worker changes jobs more than 10 times in a working
As mentioned earlier, you probably will experience
lifetime. Changing jobs often puts you at risk of not
several major events in your life that can make it more vesting in your current job, or a new job may not offer a difficult to start or keep saving toward retirement and
retirement plan. Consider keeping your money in your
other goals. The key is to have a clear plan, to stay
former employer’s retirement plan or rolling it into a
focused on your goals, and to manage your money so
new company plan or an individual retirement account
that life events don’t prevent you from keeping on
(IRA). Don’t cash out and spend the money, however
target.
small the amount.
Here are a few suggestions for saving for
Divorce. It’s important that you know the laws
retirement while financially managing some common
regarding your spousal rights to Social Security and
life events.
retirement benefits. Under current law, spouses
Marriage. Getting married creates new financial
and dependents have specific rights. Remember,
demands that compete for retirement dollars, such
retirement assets may well be the biggest financial
as changing life insurance needs and saving to buy a
asset in the marriage. Be sure to divide those assets
home. But it’s usually less expensive for two people
carefully. It’s also critical to review your overall
to live together, thus freeing up dollars. Also, you
financial situation before and after your divorce.
probably still have time on your side. A spending plan is Income typically drops for partners in the wake of a essential. Remember, every little bit helps.
divorce, particularly for women.
Raising children. The U.S. Department of Agriculture Disability. A severe or long-lasting disability can
estimates that it costs the average American middle-
undermine efforts to save for retirement. Although
income family approximately $295,560 to raise a child
Social Security Disability benefits can help sustain
to age 17. Furthermore, in some cases a spouse may
a family if severe disability strikes, you may wish to
stay out of the workforce to raise children, thus cutting explore the availability and cost of other forms of into income and the opportunity to fund retirement.
disability insurance.
Having a child may alter your major financial goals, but Death. The premature death of a spouse can should never eliminate them. Make the best effort you undermine efforts for the partner to save for can. Also, many financial planners stress that saving for retirement, particularly if there are dependent retirement should have priority over saving for a child’s children. That’s why it is important to check your college education. There are financial aid programs for Social Security statement to find out how much college-bound students but not for retirement.
children will receive if a parent dies. Maintaining
adequate life insurance is also important. Be sure that
you have properly named the beneficiaries for any
insurance policies, retirement plans, IRAs, and other
retirement vehicles.
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A LIFETIME OF