Is It Better To Retire Early Or Later?
Along with homeownership, early retirement is a basic American dream. But in recent years, planning for retirement itself, let alone an early one, is getting harder and harder. In the early ’90s, half of all American workers planned to retire before they reached the age of 65.
How To Retire Early With Health Insurance?
Today, that number has plunged to 23 percent. Meanwhile, over the next five years, the health and medical insurance industry’s revenue is forecast to increase at an average rate of 5 percent to more than $865.8 billion, putting more pressure on most Baby Boomers’ underfunded retirement nest eggs. But if you are 10-20 years away from your desired retirement age, there are still some things you can do now as a small business owner to make it easier to understand how to retire early.
How To Invest To Retire Early
The number one, most important, do it even if you think you can’t tip, is to start early. If you are new to business ownership, start putting money aside as soon as you have sufficient cash flow to do so. There are some types of retirement plans so, Start as soon as you can and invest in tax-efficient retirement planning such as a SEP IRA, a SIMPLE-IRA, a traditional 401(k), a Solo 401(k), a traditional IRA or a Roth IRA.
Planning on retiring on the earnings from the sale of your business? What happens if market conditions change, or unexpected liabilities or risks occur that threaten the worth of your business? Seventy percent of small businesses are run by sole proprietors, but your business is about more than just you. Look for ways to grow it as a sustainable and attractive asset so that it’s profitable even when you are not there and retains its appeal to potential buyers. So, plan your exit strategy now. Even though you have just started, don’t delay planning for the sale of your business. This may be the way that you can retire at the age that you desire.
With the advent of technology in the computer age, the expectation was that robots would do all the work for us. The reality is that with a healthier, longer life we are capable of having a longer working career. So retiring early may just turn into having the ability to start another adventure on the road to lifelong success.