How’s your nest egg? When you’re old and gray, you may wish you’d saved more.

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Thinking ahead about retirement ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ 
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On Point | TODAY'S NEWS. TOMORROW'S INSIGHTS
On Point | TODAY'S NEWS. TOMORROW'S INSIGHTS
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In the news
Regrets, I’ve had a few. A survey of more than 1,100 Americans over age 55 with at least $50,000 in assets revealed what they would most like to tell their younger selves: start saving sooner for retirement. About half the respondents wished they had invested more aggressively, been more frugal, or saved more. These rueful realizations are especially intense right now amid high inflation—respondents’ top financial worry. [CNBC]
Do it my way. Only 33% of families have conversations about investing, revealed a survey of 2,000 13- to 17-year-olds. Educating kids about investing can yield big returns, because if they get started soon enough, they may enjoy 40 years of compounded interest before retirement. An 18-year-old with a $100 a month investing habit—and a 6% return—will be looking at more than $313,000 by age 65. [MarketWatch]
“Start saving and investing so you can create income for the future tired—or even lazier—version of you.”
On McKinsey.com
Who wants to be a millionaire? Julien and Kiersten Saunders, creators of the rich & REGULAR blog, are part of a movement known as FIRE, for “financial independence, retire early.” In this edition of McKinsey’s Author Talks, the couple discusses paying off their debts and saving and investing aggressively so that they can retire by their 40s. Their blog shares tips on frugal living and investing, with a special focus on people of color, who may have fewer role models in their lives who have achieved financial independence.
The best is yet to come. The Saunderses’ new book, Cashing Out: Win the Wealth Game by Walking Away, says an important step toward achieving financial independence is to give your income a purpose: for example, it can buy freedom from labor for when you eventually become tired and need to slow down. When income is tied to purpose, it’s less tempting to fritter it away on goods that expert marketers convince us we need. For Black people, there is a special significance, because while Black buying power is high, Black net worth is declining, the Saunders say.
— Edited by Katy McLaughlin   
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by "McKinsey On Point" <publishing@email.mckinsey.com> - 12:09 - 8 Jul 2022