Simple Steps And Financial Planning To Retire Early
A lot of people want to retire early. Sounds nice, but it is going to take financial planning. Being able to retire early is not just going to happen.
Just think about it. Most people are not managing their finances in a manner that allows them to retire with enough money under normal circumstances. A lot of people are going to have to work even longer to make ends meet.
So, retiring early is a tall order.
I feel the process to retire early is the same as the process to retire with enough money for financial security. You need to figure out what you need… and then you need to formulate a plan to get there.
You need financial planning.
I just read an article that goes over the steps you can take to retire early.
They are:
- Define Early Retirement
- Establish Your Target Number
- Live Below Your Means
- Leverage Your Income
- Max Out Your Retirement Accounts
- Invest The Money That’s Left Over
- If You Have A Mortgage, Consider Paying It Off
- Research Your Options For Health Insurance
- Make A Backup Plan
Here are some thoughts.
You Are Your Own Money Manager For Life
Financial Planning Matters
I am never going to retire in the traditional sense. I feel that my very first job, ever since my Dad handed me my first Quarter, is a lifetime job. And that job is to be my own money manager.
Just think about it. At a very young age, most people start to manage their own money. We are not really trained for it, but nonetheless we need to make decisions on what we are going to do with our money, even though it is a small amount of money.
As we grow and create an income, we continue to be our own money managers. Unfortunately, most of us don’t get any more formal training as to how to manage our money than when we were kids. Making decisions on how to spend and budget our money are just things we pick up… and not things we are really taught how to do properly.
Is it any wonder most people don’t reach retirement age with enough money?
Think About Early Retirement,
Even If You Don’t Want To Retire Early
If thinking about early retirement gets you to start paying attention to your finances, then that is great. You might not even what to retire early. But by figuring out what it would take to retire early gets you engaged with your finances and the planning process.
So, figure it out. Ask yourself, “What would it take to retire early?” Come up with a plan.
And even if you don’t decide to follow that early retirement plan… it gets you thinking about your eventual retirement.
I’m big on financial planning. And if you are thinking about retiring early, you definitely are going to have to have a plan. (Most people struggle to retire with enough money as it is, forget about doing it early).
Check out my plan here:
Trading Is A Major Part Of My Money Management Plan
Just like I feel I am my own money manager for life, I also want a lifetime income. I do this by swing trading the markets. It only takes minutes a day, and it is something I can do at any age.
Plus, I got a late start as an investor. So, I needed to make up for lost time. I do this by Forex trading and outperforming other investment methods.
It only takes about 1 minute a day, so it can fit into just about anyone’s retirement plan.
You can check it out here:
Regardless of whether you want to retire early or not… you should definitely put some thought into this now, not later. You don’t want to leave your future finances up to chance.
To Your Wealth,
Edward Lomax
