Are you ready for retirement and the “golden years?” If you are, you are one of the 44 percent, who has done their due diligence and made preparations for the future.
However, over 56 percent of the population has made no plans for the day when they can no longer work.
It is scary when you think about it, for the Social Security Administration may not be here in twenty years. What will people do when they have no income to fall back on? So many people live paycheck to paycheck.
There is no extra money to put into savings. Actually, there are ways that saving even a small some can amount to something great when it comes to retirement.
Make a Budget and Plan for the Future
It all starts with a budget. You need to have a roadmap so that you can identify where you are and where you need to be.
If you are one of the 56 percent that do not have a retirement savings plan, you need to hire someone to help you. Many think that they cannot afford an adviser, but if you have no savings, you cannot afford not to have one.
An adviser is able to look at the big picture and not get hung up on all the little things. They can see where you can make cuts. Having someone to be accountable too may help you save.
Do you stop by a gourmet coffee shop on the way to work each day? Do you go to the beauty parlor once a month for pampering?
If you have any extras in your life, you need to reduce the frequency. Do not eliminate them all together, or you will never stick with the plan.
Rather, instead of getting a gourmet coffee every day, why not make your own coffee at home? Instead of going to the beauty parlor once a month, why not go once every other month?
If you do a budget, you will start seeing the areas where you waste money. Groceries and eating out are too of the biggest areas of waste. Learn to cook more meals and eat out less. When you pinch your pennies, they will turn into dollars.
Invest in an IRA
An IRA is a retirement account that brings tax benefits. You can invest in a traditional account or a Roth.
It is a great way to put away money for your retirement years. It comes with tax-free growth and is held by a financial institution. Think of it as a savings account that comes with great tax breaks.
If you have a 401 k, then you are on the right path. However, an IRA is another vehicle that can ensure you have plenty of money when you need it most.
Taking charge of your financial future is not as hard as it seems. An adviser can help you with all the details. They can also show you ways to achieve your goal that you never thought about.