Technology has become another constant in today’s society, underpinning the rhythms of our day, from that first read of the WSJ app in the morning to the Netflix binge and late night Twitter scroll before our heads hit the pillow. The one thing it has consistently brought us is opportunity – be it the great leveller of instant access information and how-to’s,or new ways to invest our money. But how does technology apply to helping us save for our retirements? It’s the one area where most people could do with a helping hand, and there are many ways tech can support…
Setting a goal is undoubtedly the key to saving for retirement, but the goalposts have shifted so much in a couple of generations it’s hard to know what to aim for.
Uncertain macroeconomic conditions, increased life spans, roller-coaster inflation and even the rise of AI in the workplace all add up to a shaky picture of future investment returns. So how can you estimate what you’ll need to save in order to keep a certain standard of living in retirement? Well, the good news is that big data is leading to more robust cost calculators that can give an individual an ever-more reliable picture of what they need to achieve. MIT’s AgeLab estimate that complex new algorithms will be able to determine more accurately if someone is saving enough for their retirement based on a range of lifestyle factors.
Saving and Investing? There’s an app for that
Technology can support us to actively save more for our retirements, because there’s a whole host of apps for money management, investing and even retirement wealth planning to benefit from. Apps like Retirement Goal Planning System can help you build a personalised plan to guide your savings in easy steps, while Mint can help with money management like budgeting, monitoring outgoings and taking care of bills and savings. Vanguard has a Nest Egg Calculator function and provides access to easy online investment and wealth advice. So you really can plan your financial future using just your smartphone.
Are Cryptocurrencies the new key?
Buying, selling, trading – blockchain currencies have gone from underground phenomena to investment plan of choice for millennials. But is it a crazy idea?
As the global financial crisis highlighted the systemic failure of global banking institutions, it seems only natural that those who came of age in the aftershocks of the event are disillusioned and see the security of financial giants as scarcely more of a tangible than the unregulated realms of Bitcoin and Ethereum – and indeed, often one freer, at the moment, of political ties and endemic corruption. Yet for every tale of someone who wants to buy IRA with bitcoin, there are others who argue the volatility of the medium is still too great. As part of an overall balanced portfolio thought, a small element of risk has always been advisable. Whatever the individual denomination, the concept of technology-created currency is certainly one that seems here to stay.