I'm not working now, but my boyfriend maxes his 401(k) which comes to about 9% pretax. he gets no employer match.
we save much more than that though, and I assume a healthy portion of our other investments will help fund retirement. we are not counting on SSI, pensions, or inheritances.
We max our 401K/403b accounts and plan to max two IRAs going forward. I forget how much DH's company matches and mine doesn't start until my 1 year work anniversary, so I try not to include those in our calculations. We are definitely not counting on SSI and are much more concerned about saving for retirement vs funding college for kids. Like someone always says, you can take out student loans but you can't take out retirement loans.
H maxes. I keep wanting to raise mine more but I'm only at 10 percent right now. I am hoping to stay at my job long enough so get a sizeable pension. I'm already vested in one. 6.5 years in and it's pretty decent when you hit year 20.
Post by sometimesrunner on Jan 19, 2013 13:12:53 GMT -5
We contribute 18% between the two of us. Plus we each get a 3% match. H maxes his but I'm $5k from maxing mine. H doesn't want to fund Roths for us anymore unless we have so much cash that we don't know what to do with. That's not happening anytime soon. I'm not counting on SSI.
DH puts 16% in pre-tax and gets a 4% match. Half of all bonuses go in a Roth 401k, and an additional $4k in a Roth IRA. All I have available to me is a Roth IRA. Maxing it puts me at about 12% of my gross.
All told we save about 20% depending on DH's bonus amount.
Post by rebekistan on Jan 19, 2013 18:46:11 GMT -5
Our budget is tight right now, so we just have MH saving 3% in his 403(b) so he can get his company's 3% match. So, only about 3.5% of our income is going to retirement this year.
If our finances lined up, we would be contributing 10% of our pre-tax income after subtracting the annual amount we pay for student loans, but we would be contributing post-tax dollars into our Roth.
Huh, I never really calculated it before. We upped to the max a few years ago when the market was so low (one of the few smart retirement things I've done). We both max our 401ks which is about 19% of our income. Plus we both get 4% matching and usually try to put something in our Roth IRAs. Without the match it is 20-25% of our income. At what point do you say you are saving enough? I so need to find a financial advisor.
Do you have any USAA accounts? We got a free financial advisor through them since we have our insurance and bank with them.
No, unfortunately to! But Fidelity probably does something similar so I should try that first!
Post by giantsgirl on Jan 19, 2013 21:25:01 GMT -5
I put 9% into my 401k and get an 8.5% match from my company. H puts in 6% and gets a 6% match. I make more than H, so on a weighted average, we contribute almost 16% including matches.
same except we max DH's (and he has for 15 years), and we both contribute max to our Roths. Not counting on SSI. We may get an inheritance down the road but we are not counting on it.
We max mine so it is approximately 19% plus a 5% match. DH has a generous pensions that will actually support us entirely in retirement so my TSP would be for travel or a second home or things like that.
If you include out roth contributions, DH puts in about 24% of his base pay with no match, and I put in about 40%, with another 4% added by my employer. DH will likely receive a military pension in retirement, but is still a handful of years away from vesting in it.
We are playing catch-up, though. We started late, and are trying to make up the difference before having kids (at which point our contributions will drop). I'm in my early/mid 30's, DH is in his mid/late 30's.
I contribute 15% post-tax to my Roth 401(k). My company matches 25% of that, and it's immediately vested, so in total 18.75% of my post-tax income goes to my 401(k). Edit: Crap. I think that's how it works... or that 3.75% is pre-tax. I'm actually not sure, and have never really thought about it. I've only been contributing for 5.5 years...
Employer matches are pretax whether your contribution is pre or post tax.
We both do the federal max and our employers contribute another 5-8% (can't recall). Part of our retirement strategy includes tax advantaged investments. Everything together ends up at around 30% of gross income. None of our retirement strategy depends on SSI in any form. I would be shocked if SSI exists in 30 years.