I'm lucky that I have a great company sponsored pension plan at work. It's a defined contribution plan, which means what I get out of it really depends on the market but there is a set amount that both I and my employer contribute (5% of my gross salary each). My rate of return based on my chosen investment mix was 4.9% two years ago and 9.9% last year. Year to date, it's 4.2%. Jordan, is not so lucky.
Here's a breakdown of our current annual retirement savings:
The RISA is the basic RRSP with ING, Streetwise is our investment RRSP account with ING. Shares I purchase through my employer but are not a registered retirement plan - I consider this to be ours, not mine or Jordan's. Finally Jordan gets a small annual profit share that is automatically contributed to a work RRSP account.
We are looking at a lump sum share purchase that would increase this years retirement savings by about $6,750 - but I really want to focus on the annual contributions, not the random lump sum stuff that we do.
So...what do you think? Is it enough?
I would like to see us increase Jordan's savings by at least $15/week - but that's really only to meet the arbitrary 10%.