Introduction to Retirement Planning for Kids and Teens
This video explains the concept of saving for retirement in a simple, concise way for kids and beginners. It could be used by kids & teens to learn about retirement planning, or used as a money & personal finance resource by parents and teachers as part of a Financial Literacy course or K-12 curriculum.
Suitable for students from grade levels:
- Elementary School
- Middle School
- High School
The topics covered are:
- Earnings / income in retirement
- When to start saving for retirement
- Retirement age
- How to save for retirement
- Retirement accounts
Income in Retirement
I don’t want to work forever…
What happens when I stop working and retire? Where would the money that I need to live on come from?
I totally understand! Nobody wants to work forever, right?
After retirement, the government helps to some extent through social security payments, but you need to plan ahead and save for retirement yourself.
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When should I start saving for retirement?
A year before I retire?
No, ideally you should start saving for retirement from your very first pay check. If you haven’t started yet, you should start right away!
Is there a specific age for retirement?
65 is widely accepted as the age for retirement, but people may retire earlier or later depending on their personal situation.
Starting to save early for retirement would give you this flexibility.
Well, how do I save for retirement?
You should set aside some money from every paycheck towards retirement.
This money should be invested using specific accounts meant for retirement – these accounts provide income tax breaks and can also offer some other advantages like the employer matching your contributions.
Examples of Retirement Accounts
Can you give me some examples of such retirement accounts?
Retirement accounts can be accounts that provide tax breaks when you make the investments, like 401K and IRA, or accounts that provide tax breaks when you withdraw money after retirement, like Roth 401k and Roth IRA.
We’ll talk about each retirement account in detail in separate videos.
Video Featured in the Below Financial Literacy Course for Kids & Teens
Download Transcript: Ideal for Use by Teachers in their Lesson Plan to Teach Kids & Teens
Podcast: Saving for Retirement and Retirement Planning
All you should know about saving for retirement and retirement planning: What happens when you stop working and retire, where does the money come from after you retire, when should you start saving for retirement, is there a specific age for retirement, how do you save for retirement, examples of retirement accounts, and more.
Show notes and transcript at: https://www.easypeasyfinance.com/saving-for-retirement-and-retirement-planning/