Welcome to the 2013 Rockbridge 401(k) Challenge. This is the easiest competition you will ever face and will take less than 10 minutes to complete!
The challenge is simple, increase your employee 401(k) contributions by 2% or more and see if you actually notice the difference in your day-to-day life. Our guess is that you will not.
Although a 2% increase does not seem like much when it is withdrawn each paycheck, it can have a huge impact in retirement. For an individual making $50,000/year, the additional retirement savings in current dollars will be:
10 years until retirement – $14,200
20 years until retirement – $42,400
30 years until retirement – $94,700
(5% real return, 3% annual raises, 2% additional salary deferral)
Your future self will greatly thank you!
Other articles filed under Retirement
October 19, 2016
Once Upon a Time... When we started an investment advisory firm in 1991, it seemed obvious to Bob Ryan and me that structuring portfolios by focusing on asset allocation was superior to the stock picking culture of the day. The...
October 17, 2016
With less than a month to go before the Presidential election, many clients and friends have asked me how the markets will respond to the voters’ choice. While there will be no shortage of prognostications in the media, investors would...
October 6, 2016
October is National Cyber Security Awareness Month. With more and more financial transactions happening online, we wanted to share a very helpful infographic (shown below). Please be mindful of the personal information you provide online! Infographic by Digital Guardian
September 26, 2016
Back in August, the Social Security Administration added a new step in order to protect the privacy of those who use my Social Security, the online platform to view personal Social Security information. When you sign in at www.ssa.gov/myaccount, you will...
September 1, 2016
It’s no surprise that this year’s U.S. presidential race has become a subject of conversation around the globe. In “Why Our Social Feeds are Full of Politics,” Canadian digital marketing executive Tara Hunt observes, “American politics, it seems, makes for...