5 Ways to Map Out Your Retirement

We’ve heard it is never too early to plan retirement and this remains true. But mapping out a retirement plan is scary, and can be confusing to many people as there is so much information out there. The average American retires at 65 and this has moved to 67 since 2009—Gallop reported. People want to stretch the retirement age so they have more time to save. Since the recession in 2008, where people lost money, people are looking to continue to work as long as they can. Make goals and look were you can cutback now so you can have a better map to follow for retirement. Even if you got a late start, you can do something and become a CEO your finances.

Look at Your Finances

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We all have to start somewhere. One is to look at your finances a more deeper. Social Security, pensions, 401(k), and assets need to be viewed in order see where the gaps are. Housing, food, healthcare and transportation needs also considered down the road so these can be covered during retirement.

The United States Department of Labor reported:

“Experts estimate that you will need at least 70 percent of your preretirement income – lower earners, 90 percent or more – to maintain your standard of living when you stop working.” Don't be scared to look at what you have and see where you want to go. You can take control, it is a matter of saving and creating a plan for the future.

Curb Spending

Stop spending so much. Do you really need to lease that new car or take two vacations a year? What means something now could end in regret later? It is not worth being house or car rich, if you have no money in the bank. Pause before you make an emotional buy. Treat yourself with something small, not something that you will be paying off like a car for five years. Use tax refunds, and work bonuses as stash money, and use it as emergency money, or add it to a savings account. This will take discipline, but the benefits outweigh the costs. Also you might have to look at downsizing after the kids move out. Making these cutbacks will also help you have a cushion, and cut back on expenses.