There is no way around the basics. The key is to start saving/investing early in
life, be consistent, take advantage of any employer matching plan, max out
contributions when possible, eliminate debt, avoid risks with your nest egg and
plan for multiple streams of income once retired (social security, pensions,
dividends, part time work, etc.). The are many sites that offer information on
retirement planning and investing. I found that the site Retirement And Good
Living provides good information on this and other financial issues, health,
retirement locations, part time work and also has a great blog of guest posts
from around the globe about a variety of retirement topics.
The problem with defaulting to stocks is that the market is currently
overinflated from everyone defaulting to stocks. As soon as the interest rates
rise the stock market will crash as people and businesses shift back to interest
bearing accounts, Quantative easing and poor monetary policy have
left us without the hope of a retirement. At this point even owning a home
outright someday looks to be moving toward the impossible, Think about where
the economy was 30 years ago (average mortgage) = 1984. It bears no resemblance
to the current economy or much of what we have seen in the interim. (Interest
rates were much higher and my father in law bought a home for $40,000. His
income at the time? $30,000. He didn't even have a college degree.)Inflation is coming as well. A few years ago, I use to buy milk 3
gallons for $5 regularly. Within a single year it jumped to nearly $3 a gallon.
Remember $2 a gallon gas? Now I just pray we can keep it under $4 a gallon.
Current policy ensures this will happen.Not to be all doom and
gloom, but the piper will be paid. Until the money supply matches what is
actually produced, this only gets worse.
If it was low wages and high prices, it was high interest rates, than low
interests rates housing got so inflated it crashed foreclosures all over the
place with all the bank owned houses, I know I not going to get the value of the
money I spent. Seems like always a day late and a dollar short.