Your retirement planning is all about what you can do with the money you’ve got. What you do with the money you’ve got
depends on where you are in your financial life cycle. If you are in the first stage of your financial life cycle (early retirement) then
your planning should be all about conserving your money and maximizing your income from it.
The first stage of your financial life cycle is characterized by low borrowing and low paying. You can get a job, buy a house,
and live off the income it generates. You don’t save or invest much because you have little need and little money to spare.
You may have children, but they are a source of income and a source of insurance.
You’re now in the second stage of your financial life cycle. The stage where you’re starting to save and invest a little, but not much.
You can borrow to pay for the house, but not much else. If you’re like most people in the second stage of your life cycle,
your income is falling short of your expenses. You can go on investing more to meet this shortfall in income.
This is the stage where you start looking at alternative sources of income.
For example, you could take a job that doesn’t offer a lot of pay, but gives you security. Or you could look into investments
where you can earn more, but at the same time, be certain that you’ll have enough to keep your life going through health and illness.
The first stage of your financial life cycle is the “safe haven” stage. If you go into it expecting to earn a lot, you may
be surprised by how little you can earn. The second stage of your financial life cycle is characterized by lower borrowing and higher paying.
You can earn more, but at the same time, don’t run out of money if you make a mess. You can pay down some of the debt,
but there is no guarantee that you’ll have enough to live through it.
Which stage are you in?
Take time to review your financial plan. How much do you have to save and earn to achieve your goals?
What stage of your financial life cycle are you in? Take action now.
It can be taken for granted that the later stages of life are those that are best spent on enjoying life.
It is in these latter years that some of the most difficult decisions of a person’s life are made.
While in the later stages of your life, there is a greater focus on health, well being, and longevity, retirement is no longer a phase.
The need to plan now, rather than later is critical. It may be the only option to ensure you can finish what you’ve started.
This is the stage where a lot of planning is done. To make it through it, it’s time to take control of what needs to be done and make it happen.
* Take responsibility for your retirement.
* Make a plan.
* Estimate how much it will take to do what you want to do.
* Spend on this plan.
If you start late, you will still be able to retire, but at the very most, not as wealthy as you could be. In the later stages,
it’s the need to save that will be put on hold. It’s now important to make sure that what you save is put to good use.
And this requires putting some of it away to grow. The amount of savings will be the important part of taking action now.
The importance of planning to retire will be emphasized.
One of the simplest ways to begin is with a financial plan. The use of a financial advisor to help with a financial plan is a good idea.
A financial planner is the way to go. It is vital that an investment plan is put in place.
It’s essential to see what is the best investment strategy to take when you reach your later years.
***Please note the information contained within this document is for educational and entertainment purposes only. Every attempt has been made to provide accurate, up to date and reliable complete information. No warranties of any kind are expressed or implied. Readers acknowledge that the author is not engaging in the rendering of legal, financial, medical or professional advice.
By reading this document, the reader agrees that under no circumstances are we responsible for any losses, direct or indirect, which are incurred as a result of the use of information contained within this document, including, but not limited to, —errors, omissions, or inaccuracies..***
****Always consult with competent professionals for advise.**
"You must nurture your own inner being to accept yourself as you are. If you don't accept yourself, you will never be at peace with yourself."
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