Darcy Bergen Explains Why Retirement Should Be on a College Graduate’s To-Do ListPEORIA, AZ, UNITED STATES, October 1, 2020 /EINPresswire.com/ -- College graduates are focusing on getting their first job, not retiring. However, that doesn’t mean that they shouldn’t be thinking about retirement. Many people do not start planning for retirement until their 30s or 40s. Darcy Bergen, a retirement planner in Arizona, offers up tips for college graduates to ensure their retirement is properly funded.
One of the biggest things that Darcy Bergen recommends college graduates to look at is employee benefits. Many good companies offer a 401k to their employees. Not only that, but Darcy Bergen also recommends that it should be used right away. Upon signing up with a company, an employee should start contributing to the 401k as soon as eligible.
Darcy Bergen explains how employers will contribute to a 401k as an employee benefit. As a result, it is free money that is being added to a retirement fund. Over the course of a 20 or 30-year career, this can add up to a significant amount of money.
College graduates also need to take the time to establish a budget. Darcy Bergen explains that the benefit of creating a budget once a salary is set with a company is to ensure that money is being saved. A portion of every paycheck should be directed immediately to retirement. The benefit of doing this early is to ensure that a person gets used to saving as well as compounding returns.
Perhaps the biggest problem that Darcy Bergen identifies is that many college graduates have no idea how much it will cost to retire. They assume that it’s something they can worry about when they’re older. However, those who want to retire at 55 or 60 will need to consider having $2 million or more within a retirement account. In order to get that kind of money, Darcy Bergen explains the importance of starting early.
The power of compounding returns is critical. When college graduates focus on retirement at the age of 20 or 22, they have more time for their retirement funds to earn interest. This can compound over time to provide tens of thousands of extra dollars into an account 30 years from now.
Darcy Bergen has spent a significant amount of his career teaching people how to plan for retirement. If he can impart one piece of knowledge to college graduates it is to diversify. He explains how retirement planning should not involve only one savings method. He provides information on 401ks, pensions, IRAs, and various other methods of helping with retirement.
College graduates might be looking at where to work and how to pay off student loans. However, Darcy Bergen promises that it’s important to add retirement planning to the list of things that need to become a priority. He offers retirement planning courses at a nearby community college. He also hosts a radio show with his wife where they impart financial planning wisdom to listeners.
Investment advisory and financial planning services offered through Simplicity Wealth, LLC, a Registered Investment Advisor. Sub-advisory services are provided by Advisory Alpha, LLC, a Registered Investment Advisor. Insurance, Consulting, and Education services offered through Bergen Financial Group. Bergen Financial Group is a separate and unaffiliated entity from Simplicity Wealth and Advisory Alpha.
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