Saving for Retirement if You Work Part-Time

Let’s take a few minutes and talk about saving for retirement, maybe if you’re just working part-time, seasonal or maybe you have kind of a free lance or I think they call it “gig employment” now. Where maybe you don’t have that traditional full-time career. Well the Secure Act 2.0 recently came out and maybe made some things more accessible for you or some opportunities out there that you should be aware of. So one of which is they have effectively some eligibility or expanded opportunities for you to be involved in some employer’s plans. Employers used to have pretty stringent or could have pretty stringent requirements to have you be part of their plan. Now with this Secure Act 2.0 you just have to have two years of service, consecutive years of service with at least 500 hours of service. So after that, then you can potentially be part of their plan. Maybe they offer matching and stuff like that. And you can start participating in that plan. Know there’s other opportunities out there that you can be doing independently, but it is nice if you can hop on an employer’s plan especially if there is a match with that. There’s also something out there called the “saver’s credit” that will then now be transitioning in 2025 to a “saver’s match.” So again, depending upon your filing status, your tax filing status, income levels and such, you may be eligible to get certain credits toward money you’re putting toward your retirement accounts. And eventually that’s going to transition to a match directly to your retirement plan. So there’s some unique opportunities out there. But we have to back up for a second and say why is this? Why is the government and agencies out there putting so much emphasis on us saving for retirement? Well here is the reason. Look at this chart here that is up on the screen now and the concerns. So this is a survey that was done recently by https://url.us.m.mimecastprotect.com/s/-_jaCQWK80hJxZ2AUOUUkE?domain=bankrate.com. And this is asking certain age groups, demographics out there how they feel about where they’re out with their retirement. And you’ll see as the younger age group here basically they’re feeling like they’re on track. They feel like they have adequate savings towards their savings. Now as we age with this group here, look all the way out to the Boomers and the stark difference there. That tall chart there, the tall green line, that’s the percentage that feel that they’re not adequately saved for retirement. Now maybe as this ages, as they get closer to that they realize they maybe need more than they thought or stuff like that. Or maybe their dreams have gotten bigger in retirement. But boy, what a reality this is. So the eye-opening thing, takeaway I have from this is making sure you have a plan in place, a retirement plan and that you’re trying to meet those objectives and goals so that you can feel confident and achieve this. There’s probably nothing worse than going into retirement not feeling confident in your plan and that you’re going to be able to do all of the things that you want to do in retirement. Give us a call so we can help you plan to retire well.