I need to invest in my retirement funds
Retirement is one of those words that people are either super excited about or extremely scared about. I believe that the key difference between these two views of retirement comes down to how one plans his or her life for the long term. Many people think that retirement planning starts around the age of thirty or forty, but I think retirement planning should start in high school. When students learn the basics of long-term growth investments and compound interest, they will realize that the earlier they plan for retirement, the better off they will be. Obviously, there are many different strategies for how to plan your retirement, but I believe with a little research and deft strategy, one can exponentially increase the amount of money they retire on. Now, I’m not suggesting that retirement is all about money. There are many different factors that come into having a happy retirement, but money is one of the important factors that can make an impact on one’s standard of living in retirement. In this essay, I will outline my financial plan for retirement and discuss some key points that I believe make for a successful retirement plan.
The first question that usually surfaces when discussing the topic of retirement is the amount of money required for retirement. Now that question is extremely relative to one’s lifestyle. For example, a businessman driving luxury cars and living in an expensive suite will need more money during retirement (if he wishes to maintain his standard of living) than someone who drives a used car, lives in a paid-off house, and doesn’t indulge in luxuries. Both of these characters still need to plan for retirement, but their approaches may be different. I want to be able to accomplish three things in my retirement: travel the world, support my family, and give financial support to orphanages in India. Considering these desires, I believe that I will need at least 1.5 million dollars in retirement. Now, I don’t want to be tied down to that exact number; I would like to retire with as much as I can. Nevertheless, using this number as my guide, I can plan out how much I need to invest in my retirement funds.
The second question that pops up when talking about retirement is the age one wishes to retire at. Again, this is dependent upon the person himself. Someone that absolutely loves his or her job may want to work as long as physically possible. Others, however, may want to retire as soon as they have a sufficient retirement fund. For me, I want to work in a job that I really enjoy. Therefore, I plan on retiring whenever my family starts needing me more than they need my job, or whenever my physical setbacks prevent me from working. I do not know when this will happen, but I estimate it to be around the age of 55 or 60. Since this is a little earlier than the average age, I will have to plan and save accordingly.