While we are all struggling to pinch pennies every chance we get just to make ends meet every month, we also need to keep our futures in mind. Saving for retirement is often something start thinking about too late. The sooner you start saving for retirement the better and more comfortable your retirement will be.
Don’t let planning for your retirement be postponed simply because you find it overwhelming either. There are three quick steps anyone can take to begin saving for the retirement they always envisioned:
Before you begin saving for retirement, you need to envision how you want to live out your retirement. If you want to purchase a piece of land and live out your days there, then you need to budget for that. If you want to travel the world and experience numerous adventures, then you need to budget for that. Different goals have different prices so determine what your goals for retirement are first.
Do the Math
Once you determine your goals, you need to determine how much you will need to save monthly in order to reach your goals. While doing all this math may sound intimidating, online resources, such as Retirement Calculator.com, can help you calculate your monthly savings needs.
Once you know how much you need to save each month, you need to start making monthly payments into your retirement account. Don’t let other purchases get in the way of making these payments into your retirement account each month. Every penny counts, and you need to treat paying your retirement account just like you would paying any other bill. Every month set the money aside, and pretend like you are paying it to a debt.
Saving for retirement isn’t difficult, but unfortunately doing so is often postponed. Many are overwhelmed by the task of planning for retirement and others simply choose to enjoy their money now. However, retirement planning is a must, and even after calculating your retirement yourself, it is still a wise choice to visit a professional financial planner. These individuals will be able to help you see unforeseen costs such as healthcare and assisted living, and will also help you better account for inflation so that your retirement savings is as accurate as possible.
Don’t wait until you are 5 years from retiring to worry about your retirement. There are hundreds of free resources online to help you get started, and to make retirement planning easier. You’ve worked your whole life so make sure that you are saving to afford that retirement you always wanted.
Guest Post by Jessica