We hear it all the time: “But I just don’t make enough to even think about putting money into my 401k.”
Who hasn’t felt this way at some point? After all, life happens – soccer fees are due, car needs new brakes, your long lost uncle needs bail money…etc. The list goes on and on.
So the real question becomes…where do you find the money to save? We have the answer.
The average American eats 5.8 commercially prepared meals each week (about 23 times/month) and assuming the average cost is $10 per meal, that totals $230 per month. If you have four people in your household, take that up to $920…in one month. That’s a lot of money.
Imagine that you eat out as a family 1 time each week (versus 5.8) and substitute those other 4.8 meals with….oh, say, peanut butter sandwiches (or your personal favorite). Your estimated cost per meal would be cut in half, from $10 to $5. That’s a $5 savings X 4 people X 19 meals per month that you stopped eating out = $380 in savings per month.
That’s right, check the math = $380 in savings or about $4,560 a year you could be saving into your 401k. And most folks have a company match, which could take your savings up to $6,000/year.
$6,000 a year in 401k savings will absolutely help you retire sooner rather than later. And you can thank peanut butter for that. There’s nothing tricky about this. And it’s not hard to do.
There is only one person who will turn your retirement fate around. That person is you. There is no gain without some sort of sacrifice. Once you’ve mastered this concept…check into blooom to make sure you are putting your 401k dollars into the right investments.
Published on May 13, 2015