Friday, September 21, 2012

Performance Evaluations

I had my performance evaluation today. It's hard to believe I've been at the same place for 4 years now. Well, I've been at my part time job for close to 9, but that's still a lot of time. The review itself went well, nothing extraordinary good or bad, which I guess is a good thing. I'm really thankful to have a workplace I enjoy.

I also got a 3% raise! 

I am very, very thankful about that as well, since I know raises are not something that is guaranteed. Heck, work is not even guaranteed these days, so to get a raise is wonderful and I'm very happy! All of my calculations from now until 2015 are based on the same base pay, so every little bit changes things, hopefully for the better (watch taxes make me think about it twice!).

Now onto business... It's a flat 3%. I could put some more into my retirement account (to which I'm currently contributing 6%). I've heard that when you get a raise, it would be worthwhile to put some of the percentages into your retirement, since you were already doing without the increase and it wouldn't greatly impact your day to day operations. Or I could just keep the change. It isn't a huge amount (comes out to $27 more per check), so I don't think I'd miss it if it went into my retirement fund.

What do you guys think? Should I put...
A) Put all into my retirement fund?
B) Put some of it into retirement (if so, how much) and keep the rest?
C) 'Keep' all of it?

13 comments:

  1. Congrats!! Do you have an EF? If not I'd throw it there for now... :)

    ReplyDelete
  2. I agree with Carla - good way to snowflake your EF

    ReplyDelete
  3. I shifted my raises and portions of raises into my 401k over the course of 17 years at a previous company and it really helps boost the balance over time. It's a pain free way to get your retirement growing like crazy. Congrats on the raise.

    ReplyDelete
  4. Oh - and I meant to include - congrats on the raise!!

    ReplyDelete
  5. congratulations on the raise!! I'd put it straight in your emergency fund and earmark it for YOU only, I wouldn't tell the family.

    ReplyDelete
  6. Congrats on getting your raise! Normally I would say to put it in the retirement account but I think it would be better to just keep it to help pay off debt or increase your EF.

    ReplyDelete
  7. I'm on the fence, so I'd probably do a litlle of both --- maybe an additional 1% into your retirement account and the 2% into your EF or to pay off debt?

    ReplyDelete
    Replies
    1. I was considering splitting it like that, since the amount seems marginal ($9/check per percentage increase), and I wouldnt terribly miss it one way or another.

      Delete
  8. Thanks all. I guess I'll stick it in my EF until that's filled up, then move some of it to retirement and keep the rest for me... groceries are getting more expensive these days!

    ReplyDelete
  9. I agree with the EF. Make sure you have an automatic transfer set up so its done.

    ReplyDelete
  10. Your still really young and the more you put into your retirement now, the better the ultimate return. I guess it depends on if you really need that extra money now. My personal rate of return on my 401k has been averaging more than the interest rates on my debt, so to me adding the raise into my retirement makes more sense. Plus I am about to turn 39 and I feel I am way behind on my retirement contributions, so I feel more urgency to contribute. Personally, my goal is to contribute at least 15-20%, right now I am at 11%.

    ReplyDelete
  11. Plow it into your retirement, ALL OF IT!!! You'll never miss it! The one advantage you have on your side is TIME!!! So save save save!!

    ReplyDelete