Monday, June 2, 2008

Balance Buster: Saving for Retirement

First of all, WOW - it has been far too long since Greg and I have written. Sorry. I attribute it to laziness, but it will stop, because I miss blogging. That being said, let me delve into today's post.

I figured I could piggyback on the previous post of "financial balance". In addition to sometimes having a hard time finding the line between saving and spending, I'm also having issues finding another fine line: saving for retirement vs. living in the now. I understand that any "financial guru" I speak with will tell me to max out all my retirement savings, and I do think that's a good idea. However, right now, I don't think I have the means to do that. If I were to truly max out a Roth, that would be more than 20% of my income, and that's not including savings for short term goals. And once I put that money in there, I can't touch it. I mean, yes I would love to have a healthy retirement, but at the same time, we are never guaranteed time on this earth. I do think it's important to save for the far-away future, but I also think it's important live every day in the present.

For example, I don't want to wait until I'm 70 to travel the world. I want to start now! I mean, what if I'm not around when I'm 70, or what if I'm disabled. Of course I don't want these things to happen, but life is unpredictable. I know I can't have everything now, and it is important to let my money grow and work for me, but I believe it is equally as important to do the most with the time we are given. So until I start earning more money, I will fund my retirement account to the best of my ability, but I will also not allow myself to feel guilty about taking a wonderful vacation with the love my life instead of funding it to the max.

Just my two cents! Look for more later.

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