Written by: Gregory Knell
Is there a recommended age when a person should begin thinking about and planning for retirement in Minnesota? Yes, there is. The answer is: whatever age you are right now. Start planning immediately! No matter how old or young you are, how experienced or inexperienced you may be, there is no better time to start the planning process than right now.
Of course, the earlier you get the ball rolling, the better. But that certainly doesn’t mean that you can’t make significant headway starting later in life. Here are some basic and important items to consider when planning for retirement in Minnesota.
Make a detailed plan
You have to be serious about making a detailed plan, particularly if you have a grand vision of your own retirement. Find a retirement planning specialist to help you. If you’re young and have 30+ before you reach retirement age, you can certainly fill 30 years of retirement planning without any wasted time.
Have a very specific plan for your money and how it’s going to work for you over time as you work toward retirement in Minnesota. Early and careful planning is the best way to reach your goals.
Plan how much to save
How much you want to save for retirement in Minnesota is completely up to you. It is dependent on the goals that you set for yourself- such as the age and lifestyle you envision for your retirement. Some folks need a lot, others don’t. Just make sure that your savings goals match those you’ve set for your retirement in Minnesota.
Do you have a Retirement plan
You’ve probably heard of a 401k plan but perhaps don’t know exactly what it is. This is a retirement plan that is associated with a person’s employer where a specific portion (percentage or set dollar amount) of your income each month is deducted from your paycheck and transferred to an investment account.
This has tax benefits and is designed to provide employees with accounts that grow over time through investments. If the company you work for offers a 401k and your serious about your retirement in Minnesota, it’s probably in your best interest to get involved. Like most investments, there is risk involved, however. Do your best to seek professional advice about how to go about it.
An IRA is mostly similar to, but different from a 401k. Unlike a 401k, you have complete control over an IRA rather than your employer maintaining control. Though IRAs allow you to put your money where you want to. It’s important to remember that they typically have lower contribution limits and that eligibility requirements can be strict. Again, seek professional advice before jumping in to make sure that your goals for retirement in Minnesota are executed properly.
Pensions can provide ample financial gains for a persons retirement in Minnesota. There are certain situations where finding lost pensions are definitely worth investigating. Foe example, if a current or previous employer went bankrupt, closed down for another reason, or is thinking about closing. There are channels that you can go through to find out if you have an old, protected pension waiting for you.
