Gold Retirement Financial
Is Trying a Gold Retirement Financial Plan Worth it?
Everywhere we look, there seems to be another “expert” or “guru” that is trying to sell us on how to plan for our retirement. Needless to say, all of the chatter on the topic is really clouding the issue. It is quite difficult to sort out what is true and what is not amongst the chaos.
Truthfully, it is something that has bothered me for quite some time now. That is why I am here today, to help clear some of that murky water. While it can definitely get complicated in practice, there are ways to mitigate that challenge and to work smarter rather than harder when it comes to planning for our golden years.
When Should We Start Planning?
Let us start here, since it is probably the most cut and dry of all of the topics I will be discussing today. The answer is simple, really: start planning as soon as you possibly can. Trusted sources like this one, https://money.cnn.com/retirement/guide/basics_basics.moneymag/index.htm, back up my statement here.
The longer that an investment account is open for, the more valuable it becomes (in terms of retirement planning in specific). Therefore, when you create one early on in your life, you will be able to reap the benefits of that later down the line. Of course, the number of gains that you make from this method will depend on the type of plan that you decide to go with.
My advice is to carefully consider each of the options that you have. You probably should not go with the first thing that sounds cool, but instead get a full understanding of how each selection helps to prepare you for your financial life post working age.
As I mentioned in the previous section, you have a lot to pick from when it comes to planning for the future like this. Getting a good sense for all of them may not be necessary but having at least cursory knowledge can be quite helpful. With that said, let us dive right in.
To some extent, pensions have fallen out of style. They are a plan that employers offer to long time employees once they retire. The employer sends them monthly payments as agreed upon. I like to think of it as a way that they thank loyal workers who have stuck by their side. Unfortunately, most companies do not have this option anymore.
This is another arrangement with your employer, though you can move your account if you change jobs. Essentially, you set aside some money with each paycheck and your employer matches that amount to a certain percentage. Interest collects for those funds over time as well.
IRA stands for individual retirement arrangement, and there are a few sub-categories here as well. They are an account that you open in conjunction with a bank or other type of financial institution, so they are not linked to any employer. Anything that you deposit will get tax benefits, but there is an annual limit on how much you can contribute in a year.
Traditional IRA plans allow you to deposit funds without taxing you on that immediately. Instead, it is taxed when you withdraw it. If you are in a lower tax bracket once you retire, this can be a benefit for you. However, if you think that the inverse will be true, then you can go for a Roth IRA instead.
The other type that I would like to highlight are precious metals or gold IRAs. While the names sort of say it all, the idea here is that you deposit your shares of precious metals into the account. Excluded from this are any collectibles such as jewelry. Coins are permissible so long as they have the adequate percentage of pure metal to be eligible.
What Should You Pick?
Personally, this is a question that I grappled with for a long time. Sure, there are pages such as this one that provide some insights, but it still remains quite hard to figure out. After all, it requires a lot of thinking ahead and predictions that we hope are correct.
Before I made any rash decisions, I spoke with my financial advisor and a few of my closest friends and family members. They offered some advice as well, which I did my best to take to heart. What did they tell me, then?
Diversifying your investment portfolio, whether it is for retirement or for funds you intend to use right now, is the key to not losing out big if something goes wrong. It all goes back to that age old adage, don’t put all of your eggs in one basket. This lesson is one well learned by most investors right now, especially for retirement.
No one wants to risk something so important. Depending on the resources that you have available, one of the plans that I mentioned above may be more or less appealing than others. Open several accounts if that is something achievable for you. If not, maybe set that as one of your long-term goals.
Stick by your decision, though. In whatever way you decide to proceed, take the time to really dedicate yourself to it. It might seem like a hassle or a waste of time right now, but once you reach retirement age, you will be thankful for the prep work!