MarketWatch columnist Chuck Jaffe hopes that Americans’ anger at Washington for waiting until the very last minute to address the fiscal cliff will be a lesson for those individuals who are putting off saving enough for retirement. “If we learn anything from the fiscal cliff — from our disgust with how the people in charge of the situation handled things — it should be that we can’t let this happen in our own lives,” he writes. “The sooner we take action, the easier it will be to believe that we can reach our financial goals — regardless of how badly things get mucked up in Washington.”
Some people delay retirement savings to put away money for things like college tuition, but taking college loans might be a better choice, since loans for retirement are highly unlikely. Delaying saving for retirement also mitigates the effects of compounding interest. In any case, it’s a good analogy and a good story to tell at enrollment meetings.
