Tuesday, February 28, 2012
JAWIB Industry Expert Toukata Suyoto - Savings For Now And The Future
Are we saving enough for our future, or are we saving enough for now? Many Americans aren’t saving enough. We are saving less than 5 percent compared to Japan’s personal savings rate at 15 percent. We need to increase our savings in the US to at least be a national standard that we can retire comfortably. Our Gen X and Gen Y are learning a hard lesson from their parents. A quarter of respondents from the ‘Gen Y’ generations –born between 1977 and 1989 said they were funding both their 401k or 403b plans and their IRA’s. And 23 percent of ‘Gen Xers’ born between 1965 and 1977 said they were funding both. The good news is that many working American, especially those who are young are taking advantage of savings for retirement in a tax free environment through options like an IRA despite a tough economy. But funding these accounts on a regular basis is the key-even if it’s a small amount. Every year that you don’t fund your IRA is lost opportunity for tax regrowth. In these difficult economic times more and more Americans are finding that they are not prepared for retirement. Now is the time and I think Americans are ready for it. People are growing weary of a plastic life, paid for by plastic cards on revolving accounts that never get paid off. People are also growing leery of foreigners taking greater control of our resources-even to the financing (at a handsome profit) of our national debts. As a nation, we should make a commitment to do all the right things to put our country on a sound track financially (which public opinion polls show we all want), and to embrace as an individuals a strategy of personal savings and investment, no matter how small.
Finally with tax season upon us-it is not too late to take advantage of opening an IRA accounts, please consult your tax advisor to which type of an IRA best fit you and your retirement goals. Please visit any Zion’s Bank branches to open your future for a better retirement life.
For more information for your future savings and budgeting please visit www.zionsbank.com/learning-center. Zion’s Bank has team up with David Ramsey’s Financial Peace University to manage your money, to eliminate debt, and to build wealth. It takes just 91 days for Zions Bank to teach you how to be debt free.