Retirement can seem incredibly remote to many people, and they don’t plan for it financially as a result. More than a third of Americans have no money saved for their retirement. Many of these people without savings work in jobs that offer 401k, which allows them to invest part of their income tax-free. About half of Americans don’t take advantage of a 401k that is available to them. The best way to ensure that you can retire in the future is to meet with an investment adviser and set financial goals. Here are two things they can help you with.

Deciding how to invest your money

No matter what your financial situation is, you should always invest, even if the paycheck is only $ 20. 25 years ago, if you had invested $ 1,000 in the stock market, today it would be worth more than $ 14,000. If you just save $ 1,200 a year for forty years on a 401k, a normal return will give you more than $ 200,000. An investment advisor can help you decide the best strategy for your money and where to put it. If you are young, a common strategy is to invest in stocks with high risk but high reward. As you get older, it is common to shift equity to more conservative stocks.

Retirement is an expensive life option

Upon retirement, the average American citizen will receive about $ 15,000 a year in Social Security benefits. A very conservative lifestyle, with little to no travel, will cost a retirement of more than $ 40,000 on average. Ultimately, you need to have savings if you want to retire. A 401k account or other stock market account is one of the best ways to close the gap. Additionally, the average life expectancy of Americans today is over 85 years, which is significantly higher than it was for generations past. This means that retirement will be longer and therefore more expensive. The normal cost of living will also generally increase when one stops working. With more free time, annual spending on entertainment and travel will often increase dramatically. Ensuring that your savings have enough to allow you to retire and enjoy them is a goal that financial firms can help you achieve. As mentioned above, an investment advisor can help you develop a strategy for building your money over time and providing you with the amount you need for retirement.

While most people start dreaming about retirement as soon as they start working, many don’t start planning for it until it’s too late. The sooner you consult with an investment advisor, the sooner you can start increasing your money so that you have enough to enjoy your later years. A retirement without travel and entertainment is not what many people have in mind, but without adequate savings, it will be the only lifestyle most can afford.