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It sounds like a pretty sweet deal, though, it takes some initialplanning and strategizing.
Also here are three reasons you might regret retiring early.
Maximize tax-advantaged accounts like 401(k)s and IRAs, Pac agreed.
The sooner you start contributing, the more years of tax-free growth and compounding interest.
Eliminate Debt
The financial cloud that tends to hang over most peoples head is debt.
Pay off high-interest debts now since interest costs wont decrease in retirement, Burbank advised.
Track your spending and make a retirement budget to determine how much you should probably save, recommended Pace.
Most people underestimate how much they spend, Pace continued.
Small changes can add up to big savings over time.
This provides income without having to work full time, Pace explained.
Consider part-time work in retirement to supplement income.
Many retirees work part time doing something they enjoy.
Even a few hundred dollarsa month provides financial freedom.
One client used her retirement fund to buy a duplex, living in one unit and renting the other.
The rental income covered her living expenses, allowing her to retire 10 years early, Burbank shared.
And with good reason, particularly if you want to clock out of the workforce five years early.
Meet with a financial advisor to create a realistic budget and see if youre on track, said Burbank.
Review insurance needs as retirement approaches, Pace advised.
Meet with a financial advisor to develop acomprehensive retirement plan.
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