Surviving Retirement Financially

Surviving Retirement Financially

Ask the average person if they are prepared when it comes to surviving retirement financially for the next 30 years and they will probably say no. People are living much longer today than ever before which means having more money in their retirement accounts is a necessity for making it over the long term. An important factor in all of these considerations is whether real estate can add to the wealth of the individual over the decades.

Lengthening the Financial Course of Action

The odds of at least one of two spouses living into their 90’s are quite high and depending on how old a person is today, by the time they reach the age of 70 to start collecting their social security, it is quite possible that they might live to be nearly 100 years old.  To plan for this eventuality means putting as much as practical into retirement accounts that will work for the individual.

The biggest challenge for most people will be reckoning with the idea that all of the saving measures in place will simply not last as long as they will live. The idea of having to work longer in order to have the money necessary to retire comfortably is one that concerns millions of people every day. Considering that most people were saving up to retire for 10 to 20 years and today retirees are looking at living 30 years or longer is a daunting prospect to be sure when surviving retirement financially.

Plus, many who might want to work longer simply cannot due to infirmities or other issues that will prevent them from being gainfully employed in their later years. In some cases, this has already happened with those who have tried to retire early and found out that they could not because they simply didn’t have enough to last.

Living a High Quality of Life

You will not only want to live longer, but healthier as well. The good news is that there are good preventative ways to stave off illness, get into better shape, and live healthier as you grow older. The days of being infirmed when living into the golden years are being replaced by living healthier and in less pain.

Exercise, eating right, and finding ways to keep your mind sharp will help avoid complications that may impinge on your quality of life. Even modest exercise can greatly help when it comes to living better and healthier. Like your mom told you growing up “Eat your greens”, you should eat as many fresh fruits and vegetables as possible.  A whole food plant based diet will allow you to enjoy your retirement years with minimal health bills and issues.

Achieving Financial Freedom Sooner

It helps to know how much you will need in order to live comfortably into your golden years. Unfortunately, for most people saving money is not going to be enough. You will need to invest what you have and create separate income streams in order to create the wealth necessary to have the money you want for your retirement years.

Real estate investment can help considering when it comes to surviving retirement financially intact if you use these four methods;

Create Lump Sum Gains Financially

Wholesaling, flipping, and joint venturing on great real estate deals is a great way to build lump sums.  You want to make sure the property is a great deal that you invest in.

Build a Passive Income System

Private money lending secured by a mortgage is a great way to earn passive income anywhere from 8-16 times what a CD (Certificate of Deposit) is offered by the bank.  Make sure that the investors that you lend to are credible and that the project you invest in is a great deal. Learn more about private money lending here.

Use Leverage

When buying rental properties, you can use leverage to purchase properties with only 20% of the purchase price.  Real estate is one of the few investments that you can get a loan against because it is the most stable investment that you can make.  Try going into the bank and getting a loan to purchase stock, the banker will laugh you out of the bank even if you want to purchase stock in that bank.  But if you go into a bank and want to purchase real estate, the banker will gladly tell you about the different programs they offer.

Generate Tax Benefits

You can purchase rental property and invest in real estate with mortgages using your tax deferred or tax free retirement accounts.  You will want to look at finding a custodian that allows you to invest in real estate like Equity Trust or Midland IRA.

All four of these methods are available to those who use real estate wisely in creating a strong financial future.