Retirement planning for many people is not what it once was. Years ago before the recession came along a baby boomer entering into their retirement phase had many more opportunities and resources to do it with. In today’s society things have changed quite a bit over the years and retirement means something much different to many people. To some it is just a change in their lifestyle and to others it might just be a reduction in hours at work or simply moving to part time employment status.
Once a person starts to reach a certain age the thought of retirement or early retirement starts running rampant through their mind. Everything from how to do it, to where and the process to do it safely and as easy as possible in order to make sure there is enough guaranteed income and money to last through out the duration of their retirement. There are some thing’s a baby boomer can really start thinking about prior to hitting that age to carry them smoothly into retirement through an outside the box thinking process.
Investing In Retirement Annuities
Investing in a fixed rate annuity is guaranteed income for life. The way an annuity works in the financial world and what it means to you as a potential retiree is that if you have a certain amount of savings you can invest you will receive a monthly payment for that investment. For example a $100,000 dollar investment with a scheduled payment on the first of the following month would give you about $556 per/month. That is close to $234,000 over a 35 year period. If you have any savings built up it might be a wise choice to think about investing in a fixed rate annuity.
Part Time Work
To some leaving their current job or employer and moving to either the mountains or somewhere warm is almost out of the question. Part time work instead of the full time rat race is what many are looking forward to for their specific retirement. This isn’t necessarily a bad thing because many retirees are seeking part time work in areas they have always wanted to work but really couldn’t previously pursue. If you are eager to finally retire but don’t think it could happen try setting up something part time that is not as strenuous but still allows you to feel like you have exited the workforce.
De-Risking A Retirement Portfolio
When a person enters the mindset of retirement they want the process to be smooth and safe without any hang-ups at any given time. A professional in the finance industry can help assist you with identifying your potential risky investments that might not yield the types of returns you are looking for to have a safe retirement. There is nothing saying that any risky investment in any portfolio will bring any return at all which is why it is important in a volatile market to really de-risk any investments you or your financial planner might be deem risky in your portfolio. Taking risks with your finances when you are retired could cause you to have to go back to work.
Turn That Hobby Into Income
Do you have a hobby that you have been doing for many years that others want to pay for? Now could be a good time to turn your hobby into a constant stream of revenue. It doesn’t have to be a large stream of revenue but it could offset leaving your career or day job behind you if you really want to retire peacefully. Often times many people want to retire and are not really sure how to do it and this is a great way to do something you love while still bringing in some extra income to keep things afloat.
Make An Important Life Assessment
It is important to realize that you can have that retirement you want you just might have to make some important sacrifices to get there. Evaluate your current lifestyle and some of the things that you want or need to determine if they are necessary. Perhaps you can’t have everything you planned for your retirement over the last ten years but would half of those wants or needs allow you to still retire comfortably? You will have to make a decision whether a little bit of retirement is better than none at all.
Not everyone has the luxury to even explore the retirement step in their life so if you are even at that point in today’s world than consider yourself blessed. Retirement planning is something that can be very exciting if you plan and prepare properly. Take the time to meet with your financial planner or broker on a regular basis in order to ensure you have the safest and most successful retirement possible.