DECISIONS FOR A SECURE RETIREMENT

#retirement #SocialSecurity #PensionFunds #pensions
Recent reports and studies have Medicare funding drying up by 2026, with Social Security only secure for a few years after that.
Geoff Mulvihill reports that many pension funds for public workers already owe far more in benefits than they have in the bank. His article for the Associated Press was published May 26,2018, in The Atlanta Journal-Constitution.
Just two days later, the Atlanta paper published an article by Susan Tomor for the Detroit Free Press discussing how to become a 401(k) millionaire. In summary: start saving at a young age, consistently, from every paycheck you receive. Also, if you get raises, put those in the bank, too, and don’t touch the money, except to reinvest or improve your investment portfolio.
We’ve all heard the stories about people at or near retirement age who have very small nest eggs stashed away.
Obviously, they did not make that a priority as they’d gone through various life stages – marriage, children etc. Some of them might argue that there is no way they could have saved money and dealt with whatever life threw at them.
For the young person, making retirement saving a priority is essential if, of course, you don’t want to be broke in your elder years, when you might have the time to do things that you never had time to do as a youth.
It really doesn’t matter what you earn. It matters only that you take what you earn and use it wisely.
Spontaneous – some might call it frivolous – spending ought not be a big part of your life. Knowing where every cent you have is going is essential. Of course, a life of complete amusement deprivation is not good either. But choose your fun wisely, as cheaply as you can.
Check you daily expenses. Are you buying your lunch at work every day? If so, bag your own. Are you making daily coffee shop runs? Buy a Thermos, brew your own and take it with you.
Are you ending your workweek with “happy hour?” Why not have you, and your friends, pick someone’s house, each buy a favorite beverage or snacks, and gather there instead of at your favorite watering hole.
Of course, not everyone has to cheap out. But for those who insist they cannot afford to save money, it has to become a conscious decision.
Even bigger life decisions, such as how many children to have, and when, should be considered as part of creating a financial future.
Young folks, too, have to decide when, or whether to buy a home. It may be considered part of The American Dream, but there is no shame in renting, if that works better for you. On the other hand, a house can be an investment you could use later as part of your overall net worth.
If you are older, and think you are out of luck now, or even if you are younger and are looking to secure your future, there are many ways out there to earn a decent, potentially lucrative, income by spending a few part-time hours a week. The bonus: if you are diligent and consistent, it’s money no one can take away from you. To check out one of the best such vehicles, message me.
The lesson to learn with these various reports on retirement is that a secure financial future is in no one’s hands but yours. Take charge. Use what you have, to the best of your ability. Perhaps even be open to looking for things that may help boost your future.
As the adage goes, if it is to be, it’s up to me.
Peter

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