Figuring out my Personal Retirement plan has been an absolute eye opener. Instead of daydreaming about where I will be thirty or forty years from now, I have actually taking out the time to sit down analyze my finances and plan for the future. Having a definite number to target for annual savings is better than using a ballpark number that sounds good, now I know how much money would be Ideal to live comfortably at wiser years.
One of the key things that I am lacking is not having a mutual fund to contribute for my retirement. By starting one by month’s end it will be one of my first steps toward building my retirement. Now knowing the benefits of a mutual fund in comparison to just simply saving your money in a traditional bank account makes a drastic difference in growth, especially over a 20 year time period. That a mutual fund takes the money you contributed and invest it into multiple sectors of businesses for long-term capital growth. For instance there are different degrees of growth for a mutual fund: aggressive, moderate and conservative growth. If you set your mutual fund to aggressive, then it will attempt to return a greater amount from what you originally invested, at the …show more content…
Particularly the time value of money chart was use to inflate my projected retirement expenses and estimate net worth assets; the potential figure being $1,546,889 million dollars. Now with this figure in mind it really brought me to the realization of the effect of starting a retirement savings 5 or10 years from now. If started saving 5 years from now I would have to put away roughly $1,082 dollars a month earning on 8% annually. It would be harder to put away even a greater amount of $1,630 dollars a month earning on 8% if I started 10 years from now. By far the TVM chart was the most valuable tool I use during this
One of the key things that I am lacking is not having a mutual fund to contribute for my retirement. By starting one by month’s end it will be one of my first steps toward building my retirement. Now knowing the benefits of a mutual fund in comparison to just simply saving your money in a traditional bank account makes a drastic difference in growth, especially over a 20 year time period. That a mutual fund takes the money you contributed and invest it into multiple sectors of businesses for long-term capital growth. For instance there are different degrees of growth for a mutual fund: aggressive, moderate and conservative growth. If you set your mutual fund to aggressive, then it will attempt to return a greater amount from what you originally invested, at the …show more content…
Particularly the time value of money chart was use to inflate my projected retirement expenses and estimate net worth assets; the potential figure being $1,546,889 million dollars. Now with this figure in mind it really brought me to the realization of the effect of starting a retirement savings 5 or10 years from now. If started saving 5 years from now I would have to put away roughly $1,082 dollars a month earning on 8% annually. It would be harder to put away even a greater amount of $1,630 dollars a month earning on 8% if I started 10 years from now. By far the TVM chart was the most valuable tool I use during this