Simple Retirement Savings: Avoid Four Mistakes

By: Kelly Hutchinson | Category: Financial Services | Issue: December 2019

One day, you are going to retire - whether you’re planning to work for the next 5 years or the next 50. No matter when you stop working, your retirement plan is the key to your future. Social Security payments may help. But it’s not enough. You’ll need your own savings, too.

Set yourself up for success by avoiding these four mistakes:

1. Procrastinating.

The key to a happy, restful retirement is to save as much as possible for as long as possible. Your company’s 401(k) makes it easy, because the money comes out of your paycheck before you even miss it. If you haven’t joined your plan or started saving, do it now.

Your company doesn’t have a 401(k)? There are other retirement options like ROTH and traditional IRA accounts. Ask a professional wealth advisor which option may be best for you.

2. Stealing from your future self.

That’s what you do when you take a 401(k) loan or early withdrawal from your retirement account. Sometimes things get tough financially, but withdrawing retirement funds early should be your very last option.

3. Cashing out.

When you change jobs, you might be tempted to cash out and withdraw all your savings from your 401(k) plan. Don’t do it! Here’s why: You’ll have to pay taxes on the money and a 10% penalty, too. You’ll be left with about half in cash now - and back to zero for retirement.

Instead, roll over the money into a 401(k) at your new job, leave it in the old plan, or roll it to an IRA to stay on track to retire when you want.

4. Relying on guesswork.

1 + 1 = 2. Knowing how much money you need in retirement can be just as easy. Chances are it’s a pretty big number. But knowing is better than guessing. Use a retirement calculator (there are lots of them online) - you’ll have an answer in minutes.


« All December 2019 Stories

RCB Bank Financially Fit

For more information, contact:


More about RCB Bank Financially Fit:

Top Stories

Feeling Your Best - Naturally

There are many ways to improve the quality of one’s life, but overall health and wellness should be at the top of the list for anyone. The professionals at Feet Unlimited Inc. ... Read more »

A Light in the Dark

The topic of human sex trafficking is uncomfortable and dark. Many would rather turn a blind eye to the issue, rather than participate in uneasy conversations. ... Read more »

Advantage Roofing & Construction

In Oklahoma, Mother Nature can be brutal. Between the extreme heat of the summer and extreme cold, rain, hail and wind, our roofs bear the brunt of the severe weather, and before long, need repair. ... Read more »

Post-Repair Inspections Offered in Owasso at Pruitt’s Auto Collision

In business, industry and life, there’s an old axiom about doing a job right the first time. ... Read more »

Be Weather-Ready This Winter

Oklahomans are no strangers to extreme weather, but is your vehicle ready for a brutal winter?  Local meteorological reports are saying get ready for the cold! …... Read more »

Jersey Mike's: Voted Best Sub in Virtually Every Market We Serve!