People anticipate and fantasize about their retirement years. They imagine that it will be a time to finally do all the things that they never had time to do while they were working: travel to exotic lands, take classes just for fun, sit on the beach and read, and perhaps spend unlimited time with their grandchildren. These dreams are an important aspect of a person’s retirement years. To make them come true, however, takes a great deal of responsible financial planning throughout one’s life. There are various retirement income strategies, most of which can be divided into either maximizing the money you have or saving money on future expenses. Both approaches are necessary to have enough money to see you through your retirement years.
First and foremost, it is important to maximize the amount of money that you have available to you when you reach retirement age. There are various regulations regarding when you can access your Social Security, but usually, the longer you wait, the more money you will receive. Those who choose to retire before the standard of 67 years old need to be aware that they will receive less money than those who delay retirement. Some people choose to continue to work into their retirement years, which is an excellent way to maximize money, as workers continue to earn a paycheck to support themselves. They also remain busy and socially active, which are important for a healthy lifestyle.
Saving money on expenses is another excellent income strategy. Some people choose to downsize their homes, thus saving the expenses associated with a dwelling that they may not need anymore. Others may choose to keep their homes, but rent out parts of them to decrease their financial obligations. Still others may choose to move to a more affordable area that allows their savings to go further. Another way to save money is to be mindful of your tax bracket each year, so that you are utilizing the correct retirement accounts to fund your lifestyle. This will enable you to spend less money on paying taxes, which is always desirable.
Retirement can be a magical time of enjoying life on your own terms. Sound income strategies will help you achieve your goals.
David A. Noyes and Co. is a DBA of Sanctuary Securities, Inc., Investment products and services are offered through Sanctuary Securities, Inc., Member FINRA and SIPC.