40 With No Savings? 5 Simple But Successful Tips On How To Save Money For Your Retirement On A Tight Budget

Date November 14, 2018

Nobody wants to think about retirement in their twenties, and it’s understandable: The mind is already full of so many life puzzles and tasks to solve. However, experts advise if not starting to plan your retirement, then to simply start saving for it.

According to statistics, an elderly couple needs around $1 million to live comfortably during their golden ages. Here are the tips on how to save such amount of money.

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1. Trim your spending

According to the research, 8 out of 10 Americans waste their money on unnecessary things that can easily be eliminated. The rule is simple: start small and work your way up to make significant cuts. This will help you create an efficient budget.

2. Discounts are your friends

Most companies are willing to price match their competitors, thus creating opportunities for you. You can prioritize your savings by finding discounts all over the place. Surely, it’s time-consuming, yet very rewarding.

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3. Work after work

Yes, it may sound devastating, but you can make money after your main work. If you are artistic, you can sell your product online, or you can rent out a room in your house on weekends. There are many ways to earn some extra money.

4. Use your benefits as an employer

Unfortunately, only one-third of Americans are using tax-deferred retirement plans, while it is one of the sufficient ways to get “free money” later on.

5. Open your own account

If you are not particularly excited about a 401(k) plan or cannot have an employer-sponsored plan, you can open an individual retirement account (IRA), which also means your money can grow until you retire.

The main idea is to start saving money for your older self. Little by little, that’s a great way to have fewer worries in your golden years.

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The material in this article is for informational purposes only and does not replace the advice of a certified specialist.

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