Retirement Concepts Associates Corporation
The Ultimate Retirement Guide
Answering The Questions:
Can I Retire?
How Long Will My Money Last?
Did you just graduate from the university? Chances are, that you are very excited to land your first job. You also have pictured several times how you would manage the salary that you will get, and the things that you will buy once you start earning your own money.
For young people, paying for retirement is not one of the main goals, as they feel that it’s something too early for them to worry about. However, it should not be the case.
Paying for retirement or saving your money should be a habit that you need to develop once you start earning. This is because the world has become very progressive. Progress paved the way to a comfortable lifestyle for the majority, more especially in developed and developing countries.
That being said, life will be comfortable if you always have the money to pay the bills. You also need money to pay for your rent or mortgage, and to send your children to school.
Heed Experts’ Advice in Handling Your Hard-Earned Money
You always hear this from the experts. Be cautious, learn to control yourself not to spend all of your money for your wants and desires. If you start paying for retirement the age of 20, you can ensure you that you could maintain the lifestyle you have at present when age has caught up with you, and you can no longer work the way you used to.
Ways to Start Saving and Paying for Your Retirement
- Start by paying yourself first. The right formula for setting aside an amount from your earnings is Income – Savings = Expenses. You can begin by saving 10 percent of your monthly income, or if it is too big, you can start with a smaller amount and move on to the ideal percentage of 10 to 15 percent a month.
- If your company has a retirement plan, try to match the amount of monthly savings your employer is giving you. If it is not possible, contribute an amount per month that you are comfortable to let go of and add on to it as your salary increases.
- Another way of saving is by requesting your bank to do an automatic debit to your account. Once your salary is credited to your savings account, the bank will automatically debit the amount that you nominated, and add it to your retirement plan.
- When your personal savings has accumulated, you can start investing it on other avenues that give you a much higher return on investment. You can put it on mutual funds, stocks and other money market instruments.
- If you own life insurance consider the amount you are paying for it versus the return on investment of eliminating the expense and possibly getting a portion of the amount already spent back in the form of a policy exchange. For more information visit Sable Life at www.sablelife.com.
Remember that time is your biggest ally when it comes to your savings. Delaying it until you reach 40 or 50 years old would require a much higher amount of money to be set aside compared to when you started in your 20’s.
The earlier you start paying for retirement, the better your life would be as you retire. Depending on your social insurance will not be enough to address the expenses that you would incur when old age sets in. On the other hand, worrying where to get the money for medical bills and other expenses can take away your happiness. Thus, it is always best to be ready.