Retirement

Retirement moves which you should start taking during your 20s and 30s

Retirement moves

Image source: pixabay

Though you might be decades away from quitting your job forever, planning your retirement is everything about taking the proper start. During each stage of your journey towards retirement, you will require knowing about the most vital money moves that you should make, the target for savings that you should set an aim for and the ideal way in which you can mix and create the best investment portfolio.

These change when you reach your peak years of earning and when you reach the pre-retirement red zone. If you’re someone who is all set to take the best money moves while you’re in your 20s and 30s, we will offer you some of the best techniques that you should follow in order to stay debt free post retirement. Check them out.

#1: Collect the entire company match for you 401(k)

In case you’re beginning to save money at the age of 35, you will require putting aside 17% of the income for 30 years so that you can retire properly at the age of 65, as per researches done by the American College. You start at the age of 30 and then your target will decrease by 12%. If you begin at 25, the target will drop to 8.8% in a year till you reach the age of 65. Usually, you should save 6% to earn the entire amount. If you think that’s too much, you can start with 3%.

#2: Demand $5000 more in your salary

The amount that you earn during the initial 10 years of your job will always have a long-lasting impact on the wealth that you accumulate. As per studies done by the Federal Reserve Bank of New York, the typical wage of the worker grows between the age of 25 and 35. So, if you can get a boost in your pay of $5000 when you are of the age of 25, this can sum up to $635,000 more in the earnings that you make over the lifetime. You should negotiate irrespective of whether you’re grabbing a job offer or you’re looking for a raise. It is sad enough to note that just 35% of the millennials have ever asked for a raise.

#3: Be smart about paying low investment costs

It is always a smart and a wise decision to keep investing costs down. When you’re still young, you should lock in on the low-fund expenses and this is also a rewarding experience. In case you invest $1000 in a month in a retirement fund for long 30 years, you will end up having $762,000 keeping in mind the average annual returns and mutual fund fees.



#4: Try to know yourself in the future

You should picture yourself in the future and this will give you a clear idea of your savings mindset. There are several kiosks which allow workers to get an idea of how you can look when you’re 65, the number of people who enrolled in a retirement plan rose to 65% as compared to the previous year.

Therefore, whenever you’re worried about the ways in which you can systematically save for your retirement, you can take into account the above mentioned strategies and techniques.


Capitalize on your retirement sweet spot years – What steps to take

Image courtesy

While you’re heading towards your retirement, there are high chances that you’re also stepping into a special time to do some really worthy tax planning. What is the sweet spot? It is the stretch of time in between when you retire from your full time job and when you begin to take the minimum distributions from the 401(k) plan or the traditional IRA account by the age of 70 and half.

Given the fact that full-time work is behind you and the mandated distributions are lying in front of you, this is also the time when you seem to be included within the lower tax bracket. This is why it is the best time to take a look at whether or not the strategies can work well along with the taxes. You will definitely get ways in which you can seek benefits of low rates on taxes but it is vital for you to ensure that any move that you make are in line with you personal retirement goals. How are you supposed to monetize on your lower tax bracket? Here are few ways.

Adopt the ROTH way

How about converting your conventional IRA or your traditional 401(k) plan into a Roth IRA? Though you will still be liable to pay taxes on the amount which you converted, yet the rate will definitely be lower. As against converting them, if you left these assets in a conventional 401(k) or IRA plan and not do anything with them till you started taking the minimum distributions, such withdrawals could possibly push you within an increased tax bracket. This is why. The tax rate that would be applicable to the assets would definitely be higher. If you withdraw an amount from your Roth IRA, this is tax-free and there aren’t any minimum distributions which come with them. In case you convert, you will be locked in.

Sell off few winning financial assets

In case you have any asset like stocks which are in your taxable account, it is rather an advisable option to look at whether or not it would make sense to sell them off so that you could be included in a lower tax bracket. This is one of the best opportunities through which you can monetize on the gains on which you’ve been sitting. The rate of tax on long-term capital gains is entirely based on the adjusted gross income. For instance, in case a married couple has income that’s under $77,200, they won’t have to pay any taxes on the gains. You also need to be aware that the people who fall under the category of high earners like married couples with adjusted gross income which is more than $250,000 are usually subject to an added 3.8% of investment income.



Employee stock options should be determined

For all the people who are heading towards their golden years with certain employee stock options, they can exercise such options at their lower tax bracket which could possibly be a smart option. What if the value of the stock is high and the exercise price is low, you will get too many in-built gains. You could use lower tax to exercise few of the other options which you have at hand.

Therefore, if you wish to maximize those retirement sweet spot years, you should take into account the above mentioned options and lead your golden years in peace.


3 Steps To Early Retirement!

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. People do retire early though, what is their secret? Retiring early would give you the chance to enjoy life to the full whilst 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 an 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.

early retirement

image source

Invest any savings

If you are lucky enough to have savings, make them work for you. If you take 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 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 stock brokers in the city. There are numerous trading platforms to choose from and lots of advice available. CMC Markets is a trading platform which 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 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, 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.

Property

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.

 


3 Signs that you’re ready to retire in 2018 – How to know it’s the right time

Image source: Pixabay

There are many who tend to time their retirement and try to retire in such a manner that they reach a definite milestone like ‘complete 35 years on job’ or ‘saved $1million’ or ‘reached 65 years of age’. Little do they realise that more than reaching any milestone, one has to be psychologically and financially ready for a retirement. When you were tied up with deadlines, when you had to commute through a large distance and when you didn’t have time to check your pending work e-mails, all you may have been thinking about in your mind is the perfect time for retiring from work.

But how are you supposed to know which is the right time for retirement? Who will tell you about the most common signs? Well, we’re here to help you with the few signs that will prompt you about the best time to retire from your 10-5 cubicle and embrace a life of freedom.

Sign #1: You are debt free and you’ve repaid all your high interest debts

The financial professionals usually don’t agree on the merits of paying off their mortgage before they retire. For majority of the retirees, the emotional advantages of repaying their mortgage can outshine the fiscal benefits of staying in debt. Retirees can still reap benefit from mortgage-interest deduction and grow the nest egg by investing dollars on the money they would have utilized to pay off the principal. There is broad acceptance of the fact that people should first repay their high interest credit card debt before they take care of anything else. So, if you find yourself debt free, you can think of retiring.

Sign #2: You have too many activities to fill up your day

When you’re planning to retire, you know what you’re retiring from but are you sure about what you’re retiring to? You’ll require few activities to fill up your days and whatever plans you may have, they should have a definite purpose in your life. As long as you were employed, it gave you an identity and a status that you enjoyed but when you step away from your career, this can lead to an identity loss. If you want to combat these, you can watch out for opportunities like volunteering which can give you a sense of recognition and belonging with the organization. Also consider the impact of your retirement on your spouse as they might find it uncomfortable when the bread-earning member suddenly starts staying around all the time.



Sign #3: You’ve built a strong financial safe

There are few advisers who say that amalgamating a huge amount like $1.5 million is much less vital than deciding how much you’re going to spend on your retirement. Take into account your annual expenses and multiply the amount by 25. In case you spend $75,000 in an entire year, you will then need $1.88 million to live on; keeping mind you will live for 25 years of retirement. From the total amount, subtract what you get from pensions and Social Security and the remaining amount is what you would have to fund on your own.

Therefore, do you think you’ve faced the above mentioned 3 signs in your life? If you’ve repaid all your high interest debts but you still didn’t save enough to retire, wait for the right time and keep saving religiously.


Everything you Didn’t Know about Retirement Taxes

Image via Pixa

Nobody has actually told you this – but do be duly informed about the fact that you’ll be paying up more “complicated” taxes during your retirement than what you are paying up now – while you’re working. So, anyone who’s on the verge of retiring should consider a thorough perusal of this write-up – because, here, we’ll explore one of the little-known nuances of retirement – i.e. taxes. Documented below are details.

How Much do you Know about Retirement Taxes?

The key is to understand what is taxed while you’re retired and what is not! Do let us tell you that when it comes to money – a couple of “loose” statements don’t really help. For instance, how many of you know that Social Security checks are not taxed? The answer is many. However, on further education, you will actually come to know that a lot depends on your income! While most of the retirement withdrawals involve Federal Taxes—the amount of tax that you will have to shell out depends on where you live. The tax rates on your investment will vary widely as well.

Taxes as Per States

There are 13 states, for instance, where residents have to pay State Income Tax as well! Kansas, Colorado, Missouri, Connecticut, Montana, Nebraska, New Mexico, Vermont, North Dakota, West Virginia, Rhode Island, Utah and Minnesota are among these states. The seven states that don’t charge you State Income Tax are Florida, Nevada, Alaska, South Dakota, Washington, Texas and Wyoming.

However, if you’re staying either in Tennessee or New Hampshire you will have to pay taxes only on the interest and dividends. So, retirement income might as well be exempt or partly exempt or just offset or just fully taxable.

What Should you Know about Social Security Taxes?

As far as your Social Security is concerned, it’s your combined income which determines whether at all it will be taxed or not. Your combined income is the result of your adjusted gross income along with any non-taxable interest and around half of your Social Security benefit. For instance, if your Combine Income is below $25,000 and you’re single then you will not really be taxed. If your combined income is something around $25,000 – $34,000 then you might as well have to pay taxes on around half of your taxes. If your combined income exceeds $34,000 then around 85% of your benefits are taxable.

Retirement taxes also entail estate taxes. Yes! There are around 12 states and the District of Columbia that also end up levying estate taxes. Maine, Hawaii and District of Columbia use the Federal exemption amount. However, if you’re in Massachusetts or Oregon, your estate worth $ 1 million or more might as well be taxed.


What We Need To Think About When It Comes To Retirement

Some people forget to think about their finances or what life will be like when they hit retirement age. It’s understandable, of course. When we are in our twenties or thirties and so on, it can seem so far away. But time creeps up on us so quickly and before we know it, we will be about to embark on the next chapter of our lives, the retirement period. The golden years as they say. There is nothing to worry about when it comes to this stage in your life. In fact, with careful planning and consideration as early as possible you can build up quite a comfortable life with that period. But how do you go about making sure that you secure this time in your life? So I thought I would share with you some of the things to think about to better prepare yourself.

Image

Investments

One thing you could consider at any age is the investments you make. Investments could be anything from buying property and renting them out to investment savings or stocks. Some of them may be riskier than others, for example, stocks can go up as well down. But investment in property can be a safe option. Of course, one major investment to consider would be your own home that any people consider buying. It can be your biggest and only investment, but it one you should definitely try and do at your earliest opportunity. If you are considering buying a property you may want to have a chat with a mortgage broker like Altrua Inc. which could be a great way to ensure you get a good deal. After all, it is one of the biggest investments and purchases you make in your lifetime. Many people considering buying more than one property and rent them out. You could choose to buy in the same country or even same town you live in, or you could buy a property abroad and do holiday rentals instead. You can make a decent amount of money over a long period. Once the property sells, you can bank the profit and live quite comfortably.

Where you might live

Living in your existing property may become difficult the older you get, and it proves to be a great investment as you could have potentially seen the value of your home rise. Many people choose to release some of the equity out of their home and that could totally finance your retirement plans. However, if you decide to stay, the equity you could release could be used towards making home improvements to make the house suitable to see out your days. This could make your existing property more suitable for your needs. which could be much more suitable. You have many options to consider as you get older. It might be that you install a stair lift that will help you get from one floor to another. It might be adding simple features like handles for the bathroom or near chairs to help you elevate yourself from certain positions.

Finances

The moment you get a chance it’s worth spending some time thinking about pension options for when you hit retirement. This tends to be one of the most popular ways people finance their retirement living expenses and, of course, the way they spend their time. You may be fortunate to have a pension from your employer which sometimes can be quite lucrative. But you may also want to consider a personal pension to cover you further. It doesn’t take much to invest into a pension but could be worthwhile to you in the future to live a more comfortable lifestyle. However, if pensions confuse you, and I can understand why they might, then take on the principal of putting a little aside each week or month. It doesn’t have to be much, just an amount that you won’t even miss, and over the course of the years to come the amount will soon add up into a nice little pot of money for your retirement and future. You could also choose to invest more regularly, perhaps let a direct debit leave you account every month into a savings account that can’t be touched. Again it is worth setting the amount to something affordable so that you don’t struggle as you save. The idea is that you end up building up savings without even realising you are doing it. Image and video hosting by TinyPic
Image

Traveling the world

Once you hit retirement, you may wonder what to do with your time. An option to consider would be to travel. While you are working, you may not have had much opportunity to see many places. Most people only get one holiday a year. Of course, right now your priorities may be different. You might choose to focus on your career more. But retirement gives you that extra time to consider doing something different. Maybe you have a bucket list that you have been adding to, or right now, it might be worth jotting down some of the places you want to see during your lifetime. It is a great way to get excited about the future, and while you may not save all of those destinations for retirement, it certainly gives you the incentive to make the right financial decisions now to make that retirement plan a reality. It is also the perfect opportunity to see the world with the special person or people in your life.

Making the most of the time with your family

Finally, retirement gives you the chance to spend some quality time with your family and closest people. This is where you have a great chance to make some amazing memories with the people that matter most. As hard as it may be to think about, there will be a tie where you will have to conduct a will. This will be your chance to make sure your family is taken care of and the items you want to be passed on go to the right people.

It’s not always pleasant to think about our future, but with careful consideration, it could be the best years of your life.


Don’t Make These Mistakes When Planning For Retirement

Don’t Make These Mistakes When Planning For Retirement

Pixabay

Ready to start planning for your retirement? Even if you are only just in your twenties or thirties, this is certainly something that should be on your mind in order for you to put aside plenty of money for a comfortable retirement.

Think saving for retirement is as simple as paying into a pension and making a few other key investments? If only it were that easy! There are actually a few pitfalls that many young people fall into when planning for their later years, and it is incredibly important that you try not to get stuck in these yourself. You will certainly manage that as long as you try to avoid these very common mistakes!

Getting Organized Straight Away

One of the most important things about saving for retirement is that you need to start as soon as you start earning. The longer you leave things, the smaller your retirement pot of cash will be by the time you leave work. So, don’t make the mistake of continually putting this off or else you will get a nasty surprise when you retire! It doesn’t matter if you can’t afford to save a huge amount each month – every little helps!

Pixabay

Forgetting About Property

Lots of people put some of their retirement cash into savings, such as stocks and shares. However, it’s also necessary to consider investing in property as well. This is a very safe investment as there isn’t too much chance of the value of your property fluctuating. There are various ways you can use property to boost your retirement savings. First of all, you could sell your house once you hit retirement age for a nice lump sum. Or, you might want to get a second property to rent out for a steady income that can be put towards your savings.

Relying On Your Credit Card

So, you’ve got a credit card which makes it a little easier for you to get to the end of the month and your next paycheck. But do you think you rely on your credit card a little too much? If you do, it’s time to ease back from using it. If you don’t, you might find that your retirement savings suffer. That’s because, you will have to focus on paying back your credit card debt rather than on your retirement savings. And, as a result, you won’t have quite as much to add to your retirement pot.

Pixabay

Raiding Your Savings

One of the worst things you can do is raid your retirement savings. Ideally, you should set up an extra pot of savings that you aren’t keeping for your retirement – these are there for you to raid whenever you see fit. If you do need to use some savings and only have your retirement ones, you should see if you can get money from elsewhere. Perhaps a family member would be able to help you out? Or, if possible, why not take on some overtime at work? Anything other than raiding your savings!

Be sure to not make these mistakes!


To Buy or to Rent? That’s The Question

As we embark on our careers and start a family, many young adults choose to invest their hard-earned money by buying their very first home. It’s an exciting period with a lot of learning involved; from finding the right place to buy, to getting the right kind of insurance, and selling it again a few years later.


Image link: Pexels

In the meantime, however, you’ll see the same generation choosing to rent instead of buying – and they claim to have made the right decision.

While we can’t make a choice for you, we can show you the pros and cons of both options, so that you can find the one that works best for your lifestyle and finances.

Buy to build equity over time

Die-hard tenants can talk about the benefits of renting all they like, but they still won’t be able to build the kind of equity over time that homeowners can. You can always find another way to invest the money you would have spent on a home, though, and those who choose to buy are not joining some sort of exclusive investment club.

By renting, you’ll be paying down on someone else’s mortgage which is exactly why many people choose to buy instead.

Keep in mind that equity does not equal automatic profit, and the area you’ve chosen to invest in may very well take a dip in value over time. Renting your home may not build equity, but there’s also no risk involved as you can pack up and move when the street turns student-friendly.

Relocation is easier for tenants

Those who love the freedom of simply giving a few weeks notice before packing up their stuff and head to Thailand to work for a year or so, would never consider buying a place. Sure, you can become a landlord and find tenants – but it’s tricky to maintain a place when you’d like to trot the globe instead.

Not only can you stay flexible and volatile when it’s time to head abroad, but you can easily upgrade to one of those fancy city apartments without having to go through the hassle of selling first.

Responsibility for maintenance

While owning your own home gives a lot of creative freedom as you may decorate and spruce it up as you please, you’ll also be the one in charge of taking care of whatever repairs and maintenance your home needs.

This can be quite expensive; it’s estimated that you’ll spend about 1 % of its total value each year on repairs.

The furniture in your home may also be yours to keep, but you can include the cost of keeping this up to date as well. Most rentals come furnished and, while you have to take reasonably good care of it, the wear and tear of living there won’t come off your paycheck.

Small families and those who plan on staying put for the next couple of years can really benefit from buying instead of renting. You’ll be involved in the community and feel that sense of belonging that is so important for small families; until then, don’t worry.


Employability Boosts That Are Actually Worth it

Back in the days, it was as simple as having enough money for an education, and your dream job was suddenly within reach. It’s the reason we were ushered into University in the first place – until everyone else ended up there as well. Not only have they all completed a couple of years of higher education
, but they too are looking for ways to gain the upper hand in the competition; how is a regular drifter like us supposed to outsmart them all?

Luckily, there is a way through the jungle of employability options and add-on courses, so you don’t have to feel lost quite yet. Just follow this straightforward guide to the ones that are, in fact, worth your time and energy.

Employability Boosts Image via: Pexels

Network within your company

When you attended university, everyone preached networking and how expanding your circle can land you a number of great offers. As we progress, however, people stop reminding us of this – and we tend to forget all about it. You can easily continue your networking journey and climb the career ladder by working it from within your company.

Most people with a lot of experience in a specific field would be happy to let someone shadow them for a while. Point out a few who have been working there for a while and spend some time observing different jobs and gaining a new set of skills – in addition to the new people you’re going to get in touch with.

It shows your employer that you’re eager to learn as well as adding some weight to your resume before you approach a potential new employer. It’s a win-win, in other words, and too good to miss out on when you’d like to progress.

Take a Master’s degree online

Modern technology has been great news for us who are looking to boost their employability but too busy in the daytime. While MBA graduates are known for being desirable in blue-collar jobs, you can gain some serious career weight with an online operations management course as well. The great thing about these is that they are accredited and, usually, possible to complete in as little as one year.

That’s the kind of stuff that an employer likes to see – and where you easily can gain the upper hand over the rest of the job seekers out there.

Offer to volunteer

The main thing that will make an experienced employer choose you over the ocean of other seekers is a genuine interest in the field. It’s not something that comes with a degree or even an add-on course; it shines through your hobbies and interest. When you’re genuinely interested in the job and have made an honest attempt at educating yourself sufficiently, the evidence of volunteering can weigh heavy in the eyes of employers.

You can make it an experience too by heading abroad to help others. That way, you’re gaining international experience at the same time and should be welcomed into the arms of the company you’ve been dreaming about, increasing your income at last and climbing up the ladder.

Job hunting and progressing with your career is a lifelong journey; by being smart about it and continuing to educate yourself, you can easily leave those other job-seekers far behind.


A Financial Survival Guide To Retirement

Image Source

People are living longer – and state pensions are getting smaller. Retirement ought to be the time in your life where you finally have the ultimate freedom to do as you desire. Planning ahead and knowing your rights as a retiree can all ensure you aren’t left restricted by your finances. Here are just a few ways to make and save money during retirement.

Boosting your pension

You qualify for a state pension at the age of 65 – although this age is rising. You can defer your pension, which allows you to earn more. In fact, for every nine weeks that you defer, your future weekly allowance goes up by 1%. Alternatively, you can defer and then be paid everything you owe plus 2% interest in one big lump sum (after this you will continue to receive regular weekly payments).

If you’re not at retirement age yet, you may be able to take some last minute measures to boost it. If you’ve missed any national insurance payments over the years, you may be able to compensate these off with a one-off payment, which could boost your pension by thousands. You can also make extra contributions with the help of your employer at any time, certain to further boost your retirement earnings.

Creating an emergency fund

Some people may opt to save up an emergency fund for retirement. This can help pay for medical costs and other large payments that can strike in latter years. Paying small contributions each week could cover this and could allow you to raise your deductibles on insurance schemes such as medical insurance, life insurance, property insurance and vehicle insurance, lowering your premiums.

Where to retire?

Many people choose to pursue their dreams of moving away in retirement. Where you retire can have a big effect on your finances. Those willing to sell their current home may be able to move to a less expensive home and then have extra funds to play with which can be used to live out retirement in a little more luxury.

Downsizing is a popular option. If the kids have moved out – or in more tragic circumstances a spouse has died – there may not be any physical need for your current home. Selling up and moving to somewhere smaller could give you a lot of money to spend at your leisure. Excess possessions can be kept in self-storage if you don’t want to part with them.

Another option may simply be to move to a cheaper location. Those living in or near cities may be able to move somewhere more rural and make a huge profit when selling up. Without the needs to easily commute to work, location becomes less of a barrier.

For those that have grown an attachment to their current home and don’t want to move, there are still ways of financially bettering oneself. Many people that have been living in their current home for years may choose to release the equity in their property. Another option may be to rent a room out to a lodger.

Retirement bonuses and perks

There are all kinds of bonuses and perks that accompany retirement. Making use of these could cut costs from your everyday living expenses.

Free bus travel is one of the major perks of getting older. If you drive and own a car, you may be able to cut costs of fuel by using your vehicle less often and taking advantage of your local bus service. It can also come in use when travelling elsewhere in the country, allowing you to get around major cities for free.

Those that are avid TV watchers or like a good film can also get bonuses. At the age of 75, you can apply for a free TV license. Many discounts for theatre and cinema tickets can also be found online available only to senior citizens (you may be able to get some theatre tickets for a third of the price).

As for medical costs, you may be eligible for free prescriptions and sight tests over the age of 60. Opticians and pharmacies may also often provide massive discounts, worth taking advantage of.

Finally you may be able to save money on studies. There are all kinds of bursaries, award funds, grants and free courses open to mature students. It’s never too late to learn new things.

Are you eligible for benefits?

Billions in benefits go unclaimed every year by pensioners. Pension credit may be available to those under a certain income, giving you more to live on during retirement. Meanwhile, if you’re a carer looking after someone else, you may also be entitled to carer’s credit.
Similarly, for those born before 1953, winter fuel payments may be an option. This could allow you a grant to pay for gas and electricity when the cold winter months set in, although often requires you to be under a certain income.

Working through retirement

Not everyone chooses to quit work in retirement. Whether you go part-time or reduce your responsibilities, you may be able to loosen the burden of your current job whilst still earning some extra income. Some people may choose to work closer to home to cut out commuting costs, whether it be doing a couple shifts at a local shop or helping out with the community in some way.

There are also many methods of working from home thanks to the wonders of the internet – you could put your passion into a creative hobby such as carpentry, knitting, pottery or art and then sell your work online. Alternatively, for those that aren’t as web savvy, there are plenty of local opportunities to lend your services – you may be able to grow fruit or vegetables and sell them locally, or even write a book and see if you can get it published. By having the extra time to invest in your hobbies and the ability to work at your own rate, you could be able to make money doing what you love.

Should you plan your own funeral?

Death is costly – whilst it may be a gloomy to have to pay for, many people will choose to put some money aside or spend ahead in order to cut the cost for their children and relatives.
One method is life insurance. There are now some companies such as lifeinsuranceforseniorsover80.com that even provide life insurance for those in their eighties. Making small regular payments could provide a large payout when you die that could pay for funeral costs and inheritance tax.

Another option is to pre-plan your own funeral. As with every services, rates are constantly going up. By paying now, you could save huge costs compared to rates further down the line and be eligible for various discounts.

It also pays to deal with the outcome of your possessions beforehand. Writing up a will with the help of a solicitor could prevent all kinds of legal costs for your loved ones when inheriting your belongings. You should also check how much inheritance tax your loved ones may be likely to pay on your property. The government assesses the worth of your property when you die – a tax of 40% of its value could have to be paid by whoever inherits your home.

Fortunately there are inheritance tax planning services such as wealthinvestment.investec.co.uk that could help lower these costs – well worth looking into to ensure your loved ones get what they deserve.


%d bloggers like this: