Do you think about an early retirement? Does the idea of quiting work before you’re 62, 65 or 70 years old make you feel good? Does your workplace cause you to have anxiety or are you frustrated at work? Making an early retirement can happen if you plan, save and invest now. Planning for retirement is the key to retiring.
As we grow older, getting up and going to work everyday is harder and harder no matter what line of work you’re in. Many people are forced into early retirement because they physically can’t do their jobs anymore, some of these people might not even have the financial savings to keep their current life style let alone travel. Interest rates aren’t paying that much these days on CD accounts and savings accounts but regardless you should use a CD calculator monitorbankrates.com/calculators/cd to calculate how much interest you will earn on CD investments.
You don’t have to be a senior citizen to retire. In fact the younger you get started saving and investing the closer you are to retirement. Right now current interest rates are so low and the stock and bond markets are going down so you need to be realistic about the annual return. In years past the standard norm was 8% a year.
These days a more realistic annual return is 5% if you have a mix of equities and deposit accounts in your portfolio. The best CD rates are around 3% on a five year certificate of deposit. Savings account rates are around 1.50%.
If you dream of retiring and relaxing with a leisurely lifestyle you need to start saving now. Whatever your reason is to to retire early, you need to plan your retirement. The best time to start was yesterday, the second best time to start is today.