How to Retire Early

How many of us want to retire early? 

The better question might be, who doesn’t want to retire early? But what’s an even more vital of a question than that– how can you retire early, particularly in this economy?

As we know, retirement is an exciting and happy time in life, and yet… it can be a very stressful and difficult process. Not just as you get closer to retirement, but also twenty or thirty years prior, when you’re trying to start your saving process to begin with! 

*sigh*

If there was only a guidebook of sorts to help us learn how to save better and retire early…

Oh wait, there is...

Start preparing now with these simple tips on How To Retire Early, from SunRiver Active Adult Communities, so that you can retire successfully, comfortably, stress-free, and most importantly– early.

1. Tracking and Organizing Your Spending

This first step has the potential to be one of the easiest steps towards retirement, with the monumental question of, “How much do I need to save?”. First, you have to consider not only the financial situation you are in at the time of saving but also what kind of retirement you wish to have when the time comes.

This phase should start early on in life, whether that’s at age 25 or 45. It’s important to start your savings plan as early as possible, while also considering what age you want to retire as well.

This phase may also depend on how much money you are making at the time of saving, as well as how much you want to retire on when the time comes. Because of course, you want to have enough money to live comfortably in the moment, but plenty saved to support you for the rest of your retired life!

Think about the kind of lifestyle you want to live when you retire. Are you strung with the idea to travel, see the world? Are you content with the idea of keeping things simple and retiring in your already beautiful home? 

Or are you in love with the idea of living in a new and exciting retirement community, surrounded by endless activities and other like-minded retirees? 

With all of these factors in mind, how the heck much do you need to save to retire early?! Your first step would be sitting down and figuring out where your finances are headed right now, and calculating how much you may want to save. 

Once you begin tracking where all your money is currently being spent, you can then organize this. This can be done with a financial advisor, online finance organizers, or even just by hand on a spreadsheet you create!

Set aside time to make some calls, get all your spending into one place, and decide from there how you can increase your savings. 

Which avenues can you reduce spending in, what services could you possibly cancel? Are there services that could be made cheaper through another company, or are you eligible to refinance your car or home?

Once all is said and done, you can now allocate those same funds towards your retirement savings instead. Getting a hold of your spending now will go a long way for your retired future!

2. Investing

Just as important as taming your spending habits, is deciding on what you want to invest in. 

You will likely be drawn to invest in a diversified portfolio to help reduce risk. Of course, the portfolio is often created with your Financial Advisor, and an investment discussion will be involved in the process. 

However, the investing phase comes with time and will journey along and accumulate throughout your lifetime.

Be sure to make calculated, realistic investments throughout the course of time, as well as when you near retirement. Set up a strategic plan to reduce risk, and look at all possible options!

3. Housing, Health Care, and Taxes

You should also consider the factors of daily life in retirement, such as housing costs, healthcare, taxes, and inflation. 

Currently, do you own your house, renting, or making mortgage payments? Do you plan on remaining in that home for retirement, or are you considering a retirement community?

What is your plan for healthcare? 

Do you currently receive healthcare through your job, or is it independent? Have you factored in healthcare costs with your retirement savings plan? 

And then, of course, taxes.

*another sigh*

Taxes and inflation steadily rise with each passing year (unfortunately), so you will need to include an estimation of your annual tax bill in your retirement savings plan. Never forget to consider the taxes involved in any money that may be coming out of any retirement accounts when the time comes as well. 

We certainly suggest planning a time to sit down with your financial advisor to put together a practical plan that factors in all of these elements with your savings plan, ‘cause it’ll definitely start to get complicated!

SunRiver Retirement Community

Regardless of how close you are to retirement, take some time out of your days to plan your early retirement, or to meet with an advisor to get a more strategic plan laid out. 

In the meantime, come see us over here at SunRiver Retirement Community, to get a head start on ‘How To Retire Early’ Step 3, at least! 

Most early retirees consider moving to an exciting new retirement community– after 40 years of work, you have earned a relaxing, stress-free life, and there is no better place to start.

From the variety of amenities to a beautiful location, there are many benefits of living in a 55+ community like SunRiver Active Adult Communities. It is a wonderful option for empty-nesters, retirees, and pre-retirees who want to live an active and low-maintenance lifestyle in a secure setting!

One of our residents has even said SunRiver Active Adult Communities is like Disneyland! The best place on earth for 55 and older!

If that doesn’t get you excited about retirement in the SunRiver Active Adult Communities, then we don’t know what will! 

So come take a tour of the SunRiver Active Adult Communities, and enjoy a two night and three days stay in a designer furnished Discovery Villa at our SunRiver Villas in St.George. You will be able to get a better idea of what retiring in our community will consist of, get an idea of living costs, and take a gander at the benefits available to you when you become a resident! 

What’s your next chapter?