1. I can’t afford to save now but I will definitely do so later
Every year delayed in starting a plan for a financially secure retirement can prove very costly. Saving for retirement should start with one’s first salary. For example, starting at the age of say 25 with 15% of total income invested in retirement funds is to go a long way to ensuring a financially secure retirement. Starting later, in one’s thirties or even beyond, will require a far greater financial commitment.
2. I don’t need to have a retirement plan as I have a feel for where I stand right now
It is both unwise and impossible to have just a “feel” for this. Retirement goals need to be quantified with inflation and realistic anticipated investment returns taken into account. Once in place the retirement plan needs to be monitored regularly.
3. I’ll make up for any shortfall with higher investment returns
Such a strategy is almost certainly going to entail much higher risk. Consequently, it could have quite the opposite effect than the one intended.
4. If I don’t have enough at retirement I’ll continue working
Whilst many do work into retirement these days, the reason should be because they want to and not because they have to. Suitable jobs paying the required remuneration may not be available and, most important of all, deteriorating health may not allow working on into older age.