My retirement years calmly in a place
The age at which I plan to retire ranges from 64-66 years old. I plan to work for as long as possible so that when I am no longer able to work I do not need to worry about not having enough money to sustain myself or help out my family or others. I do not worry about saving enough money in order to go on a vacation when I retire because my goal is to do that consistently throughout life. I would rather spend my retirement years calmly in a place that I find peaceful surrounded by family and friends. By this point in my life I would like to have my own philanthropical organization one that helps families around the world with food, shelter and providing an education.
Prior to retiring I think I will need to have saved $2,256,000. I came to this because I calculated how much I hope to earn monthly and then multiplied it by the amount of years until the age I wish to retire. I based the amount of monthly income on the type of lifestyle that I would like to live. I want to live a middle class life style in a home that is comfortable for my family and me, with plenty of furniture and a vehicle to get us around. Furthermore, I hope to be able to enjoy outings with my family and friends and not have money be an obstacle. In addition, I want to be able without hesitation to help my family and give back to others. One of my greatest dreams is to buy more than one home so I can give it to some of my family members, so that they can also live comfortably.
In order to be able to retire at the age that I want to I need to set up a retirement plan as early as possible. Within this retirement plan I need to make smart investments in bonds and stocks. Since I am more interested in the long term growth of my investments, I have learned that I will need to invest more in stocks than I do in bonds. I learned that I should start by making early high risk investments, this way it can build up my savings. As the time goes on, I can make smaller risk investments so that all that I would have saved over the years is not greatly affected or even washed away once I get closer to my desired age of retirement. In this plan, the investments I make will increase the earnings I will get over time. Another thing that I can do is save the money that I do not use throughout the year, put it into a savings, and if I do not use it, I can transfer over towards my retirement plan account. If I start these things early on in my career, I think that I will be able to reach my retirement goal.
Some of the biggest mistakes that people make that do not allow them to live comfortably in their retirement are that they do not start early enough or have a retirement savings plan going for them during their career. Instead, they live from paycheck to paycheck. While that works in the short term, it makes it difficult in the long term because there comes an age when one will no longer be able to work. Another mistake that people can make to hinder a comfortable retirement life is taking out money from the investments that they have made in their retirement plan and not pay it back. Also, it is important that an individual does not build up or get into dept so that when they reach retirement they can use their money to sustain themselves and enjoy their retirement instead of having to pay back debt.
In order for me to be able to reach the retirement goal that I have set I will need to work hard in school now so that I can go to college, learn and attain a gratifying career that will pay me a good salary. In getting paid well I will be able to invest in my retirement plan.