How to Start Planning for Retirement now

In this economy, it’s difficult for youth to save let alone plan for retirement. There are many obstacles to initiating a sound retirement strategy that permits a secure and comfortable lifestyle for the winter years.

Retirement planning shouldn’t be left until the few years before, but rather it should be started after college or university. Because of this, early retirement planners must ask themselves a series of questions: what do I want out of life? What will my sources of income be? Do I want to own or rent property? Will I travel? What are my choices if an emergency transpires?

Of course, it’s hard to devise a scheme that is precise, but it should provide the future with an idea as what to expect. Sit down; think about where you see yourself in the next few decades. How would one compose a plan for retirement if the person is between 20 and 29? These steps are pertinent to retirement planning success.


Calculations of income from all sources are crucial. Tallying employment income, freelance income, investment income and other income streams will help identify how much is needed once the retirement years kick in. Also, try to insert estimated numbers of inflation and the retirement pension.

Building a portfolio

A portfolio can consist of savings, stocks, mutual funds, assets and other aspects. A general savings account can be established as soon as 18 years of age, but the rest should be started following graduation from a post-secondary education or the accomplishment of obtaining a reliable job. Investing regularly at a young age helps give the extra leverage that many people do not have.


Budgeting throughout one’s life is another important step because if one spends beyond his or her means then one is destined to live beneath his or her means. Maintaining a decent-paying job, living a prudent lifestyle, being wise with pennies and having short- to medium-term goals will provide a steady lifestyle in the autumn and winter years.

Extra cash

Anything helps. Whether it is change found in pockets, cash from rebates, selling items that are not in use anymore or any freelance work done, any extra cash is fantastic and should be saved or invested immediately to avoid the act of actually spending it. Does $5 mean anything over a 40-year period? It may not, but constantly saving $5 over a 40-year period will help.


Are children entering the family in the near future? Will they be paying their own way through college or university (if applicable)? How much will be spent on these kids? These are also important questions to ask because they may affect the retirement plans significantly.