3 Reasons You Need to Save for Retirement
A big reason so many seniors wind up miserable is that they don't save adequately for retirement ahead of time. And why don't they save? For some people, it's a matter of low earnings and a true inability to squeeze out IRA or 401(k) contributions. For others, however, it's a matter of underestimating the cost of retirement and not realizing the importance of having multiple income streams during that time. Here are a few good reasons why you really, really need to save for your senior years -- even if you're convinced otherwise.
Many people assume that once they retire, they'll be able to get by on Social Security. But in reality, the average beneficiary today only gets about $1,500 a month. Now even if you're convinced you'll spend a lot less in retirement, do you really think $18,000 a year is going to cut it? Furthermore, if you have any desire to enjoy life during retirement -- say, to travel and pursue hobbies that may not be free -- then you're going to need way more than Social Security income to support that lifestyle. Hence, the need for savings.
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Source Fool.com
