Saving for retirement does seem like hard work – not spending now so that we can be financially independent later on.
Perhaps it might be better to spend now. After all who knows what lies just around the corner. We might not even make it to retirement.
Procrastination hits many of us when it comes to retirement planning. If that is you here are some reasons not to save -
• I'm always reading that the world’s financial system is about to collapse, followed by a depression every bit as deep as 1929.
If that is the case saving for the future is certainly a waste of time. All your hard work will be quickly wiped out. Better to spend now while we still have a financial system.
• There are less painful ways to create wealth. Five dollars invested into lotto each week, the Casino or a bit of extra study on the horses can lead to some very impressive results - I know because I’ve read about these successes.
Let’s face it - there’s not a lot of excitement involved in sensible, run of the mill investing, so, could be worth a go.
• My parents won’t spend their retirement savings on themselves so I can count on an inheritance.
Any inheritances will have to be shared with other family members of course but it's possible there will be enough there to keep the wolf from the door in your later years.
• And if an inheritance doesn’t come through I plan on having my own children. They should be only too happy to support Mum and Dad in their dotage.
Ok, Good luck with that one.
• New Zealand has made great strides in creating an efficient and growing economy. It could be that by the time I reach retirement the country is able to fully fund me. It would seem a shame if I went without now.
Unlikely though.
• It could also be the suggestion that the country won’t be able to support an ageing population in the future is just a myth perpetuated by the sellers of investment products.
It wouldn't be the first time big business has led us astray.
• Crime has been discounted as a serious option although it might have an excitement factor and can be profitable. But not really a contender.
There you go. A number of good reasons not to save for retirement!
Unfortunately, I’ve never been very good at relying on hope. We make our own luck and so it is with being financially independent in retirement.
It doesn’t have to be painful. Regular saving can, over time, create impressive results. The trick is to get started and then to stick with it.
