How many times have you thought to yourself; am I going to be able to retire someday? Well, if you’re like most people, you’ve probably thought about it a lot. You also probably have questions like these: Am I saving enough? How much will I need? Where should I have my money invested? Questions like these can certainly seem overwhelming at times.
So, where do we start? Before we even begin to think about investments we have to have money to invest. In order to have money to invest you have to be able save. In order to save money, you have to be able to make some changes to become a good spender of money. Understanding where you are spending your money is the first step on the road to retirement. Most people spend what they have. But, if you begin to take a closer look at your spending habits, you will quickly realize that there are some areas that you could spend less. Maybe you don’t need the $5.00 coffee every morning. Maybe you could cut back on eating out at restaurants as much. Start by creating a monthly budget. Look at where your money is going and try to find some areas where you think you might be able to cut back. This is often the hardest step for people. It’s hard to find extra money to save, but I promise you that you can do it. Remember what we said earlier, most people spend what they have. If you tell yourself you have less money and commit to a new budget, you’ll be amazed after just a few short months how it becomes normal to spend less.
The road doesn’t wait, get started today.
Stay tuned for next month’s blog, where we will discuss more tips about saving and investing for retirement.