You may have just graduated from college within the past five years and think that retirement is something that only your grandparents and parents should be thinking about.  With the current state of the economy, you might think that you need to utilize every dollar you earn immediately to create a better way of life for yourself.  Well, how are you going to sustain that way of life once you reach the end of your career?  As crazy as it may sound to be talking about the end of your career when you’ve only just begun, it’s a wise decision to start setting aside money for your golden years if you want them to be anything like the high times you’re enjoying at the moment.  Here are four tips for you to start thinking about if the thought of retirement has ever crossed your mind:

1. Talk to your employer.  Most companies will have a retirement plan set up for their employees and usually up to the employee if the want to enter into the plan.  Sit down with your boss or someone in human resources and inquire about their retirement plans.  Many companies are avoiding offering pensions and are offering 401 k plans to employees.  While you’re just starting out in the professional world you probably won’t be able to put too much aside from each paycheck but it’s a good idea to find out what kind of plan is being offered and maybe throwing aside a little bit each week to get accustomed to your plan.
2. Figure out what you’ll need.  It’s a stretch to think that you can devise a retirement scheme in your twenties but it’s a good idea to start thinking about how much you may need annually when you retire.  Figure that you’ll need at least 70 % of your average salary to survive if, and when, you retire.  It’s smart to have this is in mind as you delve deeper into your career and new opportunities arise.
3. Never touch your savings.  You’ll hear this from every retiree and retirement account representative.  If you dip into your 401 before the age of 59 ½ you’re going to get nailed on taxes and penalties.  Only in the direst situation should you ever think about touching this money that you deposited on a tax-free basis.
4. Keep time on your side.  By starting saving a little bit now, you’ll set yourself up for a better chance at success when you’re older.  Even if it’s $50 a week, you’ll see that number grow as the years of your career tick by.  I guarantee if you talk to your parents about setting aside for retirement at such a young age they’ll reiterate this sentiment.

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This post was contributed by Heather Johnson, who is an industry critic on the subject of student rewards miles credit cards. She invites your feedback at heatherjohnson2323 at gmail dot com.