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business Thursday 10 February 2022

4 ways to tame financial stress and save for retirement

By ELIZABETH AYOOLA suggests is downsizing, so tribute. Seeing the prog-
of NerdWallet you have more money ress you’re making could
Maybe you feel like you to pump into retirement evoke positive feelings and
don’t earn enough. Or you savings. For instance, you remind you that you’re in-
don’t understand how in- could get a less-expensive vesting in your future, she
vesting works. Or maybe car or get a roommate to says. She also advises peo-
you can’t organize your fi- cut housing costs. ple to manage their ex-
nances. These are factors “You’re not reducing the pectations and not expect
that can lead to financial quality of your life. You’re tremendous growth during
stress and set back your re- giving yourself a better fu- the early days of investing.
tirement savings. ture, and it’s not going to “When you first start invest-
A lack of assets and money be much longer until you ing, the majority of your ac-
management challenges really feel those rewards,” count’s growth is going to
are contributing factors to Photo of Andrew Jackson on a $20 bill is shown, Friday, Jan. 28, she says. come from your own de-
high levels of financial anxi- 2022, in Cleveland. 2. TAKE INVENTORY OF posits versus from market
ety and stress, according Associated Press YOUR RETIREMENT SAVINGS returns. So the more money
to a 2021 report called Fi- Financial advisors suggest you can put into the ac-
nancial Anxiety and Stress STRATEGIES FOR REDUCING and two-woman bobsled. you take inventory of all count sooner, the more
Among U.S. Households FINANCIAL STRESS Budgeting can help you your retirement accounts. your account will com-
from the FINRA Investor If financial stress is affecting save more, because you’ll If you have old IRAs and pound,” she says.
Education Foundation and your ability to save for re- learn where your money is 401(k) accounts, Frank sug- 4. ASK FOR HELP IF YOU
Global Financial Literacy tirement, you may have to going, which can free up gests rolling them over, ei- NEED IT
Excellence Center. work longer and you may opportunities to shift your ther into your current 401(k) To help relieve financial
“We also find that financial also risk running out of mon- priorities. Williams suggests or an IRA. This way, you stress, Williams suggests be-
anxiety and stress can have ey in retirement. But getting creating a “bucket bud- have a clear picture of how ing transparent about your
long-term consequences: started as soon as you can get,” which is a set amount much you have, which will situation with a financial
those who are financially could help you reach your you can spend in each help inform how much you advisor or financial thera-
anxious and stressed are retirement goals faster. financial category. Ex- need to save. pist, friends or family.
less likely to plan for retire- If you’re anxious about your amples of buckets include If you can save for retire- “Simply opening up and
ment,” the report says. ability to save for the future, household items, recurring ment but are still falling be- saying, ‘I don’t know how
Sometimes when people here’s how you can man- bills and entertainment. Re- hind, Frank suggests auto- 401(k)s work’ can help al-
are worried about some- age those feelings and get tirement can be a bucket, mating payments. leviate financial stress be-
thing financial, they just ig- on track. too. “It’s not accounting “If that means putting $500 cause one of your friends
nore it, says Adam Frank, 1. CREATE A REALISTIC BUD- for every single penny, (or) a month towards your IRA might do the 401(k) all the
a certified financial plan- GET every single transaction, and treating it like a bill, time,” she says.
ner and registered invest- “The first thing will be to get which can be really over- you’re going to max out Getting clear about what
ment advisor based in Los organized — you know, the whelming and create more your IRA,” he says. you don’t know and fill-
Angeles. “But the problem big, bad B word, it gets a financial stress, especially 3. TRACK YOUR PROGRESS ing those information gaps
is, the longer you wait to bad rap, it’s budgeting,” if you’re doing it on your Feeling like you aren’t mak- could help you gain a
start investing or continue says Lauryn Williams , a Dal- own,” she says. ing headway can trigger better understanding of
investing for retirement, the las-based CFP and Olym- Another budgeting tip more financial stress. Go- your financial situation so
more you have to do later,” pic medalist in both wom- Maggie Gomez, a CFP mez says you could track you can move forward
Frank says. en’s track and field sprint based in Orlando, Florida, your accounts as you con- confidently.q

Senators call for gas tax suspension to blunt rising prices

WASHINGTON (AP) — Some The bill also would require
Democratic senators on the Treasury Department
Wednesday called for sus- to monitor whether oil and
pending the federal gas gas companies are passing
tax for the remainder of along the savings to con-
the year to help consum- sumers and encourages
ers struggling with rising fuel the department’s secretary
prices. to take enforcement ac-
The legislation from Sens. tions to ensure they do.
Mark Kelly of Arizona and Over the years, lawmak-
Maggie Hassan of New ers have visited the idea of
Hampshire could prove suspending the gas tax but
popular during an election did not generate enough
year in which the average support to get their bill
price of gas nationally, ac- over the finish line. Legisla-
cording to AAA, exceeds Fuel is pumped into a vehicle, Thursday, June 14, 2012, in Miami. tion introduced last year
about $3.45 a gallon and Associated Press in the House has support
could go higher during that need to fill up the tank public transit. The bill would “We need to continue to from some Republicans. It
peak driving season. Four to get to work and school. require the Treasury Depart- think creatively about how seeks to suspend the gas
other Democratic senators The federal gas tax has re- ment to transfer general we can find new ways to tax until all emergency
quickly signed on as co- mained at 18.4 cents per funds into the trust fund to bring down costs, and this health orders related to the
sponsors. Still, the bill faces gallon since 1993. The mon- make up for the lost gas tax bill would do exactly that, COVID-19 pandemic are
an uphill fight to become ey goes into a trust fund revenue and keep the trust making a tangible differ- lifted or for six months after
law.Kelly said gas prices are that helps pay for highway fund solvent, likely requiring ence for workers and fami- the bill is enacted into law,
putting a strain on families construction projects and additional borrowing. lies,” Hassan said. whichever is longer.q