Financial security in retirement does not just happen. It takes planning and commitment and, yes, money.
Top 10 tips for Retirement
1. Retirement Plan
Financial success is a choice. It results from the many small decisions you make each and every day. Without a plan and goals to achieve wealth, your life is like a sailboat without a rudder: it just spins in circles without definite direction.
So once plan and goal is in place and then ensure you are working toward that goal.If you don’t have a plan for yourself. You will be part of someone else’s.
Whether you own your business or work as an employee, you must think of each dollar as a little soldier on the battlefield of your wealth. Every time you spend that dollar on consumption instead of investment, the soldier dies.
But when the soldier is invested he produces new soldiers and creates an ever growing army working for your financial security. The bigger your army the greater your financial security.
3. Financial Education
By growing your financial intelligence every day, you are investing in your financial future.
The earlier you learn your lessons, the less they will cost you. You’ll gain experience on smaller investment decisions, where mistakes can be offset by new savings.
The longer you wait to learn these lessons the more they will cost you. That cost comes in the form of years of missed opportunities and mistakes made with big investment decisions later in life that can’t be offset by savings.
4. Don’t Procrastinate – Start Today
Every day you delay is another day where opportunity is thrown away. Procrastination kills time, and as a result it kills more plans for retirement security than all other culprits combined. It is wealth suicide on the installment plan.
Many people procrastinate because they feel uncomfortable and out of place making financial decisions. They feel ignorant or the subject seems dry and complicated with confusing technical jargon.
Get over it!
Nobody is born a financial genius. Everyone has to start somewhere. Just get started and fumble through it. Silly mistakes are better than doing nothing at all.
5. Put Your Wealth Building on Auto-Pilot
Arrange your finances so that every month certain actions take place that automatically grow your assets without any decisions or extra effort on your part. This creates an enforced discipline to keep you on track.
• Own Your Home
• Rental Real Estate
• Tax Deferred Retirement Plans
• Automatic Savings Plans
Don’t let procrastination destroy your opportunity for wealth. Discover how automation solves the problem.
6. Take Responsibility
You are the one that determines the priority of your spending habits and whether your lifestyle lags your income or not. You are the one who determines whether you start today or procrastinate until tomorrow.
You are in charge. Nobody else is doing it to you, and nobody else will do it for you. You decide what your financial results will be by the actions you take every day.
Your financial bottom line is you make the decisions: you are responsible. You own the results. That is the only way to achieve true financial security.
7. Commit What Is Necessary to Succeed
Successful retirement planning requires you to provide the necessary resources to reach the goal. Don’t set yourself up for failure by under-committing.
For example, you don’t want to build a retirement plan around owning and managing rental properties unless you want a part time job. Operating real estate requires effort and can be appropriate for some people and not for others depending on your values, interests and skills.
8. Risk Management Is Essential
Risk management principles apply equally well to your personal finances as they do to your portfolio finances. For example, the rule with insurance is to insure away all risks that you can’t afford to lose.
The alternative is to put a lifetime of hard work, saving, and investing at risk for one mistake, accident, or health problem that causes a loss large enough to financially destroy you … and that is not acceptable.
9. Basic Estate Planning
It is irresponsible to leave a burden for those you leave behind. The fact is you will die with 100% certainty.
No one likes to think about it, but that’s the reality. Another reality? Your loved ones will be distraught over your passing, busy with their own lives, and not interested in cleaning up a messy financial legacy.
Your estate plan covers your financial assets and also helps set a clear legacy. Get your affairs in order and make all the decisions about who gets what now. Depending on your particular circumstances this might include:
• Powers of Attorney
• Living Trust
• Life insurance
10. Get A Life
There’s more to retirement planning than just money.
What about relationships? What about your health? What activities engage your interest?
Money is just a lubricant to life, but it’s not life itself.
I have never been a millionaire. But I have enjoyed a crackling fire, a glorious sunset, a walk with a friend and a hug from a child. There are plenty of life’s tiny delights for all of us. – Jack Anthony
Happy retirees have fulfilling lives with the health and money to enjoy them. Make sure you have plenty to live for when your work no longer fills your days, and make sure you take care of your health so that you have the energy and vitality to pursue whatever brings you joy.
Source – financialmentor.com