A surprising number of people postpone worrying about their nest eggs until the day comes when they realize they don't really have any plans. There are a million reasons why you need to start saving for retirement now, but below are enough of them explained to hopefully convince you of the importance of investing in your future.
Find out how much you need to save for retirement - that number is exactly why. If you retire at a nice young age, like sixty, you really should plan on living to be around 100 unless you have a medical condition that proves otherwise. It is many years to need income. Find out how much money you need to live on each year and multiply them by the number of years you may be retired. That's a large number. Don't be afraid - you can find a way to do this, but you need to start thinking about it as soon as you can and start saving for retirement.
Your current investments have more time to make more money. If you put a hundred dollars into a 401k when you are twenty years old and retire in your sixties, it is forty years that a hundred dollars was invested in various stocks, bonds, mutual funds, etc. and makes you return. The hundred dollars is suddenly a lot more money.
There will always be a reason not to invest - to let it become a habit. If you are currently thinking that you will worry about saving later because you just now need to buy the new car, then tomorrow you are saying that you will worry about saving later, because right now you have to You save to buy a house, and then pay the house, and send your kids to college ... and the list goes on. These are all worthy things and important parts of your life, but you need to budget for your retirement - another important part of your life - so you get one.
The above reasons why you have to start saving for retirement sum things up, but there are even more. This is one of the most important things you can do in your life, do not ignore it.
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