Small Steps Can Make a Difference
Finding room in the budget to save for retirement can seem daunting. You may be starting at square one, wondering, “How much should I contribute to retirement?”
Don’t worry: we’ve created tools and tips to make saving for the future easier.
Some financial experts recommend saving 15% of your income (a combination of your personal contributions and your employer contributions). And while that’s a good goal, it may or may not be feasible for you right now, and that’s okay.
The key is to start where you can and increase your contributions over time until you achieve your goal.
Try starting at 10% or whatever percentage may be feasible — even starting at 1-2% is better than nothing and can build momentum for the future. Then, try making percentage increases annually. We recommend you save a percentage of your monthly income instead of a flat dollar amount. That way, if your salary increases, your contribution amount will also automatically increase.
Check out the example below, which demonstrates how money set aside for retirement can grow as a result of consistent increases:
This is a hypothetical example that illustrates the future value of regular monthly investments for different time periods. It is based on a 25-year-old with a starting salary of $50,000, annually increasing by 3% until age 67. It assumes an average annual return of 6% and compares a consistent annual deferral rate of 10% with an annual deferral rate beginning at 10% at age 25, which increases 1% annually until age 30, when it reaches and maintains a 15% annual deferral rate. It is presented for illustrative purposes only and does not reflect actual performance or predict future results of any particular account or investment.
In addition to your contributions, it’s important to consider if your employer offers employer-matching contributions. Making the most of your employer’s contributions is key.
To help you map out the unique circumstances of your savings plan, check out these calculators:
When you’re ready to increase your contributions, take these two simple steps:
Remember to review the latest contribution limits to see the maximum amount you can contribute to your account this year.
No percentage or increase is too small to put toward retirement. Your future self will thank you for the sacrifices you made early on — and for asking the right questions, like “how much should I contribute to retirement?” when it mattered most.
If you haven’t started saving for retirement, contact your plan administrator to enroll in a retirement plan today.
For more information, contact us at Info@GuideStone.org or 1-888-98-GUIDE (1-888-984-8433), Monday through Friday, from 7 a.m. to 6 p.m. CT.
Article
• Aug 25, 2025 