Retirement should be the most peaceful, relaxing time of your life. You’ve spent years working hard and now is the time to put your feet up. Now is the time to book that trip you’ve always wanted, take up golf, or just spoil the grandkids. It’s time for enjoying life. But for many, this period can be the most stressful of all. And that’s because of money.
Whatever your plans, don’t let them be ruined by the uncertainties of money. If you plan ahead, then a few small changes can make a big difference. You should retire safe in the knowledge that you can handle it financially. And with that worry taken care of, you can really enjoy life. Here are a few tips for retiring rich:
- Start saving now
If you’re reading this in your early years and you’re not saving for a pension, start. It might seem like a lifetime away, but it’s never too early to start putting money aside. Treat saving like an expense, like rent. Set aside a certain amount every single month and make it a habit.
Put it in an account that you can’t easily access as well. It’ll stop you from plundering the account next time you’re desperate for a takeaway or a new pair of shoes.
Thanks to Philip Taylor for the image.
- Work a little longer
If you’re approaching retirement age, you probably can’t think of anything worse than another five years at work. But if you can muster the energy, it could double your retirement fund. You’ll continue working at the peak of your ability and pay-grade. That’s five more years of high pay, five more years of savings and five more years of investments. It’ll add up to a much more comfortable retirement.
- Reverse Mortgages
If all of your money is tied up in your house, (rather than savings or investments) then you could look at taking a loan out against your home equity. Many lenders such as Reverse Mortgage Irvine allow you to borrow money that won’t need to be repaid until you sell your house. It’s a good way to free up cash in your retirement.
- Lower Your Budget
A few smart changes could help you live a more comfortable life. Many of the things you needed before retirement will no longer be relevant. A large house, a car or other luxuries. Try living on a lower budget for six months to a year before retiring. See if you can adjust to a lower budget.
- Spread Your Portfolio
Never put all of your eggs in one basket. Be sure to have investments spread across a number of options, keep some equity in your house and have a savings account. If one of the markets collapses, make sure you have money elsewhere to balance out. Don’t leave yourself vulnerable.
If you’re still unsure, speak to a financial planner. They’ll be able to help you plan for retirement based on your circumstances. Start planning early and make sure your retirement years are the best years of your life.