Retirement planning: Planning for the future starts TODAY
Posted: May 12, 2020
In such unfamiliar times as we’re facing, it’s natural for people to be concerned about the future. Thankfully, it’s always the right time to get on track with saving for retirement. Averitt Express is committed to helping associates not only through the life of their careers, but beyond as well.
For truck drivers wanting to know where to begin or how to maximize their retirement, here are some tips to get you started:
- Set a budget – Know exactly where you’re spending money and evaluate whether there are places you can cut costs or where you have extra money that can go to build up an emergency fund and later towards investments and other savings.
- Stash extra funds -- Every time you receive a raise, increase your contribution percentage. Dedicate at least half of the new money to your retirement plan. And while it may be tempting to take that tax refund or referral bonus and splurge on something, don't treat those extra funds as found money. If you can, use it to help make big leaps toward your retirement goal.
- Take advantage of your 401k plan or IRAs – If your employer offers a traditional 401(k) plan like Averitt does, you can contribute pre-tax money, which can be a significant advantage. That means you can invest more of your income without feeling it as much in your monthly budget. At Averitt, you can make contributions to a retirement account through our traditional 401(k) and Roth IRA plans. Choose to contribute from as little as 1% to as much as 75% of your pay on a pretax basis through weekly payroll deductions. Averitt associates are eligible to participate 90 days after your date of hire as long as you’re age 21 or older.
- Seek an employer that shares the wealth through profit sharing – It’s always gratifying to be appreciated for a job well-done, but to be rewarded in a way that contributes to your comfortable retirement is truly valuable! Profit-sharing plans are a type of defined contribution plan that lets companies help employees save for retirement. Unlike 401(k) plan participants, employees with profit sharing plans are not required to make thier own contributions. The company contributes for you. At Averitt, the profit-sharing plan allows associates to share in the rewards of everyone’s efforts, with a portion of profits given back as monthly direct deposits into your retirement account. This is particularly valuable as the company is saving on your behalf while you work.
- Find other ways to build retirement funds - A savings account might help you save money, but it won’t help you significantly increase your nest egg. Utilize resources like the stock market, mutual funds and real estate that will provide you with a better return on your investments.
- Seek help from experts – If you’re unsure about what your savings plan should look like, seek advice from people who are knowledgeable about financial planning, stock market portfolios, insurance, and real estate to help guide you. These individuals will help you figure out how much money you’ll need to have before you start investing in a certain category and can also help answer questions as they come up.
Averitt Express offers a wide range of unique advantages for professional truck drivers in addition to savings support. For more information on how Averitt can help you earn a great living today while saving for the future or any of our career options, feel free to reach out to us. We’d be happy to share more about what we can do to help you prepare for a more comfortable retirement.