If you haven’t already, you need to start saving up for your old age, today. Many forget that after a particular point in their lives, they will have to live off their pensions or social security benefits. There is no doubt that in order to save up, you have to work hard for a company or for yourself; either way, a good job is crucial. Here are some factors to consider when you are saving money:
Reiterating on this point, you need to start right away no matter how old you are. General research suggests that people who save in their 20s and 30s have more time to think of future investment opportunities. You can calculate the amount you need to save by talking to your investment banker or a financial advisor.
You must practice the art of financial intelligence. Instead of saving your money in a bank with a measly interest rate, invest in assets. One option to consider would be an employee based plan or a retirement fund like the gold IRA which will hold your savings in the form of gold for you. Companies like Lear Capital are great places to start as they will protect your earnings with actual gold. Despite fluctuations, historical data suggests that gold is a great long-term investment.
Understand your needs
Ask these important questions: what do you plan on doing in your old age? Do you plan on going on a cruise every year or living in a retirement home? It is important to note that if you are a low-income earner, you will need 90 percent of your earnings (as opposed to 70% for higher-income earners) to maintain your current lifestyle. Think twice and plan for your needs accordingly.
Keep the money in the account at all times
Saving is crucial and if you are to use it for your retirement, you must not touch it at all costs. You might want to spend it on your child’s wedding or other major life event but simply refrain from doing so as it will defeat the purpose. Though you should satisfy your basic needs while you are young, such as buying a house and educating your kids, resist the urge and look for ways to earn more rather than tap into your retirement funds. Consider the money gone until you reach your golden age; unless you want to be broke at 70.
Save more than what you need
If you have saved your desired amount, then opt for a personal brokerage or IRA gold account. The account can be established via a transfer or a rollover. Investing in gold is not your only option. There are other options like a brokerage account that can also give you tax benefits.
Decide on your retirement plan by asking a professional financial advisor for assistance. A great advisor will guide you by helping you avoid common mistakes and grab opportunities to seek. Remember to save now and you will be a in a better place by the time you retire!