A retirement fund is an important thing to have. When you are old enough to retire, you want to make sure you have enough money to live comfortably without having to work much at all. Hopefully, you will be able to save up enough during your working years to do this, but it’s never too late to start. Here are ways to quickly boost your retirement fund if you are a homeowner in Milwaukee.
401k and Roth IRA
You may already have a 401k set up with your employer, but are you taking full advantage of the employer match program if it’s available? You definitely want to put as much as you can in your 401k to get the full benefit of free money! Some employers match 50% of contributions up to a certain amount, and some may match 100% or make deposits even if you don’t! This will also save you additional paycheck taxes since the 401k funds are taken out of your check before taxes.
In addition to the 401k, you can have a Roth IRA account. Your money will be taxed now, but not later in retirement when it matters most. Make sure to max out your Roth IRA contributions to take advantage of this saving opportunity! Contributing the maximum allowed amount will quickly boost your retirement fund. If you are over 50, you are allowed to contribute a little more into your accounts, also referred to as “catch up” savings.
Pay Off Debt
When you pay off a big debt you have done a great boost to your retirement fund. Be sure to not make only the minimum payments on your account. This will most likely be eaten up by fees and interest rates and will be applied to your principal balances. If you make large lump payments to bring down your overall payments you will save thousands in the long run and this will leave you more money for your retirement fund. When you have paid off your balances, be sure to pay off the entire balance every month, as this will not only save you money, but at the same time improve your credit score.
Take on a Second Job
One more thing you can do if you want to make a quick boost to your retirement fund is to get a second job. Your current job most likely can cover all of the necessary expenses you have, which means your new income can go straight to your retirement fund. Sure, you may lose some free time, but think about how much of it you will have once you retire! And if you save enough, who knows, maybe you could even get an early retirement.
Sell Your House
If you are a homeowner in Milwaukee, the easiest and quickest way to boost your retirement fund with a big chunk of money is to sell your house to a real estate investor! You may even be able to negotiate the buyer paying a majority of the fees to have more money to put aside. Take into consideration downsizing now to save for the future. You can also take advantage of the low-interest rates when you are looking for a loan for your new home. You can put thousands of dollars away to start earning interest now and find a different house to live in, and save extra money with the lower interest rates. You will also save in some unexpected places, like the electric and water bill and the actual time it takes to clean your house. You might be able to find a smaller, more energy-efficient home closer to your work and save you time and gas money every day!