How Much Do I Need To Save For Retirement

By C. Hughes

 I know that I have been wondering how much do I need to save for retirement. So I started looking around to see how bad my retirement situation really is. I won’t go into my details but the bottom line is that I’m way behind in my planning for retirement. I need a serious infusion of funding to make it through my “Golden Years”.

There are many places to identify how much you need to comfortably retire. What I was able to find indicates that I should have 1.2 million dollars saved in my retirement account to have a comfortable retirement and to live off the annuity from this.

One of the ways to capitalize on your funds if you haven’t saved enough is to postpone your retirement. Waiting just 5 years will make a big difference in the amount that is in your retirement account. Assuming that your account has $50,000 when you reach age 65, waiting until you reach age 70 before you retire and taking the last 5 years to maximize your 401K fund and assuming an 8% return on your investments, you will retire with $772,000 and be able to withdraw an annual salary of $72,000/year for the next 20 years.

While these calculations are fine and dandy if you have a nice nest egg, many of us were hurt by the financial meltdown over the last few years. It makes sense to keep working on your retirement funds but putting all of your eggs into that basket may not be the smartest way to fund your retirement.
I’ve found that an additional income stream that can allow you to save more toward your retirement and even fund it if you work at it. The nice thing about this self-employment opportunity is that it generates residual income once you have a few sites built and ranking, this can run unattended once you have set it up.

I’m referring to affiliate marketing on the internet. This is a business model that is very cheap to start. If you aren’t technologically saavy? There is a community of folks at Wealthy Affiliate that are more than willing to help you get started and learn everything you need to know in a safe environment. Will you need to dip into your retirement fund to learn? Fortunately there is no charge to get started and see what this training facility is all about. For the first 7 days, you will even get Premium level support features with the free membership.

After your first week, some of the high level features are suspended but all of the training for the Starter membership is still available. When you have exhausted the Starter Membership and covered all of the tutorials and certification courses, I suspect you too will have the bug and want to upgrade to the Premium level. If you choose not to upgrade to the very affordable paid membership, there will never be pressure for you to upgrade. I think you will see the value in it though.

If your retirement is looking bleak, and your funds are lacking, I highly recommend that you take a look at your earning power and find out if affiliate marketing is a way that you might close the gap. I know that I have chosen this method and am finding it to be a very helpful addition to my portfolio.

Article Source: http://www.streetarticles.com/retirement-planning/how-much-do-i-need-to-save-for-retirement

Retirement Tips For Baby Boomers

By Dave Swanson

 Before you or anyone chooses take that final step out of the workplace one needs to plan, plan and plan some more. I would start my final planning about 1 year before retirement. I’m going to list a few retirement tips for Baby Boomers, because as we get older we tend to overlook some important financial advantages we may have. Believe me when I say”take advantage of every retirement program that will better your income and life after retirement”.

1.The first thing I would do is to talk with a professional retirement planner. He or she will be able to break down all of you assets and future earnings and plug these numbers in to a program that will tell you who much money you’ll receive for retirement. After looking at your budget the planner can figure out how much money you’ll need for retirement. Put all this together and you will be able to see how many years your retirement money will last. This is only if you have IRAs and 401 Ks. If you are lucky enough to have a union or government pension your monthly stipend should not change, only for COLA.

2.There is another area in your planning that will need a professional to help you out with is, your investment portfolio. When you are retired you’ll want to get the most money each month. So you’ll have to look over your stocks and bonds. Diversify where you can. You never want to have all your eggs in one basket. Also, while you’re still working and you have income property, it would be a good idea to have a look at the property values and what it would take to get a second mortgage on some of the property. This would be another way to increase monthly income. But you must do this before you retire because the banks will want to see that you have sound employment before granting a loan.

3. Another good tip is try to have liquid assets available if you need them, you should have a cash reserve built up, 3 to 6 months worth should do. This fund is a “just in case” fund.

4.Health, sometimes even the smartest people overlook their health. If you need anything done like dental work, new glasses, cosmetic work or any costly medical work, get them done before you retire. Because Med a Care will not cover dental or vision. So get as much done before retirement when you still have good medical coverage.

5.Social Security, if you want your Social Security benefits to start on your 65th birthday you must fill out an application for retirement. You should apply for benefits no more than four months before the date you want your benefits to start. To get the application go on line to the Social Security web site, print out the application and fill it out. Then make an appointment with your local Social Security office. You will need you to bring the following with the filled out application, your Social Security card, your original birth certificate or other proof of birth, a copy of your U.S. military service discharge paper DD 214, and a copy of your W-2 form.

6.Now, for the last tip I have for you. If you’re in good health and don’t want to retire when your 65, then don’t. Keep on working; as a matter of fact you can keep working until your 70. Now if you choose to retire at age 70 you’ll receive $9804.00 more a year than if you retired at age 65. Think of this way, that’s another $817.00 per month that you would have never gotten if you retired at age 65.
In this article I have tried point out a few things that may help when you retire.

Article Source: http://www.streetarticles.com/retirement-planning/retirement-tips-for-baby-boomers

How Much Income Do You Need In Retirement?