Intro to Saving
What to Save for Next?
Good news! I’ve built up my rainy-day account. Now that I’ve gotten so good at putting money away, what should I start saving for next?
For most of us, there are three major savings goals: A house, an education, and our retirement. If you can save for only one of those things right now, start with retirement.
What’s the earliest age you can begin withdrawing from your retirement account without paying penalties?
Age 65
Age 59 and a half
Age 62
You can make withdrawals at any age
What’s a 529 plan?
A retirement savings account
A health care flexible spending account
An education savings account
A type of mortgage
Why is it important to begin saving for retirement now?
The earlier you begin saving the more time your money has to grow
There are significant tax incentives available
Your employer may match your contributions
All of the above
Which of the following is NOT one of the three major savings goals?
Your retirement
An education
A home
A vacation