Mistake no. 3: Not knowing how to take advantage of various savings opportunities outside 401(k) plans
Even if the perfect nest egg for any average boomer is a minimum of $1 million, this figure will prove to be unattainable for most people. Depending on different survey findings on the amount of money most boomers managed to save up to this point in their 401(k) plans, the average boomer needs to come up with over $142,000 a year in order to meet their difficult retirement savings goals.
And as you well know, this amount of money is oftentimes unattainable, as long as you only have your 401(k). If you want to retire and live comfortably, consider finding other ways to fund your retirement dream.
In such matters, you need to take a comprehensive approach. Even if the 401(k) is the biggest contributor to your nest egg, it definitely shouldn’t be the only source of retirement funds. By the book, retirement funds are oftentimes compared to a three-legged stool: your own taxable savings account, your workplace retirement plan, and your Social Security.
These three different incomes can beautifully blend together, as long as you know HOW. Well, if you’re eligible, maybe it’s time to consider opening a traditional or Roth IRA, just to add another strong leg to that stool of yours.
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