Retirement planning guides are usually hundreds of pages long and basically unreadable. They are full of unnecessary words and chapters that make reading them about as fun as going to the dentist. Why can’t retirement planning guides be full of common sense ideas and retirement planning information? Well this one is – you won’t find a 1000 page thesis, simply a few great tips on how to retire when you want with enough money to do whatever you want.
The first thing you need to think about is your retirement income. How much money will you need? There are plenty of retirement calculators available on the internet but some simple sums should do the trick. Add up all of your expenses including mortgage repayments, bills, health care, food etc. then decide how you would like to spend your time after work and add on the amount of money you think you will need. Obviously this is a rough calculation but it will work just fine for our purposes.
Most retirement planning guides are trying to sell a product so they won’t necessarily give you much choice of where to invest your money – rather they will be recommending their own products. This is where taking some action and responsibility can pay big dividends.
So what should you invest your money into? Shares, Property or Cash? This obviously depends on a number of different things including your current situation, the economy, how much money you have to invest etc. Rather than go into great detail about where to invest your money (there are numerous of Free Investment Resources on the Internet – Many of them will even send you out Free DVD and Books) let’s have a look at how much money you will need.
Let’s assume that after doing your simple retirement planner sums above you came to the conclusion that you needed $100,000 per year to live on. If this is the case how much money will you need to have saved before you can quit the work force? Depending on where your money is invested and how well your investments perform your returns can vary greatly. Over a prolonged period of time an extremely conservative estimate might be 7%. 100,000 is 7% of $1.42million so in order to retire with an annual income of $100,000 you would require savings of roughly $1.42 million.
Does that number sound bigger or smaller than you had imagined? Remember if you would be happy living on less than $100,000 then you can adjust your figures to suit. So the nest question is how do I save that amount of money. For many people it might be a very daunting task but I assure you that with some hard work and dedication you will be able to achieve your goals.
Where can you find the right retirement planning tools? My advice would be to become as actively involved in your retirement plan as possible. Read books, go to seminars, watch DVDs, basically increase your knowledge. Nobody will look after your money as well as yourself so I strongly encourage you to take control of your future and investing. Make your own retirement planning guide and end your life they way you deserve.
Would You like To RETIRE Like A MILLIONAIRE?