The age of retirement for the longest time has been considered 65, but unfortunately that number is going up and up. Social security is not what it used to be and more people than ever before are having to work into old age just to get by. In this post I’d like to share some investing principles to ensure you have a lasting retirement.
Taking Control of Your Self Image
If you were to ask any person nearing the age of retirement or already there, what do you think they would say. They would tell you to live within or below your means so you don’t fall into the debt trap like so many millions around the world. Through the deception of advertising and now social media we are all told that we must have certain material things to achieve a certain worth or status. The first and best thing you can do to improve your financial life is to take complete control of your self image and know that other people’s opinion of you don’t matter at all. Never let anyone make you feel unworthy because the newest model car or piece of real estate is outside your budget. Everybody is in their own unique life situation and working with what they have.
Develop A Solid Plan
Many people throughout history have failed financially because they simply don’t have a plan or any concrete goals to aim for. They live day to day and spend all the money they have month to month and sometimes more, or a lot more. I know this can be a scary subject for some but in order for optimize your financial health it is a must.
When creating your plan it’s very important that you first to see where you are currently. Are you retired already and planning to living off a pension or just social security? Are you nearing the age of retirement and still planning for your retirement along with your children or grandchildren’s education. If so I highly advise your first step to be seeking out the help of a financial planner. For example University Financial Strategies founded by Mark Kelly is a perfect example of a trusted financial planner that can help you create a financial roadmap for success. Once you have a plan in place the stress, confusion, and frustration begins to lift.
Discipline is the Foundation of Positive Lasting Change
Everybody wants improvement in the financial life but many lack the discipline it takes to get there. A perfect example is buying a new car. If you watch any advertisement for new cars you will notice they don’t focus on the actual vehicle but the feeling of importance and love you will feel by buying this new status symbol. This also goes for homes and really any other big purchase you can think of. As a society we are constantly told we need to “fit in” to be excepted as worthy. By choosing to buy a car you can pay cash for instead of getting on a monthly high interest payment plan, you now have the freedom to invest that money you would have spent into a growing asset instead of a liability that will go down in value the moment you drive it off the lot.
The main point I’m trying to drive home in this post is you hold the power to a better future. Nobody can force you to buy things you can’t afford and most likely don’t need. Take control of your self image, seek out the help of a trusted financial planner, and build discipline against temptation. One last principle to become aware of is the 4% rule which the video below covers in detail.