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Ensure Your Retirement With Savings

Updated on February 8, 2015

Yes retirement is what everyone fears when they are getting on in life, but with these simple strategic guidelines and an easy sum of money to save, even you can get a healthy start on retirement.

I will lay out the foundations for you to diverge from your own path and get financially stable when you retire and of course then you can have fun.

Source

The first thing you need to do is to make a list of what is needed for you to get in shape financially and see what you can afford to put away. As much as you would like to put away more than you can afford, a significant amount to do so is 1000 and that is just to start.

By just putting away 10 percent of your earnings you will have enough for your 3 month rainy day fund and then can you start saving for your retirement.

Putting that aside and not spending it into a high interest 4% bond that you can pay in each month an amount of 100 will in fact bestow a great future for when you retire. So lets get started with the list.

  1. Budget Spreadsheet
  2. Research bank accounts
  3. Savings account (to start the procedure)
  4. Money accruing 1000 in the savings account
  5. a plan of bank switching (more on this later)

Budgeting:

Budget spreadsheets are a great way to calculate your 3 month average to see what disposable income you have to play with to save. Here are spreadsheet templates to start you off.

banks have 0 percent interest in you
banks have 0 percent interest in you

Left the currency signs out for easy translation

Every bank will most definitely have 0% interest in you and 100% interest in your money.

That being said why not use this to your advantage and use the banks interest against them?

Easily said than done, but with this solution it can become a money maker later in life, that could support your daily living with monthly payments of interest.

Within 18 years the bank will in fact be putting in more than your payments (1200 per annum) and then surpass it. When it comes down to the 35 years time span, you would have put in 43,000 and the banks pay you a whopping 52,723.44 worth of interest.

Giving you a grand total so far of 95,723.44. not bad for 100 a month right? In fact that would equate to an extra 400 every month for 20 years!

But get this, This is only calculated on 4% interest rates. Always look around on comparison sites to see if banks are doing Fixed bonds for 5 or even 6% to raise that bar even more.

Are you happy with the way your bank is treating your money?

See results
Year
Year deposits
Yearly Interest
Total Year balance
1
1200
67.06
2,267.06
2
1200
118.68
3,585.75
3
1200
172.41
4,958.16
4
1200
228.32
6,386.48
5
1200
286.52
7,872.99
6
1200
347.08
9,420.07
7
1200
410.11
11,030.18
8
1200
475.71
12,705.89
9
1200
543.98
14,449.87
10
1200
615.03
16,264.90
11
1200
688.98
18,153.87
12
1200
765.94
20,119.81
13
1200
846.03
22,165.84
14
1200
929.39
24,295.23
15
1200
1,016.15
26,511.38
16
1200
1,106.43
28,817.82
17
1200
1,200.40
31,218.22
18
1200
1,298.20
33,716.42
19
1200
1,399.98
36,316.40
20
1200
1,505.91
39,022.30
21
1200
1,616.15
41,838.45
22
1200
1,730.88
44,769.34
23
1200
1,850.29
47,819.63
24
1200
1,974.57
50,994.19
25
1200
2,103.90
54,298.10
26
1200
2,238.51
57,736.61
27
1200
2,378.60
61,315.20
28
1200
2,524.40
65,039.60
29
1200
2,676.13
68,915.73
30
1200
2,834.05
72,949.79
31
1200
2,998.41
77,148.20
32
1200
3,169.46
81,517.65
33
1200
3,347.48
86,065.13
34
1200
3,532.75
90,797.87
35
1200
3,725.57
95,723.44
Totals
43,000.00
52,723.44
95,723.44
See how much the interest flys past your deposits and continues to climb!

As you can see with the table above the figures indeed are enough to think why am i not already doing this?

The answer is you may not be budgeting your money to find room to do this or you may of not even thought about the consequences of not saving for later life to supplement your pensions. One known fact is that the later you start, the less you will have.

Keep track of your money and switch, switch, switch

Many savings accounts offer great deals when you open them, but these can quite quickly fall. Check out up to date interest rates in your newspaper or on money advice websites.

Try online consumer experts for recommendations on different types of savings products, as this way you'll be sure to get the maximum return on your precious savings.

Mortgages aren't so easy to switch but it's still worth reviewing them at least once a year, or sooner if you're near the end of a fixed rate deal.

Source

Start Saving, Keep Saving And Stick To Your Goals

If you are already saving, whether for retirement or another goal, keep going! You know that saving is a rewarding habit. If you're not saving, it's time to get started. Start small if you have to and try to increase the amount you save each month.

The sooner you start saving, the more time your money has to grow (see the chart below). Make saving for retirement a priority. Devise a plan, stick to it, and set goals. Remember, it's never too early or too late to start saving.

Define your Retirement

You probably have some idea of how you'd like to spend your long awaited retirement, But if not have a little think. Think about cruising around the world, gardening or even just birdwatching, Retirement is a time to relax and enjoy the rest of your life however you wish. Here are a few ideas to get the best from your later years.

  1. Gardening: Channel your green thumb and enjoy the fresh air and exercise gardening offers. Planting something and watching it grow can be extremely rewarding. Growing your own foods and cooking them are the best satisfying rewards from the earth.
  2. Volunteer: Don’t let all the skills you learnt during your career go to waste. Lending your expertise and time to the community feels great, adds structure to your day and benefits others too. So Teach someone new skills and educate the next generation.
  3. Move home: yes sometimes moving house could become an adventure and can even get you a bit of money and be cheaper area to live within the community.
  4. Build: Build a car, model village or even garden furniture, Make the most out of your time and even send them as gifts to your friends, family and neighbours.

The funny perks of being over 60

Kidnappers are not very interested in you.

In a hostage situation you are likely to be released first.

No one expects you to run -- anywhere.

People call at 9 PM and ask, "Did I wake you?"

People no longer view you as a hypochondriac.

There is nothing left to learn the hard way.

Things you buy now won't wear out.

You can eat dinner at 4 P.M.

You can live without sex but not without your glasses.

You enjoy hearing about other peoples operations.

You get into heated arguments about pension plans.

You no longer think of speed limits as a challenge.

You quit trying to hold your stomach in, no matter who walks into the room.

You sing along with elevator music.

Your eyes won't get much worse.

Your investment in health insurance is finally beginning to pay off.

Your joints are more accurate meteorologists than the national weather service.

Your secrets are safe with your friends because they can't remember them either.

Your supply of brain cells is finally down to manageable size.

You can't remember the Web site where you saw this list

So there you have it, I hope that you are now more than satisfied with how your own savings and retirement outlook would become, having read and seen the tables to justify the importance of saving for a pension. Like i explained earlier the later in life you start the less you would receive in the end. So Start as soon as possible to grant yourself with the best possible outcome

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