RETIREMENT

The earlier you start your retirement the better off you will be.

For example, two employees are the same age and begin their government employment at the same time.  The first employee starts contributing $250 monthly for 12 years @ 5% interest.  Over this 12 year period, he has invested a total of $36,000.  At age 65 he will have $238,909 in his retirement account. The 2nd employee does not begin to save until after having worked 12 years.  He invests $250 monthly for 32 years @ 5% interest.  Over this 32 year period, he has invested $96,000. At age 65 he will have $237,191 in his retirement account.  The moral of the story is that the first employee invested much less money than the second employee and still had more money to show at retirement due to the principle of compound interest.