Retirement In The United States

It has been stated by experts that retirement plans should start at as early as 25 years of age (although 30 is also acceptable). Failure to plan this early may result in retirement not being on the same financial and comfort levels the retiree is accustomed to. There are three main financial options when it comes to retiring. The first involves the obscure system of retirement plans. The second is relying on personal wealth and assets. The final option involves relying on others for care. Let’s look at all three more closely.

Retirement annuities: Are they really worth it?

It is very likely that at some point or another, someone will try to sell you a retirement annuity plan. These plans all vary in how they work and how much they cost. The problem with this option is that there are many companies out there selling dubious types of these contracts. People pay into them their whole lives only to discover that they didn’t read some fine print on the document or that the investment amount doesn’t amount to enough. Taking out any sort of retirement or provident fund is highly recommended, but it is just as important to pick the right one and not be duped into a bad one.

Personal wealth: Property and investments

Perhaps the best and most sure route to plan for retirement is to grow your wealth. This can be done in various ways, but private investment and the purchase of property is how this is most commonly achieved. Throughout a person’s working years, it is wise to invest as much into property as is possible. If wise investments can be made through middleclass investment firms, this too can help your money grow into a large sum that can sustain you during your retirement years.

Relying on friends or family

For many, this is the option to avoid. It involves relying on your children to care for you in your old age. Children also choose to put their parents into retirement homes which can be comfortable or not—depending on the quality of the establishment.

To be able to have more choice in the matter, it seems that following the advice of investment experts is a wise choice to make. The later a person starts putting away for retirement, the larger of a percentage of their income he or she will have to put away later on. Start early if you can, and if you have not started yet, do so now.