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Retirement planning can feel overwhelming with so much advice floating around. Some of it is outdated; some of it’s just plain wrong. Falling for these myths could derail your plans, waste your money, or leave you unprepared. Here are ten of the most damaging myths—and why you shouldn’t believe them.

You Can Rely Solely on Social Security

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Social Security might feel like a safety net, but thinking it’s enough to retire comfortably is risky. The average monthly benefit in 2023 is about $1,800, or $21,600 annually—and that’s assuming you qualify for the maximum. Would that cover your rent, food, and other expenses? And let’s not forget inflation: your buying power shrinks every year. Social Security was designed as a supplement, not a one-size-fits-all solution.

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You Can’t Start Saving Until Your 30s

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Too many people think saving for retirement is for “later.” But compound interest proves otherwise. If you start saving in your early 20s—even small amounts—you let your money work harder for you. Waiting until your 30s or 40s can make catching up harder. Saving $50 a month at 22 could snowball into thousands more than if you waited 10 years. Start now, no matter how little you can afford to stash away.

You’ll Spend Less After You Retire

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The idea that retirees “live cheap” is outdated. Healthcare costs often increase, hobbies can add up, and retirees who want to travel face skyrocketing prices. According to one Fidelity study, a couple retiring today will need over $300,000 just for medical expenses. Thinking you’ll spend less might cause you to save less, which could mean financial stress later.

Your Employer’s 401(k) Is Enough

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Even with a solid employer match, assuming your 401(k) alone will carry you through retirement is a big risk. 401(k) plans are great tools, but market fluctuations, contribution limits, and unexpected expenses can leave gaps. Diversifying your savings with IRAs or personal investment accounts offers better financial security.

You Should Withdraw Retirement Funds as Soon as You Retire

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Retirement doesn’t mean you have to empty your accounts right away. Early withdrawals can lead to steep penalties and unnecessary taxes before you hit 59 ½. Instead, think about structuring withdrawals strategically to make your savings last.

You Don’t Need Life Insurance in Retirement

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Life insurance is often misunderstood when it comes to retirement. While it might not be mandatory, it can protect loved ones from financial burdens after you pass. Whole life insurance options can also offer cash value later in life, helping you navigate unexpected situations.

It’s Too Late to Start Saving

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This myth can stop people from even trying. Sure, starting late isn’t ideal, but it’s absolutely not “too late.” Catch-up contributions for people aged 50+ allow you to save extra in 401(k)s and IRAs. You can also revisit your spending habits to allocate more towards savings. Starting today is always better than never.

All Debt Needs to Be Gone Before Retirement

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Not all debt is the same. Focusing entirely on erasing student loans or mortgages might take away dollars you could have invested. Low-interest debts can be manageable while still prioritizing building a nest egg.

Budgeting Ends When You Retire

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Retirement just changes your budget—it doesn’t eliminate it. Instead of worrying about work expenses, you’re now planning for travel, healthcare, and maintaining your standard of living. Use financial tracking tools to stay on top of post-retirement spending.

You Can Live Off Interest Alone

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It sounds dreamy, but relying purely on interest income can backfire. Interest rates fluctuate—and they don’t always align with inflation. A balanced portfolio that includes bonds, stocks, and fixed-income assets offers stability and room for growth.

Why Planning Smarter Matters

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Believing these myths now could lead to stress and financial shortfalls down the line. The truth is, retirement isn’t one-size-fits-all. Your future relies on knowing real facts, prioritizing your savings early, and consulting trusted advisors when needed. Take control before it’s too late.

10 Expenses That Skyrocket in Retirement if You’re Not Prepared

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Retirement is supposed to be your golden years—you’ve worked hard your whole life and now, finally, time to relax. But what if hidden or rising costs ruin your peace of mind? Some expenses spike more than expected after you stop working, leaving your budget scrambling. Knowing what to expect helps you stay in control. 10 Expenses That Skyrocket in Retirement if You’re Not Prepared

13 Retirement Mistakes People Regret Too Late

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Retirement should feel like a reward for decades of hard work. But it often turns into a stressful balancing act if you miss important planning steps. These common mistakes can lead to regret, and they’re easily avoidable if you know what to watch out for. 13 Retirement Mistakes People Regret Too Late