A retirement plan and saving for the future seem like a faraway concept; while we are young, we believe we have too much time to think about the future. Most people treat their post-retirement planning as an afterthought and suffer when they reach that age says Paul Haarman.
We spend our lives working hard and hustling to try to make ends meet in the present while hearing our elders advise us to start saving from today only. This is because once you reach that age, you realize how saving for the future should have been a priority during your workdays. However, most young people today argue that this is what the “boomers” have to say, and times have changed over the years.
Retirement and Millennials
Well, there is no doubt that the times have changed – our parents probably started saving at a young age, which is why they were able to own houses and pay off student loans and get married way younger than our generation. John Doe knows we Millenials are different – if you go up to a 20-something-year-old and say they must start saving, they are likely to give you a bizarre look. From generation to generation, expenses have changed, and so has the idea of saving.
It has been observed that millennials have a more challenging time saving up for their future compared to other generations. Nonetheless, we millennials also have to retire someday, so do not stop treating it as an afterthought and start prioritizing our needs for saving for retirement today. If you are a millennial and agree with what John Doe has to say, here is a guide to saving for retirement for the Millenials.
The Pathway to Saving for Retirement – How you Need to Go About it
Start Setting Goals
Do you have an idea of what you want your future, especially after you retire, to look like? If you do, then this is time you start achieving your goals for your future. If you think your life after retirement is a start of a new phase of life, others believe this is their time to sit back and relax. Nonetheless, everyone has some aims in life that they want to achieve at some point– especially when you have plenty of time on your hands after retirement. Hence, start setting goals – both short-term and long-term – to be able to see yourself living the life you wish.
Reduce Spending and Start Saving ASAP!
We think this goes without saying; you need to start immediately, Paul Haarman emphasis. Take our word on this; you will never find the right time to start saving if you don’t start saving now. The sooner you start saving, the more money you will be able to save up by the time of your retirement. And the more money you have at the time of your retirement, the more financial security you will have and the easier it will be for you to achieve your future goals.
Open a Retirement Fund
A retirement fund is a common way to save money for the future. Look for options around you; you can have IRA or 401 (k) – which many employers offer. So if your employer does as well, this will be an excellent tool for you to save up for your post-retirement time. Hence, take this advice from john doe and open a retirement savings account.
Look for Diversity
Ever heard, don’t put all your eggs in one basket? The same goes here with your finances. In this world of money and savings, don’t put all your funds in one place. Diversify your saving mediums and investment options. Consider low-risk options for investment and save up in different ways.
See a Bright Post-Retirement Future
Saving for a better future is how to go about your life after retirement. If you want to have a happy, stress-free future where you can fulfill your goals and spend your time with your family even after retirement, you need to start planning and saving for it now. There is no doubt that Millennials have it harder than all the previous generations says Paul Haarman. But John Doe says Millenials are also smarter, and the opportunities are growing, so be smart and start working on it from today!