you currently do not have much savings for that, you should reserve that $2000/year quote ASAP.
Let's say you can only afford $500 this year. The government will contribute $100 ($500x20%) to match that. If later year you get rich, say you hit a lottery jackpot, you can contribute $2000 for that year plus all your accmulated amount from early years. For every year you delay to start, you lose $400 contribution from the government.
However, you do have choice on whom do you register with. Some promise more returns, some less. It can make huge difference 18 years down the road. Do make comparison of what kind of return you will get on what conditions. The deadline is Dec 31. Take some time to do your home work before signing anything. And let us know your findings.
Let's say you can only afford $500 this year. The government will contribute $100 ($500x20%) to match that. If later year you get rich, say you hit a lottery jackpot, you can contribute $2000 for that year plus all your accmulated amount from early years. For every year you delay to start, you lose $400 contribution from the government.
However, you do have choice on whom do you register with. Some promise more returns, some less. It can make huge difference 18 years down the road. Do make comparison of what kind of return you will get on what conditions. The deadline is Dec 31. Take some time to do your home work before signing anything. And let us know your findings.