Preparing for Retirement Part 1
It's never too early to start preparing for retirement. I wish I had known to do so starting in my 20's. I “officially” started saving for retirement in my 40’s and planned to retire at age 52 but wound up retiring one month before my 51st birthday. My particular set of financial circumstances helped make it a reality although I lost 12% of my pension by leaving early. Included in the article below from Daily Finance are tips for retirement planning starting in the 20’s. I imagine the age ranges of Boomeon members are 50 and up. For people in the 50’s, I recommend doing a couple of the things for people in their 60’s such as obtaining your Social Security earnings record so you can review it for any errors and have plenty of time to have them fixed. Also, it will give you an estimate of how much you can expect to receive at ages 62, 66 and 70. This will help you plan for how much you'll need out of other income sources to be able to continue your lifestyle.Another thing to start doing is paying down debt. Make it a goal to be debt free by the time you retire unless it’s not possible for you to pay off your mortgage. If you will be getting a pension like I do, great. If not, time to beef up your 401K plan contributions. Check out this daily finance article and share it with your children and grandchildren (if they have started working).
Stay tuned for Part 2.