5 New Year’s Resolutions to Get Your Retirement on the Right Track in 2016
Whether you have not yet started planning for your retirement or your original plan got set back somehow, it is possible to get on track and start making your money work for your future. Here are five new year’s resolutions that will help you feel better about your retirement goals.
#1 – Hire a Financial Planner
If you have not yet hired an excellent financial planner, then this should be your top resolution for 2016. Planning for retirement is complex and difficult, particularly with all of the changes pertaining to the economy, tax laws, and more. If you want to make absolutely certain that you are on the right path to actually enjoying your retirement rather than struggling through it, hire a planner today. You will be glad you did, both now and in the future.
#2 – Start Contributing to Retirement Savings Plans
If you do not yet have a 401k account with your employer or even an IRA, make sure to start one – and start it soon. These are by far the best and most common ways to save for retirement, and the sooner you can start making contributions, the better. Remember that these contributions are pre-tax contributions, so you likely won’t even notice the small amount of money being taken from your payroll check each week. You’ll certainly notice it 30 or 40 years from now when you are ready to retire, though.
#3 – Look for Areas to Save More Money
Many people have 401k or IRA accounts, but find that they are not contributing quite as much as they would have hoped. If you find yourself in this situation, look for some ways to save money. Are you overpaying for your smartphone plan? Do you pay your cable or satellite provider for channels you never watch? Do you spend $5 a day on a cup of coffee? If any of these things sound familiar, start cutting back now. You might be surprised how much money you can save.
#4 – Pay Down Your Debts
The ultimate goal is to be completely debt-free with a sizeable nest egg when you retire. Many people make the mistake of assuming that they have 30 years to pay off their debts, so they do not get in a hurry to do so. However, time certainly goes by more quickly than we realize, and before these folks know it, they are five years away from retirement with $100,000 left on their mortgages. Taking the time to plan how you will pay off your debts before retirement is important.
#5 – Stay Healthy
Last, but most certainly not least, you need to include staying healthy as a new year’s resolution for 2016. This is important to retirement because you can’t enjoy yourself if you are unhealthy. Although there are some illnesses and conditions you simply cannot avoid no matter how hard you try, you can take care of yourself and your body. Do what it takes to maintain your health so you can work through your younger years and enjoy your retirement to its fullest.
Everyone looks forward to retirement, but that is only the case if you will be able to sustain a happy way of life once your income stops. These five resolutions will help you plan and coordinate in such a way that your retirement years are truly the happiest of your life.