Dec 21, 2015
Saving for retirement is often overlooked, since most young people assume that it is too far along the way to warrant any present investment. Saving for retirement early means that once you do retire you will have sufficient funds to do the things that you have always enjoyed. It’s good to start with a well paying job but a well paying job doesn’t guarantee savings for retirement. Here are a few tips to help you save for a secure, happy retirement.
Save…NOW
Don’t wait till you’re over 30 to start saving for your retirement. Speak to your local bank and look into a retirement fund. Your retirement fund value will vary according to your earnings. Since you will have to save a set value every month, you will learn to manage your other expenses accordingly.
Don’t use the saved funds
Avoid using a lump sum from your investment before retirement. Think of your retirement fund as money spent, therefore making it inaccessible. Expenses such as purchasing a new home, car or paying for your child’s education will come up, but remember that there are other ways to fund these expenses and your retirement fund is not one of them.
Save more.
If you have excess funds after your retirement fund monthly fee has been charged, save the excess. These saving can be invested in stocks, bonds, Exchange Traded Funds (ETFs) and mutual funds, but make sure you receive sound investment advice from a reputed broker.