While the month of October is National Retirement Security Month, saving for retirement is not just a one-time event – it’s a journey from your first retirement plan contribution and continues your entire career and beyond. To help ensure you’re on the right path, now is a great time to check in on your overall financial health and identify areas where you feel confident and areas you may need to improve. There are a lot of challenges facing consumers in today’s economic environment, but taking the time to evaluate your holistic financial picture can help with these four steps:
- Identify what financial wellness means for you. This short video introduces the five key pillars so you know what you’re working toward.
- Learn how to deal with market volatility. Ups and downs are normal but can make anyone worry. In fact, a recent study found that among those surveyed, 67% of respondents are concerned about inflation, including 42% who are very concerned1. Use these tips to help you navigate periods of uncertainty and help make smart choices.
- Make a plan to pay down debt. We found that more than 80% of workers surveyed carry some form of debt and 67% have debt beyond a mortgage or a car loan2. Extra interest on revolving debt each month, like a credit card, costs money that could be put toward your retirement savings. Use this debt calculator to create a payment plan or see how interest adds up over time.
- Set a budget to see where your money goes. This worksheet can help you manage everyday spending and plan for long-term goals, such as retirement or buying a home.
In addition to these steps, your employer may offer a tool that can help you assess your overall financial wellness. Seek out professional guidance where you can, and ensure you are educated on your options and how to maximize them. By taking a few simple steps today, you can help put yourself on a path to financial security in retirement.
About the Author: Ralph Ferraro
Ralph Ferraro is Senior Vice President, President of Retirement Plan Services, for Lincoln Financial Group. Drawing upon more than 30 years of experience in the financial services industry focused on worksite benefits programs, Ferraro leads Lincoln Financial Group’s Retirement Plan Services business, which is dedicated to helping customers along every step of their retirement journey. Leveraging a high-tech, high-touch service model, the business offers innovative retirement savings solutions such as employer-sponsored retirement plans, holistic financial wellness offerings, in-plan guaranteed income and stable value solutions.
1 Lincoln Financial, Monthly Consumer Sentiment Tracker, 1Q-Q2 2022
2 2021 Lincoln Retirement Power® Study