Retirement Planning For Millennials

Millennials face a lot of financial challenges, particularly in financial planning. Most of these young working individuals are focused on gaining life experiences that acquiring physical things, especially when it comes to spending. Many of them invest in their travels than save money for their first home. Moreover, many millennials are not so focused on the future, especially when it comes to their retirement. Below, however, are some practice tips for millennials so they can start planning for retirement, even if it seems farfetched.

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Keep a savings-only account

Financial security happens when one plans ahead—not just for short-term goals, but for retirement as well. When they set aside a portion of their paycheck for savings, they will learn how to prioritize their money.

Seek financial advice

Seeking advice from financial professionals will help millennials know where to invest their money, be it in stocks, mutual funds, or other investments. Financial planning is not one-size fits all, and having the right plan will not leave millennials stressing about their money when they’re older.

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Start now

Because retirement is something that is not yet a reality for those in their 20s and 30s, it can be a challenge to start. Time is a valuable asset, and planning early will mean their savings can double or triple in value in the next five or 10 years. Starting late means they will have to work longer to make up for what they have missed.

Grace Jackson has years of experience in the financial service industry. She recently served as the head of credit strategy private wealth management at SunTrust Bank. Visit this blog for similar articles.