Many people are inspired to set goals before they reach retirement age so they can enjoy their pension years to the upmost best.
Maybe you have kids and grandkids who could benefit from some extra cash, or maybe you want to use up your time and go on those holidays you never had the time for?
Whichever reasoning you have for wanting to boost your retirement funds, you can do use investing to do so with ease, regardless of experience. Online (and offline) trading platforms and stockbroking offices make it possible for everyone to invest – even those with a pension!
Ways To Boost Your Retirement Savings
There are many ways you can prepare yourself for your retirement years. It doesn’t matter whether you have thirty years left till your pension or three.
1- Save More!
You can take basic steps by opening up a private pension savings account. The interests are usually higher than normal savings accounts and many banks allow the option of depositing as little or as much as you want.
2- Reduce Your Taxes
By simply using your 401(k) or IRA, you’re avoiding paying 25% of your money into taxes (assuming that you’re in the 25% tax bracket). Doing the math, that works out to a 33% increase in savings! Although that may not sound like a lot, at the maximum 401(k) savings limit of $18,000 for the year, that’s a whole $4,500 that you avoiding paying to the government!
3- Investing in Stocks
If you want to go a little more drastic then get to know more about trading with stocks, shares and buying assets online. The great thing about buying shares in companies or different assets is that you can sell them when you want to. Did you know that people who bought $1 shares in Microsoft when it first started are now some of the richest people in the world? If you already have a retirement fund in place, this can be a great way to boost that.
Make sure you take the time to do your research before investing in every company listed. If you don’t have the time to do so, then seek advice from an established stockbroker who can advise how best to invest your money. As well as advising, they can usually do the transactions for you, keeping you informed of all financial activity concerning your money.
Know Your Limits and Goals
When you sit down and think about retirement it’s hugely important to have limits and to know your goals. Are you looking to invest for the future for the purpose of your children, or are you looking to boost your income when you become a pensioner? Are you able to spend most of your time dedicated to investing online, or would you prefer someone else did it for you? The key to boosting your retirement fund through investing is be realistic with yourself and your desired outcome (for instance – how much money are looking to invest, and is it a sensible decision to do, based on your current retirement fund or savings? Does it appeal to you to trade online, or would you rather let someone else do the work?), having the patience and learning not get knocked down by any bad investment choices you make along the way.
Take the time to make a list of all the companies you’re interested in and research each of them. Once you’ve narrowed down your choices, make sure to plan how much outlay it will need and what outcome you expect. Always have a backup plan and don’t throw all your savings in one place at one time, as this could leave you worse off than before. Always ask for advice and be willing to learn. By having an open mind you can use and invest your money wisely for the benefit of a more prosperous retirement fund.
Don’t be afraid to try, even if it’s something you’ve never done before. You can’t get rich overnight but with proper guidance and an in depth understanding you can turn your petty savings into investment funds to use for your retirement years. Sign up for a course or read more on online trading – what can you lose?
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