
Here are some of the best steps to retire early!
Let’s be honest, we all dream and want to retire early! There is no shame in admitting that, no matter how many years we have been in the workforce and how much we love our job, we all would like to be able to live comfortably and retire early.
The way in which COVID-19 swept the nation has also shown us another way of working, with remote positions, and also came with another mentality: most people started to appreciate the extra time they had without having to commute from 9 to 5, and they started to appreciate the free time to explore their hobbies, spend time with their families, and engage in other activities that bring them joy.
In the same frame of mind, people who want to retire early want to reach that point too, when they have more time for themselves and are comfortable and happy. Yet, it seems like this is a long time coming!
If you want to retire early and make sure you will be comfortable, be it that you have only a few more years in the workforce or retirement is around the corner, make sure you keep on reading!
Have you ever thought of retiring early? Let us know your thoughts in the comments below!

Adjust your lifestyle
The one thing we are all aware of when it comes to retiring early is that you need to be able to afford it. The more money you can end up saving for retirement, the more likely it is that you will manage to retire as early as you have been dreaming of.
Yet, it is easier said than done that you need to be able to not only save money for retirement but also have a comfortable life leading up to the early retirement you desire. This can be done in different ways, but one thing is for sure: if you want to save as much as possible, you need to adjust your lifestyle.
While it may sound quite strange, you can easily adjust your lifestyle and not worry about money either. However, that will mean you may have to give up certain things you have gotten used to.
This is not about “cutting a latte” from your daily routine, but rather about more holistically made moves that will achieve the savings threshold you desire. This can mean that you may have to stop eating out so often or ordering in and instead focus on cooking at home.
Likewise, it could also look like downsizing your home, as a smaller one would be easier to maintain and the bills would be lower.
There are many ways in which you can adjust your lifestyle in order to save money; just make sure you look at yours and see where you can make changes so that you can save as much money, and early retirement is right around the corner!
A great way to see what is going to have to be adjusted is to keep track of all your expenses for a few months and then adjust as you see fit! If you struggle to do that, keeping a budget planner is always a great way to stay on top of everything. This one from Amazon is the one we recommend, and it is also affordable!

Try to increase your income
Another way in which you can prepare to early retire is to see how you can increase your income so that you can be financially comfortable and make this move.
This could mean making sure your position is paying you what you are worth and making sure you earn as much as you can at your current job so that you can save. However, it can also look like making use of your skills in order to maximize your income.
You can take up a second gig or job and use that money only to save up for an early retirement.
Some examples of gigs you can include working as a consultant in the field you are active in as your main job, making use of your hobby and selling crafts you make on Etsy, or even making good use of your extra-free rooms!
You can easily rent out the spare bedroom in your home on Airbnb, or you can DIY the shed and turn it into a cozy one-bedroom, one-bathroom rental room!
No matter what you decide to do in order to increase your income, make sure that it is sustainable and that you calculate the pros and cons of it well. With the money you make, you can easily put it into savings, diversify your portfolio so that it can passively earn you more money, or invest it further in other things like property.
The bigger your egg nest, the faster you can retire!

Explore passive income stream
Speaking of passive income, we have to stop and explore what this can mean for an early retirement.
After all, there are only so many hours you have in a day, and since you already have a job and a family, you should not, and maybe you cannot sacrifice any more hours towards working multiple jobs.
A great way to make sure that you can retire early is to make use of passive income. This can mean that you can either make some investments or get into the renting industry so that you can passively earn money without needing to be there actively to do the work.
It is easier said than done, but if you can spare some time to make this work, you can easily end up with a goldmine of passive income in your hands.
Not to mention, while we are discussing how you can retire early, this doesn’t mean you shouldn’t keep up with these passive income streams even as a retiree.
That way, you can not only retire early but make sure you have a steady income coming from these activities that will help you be comfortable as a senior too!

Make a financial plan
Wanting to retire early is a dream, but it should also be sustainable. This means that you should take a good look at your finances to see if this is just a dream or if it is actually something you can achieve.
You may be saving and working towards the funds needed for an early retirement, but that doesn’t mean that you should forget about the rest of your life.
Making a financial plan and sticking to it will ensure that you can both retire early while also making sure you are comfortable enough as a retiree after you take such a huge chance.
A great way to achieve this is to meet with a financial advisor. This way, you can get some advice and a plan that will be grounded in reality and based on the numbers you have.
Make sure you only meet up with a trusted financial advisor who will have your best interests at heart, not just someone who will just give you generic advice and get a paycheck from your visit.

Never stray from your plan
If you want to retire early, you need to be realistic and make a good plan. That includes how much money you will need, and then plan accordingly to that idea.
Slowly and surely, you will be able to plan out how the best early retirement lifestyle looks for you, and you can then focus on your finances. While thinking about what type of monthly income you may need to live comfortably is pretty easy to estimate, the expenses you will have are not going to be as easy to approximate.
Based on how early retirement looks for you, you will have to save more, make bigger lifestyle adjustments, and thus devise your plan differently.
One thing is for sure: if you have decided you will work towards an early retirement, make sure that once you have your plan, you stick to it!
Perseverance and a strong will are going to be needed so that you can retire at 55 and live your best life!
If you manage to retire early, then you should make sure that even if you do have the finances, you can still live a comfortable life! Read all about the best places to retire for under $2,300 a month here!
One Response
I am with 3 children. I am 61 years old and have minimum income. What advice can you give me on how to retire comfortably in such a short time?