‘Your Wallet’: Planning is key to retiring comfortably

LINCOLN, Neb. (KLKN) – If you want to retire comfortably in your 60s, experts say, you should begin setting aside money in your 20s.

Zach Lebroad, from Sage Spring Wealth Partners in Lincoln, said the benefit of starting younger comes down to investing.

“The main benefit of starting young from an investment perspective is compounding interest,” he said. “Compounding interest is simply earning interest on not only the money you’ve saved but also the interest you’ve earned over time.”

Fidelity recommends saving at least 15% of your pretax salary.

Lincoln’s housing cost in 2021 was $134,000 below the national average, so it might be easier to retire here than in other states.

“It really all depends on the type of lifestyle that you want to live in retirement and the types of expenses that you have,” Lebroad said.

If you haven’t started saving yet, Lebroad said it’s never too late.

“That being said, if you start later, it just might mean that you have less flexibility and less freedom in your retirement years,” he said.

Individual retirement accounts and 401K savings plans are great saving vehicles, but which one you’ll need depends on your family’s needs.

Lebroad suggests diligently seeking out a financial adviser you trust.

Forbes has a webpage dedicated to helping you connect with an advisor who fits what you’re looking for.