the counterpoint to the usual rejoinder about saving for retirement some people like to cling to: Why should I save, the world could end tomorrow
2. Government pension (Social Security in the U.S.) might go bankrupt
This one is arguably more likely than the world ending, so be on the safe side and save, just in case
3. For your kids (not the way you think)
You might live to an advanced old age, and one of your children may retire while you are still around and kicking, and need your help in their retirement. Isn’t that a comforting thought :)
4. For an emergency
You might suddenly need emergency funds before you retire. While this is not advisable, tapping into the retirement funds might be your only option
5. Is your company contributing free money?
If you work for a company that contributes to your retirement based on your contribution (like a 401K) it’s a no-brainer to save. The company’s contribution is free money
6. To take advantage of a real opportunity
Let's say you have a great opportunity to establish or join a promising startup or business, but you need seed capital. Your retirement nest egg could be the start of your entrepreneurial life
7. Leave an inheritance
Regardless of how long you live leaving retirement funds will truly be welcomed by you beneficiaries, and that should certainly count for something
8. Your legacy
Along similar lines you could leave your funds to a worthy cause or charity if you are so inclined
No comments.