What do these people have in common?

1. The 53 year old corporate employee who’s been working for 30 years for the same company and has an established pension.
2. The 46 year old single mom who is a waitress and has no savings for a pension. 
3. The 38 year old office manager who has started saving for a pension by contributing to her employer’s 401k plan.
4. The 22 year old graduate who just started his first job in his field of study and has not started saving for a pension.

They all need to start saving for a pension now. A stable pension savings requires three or more streams of income to provide stability, so even the corporate employee should be starting additional savings for a pension.

The 53 year old who has worked for the same company most of his life for a company that provides him with a pension plan, needs to start saving for a pension, today. With current conditions there is no guarantee that the pension payout will be the amount that was promised.  He can add another stream of income to his pension, by starting to save today.

• Start putting money into a 401k and check if the employer matches funds.
• Look into rolling all or part of the pension benefits into an IRA plan.

If the single mom wants to avoid spending her retirement years continuing to working hard and long, she should start saving for her pension today. At 46, she can change her spending or add to her income, to find money to put into a work 401k plan or a personal IRA.

• Eliminate paying interest and late fees. Find ways to cut back on spending and/or add to income. Put that money into a pension savings
• Join a 401k plan, matter how small an amount, contribute something each paycheck. Each year increase the amount.

The 38 year old office manager may feel secure with a 401k plan and social security benefits. She is on the right track, but it won’t be enough. She needs to also start today to save for her retirement.

• Open an IRA and start contributing.
• Research long term investments and start contributing to it.
• Increase the 40lk contribution; this is especially beneficial if the company matches a percent of the employee’s contribution.

The new graduate is in the best position to start saving today for his pension. At 22 years old he is also the least likely to think about saving for his pension. By declining a few invitations to go out with his friends today, he could still enjoy his life and his youth while saving for retirement.

• Before agreeing to work for a company, know their pension plans and 401k plans.
• Start contributing to an IRA, increasing the contribution as your income increases.

Always check with a financial advisor who is educated on starting pension savings before making final decisions about starting to save for your pension.