Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below.
A couple in their 40s admitted on Reddit that they have almost no retirement savings and are only now trying to figure out how to begin planning for the future.
“Neither one of has worked at a job that has a 401(k), the wife posted recently. “Now, my husband has a job that has a 3% match but have to wait until the end of the year to get it.”
In the meantime, she said they can only afford to start very small.
“We have to start off small due to high cost of living, which means we might only be able to contribute $50.00 a month each,” the wife wrote, “and there might be some months that are lower/higher amounts.”
Don’t Miss:
Small Contributions Still Matter
Many commenters urged the couple not to become discouraged by the small starting amount. Several people said the biggest step is simply getting started and building the habit.
“Better late than never for sure – at least you’re starting now instead of waiting even longer,” one commenter wrote.
Others recommended opening a Roth IRA through low-cost brokerages and investing in broad index funds. A few argued that a traditional IRA could also make sense because the immediate tax deduction would help free up cash flow.
Still, nearly everyone agreed on one thing: once the husband’s 401(k) becomes available, they should contribute enough to get the full company match.
“The match from your husband’s job is basically free money,” one commenter said.
The original poster later shared that the couple’s combined household income fluctuates between about $50,000 and $80,000 annually. They also explained that they live in a high-cost area in Florida and have already tried moving farther away to save money, but the additional commuting and vehicle costs canceled out most of the savings.
The poster repeatedly stressed that the $50 monthly contribution was only a starting point.
“I don’t want to set a monthly amount that we will not be able to achieve and become disappointed,” the poster wrote. “We don’t plan on 50.00 forever. I figure it’s better late than never.”
Many Shared Their Own Late Starts
One of the strongest themes throughout the discussion was reassurance from people who also started retirement planning later in life.