Showing posts with label Planning Ahead. Show all posts
Showing posts with label Planning Ahead. Show all posts

Saturday, August 13, 2022

Planning Ahead: How To Save For Retirement In Your 20s

As you hit age 20, you are usually more concerned about finishing college, starting your career, raising a family, and living life to its fullest. In fact, retirement seems like nothing but an abstract concept at this point in your life.

However, before you know it, decades will have passed, and you will suddenly be much older and retiring from your job. To make sure you have the financial resources necessary to enjoy your retirement, this means you need to start saving for it while you are still young. 

To plan ahead and get the best results, here's how to start saving for retirement early in life.

Don't Procrastinate

Even if you have student loan payments, rent, and other expenses each month, don't let one excuse after another keep you from saving for your retirement. 

By closely examining your monthly budget, you should be able to find a way to save 5-15 percent of your income each month for retirement.

Sign Up for a 401(k)

If a 401(k) plan is offered as part of your benefits package, take full advantage of it and sign up to participate right away. In many situations, employers will match the contributions their workers make to these retirement plans, meaning you can gain substantial savings in a short time. 

If you consult with a money management firm about your retirement planning, you will also learn that a 401(k) lets your money grow tax-free until it is withdrawn at retirement, allowing your money to compound much faster each year.

Emphasize Aggressive Investments

To build up your portfolio wealth, emphasize aggressive investments by making stocks the primary part of your investment portfolio. 

Though the stock market can be volatile, it also has a great long-term track record. Once you buy and hold various blue-chip stocks, you should be able to build up quite a nest egg for retirement.

Set Up Automatic Deductions

If you are not eligible for a 401(k) plan at work, choose to open a Roth IRA on your own. Though the money you put into the IRA will have already been taxed, it will be tax-free when withdrawn for retirement. 

To make the most of your IRA, set up automatic monthly deductions from your paycheck, which will ensure your IRA continues to grow year after year.

By thinking about retirement when it is still decades away, you can formulate a sound financial plan that will have you enjoying retirement more than you ever thought possible.

Wednesday, January 26, 2022

4 Helpful Home Appliances to Finance Before Retirement

Whether you can see retirement coming up in the near future or you're simply planning ahead, you're thinking about what purchases you'd like to have financed and paid off by the time that day arrives. 

Looking into financing some major home appliances now can save you money later on in life when you may have a lower income.

Major Kitchen Appliances

A broken or damaged kitchen appliance can make for costly repairs or purchases. Therefore, now is the time to finance major kitchen appliances, such as the refrigerator or dishwasher. 

Another option is to finance your oven and stove. While you are looking into new appliances for the kitchen, you might even consider a full remodel of the room. 

This project can be particularly beneficial if you're planning to put the house on the market around the time that you retire, as new kitchens are often prominent selling points.

Heating Appliances

Appliances that keep your home warm and cozy are crucial, especially when you live in a region that deals with harsh winters. The number of people living in your household will help you determine what size water heater will best suit your needs. 

If you aren’t sure what model will work best, consider hiring a professional to help you go over your options. Services like Mr. Waterheater can give you an idea of how important a water heater is to your home while also offering suggestions. Further, you may want to get a new boiler or upgrade the heating system in your home entirely.

Cooling Units

Purchasing a new window unit for air conditioning does not necessarily have to be an overly costly endeavor. However, you might need a window or wall unit that can cool a large space. 

It's also possible that your home runs on central air conditioning, which is more expensive than individual units. Instead of waiting for the system to wear down later in life, get started on that finance now.

Washer and Dryer

You might think that you can just bring your clothes to the laundromat in the event that your washer and dryer break down. Think about how much time you might waste doing so. 

Also, lugging that wash to the laundromat, particularly in icy or cold weather, as you age could become more difficult. If your current washer and dryer are in the basement, you might also think about getting a set for the first floor so that doing laundry will be easier.

Getting ready to retire does come with both preparations and excitement. Allow some of your preparations to focus on appliance financing. By doing so, you can have a home that is more suitable for your lifestyle, and less costly, in the future.

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