Whether you’ve spent your early professional years living for the moment or paying off student loans, you might now find yourself way behind on your retirement goals. However, you could still look forward to an abundant retirement.
Say you’ve already covered the obvious bases, such as setting up a 401(K) or a Roth IRA. But if you still feel like you need to sock away more money to maintain your standard of living later in life, consider these strategies.
Invest wisely for your retirement
Investing wisely means having every dollar work for you. Look into tax-free investment vehicles over taxable investments to ensure every dime you earn goes toward your retirement.
You could look for agents such as TR King Insurance Marketing that sell annuities, so you could have a lump sum or steady income stream when you retire. Unlike your 401(K) or Roth IRA, there is no cap to the contributions you may make, allowing you to go full speed ahead in your retirement catch-up.
Downsize to increase savings
Since you’re already looking into your finances and your prospects for retirement, why not review your current expenses and see where you can cut back. You could start with small changes such as cutting the cable and dining expenses, but since you’re playing catch-up, don’t stop at these small changes.
Consider moving to a smaller or less expensive home and let go of that second car. Freeing up more money allows you to save and invest more toward your retirement fund.
Find a side hustle
Catching up on your retirement goals aggressively will require a lot of sacrifices, which might demotivate you and make you question your intentions.
To avoid negative thoughts that can wear you down, find other sources of income that allow you some luxuries and help you sustain yourself while you catch up on your retirement fund. Take on freelance work or a second job to allow yourself some wiggle room in your budget without sacrificing your retirement goals.
With these strategies, you can eliminate the backlog on your retirement goals and will make your future-self proud and thankful.