How can I save for retirement starting in my 40’s?

I didn’t take saving serious in my younger days now as I get older I’m 48 in SSI no savings or retirement what should my plan of action be?

Same here . I didn't start to take it seriously untill my late 30's and I'm 43 now . Sometimes I worry it's too late.

I hope someone with experience can post here. I am also just about done paying off debts my ex left me in a divorce and have nothing to live off when I retire. I have a little extra every month, but not sure what to do with it. Thanks.

Hey! It's never too late to start.

Step 1: Decide when you want to retire. If you are 48 and want to retire at 65, then you have 17 years. If you want to retire at 70, you have 22.

Step 2: Decide the income level you want to live on in retirement. How many $XX,XXX per year do you need?

Step 3: Use online calculators to see how much Social Security can provide (the amount is higher if you wait until 70).

Step 4: Subtract the number from Step 3 from the number in Step 2. Multiply that by the number of years you expect to be retired (20-30)

Step 5: Use an online retirement calculator (Dave Ramesey, NerdWallet, Bankrate, there are a bunch) to determine how much you have to invest every month/year for the next 17-22 years to reach the goal you found in Step 4. Assume a 5% return on investment (shorter time horizon means less risk but less growth), which is a setting on the calculator.

Step 6: Is that number doable? Great–set up a Roth IRA if your job doesn't offer a 401k. Roth IRAs currently max out at $500 a month. Use a roboadvisor if not comfortable picking out your own investments. Lots of them are close to free.

Step 7: Contribute monthly to take advantage of dollar-cost averaging (in short, to even out the highs and lows of the market) and aim to hit your target number every year. Need to contribute more than $500 a month? You can open up a second retirement account, but you will have to pay taxes on it. You can also ask for your employer to set up a 401k at the office or set up one for yourself if you are self employed.

Step 8: Check on accounts twice a year and see if everything is on track.

What if the number is not doable? If it seems ridiculously high and makes you want to tear out your hair?

Step 1: Evaluate if you want to downsize/relocate somewhere cheaper when you retire. It could help a bunch.

Step 2: If you get a 3% raise at work, 2% should automatically go into your retirement account. Can't miss what you never had. Save all raises after inflation (it's been around 1% lately but usually around 2%)

Step 3: Consider living extremely frugally for 2-3 years where you save 50-75% of your money to provide a larger lump-sum investment in your retirement.

The important thing is to think safe but with at least a little risk.

For real tho

I cant

Hey! It's never too late to start.

Step 1: Decide when you want to retire. If you are 48 and want to retire at 65, then you have 17 years. If you want to retire at 70, you have 22.

Step 2: Decide the income level you want to live on in retirement. How many $XX,XXX per year do you need?

Step 3: Use online calculators to see how much Social Security can provide (the amount is higher if you wait until 70).

Step 4: Subtract the number from Step 3 from the number in Step 2. Multiply that by the number of years you expect to be retired (20-30)

Step 5: Use an online retirement calculator (Dave Ramesey, NerdWallet, Bankrate, there are a bunch) to determine how much you have to invest every month/year for the next 17-22 years to reach the goal you found in Step 4. Assume a 5% return on investment (shorter time horizon means less risk but less growth), which is a setting on the calculator.

Step 6: Is that number doable? Great–set up a Roth IRA if your job doesn't offer a 401k. Roth IRAs currently max out at $500 a month. Use a roboadvisor if not comfortable picking out your own investments. Lots of them are close to free.

Step 7: Contribute monthly to take advantage of dollar-cost averaging (in short, to even out the highs and lows of the market) and aim to hit your target number every year. Need to contribute more than $500 a month? You can open up a second retirement account, but you will have to pay taxes on it. You can also ask for your employer to set up a 401k at the office or set up one for yourself if you are self employed.

Step 8: Check on accounts twice a year and see if everything is on track.

What if the number is not doable? If it seems ridiculously high and makes you want to tear out your hair?

Step 1: Evaluate if you want to downsize/relocate somewhere cheaper when you retire. It could help a bunch.

Step 2: If you get a 3% raise at work, 2% should automatically go into your retirement account. Can't miss what you never had. Save all raises after inflation (it's been around 1% lately but usually around 2%)

Step 3: Consider living extremely frugally for 2-3 years where you save 50-75% of your money to provide a larger lump-sum investment in your retirement.

Thank you!

Make the employee match, pay off your debt, and expect to retire closer to 70 then 60