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Retirement Savings Laziness

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When I read 11 Retirement Saving Tips for Twentysomethings (& Older Folks Too) over at Len Penzo, I realized that Mr. BFS and I are not impressing ourselves now as much as we did in our 20’s.  We were 20-somethings that were amazingly proud of our grasp of the future.  But now that we are actually content with our jobs – the online business and our hobby jobs – we stopped counting down the days until retirement.

This just made me laugh  🙂

My View of Our Retirement Savings

I’m very happy with my 20-something self and a little disappointed with my early-30′s self. I started my first “real” job at 22 – one month after I graduated from college and 3 weeks after I got married.  I vaulted into my 401k as soon as they allowed it after 90 days, putting in 6% to get their maximum matching.  When I was 25, I opened a Roth IRA and have been maxing it out every year since then.  At 27, I convinced my hubby to open and max out a Roth IRA annually too.

But now that we are both self-employed and happy, we still only max out our Roth IRA’s and make a few stock investments every year. At age 29-30, we threw the majority of our extra cash into paying off our rent house and putting 20% down on our long-term home.  I consider our rental income as a reward for those moves, but we don’t put it all towards retirement.

Changes?  Probably Not.

We should probably be throwing more into a SEP IRA or something…we just have too large of a monthly nut plus other savings goals to tackle anything else right now without giving up something…and our priorities aren’t geared towards opening another retirement account.  That means, in my opinion, we are doing the bare minimum to fund our retirement.  Yet I am happier now than when we felt like we had retirement by the horns.

Contentment is an odd drug – I still strive to stay busy and grow my side hustles, but early retirement isn’t the end all, be all for us anymore.

How do you save for retirement?  Do you feel like you were great at it in your 20’s?  Or was there a missed opportunity?  And how does your career contentment affect your retirement savings overall?

FYI:  I worked at a dead end cubicle job from 2005-2011 for about $30,000 per year.  I went self-employed in July 2011 and make between $70,000-$90,000 through blogging, professional pet sitting, hubby's reffing, and our rental home.  If you’d like to start your own site (link to my free step-by-step guide), I highly suggest checking out Bluehost (my referral link with a nice discount for you, PLUS a free custom header banner from me!).  Please contact me any time at budgetingfunstuff*at*gmail*dot*com with questions or just to brainstorm! I’d love to help!
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6 thoughts on “Retirement Savings Laziness

  1. We’re saving for retirement in Roth IRAs, 401Ks, and a taxable account, but neither of us is in a job that we want to be in for 10-20 more years. You guys seem like you love what you do, so as long as you’re saving enough to get there eventually, what’s the rush?

  2. You are saving enough because you won’t really retire. You enjoy your work too much.

    You may work less and you may give up being a landlord in the future but you will probably continue to live off your work income for decades to come and all your savings will just sit and continue to grow.

    Don’t be afraid to spend and enjoy now. You are saving enough for retirement.

  3. All of that saving you did in your 20s is setting you up for an amazing retirement.
    You are doing great!
    I will admit it’s hard to get motivated to go the extra mile with retirement so far away.
    I imagine it’s even harder when you love your job! (HA!)

  4. I’ve calculated that 2016-2017, I should have enough in my 401(k) to live on past age 60. That should give some more flexibility in my thirties on retirement saving. In my first year working (age 21), I got the full match on my 401(k) contributions and maxed out my Roth IRA. Since then, I’ve been maxing out both each year. I’ve also set aside some money in a taxable investment account. Once I pay off my mortgage next year, I will put all the money that had been going to the mortgage into index funds in my taxable investment account.

    So right now, I’m only saving 17% of my net income for retirement. I’m putting 60% of my net income against the mortgage though, so once the mortgage is gone, I would be saving 77% of my net income. I’m not necessarily striving for early retirement, but I will probably end up financially independent by my early thirties.

  5. @Mrs. Pop, love the way you think. 🙂

    @jane, thanks for the vote of confidence! And good luck with your savings!

    @Mortgage Free Mike, LOL, I never thought loving my job would slow down my savings or anything like that, but there it is. 🙂

    @Leigh, WAY TO GO!!! That is awesome!!! I feel like I wasted 6 years of my 20’s simply since I made so little overall. Now our monthly expenses are high enough that a 77% savings rate would mean that we’d need to make like $20,000 a month. I don’t see that happening right now. Good luck to you and hope you do hit financial independence in your early 30’s as planned!!!

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