Care Free Retirement Starts Today With You
If you want to create care free, stress free retirement years, start preparing for that lifestyle right now during your working years. Look at your debt; it is the biggest obstacle to retirement investing because it gobbles up your extra investment money.
What’s The Plan?
Before you plan for a care free retirement lifestyle you need to know retirement basics.
The reality about retirement is that you will need 40 working years to accumulate enough money to last your 30 years retirement years.
How will you be able to accumulate that much money and still afford to live in the present?
Your Plan Is All About Your Desire
If you want to eventually trade the stressful work life for a stress free retirement life you will need to have a plan and work the plan. You only get 40 precious working years to save and invest, don’t waste any of that time. If your desire is strong enough, you will be ready when you reach retirement age.
Invest vs Spend The Extras
When you get a bonus, pay raise or tax refund be diligent about investing that extra money into your retirement plan. Don’t allow yourself to make the excuse that you never seem to have any leftover money, even after bonuses, etc.
Avoiding debt sounds fantastic but it also sounds a bit idealistic. It may seem impossible because you are currently drowning in debt; but debt reduction is not an insurmountable task, if you have the strong desire to follow through.
2 Steps To A Care-Free, Stress-Free Retirement
If you had any leftover money to invest, avoid debt and change your spending habits, you would, you’re just not sure how, right??!
Step #1 – Face It
Your debt started with you, it must end with you. You created your debt by the choices you made. You continue to accumulate debt every time you make the choice to purchase something that you cannot pay off immediately.
You can turn it around and reduce your debt or avoid accumulating more by making better spending decisions. If you cannot afford it, force yourself to say no. For example, you may want a pair of $400 boots but you can get by with $40 boots.
Step #2 – Debt Awareness
Polls show that the 2 largest debts which get in the way of most investors ability to save for retirement are mortgage and credit cards.
What’s Your Mortgage Debt?
Mortgage debt can be 25% of your budget; that’s a big chunk of money which is not going into your retirement investments. The fastest way to reduce that mortgage debt is to pay a little extra money on ever monthly mortgage payment. A few dollars applied on a regular basis to your mortgage will reduce the number of years on your mortgage thus reducing your overall expenses.
Your Credit Card Debt
The quickest way to reduce credit card debt is to become aware of your spending habits. Think about every purchase you make. Avoid making it such a routine habit to whip out your credit card whenever you make a purchase. Credit card companies make it so easy to overspend…that’s great for them and bad for you.
Reach retirement debt free so that the burden of retirement debt does not alter what is supposed to be the most relaxing, stress free time of your life; your retirement.