I earn about 65K a year. What is the best way to save for retirement?

I am only 32, but need to start saving now.

Public Comments

1. 401k or an IRA.
2. If i were you i would do about 10 or 15 percent of what you earn yearly and put it for you know yourself or emergencies, and a lot for retirement. Your company may have some plans that can help you with your retirement
3. If you're making that kind of bank, why come to Y/A! to ask how to invest? Hire a financial planner and maximize your dollars.
4. if your job have 401k put about 10% or you could open a ira at your bank
5. Your employers 401K first, especially if it's a matching plan. Then traditional and Roth IRAs. Best advice I ever got was to do direct deposit. That way, the money goes directly from your check to your retirement account, so you're not tempted to spend it.
6. Definitely find out about your company's 401k plan and start to contribute to that. Do you have any credit card debt? Student loan debts? You should also plan to eliminate all debt.
7. The first place you want to start is with your employer's 401k plan. Your employer may match up to 6% of your monthly income of whatever you put in the account, so this is basically free money just for saving. Definately check on this. Also, any money you put in this account is tax deferred, meaning you don't pay taxes on it until you take it out when you retire. This reduces your current taxable income. Your two other main retirement choices is either a traditional IRA, or a ROTH IRA. In a traditional IRA, the money you put in is tax deductible like a 401K, and it also grow tax deferred. In a ROTH IRA, the money is taxed before you put it in, but any gains over the years are not taxed, and you aren't taxed when you take it out. You can open up these type of accounts at a bank, or any brokerage (online is the cheapest) There are several other retirement type accounts, but they are based on being self-employed, or profit-sharing. I hope this helps.
8. First, do you have money to save? If not start cutting expenses, eat out less, quit smoking, trade in the expensive luxury car for a cheaper car. Second, if you have debt with an interest rate of 5% or more, besides a mortgage, you should pay that off before saving. If your employer offers a 401k I would contribute up to the amount that they match, since that is free money or a guaranteed return on your investment. Then I would max out the contributions to a roth ira. If you have more money left over buying a first house or an investment property is a nice way to build wealth. Now is a great time, houses are cheap, and interest rates are low. You could also contribute extra money into a regular investment account. How much money to contribute towards retirement really depends on what your goals and needs are, when you will retire, how much money you need during retirement. This is a very helpful tool. http://cgi.money.cnn.com/tools/retirementplanner/retirementplanner.jsp