There is no great mystery to saving for retirement. If possible, start as early as you can and save as much as possible throughout your working career. Of course, life is often unpredictable, and your earnings must cover competing needs and wants. But keeping the basic principle in mind — save as much as you can as early as you can — may help you stay on track. For some people, procrastination could be the greatest enemy toward building retirement savings. Establishing a Savings Strategy $500,000 $400,000 $300,000 $200,000 $100,000 $0 25 30 35 40 45 50 55 60 65 Age Amy $451,745 Tina $278,393 Assumptions: 6% annual salary contribution 3% annual salary increase 6% average annual return Advantage of an Early Start Amy begins saving at age 25 and earns a $30,000 salary. Tina begins at age 40 with a $60,000 salary. At age 65, Amy’s savings total would be more than 60% higher than Tina’s total because Amy started saving 15 years earlier.