4 Tips for Retirement Planning

A hundred years ago, most people’s idea of saving for retirement was stuffing some money into a jar and burying it in the backyard. And while we can appreciate the foresight of our ancestors, these days the old jar just doesn’t cut it anymore. So how can you gear up for retirement?

Save More Today.  Financial experts recommend saving as much as 15 percent of your salary for retirement. Try doing it gradually, maybe one or two percentage points at a time. If you can, take advantage of automatic deductions at your workplace. If your company doesn’t offer it, do it yourself by setting a date on your calendar, or scheduling an automatic transfer from your checking to savings.

Pay Down Debt.  The last thing you want is to be heading towards retirement, head over heels in debt. Make a point of getting out of debt, even if you have to postpone some things you want.

Consider Downsizing.Take a hard look at what you have, and decide how much of it you really need. Scaling down what you actually need to be comfortable can not only save you money, but also time. Big expensive things tend to require a lot more maintenance. 

Don’t Increase Your Risk Factor.Now isn’t the time to learn how to become a wild and crazy day trader. Don’t go for high end, high-risk schemes just because you’re behind the curve on your retirement savings. You’re going against pros, so the odds are that you’ll simply fall further behind.

It’s your retirement. Manage it so you can spend your time doing what you love, rather than worrying about what you don’t have.