There may also be other obstacles that could derail your savings for retirement, based on a recent study of individuals who were between the ages of 51 and 61 in 1992. During the 10-year period ending in 2002, 40% of those individuals were diagnosed with a major medical condition, 33% developed work disabilities that curtailed employment, 20% were laid off, 10% became widowed, and 3% were divorced.

If a spouse’s health problems and job loss are also factored in, 87% of married adults between the ages of 51 and 61 experienced a major problem (Source: Older Americans’ Economic Security, January 2006). Especially hard hit were individuals with limited education.

The financial repercussions of these types of events can be serious. For married individuals, it was estimated that a serious medical condition reduced household wealth by 13%, a work disability by 14%, a job layoff by 19%, widowhood by 11%, and divorce by 38%. For single individuals, a serious medical condition reduced household wealth by 18%, a work disability by 30%, and a job layoff by 23% (Source: Older Americans’ Economic Security, January 2006).

Thus, if you wait until 10 or 20 years before retirement to seriously start saving, you may find that unplanned circumstances, such as a health problem, job layoff, or divorce, can prevent you from saving for retirement, as well as cause you to use whatever retirement savings you do have. It could also have an impact on your other retirement resources. Benefits earned under a defined-benefit plan tend to grow rapidly during the later working years, since benefits are often tied to years of service and salary earned near career end. Social Security benefits are also tied to lifetime earnings.

To get started with your retirement savings today, consider visiting the ManagingMoney.com Banking Center. Here you will be able to search and apply online for high-yielding, FDIC insured Savings Accounts and Certificates of Deposit.