As we get older many things happen our bodies change my hair starts to grey, we’re not able to do some of the things that we used to do. It is important that we manage and plan as we change. Regarding planning your financial life, retirement planning is part of that. This is a time when you need to make sure that you have enough funds as you age. One day my husband asked me what my greatest fear is and at that time my greatest fear was being broke and old. It’s still my biggest fear but it’s a fear that I feel more secure because I’ve been putting monies back for retirement and getting financial help from financial professionals. If you wonder what his biggest fear is dying alone.
Over the years I have helped so many people but most of my clients are elderly. I witnessed and saw their financial life at age 65 at age 80 and about 95% of them live on a fixed income. I’ve seen some who will only get when they retire at age 65 is $1500 a month and that check would normally come maybe on the 1st or on the 15th and this $1500 must last for the whole month. If some of them are still driving, this money should help pay for rent, food, and gas. Most still live in their own home, not with their children. Those who live in a retirement apartment for seniors cost between $800 and $1000. So more than half of their money goes to living expenses and the other monies that are left must provide food, light cell phones, etc. So, what I notice most of them were healthy and still able to move around and do for themselves. But there was not enough money to go to eat at their favorite restaurant where to go buy clothes so most of them sit in the house and watch TV all day or only can go to functions that are free. The majority of them we’re sad about this situation and the majority of them just learn to live with it because they at that age figured there was nothing else to do. Do you want this to be you? The reality is the choices that you make today will affect how you will eat when you are 65 and 75 of age.
It is important now that you take the time out to find out your retirement plan, we plan for vacations we plan for dinner engagements we plan to buy a house we do all this planning. But we look up and now we’re 65 and we never plan for this day to come. I know that it is stressful I know that is a lot, but this is the time that you should invest and get help but the first part I want you to do it’s to get you together. Follow the next three steps and this will help you jumpstart your retirement plan. These steps are simple but impactful. Let us begin!
1. Ask yourself the following questions:
a, I have a retirement account set up at my job or outside of my job.
b, My retirement account is automated
c, I know how much money I need when I retire at 65.
It’s OK if you answered no to these questions. If you answer yes to all of these questions that is wonderful, you should keep reading and will learn something.
Now if you answer no to all these questions, the first step you need to take is to reach out to your HR department at your job and find out how you can start putting money towards your retirement plan. At your job/work for yourself, you should be putting at least 10% of your income so for example if you make 50,000 a year you should be putting back 5000 a year. You can split the payments up every pay period. If you’re not in a position of her back 10% due to debt then put back 5% a year so you should be at least putting back $2500 a year. If your job does not offer 401K retirement planning, you can set up an account on your own. Click on the link to learn more.
There are so many ways outside of your job to save money and even if your job offers full 401K savings you can still set up something outside of your job. No matter what job you go to, if you don’t stay at work for years and you move on and do something else, you can always take that money and roll it over to your new job or transfer the money to an account you’ve already set up outside your job. You feel nervous and not for sure about what to do or how to do this you can always get help from someone I’m here you can go to https://www.thefinanciallady.com/book-me/ and set up some time with me and get the help you need in this area.
2. Read the following book Smart Women Finish Rich by David Bach. This book changed my life, it gave me a sense of purpose and gave me a sense of guidance, it gave me resources that I did not know were available. This book is also available on audible. So while you’re in your car cooking you can listen to this book over and over again you can also buy the book at half-price books for less than $10.
3. Do research on retirement planning, first place starts at https://www.irs.gov/individuals/seniors-retirees. Anything that you need to know about taxes financial anything pertaining to retirement got to irs.gov.com. The government is the best starting point. A lot of articles that you may find on Google may be outdated resources or not reputable, but the IRS website will be up to date and with accurate information, and when you are dealing with your finances and your life you want to make sure you’re getting accurate information. You can also find some classes about financial retirement that are free. I’m asking you to do this to get a basic understanding of retirement planning. Do not rely solely on one person or person to help you with this. When you talk to you, who is a financial adviser or mentor, you will have basic knowledge of what’s going on, this will give you confidence and it will give you the knowledge you need so no one can use you. That is a power move of a wealthy warrior. If you’re wondering what a wealth warrior is go to https://www.thefinanciallady.com/ to learn more.
Be aware, be informed!