Скачать или смотреть How Saving Just 7% Can Build a Million Dollar Nest Egg | Money Minutes

Welcome to Erin Talks Money - Money Minutes. The Money Minutes series is where I tackle some of your biggest money questions in just a few minutes.

Yes we are all hard pressed for time these days, so let’s break it down to the bare necessities in this video.

How a shocking low savings rate can still make for a great retirement?

The average American saves just over 7% of their income. For anyone on their own money journey who has been looking into wealth building, you will know that that seems like a crazy low rate.

Traditionally financial planners will recommend that people save anywhere from 15-20% of their income. And if you read the headlines, they say that America is on the brink of a retirement crisis - people simply aren’t saving enough.

But is that really the case?

What if I told you that you could absolutely retire at traditional retirement age if you simply saved what average American is saving? What if all you needed to do is save 7%.

You may be wondering, what’s the catch? Well the only catch is that you have to start early - like in your twenties. And you have to stay consistent, you have to keep saving every year until you retire. Who said finance had to be complicated? Because that’s it.

Yes, if you just saved a small percentage of your income, let it grow tax free in a 401k, traditional IRA or Roth IRA, you could absolutely be able to replace your pre-retirement income with your retirement next egg.

Of course, if you delay starting to save for retirement you are going to have to play catch up - and that means you are going to have to save a greater percentage of your income. The more you delay, the more you are going to have to save, simple as that.

Most people don’t start saving for their retirement when they are in their 20s - don’t be like most people. Start saving early, and you will be astounded at how little it takes to build up a hefty net worth.

Disclaimer: Please note that this video is made for entertainment purposes only and not to be taken as financial advice. Always make sure to do your own research.

Looking for more money videos, I post new videos every Monday and Thursday, subscribe to my channel:    / midge087  

What percent of your income should you be saving:    • What Percentage Of My Income Should I Save...  

Want to learn more about the rule of 4%:    • The 4% Rule | Can You Retire Early? | Safe...  

Want to retire early, have to every heard of Coast FI/RE (financial independence / retire early):    • Coast FIRE | Financial Independence Retire...  


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