Early retirement planning is a must if you intend to retire when you are still under the age of 65. A retirement guide is needed to plan out the future, especially if you want to enjoy retiring at a younger age.
Pay Your Mortgage and Move to a Smaller House or Rent
First it is important to know how much debt you have. For example, one debt in particular may be your home mortgage. You may have set it up to pay off your mortgage in 30 years. However, paying off the mortgage earlier than its due date can help. You may be able to switch to a 15 year mortgage. Make a payment schedule so you will have an idea as to when you can pay it off. Be disciplined in paying down the mortgage.
Another option may be to move to a smaller house or consider renting. Renting will give you additional cash for savings, since you will not have to pay property taxes or for endless repairs around the home.
Diligent Savings, Investments and IRAs
Opening an IRA is an essential part of retiring early. Take a portion of your monthly income, wherein a certain percentage will be saved and invested. Have a savings account where you will not take out the funds before you retire. Invest in stocks, bonds and mutual funds in your investment portfolio. Be active in setting up your IRA. Learn from the experts on how you can increase your wealth so you can enjoy early retirement.
Early retirement is a welcome option for many people today. With the proper plan, motivation and commitment, you can make early retirement a reality for you.