Planning for Retirement
Planning for retirement doesn't begin when you near retirement age. At least it shouldn't.
The fact is, the earlier you begin to plan and save towards your retirement, the better off you are going to be when that day arrives. Not to mention, an early retirement can become a real possibility.
Social security will play a part in your retirement, but it should not be your main income. It's volatile and you probably will have enough to supplement your income, but not enough to let it be your main source.
If you begin an IRA or 401(k) at an early age, you will not regret it and will look forward to retirement with anticipation when the time comes instead of wondering how you will support yourself and your spouse.
Make a plan and stick to it. Even if you begin by putting $100 a month into your retirement fund, having a plan will better increase the chances you will do so regularly, no matter what. When you can afford to put in more, by all means do so. Just make it a point to put in at least the amount you decide on every single month without fail, and never . . . . . . . NEVER pull this money out for any reason!
If you have unexpected expenses, deal with them without dipping into your retirement funds. It may not seem like it at the time, but putting those expenses on a low interest credit card and paying them off over time will be your best choice. I am speaking from experience.
I pulled money out of an IRA on 3 seperate occurances due to my wife's medical needs. As retirement approaches, I have learned that was a terrible move on my part. Fortunately, I began recognizing the need for proper investing for retirement in time, but had I not pulled the money back then, I would have been much better off financially.
Now, there are other investments you can make as well to insure your benefits support you, but you have to start somewhere and you have to do so today. Not tomorrow. Today!
So immediately open an IRA and put in a minimum of $100. The sit down with an investment adviser and discuss how you can fund this over time and what your ultimate goals are. I'll have a lot of help here for you, but this is going to be step one.
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