Let's look at the math: if you started saving $100 a month when you were first hired at 23, with the plan to retire at age 65 (let's use an example of an 8% interest rate, compounding annually), you would have a total savings in that account of $365,092.23 at retirement. Instead, you waited until 26, and that short three-year period shrank that potential account balance to $286,729.47. Your three years of having that extra $50 in your paycheck every two weeks cost you $78,362.76 in lost earned interest!  

Today, the average retired teacher has less than $1,800 per month to take home from their teacher retirement system after STRS reductions, taxes, health insurance premiums, and other necessary options are deducted. This is an American travesty! According to a USA Today opinion poll: 78% of retirees polled “wished they had planned better for retirement,” 42% “wished they had saved more money,” and 37% “wished they had opened an IRA or contributed to a 403(b).” Retirement Supplements for school employees were established by the IRS in 1958, and after 50+ years, only 25% are saving for their future.

No one can live with dignity on a take home retirement income of $1,800 per month! ValuTeachers is committed to the crusade of helping teachers improve their bottom line at retirement.

 Save Early  

Compounding interest is the financial form of rolling a snowball. You take just a little clump of snow and start rolling around. It grows slowly as it gains more surface area for more snow to stick to, then grows more and more rapidly with every roll until you have the base of a snowman. Every time you add to the total balance, you aren't just getting interest on that one contribution. You earn interest on the account's entire balance; more money grows, more money! 

Starting a retirement account as early as possible while making regular contributions is the key to living the happy and healthy life in retirement that you so deserve for your years of hard work and providing for your family. Paying yourself for your future is always important, but so is giving yourself regular raises, just like you would expect at work.  

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A proper retirement plan will make a difference in how someone can enjoy the later years of life. Including the opportunity to travel, spend special moments with grandchildren, live in assisted living communities, or pay for needed medication. 

Call Lynne Now 863-588-1582

Taking care of your financial future may be the last thing on your mind. This is where ValuTeachers can assist you. We have a number of financial solutions to assist you in reaching your retirement goals, whether you're planning just for yourself or your family's future.