Begin saving right away
Once you select a retirement savings plan, start saving today. This could mean starting to contribute to your 401(k) with your employer, opening an Individual Retirement Account (IRA) and setting up automatic monthly transfers, or stepping up your savings by increasing your monthly contribution to an existing retirement account. Not sure you can start today? Read about the cost of waiting.
Review your recommended next steps and take action
After you select a retirement savings plan, we provide a list of recommended action items that are specific to your situation. Take a few minutes to review your recommended next steps and take action today. If you saved your plan, you can access your next steps at any time by signing on at My Retirement Plan.
Stick to your savings plan, even when your budget is tight
People who commit to saving toward retirement each month are much more likely to achieve their retirement goals. Having three to six months of emergency savings will help you stay on track, even when financial challenges come your way.
Find the money to save for retirement
Now that you’ve selected a retirement savings plan, two free online tools can help you find money in your budget to save for retirement.
- My Spending Report with Budget Watch helps you create a budget, automatically tracks your Wells Fargo deposits, and categorizes your Wells Fargo debit card, credit card, and online Bill Pay spending into familiar categories.
- Small Steps to Retirement Savings shows you how to build your retirement savings by making small spending changes like taking your lunch to work, changing your cell phone plan, or buying items on sale.
Don’t have online access to your Wells Fargo accounts?
Review your plan whenever your financial situation changes, but review at least once a year
As your financial situation changes, so should your retirement savings plan. For example, you should update your plan if your income changes, your marital status changes, or you receive an inheritance.
Create a more conservative plan to guard against the unexpected
To help ensure you don’t outlive your retirement savings, consider making the adjustments below to create a more conservative savings plan. You’ll need to save a little more now, but may thank yourself later.
- Lower your retirement age in the My Information section to give yourself a buffer in case you end up retiring earlier than expected due to job loss or health reasons.
- Select a longer life expectancy under Calculator Assumptions to help guard against outliving your savings.
- Increase your income replacement rate under Calculator Assumptions to help live life in retirement on your own terms.
- Choose a conservative investment style under Calculator Assumption, particularly if you have a more risk-adverse approach to investing.
- Increase the expected inflation rate under Calculator Assumptions to help protect your savings against higher-than-average inflation.
Review the projected amount of monthly income in retirement
The projected amount of monthly income you’ll need in retirement is adjusted for estimated changes in your income between now and retirement, so if you are many years from retirement, it could be significantly more than what you currently spend each month. On the other hand, if your current income is significantly above what you currently spend each month (this generally applies to people with high incomes), you may want to lower your income replacement rate on the Calculator Assumptions tab.
Consider easing into retirement
While some people envision a work-free retirement, others choose to gradually transition into retirement by working part time or beginning a second career. If you think you will earn income while in retirement, remember to enter this amount on the Future Income tab.
Plan for the worst-case scenario
Market volatility plays a critical role in the long-term success of your plan. Saving more than the recommended monthly amount will cushion your retirement savings and move you closer toward meeting your total saving goal.