Here’s how you can retire with $1 million by age 50
Take it from the guy who retired at age 52 with a $3 million net worth: You can retire in the next ten years, tops. Want to know how? The secret of retiring early takes just a few easy steps, according to Business Insider.
First, let's focus on the basics. There are three key things you should be doing at all time: earning, saving, and investing. Why? They’re pretty much guaranteed to catapult your way into retirement, and if you do them more often, you’ll even boost the speed of that journey.
Still, those instructions are a little vague. Exactly how much of each are you supposed to do, and when?
"To reach early retirement you'll need to get specific and determine what level of commitment you can make to each of the three steps, then make a plan to work on those,” the early retiree from ESI Money says.
So, let's break it down a little more. First, make a retirement budget to estimate how much earning, saving, and investing you need to start out with. Piece of cake, right?
Next, it's time to speed up your path to retirement by increasing the gap between what you earn and spend. How? Just start expanding your career and trimming your budget. Accomplish your career growth by raking in those raises and moving up the corporate ladder, so to speak. As for the budget trim, regularly review and adjust your budget. Not only will doing so make your budget more efficient, but it will also maximize your savings rate. Trust us, your bank account will be thanking you. (Need some help? Don't miss these habits of good money savers.)
Now for the third tool, investing. ESI Money recommends investing early in life to boost your overall earnings. “When it comes to investing, time is your biggest asset,” the retiree writes. “The more time invested, the more savings will grow.” So get started right away!
Other ways to increase the money flowing into your bank account (and decrease the money flowing out of it) include earning extra income on the side and avoiding debt accumulation.
Lastly, just keep at it! When your retirement income becomes higher than your expenses, you can take it as a sign to put your feet up and enjoy a nice (early) retirement. You earned it—literally!
Now that you’re earning, saving, and investing like a pro, you deserve a little time off. We dare you to do all 50 of these things that everyone should do before they’re 50.