Today on the ‘Minute’ is retirement in your future?
There is actually a retirement or pension crisis going on. Many have actually saved little or nothing and the years are marching by. In fact, it’s estimated that overall retirement savings are $7 to $14 trillion less than what they should be and that is scary. So here’s what potential retirees are facing – their facing longer life spans so retirement could last 30 years or more. And, they are facing mounting healthcare costs which could be $250,000 or more during retirement and they are facing the possibility for those who have saved some money that all the deregulation could seriously jeopardize their future wealth.
But there is also another trend, and that is for people to work longer. Because of advances in healthcare we can be active a lot longer that past generations. And many are taking advantage of that both because they want to and for some out of necessity.
So what’s the solution? Well, there is no easy answer, but you can start to think about retirement differently. This is not your grandparents or your parents retirement anymore so shake off all of your old ideas and look it with new eyes. Instead of thinking of it as a destination at age 65 or wherever you choose, begin to think of it as a journey. And if you’re on that journey and you haven’t saved a lot, it may be difficult to save a pot of money big enough to last 30+ years. So instead concentrate on creating several income streams. Income streams can come from many places like a business, a side hustle, or even rental property. The sooner you expand your thinking and begin to think of retirement in a different way, the sooner you can start setting yourself up for a much more comfortable journey. Oh, and don’t forget to mind your money always.
And that’s the minute for today. You know I love helping people with all aspects of their financial lives. If you have a question, if debt is an issue or if you just want to get your financial house in order contact me at firstname.lastname@example.org or go to my website at psworth.com and sign up for a free Discovery Session.
Thanks for listening and as always remember that minding your money really is the path to a richer life!