This reminds of a conversation I had with a Uncle of mine some weeks back. He is sort of Semi Retired. So I asked him how can one retire at 40.
There came the answer, he asked me to define retirement. After some answers and counter questions he asked me to look at it this way. Retirement is not doing 'nothing ever after'. Retirement is basically having enough money to not fear getting fired, to not worry about bills, expenses, food, clothes, fuel, health care and kids education. Then when you are this free, go and work on what you always wanted to work on. May be that is music, may be that is apple farming or whatever. But when you go down this route, you never stop working. Except that you now work on things you enjoy.
But if your definition of retirement is doing 'nothing ever after'. Then you sure need lots and lots of cash, real estate, good insurance and kids who can take care of you in old age. That is difficult to achieve, assuming you don't win the start up lottery. After total analysis(I'm 27 currently), this is what I believe can make you rich.
a. Never have credit card,loans or any kind of debt.
Interest is a dangerous thing and often eats most
of your earnings.
b. Understand how much you need to save and invest.
Get a good savings and investment plan *now*.
c. Productivity is extremely important because you are
working against time.
d. Have side projects, that can be monetized. Do not
work for your company for more than what they pay
you.
e. Use every savings and investment opportunity, even if
it means saving and investing little.
With a little hard work, clever savings, investments and avoiding debts and interests any person go far. Also I don't get blind consumerism to keep buying stuff you just don't need at all.
With all this and monetizable side projects any person can be financially stable by 40-45ish to have money to relax and take life as it is supposed to be taken.
There came the answer, he asked me to define retirement. After some answers and counter questions he asked me to look at it this way. Retirement is not doing 'nothing ever after'. Retirement is basically having enough money to not fear getting fired, to not worry about bills, expenses, food, clothes, fuel, health care and kids education. Then when you are this free, go and work on what you always wanted to work on. May be that is music, may be that is apple farming or whatever. But when you go down this route, you never stop working. Except that you now work on things you enjoy.
But if your definition of retirement is doing 'nothing ever after'. Then you sure need lots and lots of cash, real estate, good insurance and kids who can take care of you in old age. That is difficult to achieve, assuming you don't win the start up lottery. After total analysis(I'm 27 currently), this is what I believe can make you rich.
With a little hard work, clever savings, investments and avoiding debts and interests any person go far. Also I don't get blind consumerism to keep buying stuff you just don't need at all.With all this and monetizable side projects any person can be financially stable by 40-45ish to have money to relax and take life as it is supposed to be taken.