Retirement means the end of a consistent, regular income. This is why financial planning and building a nest egg while you can is important. Finding the best way to save money for retirement early on can save you from retiring with low savings.
However, even with low savings, there are still financial strategies that can make your retirement more financially comfortable.
Calculating your retirement needs and knowing all there is to know about the best ways to invest for retirement will give you a head start and enable you to prepare better for retirement. You may be wondering, “How much is the least amount to retire?” and “How to make retirement money last?” You can learn about the recommended retirement savings by age and see how you compare. If you have little or no retirement savings, do not despair. Retiring with no money is not as uncommon as you might think. You are not alone, and there are a few things you can do.
The keys to financial success lie in thinking ahead and managing your current circumstances wisely. That is why it literally pays for younger adults to listen to sound financial advice before the age of retirement.
Let’s start with Social Security.
The only source of income for folks that retire with no cash saved is often Social Security. If you start receiving Social Security retirement at 62 years of age, the maximum monthly check you can get is a little over $2,000 per month. This can be a real shock for seniors accustomed to getting more monthly income. It will be a stretch if you take Social Security early and this becomes your only income source.
Throw personal debt, a mortgage and other expenses plus health care into the mix, and you will see how Social Security may just not be enough. You will need a financial strategy to manage your retirement with low savings. Below are a few more ideas for strategic and financial planning in your retirement age.