"Retirement" is a term that draws intimidation when it comes to the planning process. Bob Jain, as well as other financial minds, will tell you that this doesn't have to be the case. As a matter of fact, there are numerous ways that you can make matters easier for yourself. How can one save up enough money so that they retire comfortably, regardless of what their work entails? It all starts by learning, so start with these do's & don'ts.
DO save as early as possible. The cardinal rule of retirement planning, according to Robert Jain, is to save for retirement early on. Not everyone can do this in their early 20s, for example, but it's entirely possible to do so once you have a full-time job. This is especially true if your job has a 401(k) or IRA system set up for its employees. When you start saving early on, it can make a considerable difference later down the road.
DON'T forget to automate your savings. If you fear that you won't be able to contribute to your IRA, 401(k), or what have you on your own, automate it. There are many plans that take money from your regular paycheck, applying it to the plan that you have in place. What this means is that you never have to worry about making a payment. Everything will be handled for you, which should provide considerable peace of mind.
DO use your raises to plan for retirement. When you earn a raise, it's often regarded as a testament to your hard work. Why not reward yourself in the long-term sense? You can apply your yearly raises to your retirement plan, which means that you can accumulate more money over the course of time. In short, you'll reach your goal sooner. This is a great tip that more retirement savers, young or old, should take advantage of.
DON'T let retirement be the end of your work. Even though retirement means that you don't have to work full time anymore, this doesn't mean that you should let it be the end of your accomplishments. As a matter of fact, it's in your best interest to set goals for yourself. There are many people that retirement and go on to take up hobbies such as painting or playing guitar. Just because you retire doesn't mean that you can't be productive.
DO save as early as possible. The cardinal rule of retirement planning, according to Robert Jain, is to save for retirement early on. Not everyone can do this in their early 20s, for example, but it's entirely possible to do so once you have a full-time job. This is especially true if your job has a 401(k) or IRA system set up for its employees. When you start saving early on, it can make a considerable difference later down the road.
DON'T forget to automate your savings. If you fear that you won't be able to contribute to your IRA, 401(k), or what have you on your own, automate it. There are many plans that take money from your regular paycheck, applying it to the plan that you have in place. What this means is that you never have to worry about making a payment. Everything will be handled for you, which should provide considerable peace of mind.
DO use your raises to plan for retirement. When you earn a raise, it's often regarded as a testament to your hard work. Why not reward yourself in the long-term sense? You can apply your yearly raises to your retirement plan, which means that you can accumulate more money over the course of time. In short, you'll reach your goal sooner. This is a great tip that more retirement savers, young or old, should take advantage of.
DON'T let retirement be the end of your work. Even though retirement means that you don't have to work full time anymore, this doesn't mean that you should let it be the end of your accomplishments. As a matter of fact, it's in your best interest to set goals for yourself. There are many people that retirement and go on to take up hobbies such as painting or playing guitar. Just because you retire doesn't mean that you can't be productive.
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