Saturday, November 23, 2013

How To Spend A Lump Sum From Your Retirement Plan

As we approach the twilight years of our lives, millions of Americans will be given the opportunity to take a lump sum from their retirement plans, especially those who don’t have a significant amount of capital tied up in the schemes. This is because providers stand to make less profit from you compared to people with a significant investment in their plan, and so it’s much easier for the firms involved to get you off their books as quickly as possible. Although this might sound like a bad thing (and in some cases it certainly is), those who understand how to use this cash advance wisely could benefit tremendously in the long term. 

The average amount accepted as a lump sum by American citizens is around $15,000 and is usually obtained at the age of 55, although admittedly some people do wait until their working lives are over. Still, at 55 you’ve still got ten years or more to work out what you want to do with this money, and could well increase it tenfold if you obtain the right advice and the most up-to-date information, which is why I’m taking the time to write this short post today. 


Taking A Long Holiday


Though this isn’t going to provide you with any extra funds, taking a long holiday (perhaps a round the world cruise) can be a fantastic way of enjoying the fruits of your labor and investing in yourself for a change. After 40 years of hard work and with 10 more still to go you deserve a treat, and what better way is there of accomplishing this than taking a nice relaxing break where you can check out some of the most beautiful sights on earth?




Providing For Your Family


By this time you should be reasonably comfortable in your life, but some younger members of your family group may not be so lucky, which is why you might consider helping them out with your cash lump sum. Getting a deposit for a mortgage has become increasingly difficult, so perhaps you could help out others around you who are struggling. 


Investing In Gold


Presuming you’re pretty content with the quality of life you’ve obtained and your family members are well looked after, I’d advise that you to look into different investment opportunities and attempt to increase your funds before retirement age. There are some fantastic firms out there who deal specifically with helping people to purchase gold and other precious metals, and as these items tend to increase in value steadily, perhaps you should give them a shot. I recently read a real review of regal assets and discovered they’re the industry leaders, so try them out. 


Purchasing Land


Regardless of the amount you have to spend, land in the US is always going to increase in value. So, whether you can afford to buy 10 acres or even just a single plot, using your cash in this way is guaranteed to keep it safe until you know what you want to do with it long term.

Anyway, it’s time for me to go now. I’ve got to do some serious research into the gold market as I’m actually considering making a small investment myself. I’ll let you know how I get on.

Until next time my friends…

Link to image author



No comments:

Post a Comment

Join 1000's of People Following 50 Plus Finance
Real Time Web Analytics