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The Cost of Waiting

Did you know that if you begin saving at age 25—instead of age 35—you could potentially have nearly twice as much money in your account by the time you retire?

When you start saving for retirement could make a huge difference in the choices you have later on.

In the example below, Pat and Miguel both saved about $29 a week until retiring at age 65. Pat started at age 25, but Miguel waited until age 35. As you can see, those 10 years of waiting cost Miguel almost $125,000.*

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Smart Saving Starts Early.

As you can see in the example above, if you wait another ten years until you're 45, you would have more than double your contribution at age 35 to potentially achieve the same balance. At 55, you would have to contribute more than six times as much just to end up in the same place at age 65.


Time is on Your Side.

The longer you wait to start saving, the more you'll need to contribute just to play catch-up. So be smart about your future—join your plan today.

To enroll in your plan, contact your benefits administrator or call your Hartford representative.

 

 

* Example is hypothetical and does not predict the performance of any investment option in your employer's plan. Example assumes weekly before-tax contributions of $28.85 earning a hypothetical 6% annual rate of return. Actual returns and principal values will fluctuate.

Many tax planning strategies emphasize the deferral of current income taxes, on the basis that your federal income tax rate may be lower at retirement. Please keep in mind that federal income tax rates are unpredictable and may be higher when you take a distribution than at the time of deferral. Other factors, including state tax rates and your income, may also affect your overall tax rate upon distribution. Please consult with your tax advisor for individual tax planning strategy and advice. The Hartford does not predict or in any way guarantee favorable tax results.

This information is written in connection with the promotion or marketing of the matter(s) addressed in this material. This information cannot be used or relied upon for the purpose of avoiding IRS penalties. These materials are not intended to provide tax, accounting or legal advice. As with all matters of a tax or legal nature, you should consult your own tax or legal counsel for advice.

NOT INSURED BY FDIC OR ANY FEDERAL GOVERNMENT AGENCY - MAY LOSE VALUE - NOT A DEPOSIT OF OR GUARANTEED BY ANY BANK OR ANY BANK AFFILIATE

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