Article Categories
» Arts & Entertainment
» Automotive
» Business
» Careers & Jobs
» Education & Reference
» Finance
» Food & Drink
» Health & Fitness
» Home & Family
» Internet & Online Businesses
» Miscellaneous
» Self Improvement
» Shopping
» Society & News
» Sports & Recreation
» Technology
» Travel & Leisure
» Writing & Speaking

  Listed Article

  Category: Articles » Finance » Investing » Article
 

What You Really Need To Retire




By Kalinda Rose Stevenson

After reading many articles about retirement, I have come to the conclusion that most of the financial advice addressed to consumers is bad advice. From the perspective of conventional wisdom, the advice makes sense. The problem is that conventional wisdom is not very wise because it is based on a limited understanding of money.

The essence of much financial advice about retirement is that people have not saved enough money. Experts warn that prices will go up and up. You will probably need more for medical expenses as you age. And worst of all, you might live 20-30 years after retirement at age 65 and will probably outlive your money.

Retirement articles usually explain all the ways you can calculate how much money you will need, what costs will go up and what costs might go down. (They assume that you will pay off your mortgage.) They also assume that your own sources of money will be retirement funds, pensions, and Social Security.

Every single one of these money fears is based on a single assumption. After you retire from your job, you won't earn any more money. This is one of the biggest money limitations imaginable.

You must anticipate an uncertain future in which the money available to you is limited by the amount of money you amassed in your earning years.

A related assumption is that the amount of money you have available to you in retirement also depends on the decisions of other people. Other people will decide whether or not you still have a pension, whether or not you still have Social Security payments, the amount of interest you earn on your "safe" savings accounts and CDs, and the returns on your mutual funds.

Such financial advice is based on fear. Your only security is to amass as much money as you can while you are still earning an income, and then use it very carefully before it is all gone. You really can't depend on these other sources of additional income. In other words, you are essentially powerless to increase your wealth after you retire from your job.

There is another way to approach retirement planning based on a different assumption. The fact that you retire from a job does not mean that you retire from the capacity to make money. The fundamental difference is that you continue to make money in retirement and that you take an active role in creating new money.

Fundamentally, it comes down to the difference between earning money and making money.

"Making money" is not the same as "earning money." Making money is a skill that very few of us ever learned as wage and salary earners. When you "make money," you increase the amount of money available by selling something at a profit, not because you get more in your pension or Social Security or from the pitiful interest that the bank might pay you on your savings or CDs.

We live in an entrepreneurial age. People who have businesses understand that money is not only a commodity to be earned and then used up. Money is also a product you can create.

There are so many ways that people retired from their jobs can create more money. They can produce products, invest in real estate, trade Forex currencies, trade in the stock market, write books, do consulting and coaching, as well as a thousand other methods to make money.

When you know the difference between making money and earning money, you won't have to fear a future limited the amount of money you already have in savings accounts, IRAs, and pensions. And you don't have worry about outliving your money. It all comes down to knowing how to create money. You will either face a future of money limits or you will understand that you can continue to make money during all of those wonderful 20-30 years you live past your job.
 
 
About the Author
Kalinda Rose Stevenson, Ph.D.
Author of "No Money Limits For Real Estate Investors: Discover The Money-Making Secret In The Monopoly Game That Will Turn Your Money Struggles Into Money Abundance"
http://www.nomoneylimits.com
kalinda@nomoneylimits.com

Article Source: http://www.simplysearch4it.com/article/23772.html
 
If you wish to add the above article to your website or newsletters then please include the "Article Source: http://www.simplysearch4it.com/article/23772.html" as shown above and make it hyperlinked.



  Some other articles by Kalinda Rose Stevenson
How Do You Get To Easy Street?
"Hard work has made it easy. That is my secret. That is why I win." --- Nadia Comaneci I got an email from a friend ...

Collecting Abundance In A Bucket
"Everything comes to us that belongs to us if we create the capacity to receive it." --- Rabindranath Tagore ...

Business Success Without The Blindfold
"Good business leaders create a vision, articulate the vision, passionately own the vision, and relentlessly drive it to completion." --- Jack Welch Vision ...

Mr. Monopoly Got It Wrong: Cooperation Makes More Money Than Competition
Monopoly is a zero sum game based on competition. Since the money supply cannot increase, the players can win only by taking money from other players. ...

Are You Making This Money Mistake In Your Business?
"What's worth doing is worth doing for money." Joseph Donohue It's that time of year again. This is the time when business owners get letters from CPAs ...

  
  Recent Articles
Making an offer on an Irish Property
by Clint Jhonson

How To Search California State Tax Lien Records
by Zach Parker

Buying a House at Auction is Very Good Investment
by Kotia Kot

The Future of Gaming is here, why the Video Game industry is reaching new highs.
by Jonel Cordero

All The Relevant Details About Remortgage Quotes Uk
by Turk Malloy

How Investment Property Helps You Retire Early
by Marian Rozwenc, PhD

How To Overcome The Hidden Perils Of Discount Online Stock Trading
by David Jenyns

Advantages of Long Term Investing and Compounding Interest
by Ohad Livne

When And When Not To Use A Stop
by Larry Potter

Passive Investing - How To Grow $250.00 to $250,000.00
by Gil Washington

Notary surety bonds preventing failure
by rick martin

Online Trading India - Investment at Kotak Securities!
by Tanya Lobo

Shanghi Shows Signs of Gold Boom in 2007
by John Christensen