You Can Self Fund Your Retirement

Are you planning on retiring? Or, is retirement many years off perhaps as many as 40 years or more? Well, you can do your part to save money and make your retirement years truly golden by following some time honored advice. Start now and you'll have a bundle to play around with later!

Start Early - You are 22 and fresh out of college and working your first job paying the princely sum of $32,000 per year. Not what you had expected in the way of job or income, but a start nevertheless. Chances are you have other things on your mind with your eventual retirement not being one of them. Who could blame you? You are young, good looking, and simply wanting to have fun.

Unfortunately, paying down student loans, buying a new car, or taking advantage of other of life's pursuits shouldn't be an overriding concern for you. Instead, participating in your company's 401(k) plan can help you create wealth later with just a small contribution now. No, you don't have to max out your account, but a small, steady amount invested now can lead to hundreds of thousands of dollars later as the "miracle of compounding" takes your money and multiplies it.

Stay Committed - Regardless of whether you can afford to contribute the full amount to your retirement plan there is something else that is very important too: contribute on a consistent basis. By constantly adding to your retirement account you can ensure that the monies you have now will be there for you at your retirement. No need to count on a family inheritance or a social security check that may or may not be available by the time you leave work.

Check Out Other Investment Options - An Individual Retirement Account {IRA} is another way to sock away funds for retirement and depending on what type of account you select these funds could be tax free upon withdrawal - think Roth IRA. Also consider purchasing a home and let real estate be an important part of your retirement picture. Many retirees eventually downsize their bigger paid for homes and move to a smaller home in a cheaper locale. The extra funds can then be used for retirement living.

Yes, you may be able to collect that social security check after all. Yet, relying on the government for your retirement can spell the difference between a life of comfort and a life of just scraping by. Which lifestyle holds the most appeal to you?