It used to be that workers were urged to save 10 percent of their income for their retirement.
Now some South Florida financial planners are upping that to 15 percent.
The reason: Most South Floridians won't qualify for a pension at their work so they need to save more to ensure a comfortable retirement.
"Their research supports our view that 15 percent is the new 10 percent," she wrote, adding, "Several years ago, the consensus was to save at least 10 percent of income. Now that figure has been upped to 15 percent."
It is something for Floridians to be concerned about.
The Sunshine State has the lowest rate in the nation of workers, from 21 to 64, qualifying for a pension or saving for retirement at their jobs, according to the nonprofit Employee Benefit Research Institute. Just 43.7 percent of the Sunshine State's full-time, full-year workers participated in an employer-based retirement plan, the institute reported.For those who aren't part of a 401k retirement plan at work, there are alternatives, such as a Roth or Traditional IRA.
"Your investment grows tax-free until withdrawal and is asset-protected," in either plan, Adam wrote. "IRAs provide savings discipline; once the money is in the account, you’re less likely to take it out."firstname.lastname@example.org, 954-356-4404, or Twitter @954-356-4404