All the hoopla in the news right now about the “financial crisis” has everyone, lawyers included, on edge about the safety of their retirement assets. Which raises the question of how much is enough when it comes to putting money aside for retirement. Many lawyers, particularly those who practice as solos or in small firms, don’t have access to retirement plans through their firms, so the need to know how much to save, and how to do it, is crucial. Here are a couple of resources that may help.
First, there was an interesting segment on this subject on Marketplace Money recently. The host interviewed Lee Eisenberg, author of The Number, a book which discusses determining how much you need to have stored away in order to be able to enjoy retirement. The thrust of the book isn’t so much financial planning as figuring out what really makes you happy as the first step to determining what a secure retirement would be comprised of for you. Only then can can you figure out exactly how much it’s going to take to get you there – and what you have to do to amass it.
Second, many Alabama lawyers still don’t seem to know that several years ago we teamed up with ABA Retirement Funds to enable Alabama State Bar members to have access to full service, cost effective retirement plans such as 401k and profit sharing. Services include plan design, administration, and fiduciary oversight. For more information check out the website or call 1-877-947-2272 and tell them you’re a member of the Alabama State Bar. ABA membership is not required.
The current downturn in the market may actually herald a good time to get in, and it’s never too early to begin saving for retirement. As the Chinese proverb says, a journey of a thousand miles begins with the first step.