The 5 Commandments of Early Retirement

If we had to guess, we’d assume that nine times out of ten, any given person would love to be able to retire early. Thing is, that’s not always a realistic goal for a lot of people. But it can be! These five commandments of early retirement can help you be in a safe spot, financially, to beat the retirement clock by a few years.

1. Start Early: The earlier you begin saving for retirement, the earlier you’ll be able to actually retire. The second you’re able to start saving, do it. It takes years of diligent contributions to your retirement fund, but early retirement is a reward well-worth the effort.
2. Save 20% or More: The traditional number may be around 15% of your income, but to retire early, you need to be saving at least 20%. If you’re able to save more, that’s even better.
3. Increase Your Income: Whether you work super hard to earn a promotion at work or you get a side job for extra income, increasing the amount you're able to save from gives you the option to save more for early retirement.
4. Live Modestly: While it’s great to go on lavish vacations or buy a lot of cool gadgets, if you want to retire early, save the money you’d spend on those things instead. You’ll be able to go on plenty of trips later on.
5. Invest Your Money: While saving alone is great, investing gives you the option to increase your money. If you’re unsure what to invest your money in, you could always ask a financial advisor for help.

Early retirement isn’t always as far-fetched of a dream as some may think — especially when you have help. At American Investment Planners LLC, we make it a priority to help you prepare for the best financial future possible. From managing your cash to retirement planning, we’re here to help with anything you may need. To schedule an appointment with one of our advisors, please call (516) 932-5130 or email info@americaninvestmentplanners.com.