How to Avoid the Biggest Mistakes 250 Saving It's always easier to put off until tomorrow what we should be doing today. After all, if we didn't have to think about the future, life would be much easier. Unfortunately, the future will be here, whether we like it or not. Most people know this simple fact. Yet knowing what to do and doing it are two different things. That's the source of the word procrastination . Savings Question #1:Why should I save now? I have much better things to do with my money. Our Advice We've said it before, but let's hammer it home again: At 25, if you saved $2,500 annually in your tax-deferred account and assuming a nine percent return, you'd have a cool $1 million when you retire. You will have invested just $105,000 over the 42 years. Answer:The more you can save when you are young, the less you'll have to come up with when you're older and the more you'll have when you are older. If you can start a savings plan at age 25, and save and invest $1,000 yearly in your 401(k) plan, when it's time for you to retire in 42 years