Retire Rich and Happy
When the average American puts together his retirement plan, it is based on one underlying goal: to retire rich and happy. While this is an obvious goal, far too few Americans get there. Most Americans do not retire rich and happy because they are basing their plans on a broken investment strategy; one that stacks the odds against success.
The traditional retirement strategy is based on stocks and bonds in a retirement account, like a 401(k). This strategy rarely creates a rich or a happy retirement. The first problem with traditional investing is that it is based on very risky and complicated assets. Professional investors have trouble making money on the stock market. Regular Americans don’t stand a chance.
Even if you manage to beat the stock market odds and build up a nest egg, a traditional retirement plan will make it hard to retire happy. When you retire with all your money in a 401(k), you have a lump sum of money that needs to last the rest of your life. If you mismanage your budget or hit a bad streak in the ...
read more...At What Age Should I Retire?
When you’re putting together your life’s financial plan, one of the most important questions you need to ask is “At what age should I retire?” This gets you thinking about your plan for future and gives you a long-term goal for your savings. Unfortunately, when the average American asks this question, they won’t be too happy with the result.
When you invest in a traditional retirement plan like a 401(k) or IRA, you are retiring on the government’s schedule, not your own. These plans limit when you can take YOUR money out. If you want to make a withdrawal before you turn 59 ½, you get charged a steep early withdrawal penalty. This makes it very difficult to retire early.
You also get penalized if you leave your money in your plan for too long. If you don’t take out a minimum amount of money from your retirement plans by the time you are 70 ½, the IRS charges you another severe penalty. If you’re still working or don’t want to spend down your savings, you’re out of ...
read more...Retirement Real Estate
The typical retirement plan is based on broken groups of assets. Most Americans fund their retirement by buying up stocks and bonds in their 401(k)s and IRAs. While these assets are the standard approach to retirement planning, they are definitely not the best. These types of investments have problems that could seriously derail your financial plans. While it is a little unorthodox, retirement real estate is a much safer and effective way to plan for the future.
The first major problem with stocks and bonds is that they are very complicated investments. To invest well in the stock market, you need to analyze and understand massive amounts of financial information. Professional investors with years of experience and training have trouble making money in the stock market. Is it any wonder that average investors are struggling just to break even in their retirement accounts?
The traditional retirement plan is also very restrictive. When you invest in a 401(k) or IRA, the government places restrictions on when you can take your money out. You aren’t supposed to start making withdrawals until you turn at least 59 ½. ...
read more...Planning to Retire Early
How would you feel to have the freedom to retire early? To have the ability to live life on your terms while you still have the energy and time to do so? This is a nice thought but what are you doing to get here? Are you planning to retire early?
If you’re following a traditional retirement strategy, you don’t have much of a chance to retire early. The typical investor uses his savings to buy stocks and bonds in a 401(k) or IRA. The problem with this strategy is it limits when you can take out your money. If you want to take money out of a retirement account before you turn 59 ½, you’ll owe an extra 10 percent penalty to the government. This is on top of income tax, totally crippling your return. When you invest in a traditional retirement plan, you retire on the government’s schedule, not your own.
After the horrible market stretch of the last few years, the average investor can’t even consider retiring early. Right now the question is “will I be able to retire ...
read more...Creating Realistic Residual Income
There are two ways to make money. You can earn income from a job or you can earn residual income off your savings and investments. The amount of money you can earn from your labor is limited. There are only so many hours in a week. If you want to earn more money, you need to work more and cut back on your personal life. With residual income, there is no limit to the amount of money you can earn. This money also comes in without you spending your precious time and energy.
Clearly earning residual income is a better option. However, so few Americans are able to put their savings and investments to work and earn passive income. So few understand how to earn realistic residual income.
The reason most Americans do not earn residual income is because they put their money in the wrong investments. When the average investor has some extra money, he puts it in stocks and bonds. While both these investments have the potential to earn passive income, their results over the years has been dismal. Since the ...
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