Social Security Shouldn't Be Only Retirement Income
Leo Rossler
Do you sometimes wonder whether you'll be able to afford retirement? It's a common concern among workers, especially members of the baby-boom generation. The oldest of the boomers will be 62 in just a few months - in January 2008. But even the most anxious of this group should be able to relieve at least some concerns about retirement income by understanding just how much money is needed, and then planning a way to reach that goal.
Most financial advisers say you will need at least 70 to 80 percent of your pre-retirement income to enjoy a comfortable retirement. Other advisers say you may need an even higher percentage of pre-retirement income. So where will it come from?
The truth is that today Social Security is the largest source of income for most older Americans. For the average wage-earner, Social Security will replace about 40 percent of pre-retirement earnings. But Social Security was never intended to be your only source of income when you retire, and to reach the 70-80 percent replacement income goal you also will need other savings, investments or pension income, or part-time work.
Saving and investing wisely are important not only for you and your family, but for the entire country. If you want to learn more about how and why to save, you should visit www.mymoney.gov, a federal government Web site dedicated to teaching all Americans the basics of financial management. The topics discussed at this Web site include paying for an education, starting a small business and, of course, retirement planning.
The retirement planning link takes you to more than a dozen other links with valuable financial information. There is, for example, "A Special Guide for Seniors and Families" from the FDIC; "Top 10 Ways To Prepare For Retirement" from the Department of Labor; "Tax Information for Retirement Plan Participants" from the IRS; and several links to Social Security sites, including Social Security retirement benefit calculators, special guides for women and retirement planners.
So if you are concerned about being able to afford retirement, just remember knowledge is power. Get valuable information from Social Security at www.socialsecurity.gov, or from the federal Web site for financial literacy at www.mymoney.gov. The Tyler office is located at 5509 S. Donnybrook Ave.
Leo Rossler is a Social Security district manager based in Tyler.
Most financial advisers say you will need at least 70 to 80 percent of your pre-retirement income to enjoy a comfortable retirement. Other advisers say you may need an even higher percentage of pre-retirement income. So where will it come from?
The truth is that today Social Security is the largest source of income for most older Americans. For the average wage-earner, Social Security will replace about 40 percent of pre-retirement earnings. But Social Security was never intended to be your only source of income when you retire, and to reach the 70-80 percent replacement income goal you also will need other savings, investments or pension income, or part-time work.
Saving and investing wisely are important not only for you and your family, but for the entire country. If you want to learn more about how and why to save, you should visit www.mymoney.gov, a federal government Web site dedicated to teaching all Americans the basics of financial management. The topics discussed at this Web site include paying for an education, starting a small business and, of course, retirement planning.
The retirement planning link takes you to more than a dozen other links with valuable financial information. There is, for example, "A Special Guide for Seniors and Families" from the FDIC; "Top 10 Ways To Prepare For Retirement" from the Department of Labor; "Tax Information for Retirement Plan Participants" from the IRS; and several links to Social Security sites, including Social Security retirement benefit calculators, special guides for women and retirement planners.
So if you are concerned about being able to afford retirement, just remember knowledge is power. Get valuable information from Social Security at www.socialsecurity.gov, or from the federal Web site for financial literacy at www.mymoney.gov. The Tyler office is located at 5509 S. Donnybrook Ave.
Leo Rossler is a Social Security district manager based in Tyler.
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