People who change jobs tend to make more money on average, but they may fall behind in their retirement savings. Vanguard Investment Strategy Group global head of investor research and policy Fiona Greig joins Alexandra Canal on Wealth! to break down how job switchers can stay on track to their retirement goals.
Greig says, “Each time we switch jobs, we typically see a pay increase, which is really good. We’re progressing in our careers, but we’re seeing a slowdown in people’s retirement savings. And that slowdown can add up to a $300,000 lower retirement wealth by the time we can retire.”
She outlines her three tips for workers switching jobs: enrolling in your employer plan if you aren’t auto-enrolled, maintaining the same retirement savings momentum you had at your previous role, and taking advantage of the employer match. Watch the video above for more expert tips on staying on track to reach your retirement savings goal while switching jobs.