Early steps in retirement planning have big benefits later on


My husband discuss our future a lot. I’m not talking about next year, or the next five to ten years. I’m referring to our “Golden Years”. We talk about when we are senior citizens and what happens when we are too old to work. Unlike other people we are afraid that we won’t have enough to live on.

I am anxious to buy a house ASAP, that way when we near the end of our 30 year mortgage we only have a few years to squeak by until we are done paying it. If we buy a house this year we’ll both be 45 years old. A 30 year mortgage makes us 75 when it’s paid off. That is a good 10 years or so after retirement age. Ideally I’d like to have it paid off before then, that way we don’t have that added expense.

I worry that we’ll be living off cat food and Ramen Noodles when we’re retired. Longevity runs on my site of the family, so I should think about being around for a long, long time (God willing).

We are clueless when it comes to $$$, IRA’s, my hubby’s 401K and all that scary stuff. We really need to seek out a financial advisor to help us out. It’s hard to keep up with all of this stuff. Some people even have to take into account a work related disability claim they might have.

If you are concerned about what is going to happen once you near retirement age, here are some tips from Kris Miller, author of the book Ready for PREtirement?: Plan Retirement Early So Your Money Is There For You. You can start working on these tips TODAY! Don’t wait until you are in your 50’s or 60’s because by them it could be too late.

Too many people wait too long about making decisions about their financial future. Even if you are fresh out of high school, you can start making plans for your retirement, if you want your money to be there when you need it.

“Retirement planning isn’t just for seniors,” says veteran financial advisor Kris Miller. “Start learning early and you will find that a little planning goes a long way.

Ms. Miller, author of the new book Ready For PREtirement? Plan Retirement Early So Your Money Is There When You Need It, implores people to plan their retirement early. “No one relishes talking about issues like emergencies, unforeseen layoffs, long-term illness and even death. Planning for such circumstances is crucial to protecting your family’s financial future.”

She created the acronym PREtirement to define and explain the actions associated with preparing early for retirement.  She shows people in their 20’s or 30’s prepare for the future.

Will you be able to create a nest egg that gives you 70% of your pre-retirement yearly salary?  Here are some of the steps she urges young people to take:

Start Saving Money Now. Even if you just cut out a few expenses, that extra Starbucks, and use that savings to start investing in retirement, it will make a big difference.

Max out your 401(k). It’s easy, all you have to do is fill out a form to increase it to the maximum contribution.  And if your employer matches a certain percentage of your contributions, that’s free money. Best of all, you get a tax deferral which will save you a ton of money.

Start a Roth IRA. It’s best to have multiple investments, instead of just your 401(k), which might not be sufficient for your retirement needs. The Roth IRA will let you receive your money tax free.

Get Some Life Insurance. If you have a spouse or children you may want to check into some life insurance, and disability insurance. (Get insurance that covers 60% of your current income to be safe.)

Build an Emergency Fund. You want at least 3-6 month of expenses for an emergency fund.

Get Real With Your Retirement Planning. Learn about estate planning. Create a revocable living trust allows individual choice and control over legal and financial decisions today, tomorrow and in the future.

Create And Execute A Will Properly. Identify what you want done with your property, identify a guardian for your children, and sign and date Powers of Attorney and Assisted Living Directives to avoid probate, reduce medical expenses and make things easier for your family and loved ones if something does happen to you.

The number one cause of problems in retirement is PROCRASTINATION, Miller says. Don’t be like an ostrich. Face the world and take action so you can avoid probate and court costs, and minimize attorney fees and leave everything you have worked for to your family and love ones.

Look for the book Ready for PREtirement?: Plan Retiring Early So Your Money Is There When You Need It by Kris Miller on Amazon.com and other retail locations.

For more information visit www.ReadyforPreretirement.com.

With today’s economy on such shaky grounds, are YOU doing all you can NOW to protect your well being in the future?

If you have any additional tips to share please feel free to leave a comment. I always love to hear from my readers.



*This article was posted with permission. There was no compensation. The opinions expressed are my own unless otherwise noted.

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About Kimberly

Kimberly Vetrano resides in the suburbs of New York City with her family and "mini zoo" consisting of five cats, a dog and a Goldfish. Kimberly is a teacher's assistant for a Kindergarten class. When she is not working or blogging, Kimberly enjoys taking photos of nature and hanging out with family and friends.