When it comes to retirement, many thoughts come to mind. However, retiring comfortably may be out of reach for many, given current savings rates and inflation.
But you need not be afraid of these fears. With a little advance planning and self-discipline, you can build a golden nest in retirement. Here's a step-by-step plan to get there.
Social Security benefits alone won't be enough to live a good life during your golden years. The formula for retiring rich really starts with spending less and saving more.
Social Security benefits alone won't be enough to live a good life during your golden years. The formula for retiring rich really starts with spending less and saving more.
To get the most out of compounding, you should start saving as early as possible. The younger you are when you start saving, the more money you are likely to get.
Compounding accelerates your earnings, because as your account balance grows, each new interest payment is based on a larger amount.
You may be late but if you start late, make up for the lost time. Maybe you're 55 and think you've missed the opportunity to retire rich. Don't wave the white flag now!
When you find yourself on the receiving end of a windfall, don't blow it off on vacation. Instead, put it in a retirement account if you want to retire rich.
When you put all your money in bonds and sleep well at night because you know you will never lose this money. But with this approach, you're not going to retire a millionaire.
Stocks and real estate are where money is to be made. Yes, there is a slight risk but take heart to know that stocks and real estate have historically appreciated in the long run.
A smart risk-averse might be investing in an emerging market fund. That one dumb move can put your life savings in speculative currency.
The herd is easy to follow, but if you want to become rich, you need to keep a calm mind and make rational money decisions even in the midst of a crisis.
If you want to retire rich, you need to maximize your earnings. This means no more settling for a money-paying dead-end job.