The dream of retiring early for many remains just that – a dream! Escaping from the rat race and the 9-5 drudge is a tempting thought, but unfortunately feels intangible. But many people do retire early, so what is their secret? Retiring early would give you the chance to enjoy life to the fullest while you’re still in good health. You could opt to travel to the places you have always wanted to visit or learn a new sport.
There are ways of planning for early retirement, but it must be put into action as soon as possible – today preferably! This article aims to highlight ways of saving enough money to enable you to retire early.
Invest any Savings
If you are lucky enough to have savings, make them work for you. If you make the decision to invest your savings in stocks and shares or participate in financial trading it could be potentially very lucrative and will be a huge boost to your retirement fund. Investing in your hard-earned cash is not without risk and you need to be fully aware of the process. The internet has opened up opportunities for everyone to get involved in financial trading, up until recently financial trading was the sole domain of stockbrokers in the city. There are numerous trading platforms to choose from and lots of advice available. CMC Markets is a trading platform that will guide you through the process of trading using Contracts for Difference (CFD’s). Many trading platforms offer the option of “practicing” first before parting with your well-earned money. Financial trading is not to be taken lightly, always seek professional advice.
Create a Budget
To enable you to save enough money for retirement you need to budget carefully. This will enable you to squirrel away any money saved into your retirement pot. Saving sounds like a simple concept, but it needs to be managed carefully. Start today and don’t put off until a later date. Putting aside a certain amount of money every month doesn’t depend on how much you earn, just getting into the habit of putting a little by every month will soon allow your retirement fund to grow. It’s worth remembering that you won’t need as much money to live on once you’re retired. You won’t have the costs associated with the daily commute and any children you have depending on you are likely to have flown the nest.
Aim to have any outstanding mortgage debt paid off by the time you retire. This will reduce housing costs dramatically. You could also release the equity in your home by downsizing, also you won’t need to live close to a commute route, enabling you to move to a cheaper area.
Investing in property could be another lucrative option, you could build up a portfolio of rental properties or embark on a renovation project.