Comments on: Should You Save For Retirement At a Young Age? http://www.moneycrashers.com/should-you-save-for-retirement-at-a-young-age/?utm_source=rss&utm_medium=rss&utm_campaign=should-you-save-for-retirement-at-a-young-age personal finance blog Sat, 21 Nov 2009 04:07:50 -0600 http://wordpress.org/?v=2.8.6 hourly 1 By: Jon Postal http://www.moneycrashers.com/should-you-save-for-retirement-at-a-young-age/comment-page-1/#comment-3292 Jon Postal Tue, 05 Sep 2006 03:27:34 +0000 http://moneycrashers.com/?p=185#comment-3292 I started putting money into an retirement account when I was about 20 because of the immediate tax savings (If you are not familiar with Canadian tax law...you can deduct the amount contributed to a registered retirement savings plan from your gross income resulting in a generouse tax return at year end.) When I was 23 I emptied my retirement account to by a home, and I have 15 years to pay back the amount I withdrew from the retirement account. I was earning next to nothing on this account (4%), and the local real estate market was climbing fast so it made sense for me to take advantage of the tax system and get into real estate. The home I bought is up in value by about 36% in just over a year. Even though my retirement fund is now at $0 my net worth is substancaily more than it would have otherwise been, and I am firmly established in the real estate game. As you were saying, each person needs to evaluate their current situation to see what makes the most sense. Jon Postal beyoungandrich.blogspot.com I started putting money into an retirement account when I was about 20 because of the immediate tax savings (If you are not familiar with Canadian tax law…you can deduct the amount contributed to a registered retirement savings plan from your gross income resulting in a generouse tax return at year end.)
When I was 23 I emptied my retirement account to by a home, and I have 15 years to pay back the amount I withdrew from the retirement account. I was earning next to nothing on this account (4%), and the local real estate market was climbing fast so it made sense for me to take advantage of the tax system and get into real estate.
The home I bought is up in value by about 36% in just over a year. Even though my retirement fund is now at $0 my net worth is substancaily more than it would have otherwise been, and I am firmly established in the real estate game.
As you were saying, each person needs to evaluate their current situation to see what makes the most sense.

Jon Postal
beyoungandrich.blogspot.com

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