Now, you don’t have to give up those expenses entirely. But what if you were able to cut those costs in half by spending $15 every other day? Then, what if you took it a step further by investing those savings in your retirement account? Say you’re able to save $2,750 per year by limiting your everyday purchases, and you invest that money in your retirement fund earning a 7% annual rate of return. After 10 years, you’d have nearly $40,000 stashed away.
That’s not millionaire money, of course, but it’s far better than nothing. And the best part is you don’t have to make major sacrifices. By simply being aware of how much you’re spending each day and cutting back where you can, you can ultimately save tens of thousands of dollars.
Managing your money can be stressful, but if you’re lying to yourself about your finances, the situation will never get any better. Fortunately, a little knowledge can go a long way. The more you know about how your decisions impact your financial health, the easier it will be to make smart choices and set yourself up for long-term success.
The $16,728 Social Security bonus most retirees completely overlook
If you’re like most Americans, you’re a few years (or more) behind on your retirement savings. But a handful of little-known “Social Security secrets” could help ensure a boost in your retirement income. For example: one easy trick could pay you as much as $16,728 more… each year! Once you learn how to maximize your Social Security benefits, we…