Paying off debt, saving for retirement, and funding college savings for children are almost impossible to achieve without proper planning. As a teacher, it is very important for you to put aside savings for your future and for retirement. Today, 3 out of 4 educators retire financially stressed. One of the major reasons is that only 1 out of 4 save in a 403(b) planto supplement their TRS. Why? It is because of lack of financial literacy and an advisor to work with.
Did you know that in the state of Texas, public school and government employees are not eligible for Social Security? A retiree must rely on his or her state pension (TRS), a 403(b)/457(b) plan and savings to maintain their lifestyle in retirement, so they can retire in dignity.
Here are the facts … The average teacher in Texas works 24.6 years. He or she retires at an average salary of $52,000. After taxes, health insurance, joint survivor benefit cost, the net monthly spendable income is $1,648! Can you afford to retire on $1,648 per month? This is why it is so critical for you to save in a 403(b) today. The average teacher saves $225 per month. How does that change his or her paycheck? In a 15% tax bracket and with a salary of $50,000, the teacher’s take-home pay would be reduced only by $191.25.
A 403(b) plan offers pre-tax savings. And savings grow tax free until you begin withdrawing funds after 59 ½ or at retirement.
The more you can save, the bigger your nest egg will be for retirement and living expenses.
Save now for your future and retire in dignity!
For more information, please call Rockview Financial, 682-230-2201.
Rockview Financial 