Many Americans will try to save extra cash and develop better money habits next year. I asked Olivia Mitchell, director of the Boettner Center for Pensions and Retirement Security at the University of Pennsylvania’s Wharton School, what her New Year’s resolutions will be. Her response:
1. Convince my twenty-something daughters that they really must start saving for retirement right away.
2. Set up mental accounts earmarked for specific purposes: the rainy day fund, the education fund, and the try to pay off the mortgage soon fund. Each will have a separate identity, so any spare pennies get put out of the way and removed from temptation.
3. Work on building skills so that I am still employable into my 70s.
More New Year's resolutions for retirement: