Becoming Money Smart: Financial Planning For Retirement

Retirement is a withdrawal from your position or occupation or from your active working life. It is when you become financially stable without working anymore ⁠— in short, financially independent. Savings, investment income, and/or pension income are just some of the financial sources that will cover your daily living and expenses after retirement.

However, many fall short in saving enough for their life after retirement. Some don’t have enough investments, and some have pension funds that are in jeopardy. This, in turn, burdens the retiree. Instead of relaxing and living their dream after retirement, retirees work longer that they wanted.

To live your dream after your retirement, you must carefully plan your financial independence after retirement. Starting early gives you more room for financial adjustments. Because expenses stretch out substantially after years of retirement, especially on health care costs, looking ahead and budgeting savings that will last much longer than your anticipated years. To help you plan out, here are six financial sources that you may consider.

Investments

​Investing in the future should be one of the main priorities when you think about retirement. Determine first the retirement income that you need to continue enjoying the life you want to live in your golden years. If you want to have a comfortable life after retirement, you may want to invest in multiple companies to earn multiple sources of income. Whether you want to invest in annuities, bonds, exchange-traded funds, or mutual funds, it best to invest in long-term sources.

However, if you fell short and you still have no investments and no present money for investing, CreditNinja can help you with your problem. Their services include installment loans and bad credit loans. Such loans that they present have low-interest rates and have a longer time to pay. In this way, you can earn from what you have loaned and pay for it even earlier.  It is best to loan for investment rather than for personal use.

Social Security

Social security is a crucial source of funds for retirees. Even in your 20’s, you should have already applied for social security. Religiously pay for your social security. Sometimes, social security depends on how much you have earned throughout your lifetime. This means that higher earnings result in higher benefits.

In some cases, retirees still want to work after their retirement, and that is not a bad thing. Whether you want to have a job as a hobby or you want to have an additional income for your retirement, you always have the option to work. Presented below are three different types of jobs you can take based on your capabilities and working circumstances.

1. Home-Based Retirement Jobs
   For retirees, especially those who like to work in the comfort of their home or those who cannot work outside due to physical problems, they can always opt for home-based jobs.
   
   Online selling is one of the booming home-based jobs that retirees can choose. They can do online selling by retailing. Buying bulk products from companies with discounted prices and selling them online through social media and websites is  an effective online selling technique.
   
   If you have good entrepreneurship skills and you want to engage in business without leaving your home, opting to be a telemarketer is a good choice. As face-to-face communication through the internet and multicellular calling become widely used, telemarketing becomes easier.
   
   For those retirees who are skilled in writing, there are a lot of writing jobs on job websites. It’s a bonus if your hobby is writing because you can earn while doing your hobby. Copyreading is also for retirees who are good at linguistics.
   
   
2. Supplemental Retirement Part-Time Jobs
   
   For those retirees who can still do physical activities outside their home, part-time jobs are available. Some companies hire retirees for their business. Office jobs like being a consultant, a hotel attendant, or a tax preparer are just some jobs that retirees can opt for depending on what skills they have. 
   
   For those retirees with more physical capabilities, jobs like being a driver, event staff, caretaker, pet sitter, or even a teacher can be options.
   
   
3. Business Building After Retirement
   
   Before retirement, you should have the savings needed for everyday living. However, if you have thought that your savings may not be enough after retirement, one solution for that is to invest your savings in building a small business. 
   
   Turn your savings into your capital. Small businesses require small capitals. It may be risky in dealing with such a business. However, you carefully plan your business, you can turn your savings into a lifetime financial income source. Come up with a business idea that is creative and on-trend at the same time. This will help you gather customers to make your business booming.

Takeaway

​Financial planning goes a long way. After long years of working hard, we all want to sit back and relax to enjoy the good life. The life that you have always imagined after your retirement is within your reach if you carefully plan your financial independence.