Retirement Planning

2 Ways to Save for Retirement Automatically

Retirement planning can be complicated and overwhelming, but there are a few ways to implement an automatic saving strategy and put aside money for your retirement.

Automate Your Savings

When it comes to saving for retirement, many of us put forth a gallant effort to stay on top of managing our savings and investment accounts. However, not all of your retirement strategies should require your constant supervision. In fact, you may be unaware of the different ways your money can, and is, working for you - automatically!

The following are two ways you can save for retirement, automatically:

  • Your tax deferred retirement accounts. By making your 401(k) contributions automatic (having your employer pull money from your paycheck before you even see it) you can effortlessly save without having to write a check every month or transfer money between accounts. And because the money is tax deferred, you're earning on money that would have otherwise gone to Uncle Sam. If your employer is matching your contribution every month, then you're saving even more!
  • An automatic savings plan. If you're not the disciplined type or if a busy life just seems to get in the way of your savings plan, then set up your savings account to where you can have money deposited every month into your account. Many financial institutions have savings programs that will automatically pull money from an account (say your checking account) each month, and make a deposit into your savings (you set the amount and date of the deposit). With an automatic savings plan, money is pulled before you see it and moved where you can't easily access it.
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All Learning Center articles are general summaries that can be used when considering your financial future at various life stages. The information presented is for educational purposes and is meant to supplement other information specific to your situation. It is not intended as investment advice and does not necessarily represent the opinion of Protective Life or its subsidiaries.

Learning Center articles may describe services and financial products not offered by Protective Life or its subsidiaries. Descriptions of financial products contained in Learning Center articles are not intended to represent those offered by Protective Life or its subsidiaries.

Neither Protective Life nor its representatives offer legal or tax advice. We encourage you to consult with your financial adviser and legal or tax adviser regarding your individual situations before making investment, social security, retirement planning, and tax‐related decisions. For information about Protective Life and its products and services, visit www.protective.com.

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Saving For Retirement

Saving for retirement can seem like a lot of work. This article looks at two ways that you can save for retirement automatically without having to constantly manage your retirement portfolio. For more information, visit the Protective Life Learning Center.

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