Every business owner has started off wanting to work for themselves and build their own dream rather than working to build someone else’s. They also want to achieve success and build a better future for themselves and their loved ones, however, many do not end up saving for their future retirement. So why is it that small business owners do not save for their retirement?
In most cases, they simply will just not have a retirement plan. Owners will find themselves being kept busy by the demands of running a business, which causes them to simply put their retirement plan on the back burner for later. There are also instances where they will start and run a business with the intention of selling it off to live comfortably when they retire. This can be tricky as there is never a guarantee that you will be able to get the amount you are asking for and it can also be hard to find buyers.
Business owners put their all into their businesses to make sure they are successful, which is why many times they will even put their retirement savings into a building or starting their business. With being so passionate about ensuring the long-term success of their business they will also invest all of their assets into the running of the business, so they are never able to begin saving for retirement.
As a small business owner, it is important to remember to not only take care of your employees and your business but to also take care of yourself. According to a 2017 survey with 1,920 small business owners participating by Manta, 34 percent of small business owners have no retirement plan in place. A retirement plan is essential and waiting until you are close to retiring to start saving can mean you may not have enough to retire. Many will find retirement plans to be confusing, however, many accounting firms such as ours at Chamberland Business Accounting can help set you up a retirement plan without the hassle. Your retirement should be a time for you to enjoy the fruits of your labor not having to continue working or stressing about finances because you didn’t plan enough for your retirement.