Everyone is talking about financial freedom. A lot of people tell you when you retire, you will be a free man and do whatever you want. A lot of us dream of traveling around the World when we retire then. We hope to do whatever we want when we retire and never worry about money again.
The question is ' Can we retire rich and be financially free?' Although it is hard to believe , I would say it loud and clear, 'It is a 80-90 percent chance that you are going to retire and broke! '
Yes, listen me one more time, you are likely to retire in 10 or even 30 years time without having enough money in your assets to maintain your golden years! See around you and you would see that people who are more than 60 or even 70 years old still working, not because they enjoy their works but simply because they have to work to survive.
Although your retirement is 20 or even 30 years from now, you have to start planning now. They key to a comfortable retirement is being able to maintain the lifestyle to which you are accustomed as wee as having the option to do more. The principles for a planned retirement are easy,
1) Start your saving as early as possible, the earlier you start saving, the harder your money can work towards your retirement.
2) Find a combination of investment vehicles so that you diversify your investment to minimize your risk.
3) Have a separate planning for your children education so that you can concentrate your time and money in your retirement planning.
4) Find extra source of income so that you can invest more money for your retirement.
5) Buy insurance to cover for certain emergencies such as medical bills, fire, personal accident to prevent all these events eat away your money.
6) Have a proper estate planning so that if anything happens to you, your loved ones can inherit your assets without hassles.
Retirement is fun provided you plan it properly and have enough fund to sustain your lifestyle!