5 Tips to Save For College and Retirement

Best regardsyourself. Yourbank can set up automatic allotments to
Daniel J Wanstenyour savingsaccount. Start with $200 a month. You
5 Tips to Save For College and Retirementwon't see the money,so it's easier not to spend. If you
The list of hard choices and sacrifices parents makefeel comfortablewithout $200 a month, increase the
fortheir children is endless. Send them to soccer campallotment to $300 and soon. We tend to adjust to
orlittle league, enroll then in private or public school,givewhat we have. Ever wonder howmillionaires go
them a 10p.m. or midnight curfew - the list goes onandbroke?
on. One thing that shouldn't be on that list - save3) Look at all the options - There are more paths
forcollege or retirement.availablefor financing a college education than there
It might sound harsh, but parents shouldn't sacrificeare forretirement. For Example: You can't get a
theirown financial security for the sake of their children.retirement loan,but there are many types of student
Whatthey should do is figure out how to save forloans. Scholarships and
theirchildren's college education and for their ownGrants are another great source. Many students will
retirementat the same time. The sooner they figureassumethey won't qualify. Encourage your children to
this out, thebetter.alwaysapply, because many times acceptance is
Unfortunately, saving usually ranks lower on thebased on more thangrades and income. Compare the
listcompared to other priorities. People in their 20's maycosts of community college,public and private
befocused on paying off student loans and credit carduniversities. With loans, scholarshipsand grants,
debt.sometimes the difference between the school
People in their 30's may be focused on raising a familyofchoice and the school of second-choice isn't as
andjuggling the costs that come along with that, suchmuch as youthought.
asbuying a first home, paying two car payments, etc.4) Take Control - Companies are starting to drop
Whenpeople reach their 40's and 50's they arepensionplans in favor of employee contribution plan,
concerned withsaving for their children's collegesuch as
education and their ownretirement. And this is where401(k)s, primarily because they're less expensive.
the problem lies.Soemployees are left responsible for figuring out how
Getting a late start can be a challenge, but ittoinvest. Don't just follow what your co-workers are
shouldn'tstop you from being able to retire at adoing.
reasonable age andsend your children to school. HereStart researching, find out how to monitor the
are 5 tips you can useat any age!performanceof your company to bring in a consultant
1) Think Realistically - Most people don't have ato give aninvestment seminar.
concreteidea of how much money it takes to retire.5) Pass on responsibilities - Before and after
Since thefinancial needs of each person will beyourchildren start college, it's a good idea to give
different, try toimagine what you want your retirementthemcertain financial responsibilities. Whether
to be like. If youwant to maintain the lifestyle you havetheresponsibility is as small as paying for groceries
now plus travel,chances are you will need 100 percentandbooks or as big as paying rent, a car payment and
of the salary youearn in your working years to liveinsurance
comfortably. If you planto live a much simpler life in a- it can be extremely beneficial. There are many jobs
less expensive area, itmight be possible to get by onthatallow time for school and studying. Encourage
60% of the salary you earnin your working years. If lifethem to seekout paid internships, part-time jobs on
expectancy is about 80 yearsand you retire at 65, youcampus or seasonalwork during winter and summer
have 15 years to fund. Do themath.breaks. Many timesentry-level jobs will teach your
2) Start Early - And if that's too late - START NOW!children good work ethicsand making financial decision
Thisapplies to college and retirement saving. Thewill allow them to have moreconfidence in their abilities.
sooner youstart saving, the more interest your moneyIt is possible to save money for college and
will earn. Don'twait until it's easier to save, that willretirementsimultaneously. The key is to set goals and
never happen. Ifyou think it's impossible to save, trickstart now.