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Until now, most financial experts have asked you to keep your feet firmly planted on the ground and expect your retirement investments grow every year at a steady rate. No daydreams, no picnic to things-will-not-go-wrong-somehow place. Those experts are very clear about getting your money in balance after retiring, even if the investments are on high-risk areas like stocks. But maybe you are a little worried about the reality. Sure, things are fine now when you are in the middle of your career. But what if you lose your job or unable to find one when you reach 50? What if the foundation on the house cracks? What if something inevitable comes up? What if the stock returns 6% instead of the expected 10% when you hit the retirement age?
That’s where your change in thinking comes in. When your small-time debt is paid off, it is time to start putting your ten for tomorrow into an ordinary savings account for security. This is going to be your personal defense in case something really goes wrong. And it is nothing more than simply living now as if your investments are going to fail in the future. That’s right – lowering your standard of living assuming that it’s going to get better when you retire. No fancy thoughts, no special treatments for the time being. Living in a way so that you will be making special trip to Bahamas to get your hand on that special coconut tequila.
Why? Because upside down approach to retirement planning is the strategy that will let you sleep easily each and every night. So, even if your investments perform badly, your lifestyle will not change a bit. If an emergency comes along during those golden years, then use the money. If you take serious blow and can’t make ends meet, then you can easily turn to the savings. If you are starting from scratch, it should take you around a year or two to make a lifetime change to your security fund. That may look like a sacrifice, but think of it this way. You are changing your life for good. You are going to live within your means to create a long-lasting change.
You may be wondering how to achieve all these. So, just in case you are not interested in hiring an accountant for the upside down retirement calculation, ESPlanner Basic is a software to let you know that a better future is coming, ready or not. The numbers may be a little scary, but think about the happier side of retirement – what it would be like if you are financially prepared. By putting less in the stocks, you are going to see a loss that is not at all alarming. By lowering your allocation to equities, whether a loss or gain, your retirement will live up to today’s expectations and standards, maybe even better.
Upside investing is all about saving money, when you do not have a pension or waiting for the stock market to turn around. It is about convincing the average people that they do not have to depend on stocks to retire conveniently. It is to show you that stock market and other risky investments are full of slick operators who do little more than take your money and leave you deeper in a big hole. When you are left with nothing, you are replaced with the next sucker. This financial strategy uses conventional wisdom – it is the help most commonly utilized by people who live a modest lifestyle. And this planning is crucial to your financial survival, something that doesn’t need a fix when things go wrong.