Tips for a Happy Retirement

1. Tips for a Happy Retirement Find here the Best retirement planning advice from financially empowered individuals. Get financial planning tips on saving for retirement.

2. A Faraway Concept Called Retirement You’ve probably thought to yourself in a not too distant past, of how young you were and that you didn’t have to worry about, save or plan for retirement. So how is that working out for you?Just as the days fly by, years and decades fly by just as fast and before you know it, you’re wallowing in a sea of regret of why you didn’t start saving for retirement sooner. 

3. Some of the most important concepts to understand and apply, when it comes to retirement planning. Multiply by 25 Rule – This rule is a tool to give you an idea of how much to save up depending on how much you need for annual spending during your retirement years.  Employer 401K Match – If you work for an employer that offers a 401K Match, always take advantage of it. If your employer will match up to 3%, then you must first contribute at least 3% of your income in order to benefit from your employer’s contribution. Roth IRA – Contributions to Roth IRA are not tax deductible. However, any interest, dividends or distributions earned are tax free, as long as nothing is withdrawn before the age of 59 ½ at which time it may be taxed at the federal and state level, as well as an early withdrawal penalty assessed by the IRS. 

4. Some of the most important concepts to understand and apply, when it comes to retirement planning. Traditional IRA – Traditional IRA accounts are usually tax deductible, but whether or not it is, depends on whether you have an employer sponsored 401K as well as how much your adjusted gross income is for the that particular year. Compound Interest – Compound interest occurs when interest is initially added to the principal, and any future interest is then earned on principal and any previously accumulated interest.  Pay off all debts and credit cards – The correct way to use credit cards is to pay off the entire balance at the end of the month. Of course, there might be emergency situations where you may not be able to, but try to pay it off as early as possible. 

5. Some of the most important concepts to understand and apply, when it comes to retirement planning. Rule of 72 – You may have heard of this term, but just in case you’re not familiar with it, it is a way to determine what length of time it will take your investment to double depending on the rate of return.  Reduce Spending – This advice may sound a bit redundant but I cannot emphasize how important it is, as our monthly income is usually limited and the only way to increase your savings is to decrease your spending.

6. Millennial Money Minute Thank you for reading this, each Millennial Money Minute reader is appreciated so much here! Your feedback means a lot, so comment below with all your thoughts. Looking forward to hearing from you. https://www.facebook.com/millennialmoneyminute/ https://twitter.com/millmoneyminute https://www.instagram.com/millennialmoneyminute/ https://www.pinterest.com/millennialmoneyminute/ Happy Retirement!