RetireSmart MassMutual

Did you know?

  • Put the $1.49 you spend on your daily coffee into your retirement account, and that $387 a year could be as much as $155,983 when you retire.
    Details
    Based on: $0 starting balance; current age of 22; includes 260 weekdays, excludes weekends; assumes regular deferrals with an average annual return of 8% (rate of return will vary); age of retirement 67; 25% marginal tax rate. Example is hypothetical and does not represent the performance of any particular investment vehicle. Source: Bankrate.com, 401(k) Calculator, 2011
  • If a 25-year-old saves $100 each month, he could have about $350 more (after taxes and inflation) in monthly income during retirement than if he saved $50 each month.
    Details
    Based on: $0 starting balance; current age of 25; assumes regular deferrals with an average annual return of 8% (rate of return will vary); age of retirement 67; 25 years of retirement; 25% current tax rate and inflation rate of 3.1%. Example is hypothetical and does not represent the performance of any particular investment vehicle. Source: Retirement Savings Calculator, retiresmart.com
  • Start brown-bagging your lunch, and put the $4 a day you're saving into your retirement account for a potential $145,565 more when you retire.
    Details
    Based on: $0 starting balance; current age of 35; includes 260 weekdays, excludes weekends; assumes regular deferrals with an average annual return of 8% (rate of return will vary); age of retirement 67; 25% marginal tax rate. Example is hypothetical and does not represent the performance of any particular investment vehicle. Source: Bankrate.com, 401(k) Calculator, 2011
  • If a 35-year-old saves $250 per month, she could have about $400 more (after taxes and inflation) in monthly income during retirement than if she saved $150 each month.
    Details
    Based on: $0 starting balance; current age of 35; assumes regular deferrals with an average annual return of 8% (rate of return will vary); age of retirement 67; 25 years of retirement; 25% current tax rate and inflation rate of 3.1%. Example is hypothetical and does not represent the performance of any particular investment vehicle. Source: Retirement Savings Calculator, retiresmart.com
  • Invest just $25 each week into your retirement account, and you may have up to $25,726 more in your retirement savings in just 12 years.
    Details
    Based on: $0 starting balance; current age of 55; 52 weeks per year; assumes regular deferrals with an average annual return of 8% (rate of return will vary); age of retirement 67, 25% marginal tax rate. Example is hypothetical and does not represent the performance of any particular investment vehicle. Source: Bankrate.com, 401(k) Calculator, 2011
  • Are you saving enough? On average, you will need 60-100% of your final working years' income to maintain your lifestyle after retiring.
  • Enroll early. A 25-year-old who contributes $100 monthly for 10 years will accumulate about 20% more than a 35-year-old who contributes $100 monthly for 30 years, due to compounding.
    Details
    Based on the following: $0 starting balance; retirement age of 67; assumes regular deferrals with an average annual return of 8% (rate of return will vary). Example is hypothetical and does not represent the performance of any particular investment vehicle. Source: Standard & Poor's, 2011
  • A 42-year-old who wants to retire at 67 with $500,000 must save $6,333 each year. If he waits 10 years to start saving, he must contribute $17,051 annually.
    Details
    Based on the following: $0 starting balance; retirement age of 67; 8% (rate or return will vary) expected average annual rate of return. Source: Cost of Waiting Calculator, retiresmart.com, McGraw-Hill Financial communications, 2011
  • Put $500 into a savings account monthly for 12 years for a potential $76,465. If you put it into a retirement account, you could save up to $120,257.
    Details
    Based on an average savings account annual interest rate of 1%. Retirement account assumes regular deferrals with an average annual return of 8% (rate of return will vary). Example is hypothetical and does not represent the performance of any particular investment vehicle. Source: Bankrate.com, Simple Savings Calculator, 2011
  • Switching jobs? If you take a payout now from your previous retirement plan, versus rolling it into your new plan, you could lose 25-40% to taxes and penalties.
    Details
    Assumes early withdrawal penalty, federal and possible state taxes.
  • Consolidating your qualified retirement plan accounts could save you time and money. Multiple accounts may mean more in fees and more than one investment strategy to manage.
  • As someone under 59-1/2, if you take a payout from your retirement plan when you leave your employer, you may pay Uncle Sam 25-40% in penalties and taxes.
    Details
    Based on the following: Assumes early withdrawal penalty, federal and possible state taxes.
  • Americans change jobs about 11 times between ages 18 and 44. Simplify by consolidating your qualified retirement plan accounts so you only have one statement, strategy and contact.
    Details
    Source: 2010, BLS.gov
  • Having more than one retirement plan account can result in duplication of asset classes and compromise your overall investment strategy by exposing you to unnecessary risk.
  • Retiring soon? Consolidate all of your qualified retirement plan accounts so you can see the big picture. It may help ensure you're on track for retirement.
  • Diversifying your investments across different asset classes can help minimize risk in a retirement portfolio.
  • Age is one of the most important aspects of your investment strategy. Generally, the longer your investment horizon, the more time you have to balance positive and negative returns.
  • If managing investment allocations stresses you, consider risk-based or date-based investment strategies. They tend to become more conservative over time and/or allow you to match your risk tolerance.
    Details
    Past performance does not guarantee future returns. Always consider the investment's objectives, risks, charges and expenses carefully before investing. This and other information is available in either a prospectus or fact sheet. Read it carefully before investing.
  • Using an online calculator can help you determine the appropriate investment strategy, and it may make you feel more confident about achieving your retirement goal.
    Details
    Source: EBRI – Confidence Research Study, 2011
  • Generally, you should check your portfolio at least once a year to ensure it's still in line with your needs. As retirement nears, you should check more frequently.
  • As you get close to retirement, consider shifting some of your assets into more conservative investment options.