Retirement Planning July 2023
First, investments in an IRA grow tax deferred. Tax-deferred growth of your money means it can compound at a higher rate than a taxable investment account because the income and realized gains are not being taxed each year. Second, your life expectancy is longer, potentially into your nineties, which means you may need to save more than what your 401(k)-retirement savings plan allows. Thirdly, the cost for living is likely to continue rising in retirement, especially healthcare. Save more for retirement by opening an IRA account that will add to your retirement income. A professionally managed IRA account may minimize risks of not having enough retirement funds to maintain your current standard of living in retirement. Families finished with college expenses or funding it tend to get more serious about saving more for retirement to build up their confidence that someday they can afford to retire once.