The Best Plans Start Early
Preparing for retirement isn’t something that happens overnight. It takes meticulous planning, goal setting and a strong vision for a successful retirement. Depending on the lifestyle you want to live, you can save as aggressively or timidly as you want. If you’re over the age of 55, your retirement strategy will differ from someone who’s 45, and theirs will differ from a 32-year-old millennial. Either way, the work you put in now will only benefit you in the long run. Start planning for your future today and rest easy when the time comes to retire.
3 Tips to Plan for Retirement
Acquire Income Producing Assets
When you plan for your future, you want to think about all the streams of income you’ll have once retirement age hits. Social Security is one stream of income that retirees are able to access, but for the younger generations, it may not be an option to depend on. If you’re really looking to retire comfortably, you’ll figure out how to acquire as many income producing assets as you can between now and your retirement.
Income producing assets are assets that generate revenue passively yet consistently. Typically, you need to put in some work to maintain them, but in the long run they’re great investments that will give you recurring income n a month basis.
- An Investment Property or Properties – The more properties you’re able to acquire the better, but even having one investment property outside of the home you live in can help you with retirement. If you rent out the property, you’re able to not only build equity, but if you do it right, you can make extra money on top of what you’re charging for rent.
- Interest paying Bonds or Dividend paying Stocks – These are low risk investments that would be best explained by your financial advisor. But basically they can yield small percentage returns on an annual basis, helping to diversify your investment portfolio.
Save Early and Often
With the huss and fuss of life, it’s easy to blink and have 5 years pass by. With each year that passes, there’s a new challenge to overcome or a new financial speedbump to conquer and another reason why that savings account didn’t grow as much as you wanted it to. When it comes to savings, only 25% of Americans have over $25,000 in their savings. That means there are a lot of people out there that are going to have some real challenges to overcome when they get to retirement age. Make choices now that will get you to your financial goals. Encouragie your kids and family to do the same. It can have a profound impact on their retirement as well. Saving should be a part of your financial routine, and if it isn’t it’s never too late to start.
It doesn’t matter how much you save, if you aren’t around to spend your money, does it really matter? Health is wealth. Taking care of your body and your mental health is the best thing you can do to prepare for retirement. Exercise and laugh often. Surround yourself with people who lift you up and encourage you to stay healthy as you age. Take care of yourself so you get the opportunity to see your retirement all the way through to the end.
Retiring in Orange County
Retirement is an exciting time for anyone. It can also mean there’s a shift in your housing needs. Many retirees choose to downsize heading into the next chapter of their lives, but that doesn’t have to be the case. I have helped many individuals and couples heading into retirement with a variety of different situations. From investment properties to downsizing, I can help you transition into this next stage of your life smoothly. Contact me today to discuss your housing needs as retirement nears.
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