In honor of ‘Be a Millionaire Day’ CKS Summit Group gives you 4 tips on what you can do to improve your chances of reaching seven figures by the time you hang up your work boots.
Having a million-dollar portfolio is a retirement dream for many people. Making that dream come true requires some serious effort, but it is doable – you just have to start as soon as possible! Some people even question whether a million dollars is enough (It won’t enable a lifestyle of mansions and private jets, but it should keep you comfortable, especially when supplemented with Social Security benefits.) That said, with a set plan in place and right research, you CAN reach your retirement dreams. Here’s how…
1. Goal Setting
Whether you’re a baby boomer or millennial, nobody plans to fail, but plenty of people fail to plan. Setting a goal and plan in-place is the leading self-help advice from athletes, business moguls and everyday people who have achieved extraordinary goals. And it’s for a reason!
For example, if you follow the 4% rule, you would be able to withdraw at least $40,000 a year during retirement and have your nest egg last for 30 years. But how do you get to $1 Million? The best way to live well when you’re old is to set goals and save when you’re young. If you can start saving $405 per month by age 25, an average annual return of 7% means you’ll have $1 million by age 65 (But wait until you’re 30 to start saving, and you’ll have to put away $585 per month to reach that goal.)
2. Savings, Savings, Savings
As mentioned above, if you don’t save, you’ll never reach your goal.
Far too many people never even start to save. Take advantage of every savings opportunity that comes your way, for example: If your employer offers a 401(k) plan, enrolling in the plan is a great way to put your savings on autopilot. If your employer offers to match your contributions up to a certain percentage, be sure to contribute enough to get the full match. It’s like getting a guaranteed return on your investment.
Finding the cash to stash may be a challenge whatever your age, but don’t let that stop you from making smart decisions. Make the maximum contribution to tax-deferred savings plans and then open up a taxable account too. Don’t let any chance to save get away.
Saving is something you should do for the rest of your life and with lots of planning and discipline, you can reach your retirement goals and live a comfortable life after work. That’s why CKS Summit Group introduced SMART – the Strategic Movement Around Retirement Taxation. Its goal is to limit your post-retirement taxation – not your income. SMART retirement will help you reach your millionaire goal by informing you:
- How to use tax arbitrage to dramatically increase your retirement income without risk.
- Ways to reduce the amount of money you give to the IRS during retirement.
- Why rate of return is Wall Street’s half-truth and how they use misleading math to sell you.
4. Getting the Right Advice
