“Peacefully retired” is often a word that is heard several times, but has rarely become reality. Inflation is an unavoidable factor that slaps financial difficulties in the face if you ignore the changing trend of the economy.

To make the first three words of this article come true, we ask you, our loyal reader, to take some of your precious time to go over the points mentioned below:

a) Early start

The best way to start is to save from the first day you start earning. Saving at least 10 to 20 percent of your salary outside of provident funds is vital to facilitating smooth retirement options.

b) Stock and share funds

The above two are the best tools for beating inflation in retirement planning according to experts, if bought for the long term. Keep in mind that the type of investment should vary according to your age and it is mandatory to review the portfolio at regular intervals to judge if it is on the right track.

c) Cancellation of debt

Sometimes it may be necessary to buy with credit cards, but be sure not to pay more than 30 percent of what you owe. In addition, in recent times, home rentals reduce almost 40 percent of your monthly income. So if you’ve taken out a home loan and built a house, make sure you finish the terms within half a decade. You can start saving both on the rent of the house and on the amount of the loan to be paid.

d) Emergency fund

The fund can help you through times of distress such as illness, job loss, accidents, and many more. An amount of six months of your monthly salary can be counted as an emergency fund.

e) Health Insurance

As a human being, you always envision the best of the future, but a single incident of hospitalization can put a dent in your savings. Having insurance policies not only helps you obtain tax benefits, but also reduces your level of dependency on treatment costs and inflation. The best way is to purchase a long-term insurance plan after researching the appropriate options.

f) Maintain discipline

Indulging in luxury are necessary aspects of social character, however, don’t let unnecessary expense creep in. Make sure, you and your better half, to stick to a strict regimen and set aside a portion of your monthly income for retirement. A cost-benefit analysis will determine whether taking an unnecessary trip or going to the movies is worth the cost and worth of expenses incurred.

g) Financial Plan

A financial plan should be reviewed at least twice a year, since the trend of your investments, salary changes every year. Keeping a realistic view of life, family, and changing priorities will allow you to easily adjust your retirement goals to stay on track.

h) New source of income stream

Creating income other than your regular salary has almost become a necessity. You can work part-time on your passion or stay focused on other streams, like heritage.

conclusion

Keep in mind that goals for a fulfilling life after retirement are a long-term plan. It is destined to change course, change, suffer setbacks and face all kinds of challenges. Be a warrior and stay on track to achieve the dream life you want at least after retirement.