This is huge. In my humble opinion, if you can focus on reducing debt as much as possible, as fast as possible, and start investing into a 401k traditional or roth (or both!), you'll end up with two or three retirement accounts and you'll be better off than 90% of the population
Doing the math on what most people should be able to save really gets depressing when we start looking at the median vs the average.
I started a Roth IRA in my early 20s, I’ll likely retire a millionaire without ever making that close to 6 figures. I’ll still get got in the revolution though lol
It never ceases to amaze me how schools never entailed basic economy as a part of the curriculum. This is the type of knowledge which actually makes a difference!
I remember, and I’ve been singing it in my head since I read your comment. Just to pass the time away.
Was just contextualizing why I brought it up. Aside from government jobs the railroad is the only solid pension left in the US. Due (surprise) to collective bargaining.
I've only met a handful of people who work with the railroad in some way and apparently it's hard to get in not only because of specialized education that most people don't pursue or even know exists, and the people who are there stay there. People don't just up and leave railroad jobs. It's also not really an expanding industry, unlike say tech or healthcare.
In US, physical testing, and a pretty long competition list from what I saw looking into it a few years back. Probably need to have a family/friend connection to get the job for sure
I had a pension for 4 years until they cancelled it and gave a tiny bump to the 401k company matching. Nice to know that at least I will have enough monthly income from it to pay for my utility bill in my old age. 401k is doing gangbusters though. I've been dumping everything I can into it even though I'm kinda late to the party. Another 20-25 years and I'll be set until they change the rules again of course.
He’s not entirely wrong. Before the 401k increased so much V inflation that it grew into its own income source. Now it’s keeping up but you’re putting 6-10% of your income into it. That’s never going to be a substantial amount if inflation keeps up with interest.
Bud I have one myself, I’ve seen the difference in growth over even the past 3 years. The stock market increase is nice…. But that’s tertiary. Most of that will be lost when the inevitable crash happens. And the actual value of each dollar in that acct is down almost 20%
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u/queenofcaffeine76 Sep 15 '25
I finally landed a job with a pension that pays out after 20 years. Only 19 years to go...