Step 4: Invest 15% in retirement

You have been winning with money. You have paid off all your debt and also built an emergency fund. We have been taking baby steps. Remember, this is not a get rich quick scheme.

The best way to get rich is to get rich slowly. Half the battle has already been won. Now we go after our future by investing in retirement.

Investing for retirement should not be about quitting a job you hate. If you hate your job then now is the time to change. Retirement is more about security and your money working harder than you do.

You do not want to end up being normal when you retire. Normal is not being able to write a check for $700 or working because you have to. Investing is something that everyone needs to do. You do not want to be normal.

Invest 15 percent of before-tax gross income annually toward retirement. Do not worry about doing more as you will need some income for the next two steps. It is also not a good idea to do less, unless you want to retire broke like most people.

“But I will have Social Security when I retire.” You cannot count on your government to take care of you. Only three out of 100 people are financially secure upon retirement.

The U.S. government’s track record for helping citizens with retirement is horrible. Social Security will not be around forever, and even now is not a great system. So why would you trust your government for retirement.

You make your own decisions so you cannot blame anyone for lousy retirement planning. Planning early is the best way to ensure that you will retire with dignity.