I just had a birthday last month. I am inching closer and closer to topping that hill and going over it. Considering the fact that I am most likely not going to get any younger, I should probably begin to think of ways to prepare for retirement.
4 Ways to Prepare for Retirement
Whether I want to think about it or not, at some point I may need to step back and take a break. I will have 3 young girls still left at home that may keep me feeling young, but there is no avoiding that “retirement age.” Since my husband and I both work from home, we need to thinks of way to prepare… now.
- Start saving… NOW. It really is as simple as that to just get started. You can always start small and increase your monthly savings when you can. The important part is simply to START saving and then keep going. Set a goal and stick to it.
- Avoid debt at all costs. Colby and I already live by the mantra that if we do not have the cash for it, we do not need it. No credit cards for us. Basically, think of ways you can reduce costs and still stay out of debt.
- Know your financial needs. Make sure you know what you will need to be financially secure after you retire. Will there be monthly payments or other additional costs? Consider that you will most likely need close to 70% of your pre-retirement income. Plan accordingly. There is not a one-size-fits-all plan. Research information to assist you with finding a suitable financial advisor.
- Invest your money wisely. Whether investing in bonds, money mutuals, stocks, or IRA’s, make sure you make a smart investment. Education can be your best friend in this area. Research and make informed decisions.
What is your best way to prepare for retirement?
Any tips you can share?