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Are you saving too much?

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By Michael O’Connor

Working in the finance space, I get a lot of questions about savings such as am I saving enough, how much do I need to save for retirement, and how can I save more?

And I get it; uncertainty around money can be one of the leading causes of stress.

According to Northwestern Mutual's 2018 Planning & Progress Study, 48% of US adults experienced "high" or "moderate" levels of anxiety around their level of savings.

Increasing your savings can be a sure-fire way to provide the peace of mind necessary to alleviate this stress.

But is there a downside here?

Does our preoccupation with savings inhibit other areas of our lives and at what point does saving money have diminishing rates of utility?

The allure of early retirement cannot be denied; paying your mortgage off a few years early is compelling, but continuously foregoing what you want now in the name of saving for 'the future' may not be as necessary as we think.

Despite the anxiety and focus around saving, the evidence suggests that many individuals seem to be saving too much.

Recent studies from the Investment and Wealth Institute have shown that only one in seven retirees are withdrawing principal from their retirement within a given year. The remaining retirees live off of their investments or even less.

According to a study by United Income, 'The average retired adult who dies in their 60s leaves behind $296k in net wealth, $313k in their 70s, $315k in their 80s, and $238k in their 90s'.

In short, retiree wealth tends to go up, not down, with age.

This suggests that more people should be asking, "Am I saving too much?" rather than "Am I saving enough?"

Stop guessing and make a plan.

Financial planning is not simply about blindly saving as much as possible. Your finances should facilitate your life, not perpetually inhibit it until such time as you have saved an arbitrary amount that you deem adequate enough to allow you do the things you want.

So, where do you start?

Unfortunately, there is no one-size-fits-all answer. It depends on your own personal situation, your income and your lifestyle.

With that said, there are general benchmarks that can be used when assessing your savings levels.

Start saving 6% at age 25 and ramp up savings by one percent each year until reaching an appropriate level, typically around 15%, including any employer contributions.

Savings of between 1 and 1.5 times your current gross wage at age 35 is a solid target to aim for.
Most people looking to retire around the age of 65 should aim for assets totalling between seven and 13-and-a-half times their pre-retirement gross income.

These general numbers won't apply to everyone, and a more robust financial plan is essential, but this should help to get the ball rolling.

A more in-depth financial plan should incorporate future project earnings, inheritance, the progressive compounding of your investments over time and the reduction in your spending rate over time as you move away from your most capital-intensive years.

It is essential that you take the time to figure out what you are truly saving for. Clarity around your exact requirement will ensure you strike the balance between spending in the present and saving smartly for the future.

To learn more about how to get started go to www.theislandinvestor.com.

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Kerry coaches firm honoured with All-Ireland title

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Kerry Coaches named All-Ireland All-Star Bus & Coach Company of the Year 2025

Killarney-based Kerry Coaches has been named All-Ireland All-Star Bus & Coach Company of the Year 2025 by the All-Ireland Business Foundation. This recognition also marks Kerry Coaches’ second Business All-Star Accreditation, having received its first accolade in 2024.

Founded in 1957, Kerry Coaches has established itself as a leader in the Irish transport industry, known for its exceptional service and commitment to quality.  With a fleet of over 100 modern chauffeur vehicles, mini-buses and coaches the company provides a wide range of transport services, including corporate travel, executive golf transportation and bespoke tours throughout Ireland and Scotland.

 Speaking on the achievement, Mike Buckley, Director of Kerry Coaches, said:

“We are incredibly proud to receive this national recognition from the All-Ireland Business Foundation. It’s a true reflection of the dedication, professionalism, and passion shown by every member of our team. Our mission has always been to deliver exceptional travel experiences, and this award reaffirms our position as a leader in the industry.”

Announcing the news of Kerry Coaches’ achievement, Deputy Chair of AIBF’s Adjudication Board, Kieran Ring, said: “It is my pleasure to commend Kerry Coaches for its outstanding performance in achieving the Business All-Star accreditation. After a thorough review, the firm has been honoured with All-Ireland All-Star Bus & Coach Company Of The Year 2025. Kerry Coaches is distinguished not only for its superior fleet but also for its exceptional team, some of whom have been with the company for over 25 years. This seasoned team brings an extraordinary level of knowledge and expertise, ensuring that every client experience is exceptional.”         

Managing   Director   of   the   All-Ireland   Business   Foundation, Kapil   Khanna, said:  “The accreditation, which is now held by over 700 firms, is needed by the thousands of small and medium businesses which operate to their own standards but have nothing to measure them by.”

He   added: “We   evaluate   a   company’s   background, trustworthiness and performance, and we speak to customers, employees and vendors. We also anonymously approach the company as a customer and report back on the experience. The business goes through at least two interviews and is scored on every part of the process against set metrics.”

About The All-Ireland Business Foundation

The All-Ireland Business Foundation is an autonomous national accreditation body tasked with enterprise development and the promotion of Best-in-Class Irish businesses.

As the accreditation body for the Business All-Star mark, the AIBF recognises Best-In-Class Irish 

businesses.   Companies   that   merit   recognition   based   on   an   independent   audit   of   their performance, reputation, and customer-centricity.

Business All-Star Accreditation Is The Nation’s Symbol Of Trust. Currently, there are over 700 

companies that are accredited by AIBF. Since 2014, over 5000 companies have participated in their programmes.

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Trainee Blacksmith forging a career at Muckross Traditional Farms

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Phillip Pestor-Young, a trainee blacksmith from County Kildare, is currently gaining experience under Master Blacksmith Tom Allison at Muckross Traditional Farms.

Pestor-Young is enrolled in the All-Ireland Heritage Skills Programme. This programme is a cross-border educational initiative by the King’s Foundation, The Heritage Council, and the Historic Environment Division in Northern Ireland. 

Prior to moving to Ireland in 2019, Phillip trained as an engineer and fabricator in the UK. He is now developing his blacksmithing skills in Kerry.

For more information on the program, visit https://kings-foundation.org/study/all-ireland-heritage-skills-programme/.

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