Thinking about the time when you give up work can never start too early. When you’ve just hit twenty and you’ve been given your first job, thinking about the end of your career is the furthest thing from your mind. Contemplating the end, however, will allow you to take a proactive role in planning for retirement. And maybe allow you to be a grooving granny with cash to burn.
How to go about planning for your retirement
There are certain points that you will need to consider when implementing a plan to cover yourself later in life.
Firstly, before you can even begin to think about embarking on any form of retirement savings plan, you need to have a sufficient emergency savings funds. Do you have three-six months worth of salaries saved up in a secure savings account? If not then you need to take care of that. It is the preamble before planning for retirement. It isn’t a strength of the young to look to the future, but setting up a totally secure reserve that you can dip into when life take’s an unexpected turn for the worse will ultimately help you weather those times. Save you some Botox?
For those that have their unassailable savings taken care of, you can now start ploughing your extra money into a form of retirement savings. Unless you’re one of the fortunate few that fall into the high-income tax bracket, you are advised to set up a ROTH IRA account. In this case, you won’t exceed the income eligibility threshold and you will be able to put away up to 3000 pounds a year. This could significantly fatten your retirement funds. Thailand here you come!
Once you’ve set up your ROTH IRA account there are a few other retirement planning tips to be had. Firstly, keep in mind that investing in stocks is a good idea if you’re thinking about long-term growth. Investing money with the hope that you’ll achieve high returns over long periods always comes with a bit of risk but deserves to be looked into.
Never rely too heavily on your bond, even in retirement. Inflation can easily wear away the purchasing power of your bond’s interest payment.
Lastly, if you invest your time in the right company, you can benefit from pension schemes that supplement your savings. The office you choose could potentially be the place that increases your nest-egg and help you to plan ahead. If you start implementing some of these retirement planning guides now, you’ll determine your own fate in more ways than one.
In the working world, many business people tend to look ahead in terms of their careers, their office space, and their progression. Planning for your retirement is a means to an end, and a good one at that. You could be playing bingo and soaking up the sun in the Caribbean if you start saving now!
Bella Gray is busy planning her retirement at her executive suites New York. She likes to share the tips she picks up while looking for new investment opportunities. Impressed by her return on investment from her serviced offices Victoria, Bella now recommends serviced offices to all of her business partners and friends.
Early Bird Gets the Worm: Planning for Retirement in Your Twenties