Читать книгу Investing For Dummies - Eric Tyson - Страница 63

Many investors make a common mistake by neglecting to take advantage of retirement accounts because of their enthusiasm to spend or invest in non-retirement accounts. Not investing in tax-sheltered retirement accounts can cost you hundreds, perhaps thousands, of dollars per year in lost tax savings. Add up that loss over the many years that you work and save, and you find that not taking advantage of these tax-reduction accounts can easily cost you tens of thousands to hundreds of thousands of dollars in the long term. Ouch!

To take advantage of retirement savings plans and the tax savings that accompany them, you must first spend less than you earn. Only then can you afford to contribute to these retirement savings plans (unless you already happen to have a stash of cash from previous savings or inheritance).

The sooner you start to save, the less painful it is each year to save enough to reach your goals. Why? Because your contributions have more years to compound.