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Retirement Roadmap

Saving for retirement

Planning for any goal as big and far away as retirement requires some working assumptions—and an understanding of how they may impact potential outcomes. When will you start saving, for example? How much can you save every year? When will you retire? And what will your investments return? The answers to these and other key questions will impact the odds of reaching your retirement savings goals.

How much do you need?
Aim to save at least eight times your ending salary by retirement—though your number will depend on your choices and goals.

Strategies that help
Start saving early. Consider saving 10-15% of your income. Invest for long-term growth. That means stocks. And build an emergency fund.

How and where to save
Make the most of workplace savings plans. Reduce high interest debt. Take advantage of IRAs and other tax-advantaged options. Reduce health care costs.
Investing involves risk, including risk of loss.
Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, RI 02917
651804.6.1
Become a supersaver
Try to contribute at least up to your company match—more if possible. Then consider an IRA, and if eligible for a high deductible health care plan, a Health Savings Account as well. Automatic payroll deductions make saving easier, too.

Invest for growth
One of the biggest mistakes young investors can make is not allocating enough of their savings to stocks.

Adjust to life changes
Marrying and having children brings a whole new set of financial challenges you will need to manage wisely.

Avoid pitfalls
Try not to build up unnecessary debt, borrow from workplace savings, or cash out when changing jobs. Instead put time and compounding to work for you.

Manage risks
As your assets and responsibilities grow, you will likely want to think about strategies to help protect what is yours, including insurance.
Investing involves risk, including risk of loss.
Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, RI 02917
651804.6.1
Ramp up your savings
Make the most of workplace savings and investing options, including catch-up contributions if you are over 50. Try to increase other savings, including IRAs. Consider deferred income annuities.

Get real about returns
You can't control the market but there are things you can control that can help boost your real returns. Among them: minimizing taxes and expenses, and building an asset mix with which you can live.

Adjust to life changes
Are you sandwiched between the financial needs of children and aging parents? Be careful not to shortchange your own retirement by tripping into these and other midlife traps.

Avoid pitfalls
When changing jobs, beware of cashing out workplace savings, and getting hit with penalties and taxes that can undermine long-term savings. Weigh pros and cons of pension payouts. Manage health costs wisely.

Manage risks
As your assets and responsibilities grow, you may want to think about strategies to protect what is yours, including insurance.
Investing involves risk, including risk of loss.
Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, RI 02917
651804.6.1