6 Steps for Early Retirement

6 Steps for Early Retirement
We’ve gotten a lot of questions recently on what it takes to retire early. While leaving the workforce may sound appealing, the people we work with want to make sure they have enough money saved and their portfolio is positioned for the road ahead.

Retiring early can seem like a dream, but it comes with its own set of challenges. Your savings must last longer, and the last thing you want is to run out of money. With careful planning, early retirement is possible, and there are six key steps to make sure you’re prepared. If you want more detailed guidance or help with your specific financial plan, reaching out to your team at CTS Financial Group is a great next step.

The first step is to create a budget. Retirement looks different for everyone, so it’s important to understand what your lifestyle will cost over the long term. Consider expenses like living costs, healthcare, travel, and debt. Don’t forget inflation, which has averaged 2.5% annually since 1990. Knowing exactly how much money you’ll need each month and year is essential to the planning process.

Next, ensure you have steady income streams. Social Security benefits will likely be a small part of your retirement income. Consider assets that can generate income, such as rental properties, dividend-paying stocks, and bonds. The more income sources you have, the less you’ll need to rely on savings. After figuring out your income, the next step is determining how much you’ll need saved to support your retirement lifestyle. Finally, don’t forget to get a second opinion from a financial advisor who can help refine your plan and boost your confidence about retiring early.

Here are the 6 steps every investor should take before considering early retirement https://bit.ly/2SIqwgT.