4 Ways to Get Started With Retirement Savings in the New Year

Almost everyone aspires to save money for their retirement, especially when the New Year is around. But it takes more than a few dollars to be able to save a substantial amount for retirement.

That said, here are 4 ways by which you can get started with retirement savings:

#1: Make a clear plan

Don’t just say that this is the year when you decide to save much more. Instead, make a clear plan with specifics as to when and how much you intends to save. If necessary, who you will contact so as to make sure the plan is carried out.

#2: Deposit money automatically

Deposit money into an investment account even before it reaches your checking account. In this way, you’ll avoid the temptation of spending the money or even going through the hassle of transferring the money yourself. Even so, set up a direct deposit to a retirement account.

#3: Have your employer put some money in

For this, get help from your employer. If you can get a 401(k) match or a company contribution type of account, this will bring you the best benefits of all. Of course, you have to meet the requirements so as to get a matching (and big) company contribution to your account.

#4: Save a part of any windfall you get

A windfall, in this instance , could mean a raise, bonus, tax refund. Make sure you put a part away for retirement. Now, if you put this money in an IRA or a traditional 401(k) account, you can save a lot of money on income tax as you put this money away.