How much money should I be saving in my 20s, 30s, 40s?
The short answer here is obviously "as much as you can." That is not always very helpful though when you're trying to balance student loan payments, car payments, health insurance premiums, etc. Early on, focusing on taking advantage of any employer matching contributions to a 401(k) plan is a great way to multiply your savings quickly. Many employers will offer matching contributions of three percent of your income or even more. From there, actively reducing any high-interest debt and managing your expenses and your financial lifestyle are going to be just as critical as accumulating assets. Saving 10 percent of your income is a great target, but don't panic if you're not able to make that work right away. Plan on making small increases every six months or so. Moving from a five percent contribution to 6 percent in your retirement plan won't feel so bad if you've also managed to reduce some of your other debts and expenses. Most importantly. Do it now; even if you're only saving one percent of your income, you are developing good habits and strengthening financial muscles that you will need to use for the rest of your life.