Lack of planning is leaving 42% of Americans at risk of retiring broke and nearly half of Americans have less than $10,000 saved for retirement. As a retiree, you have the luxury of time but with less income to work with, so saving some money wherever possible becomes vital. There are many ways to help maximize the power of your money that will help you enjoy a long and happy retirement. Online technology can help you manage your retirement money, embrace frugal living to make regular savings and ensure you’re getting all the benefits you’re entitled to.
Easy Examples Of Managing Your Retirement Money Online
Social Security Benefits
Timing is important when it comes to claiming Social Security benefits. Although it might be tempting to start receiving money at age 62, in order to collect your benefit without any reductions you need to wait until your full retirement age of 66 to 67. It’s easy to apply online for retirement benefits and since 2010, most retirees have their Social Security benefits deposited directly into their bank. Opting to receive other payments such as tax refunds in this way means you get the money quickly and easily.
Online and Digital Banking
By managing your money online, you can make technology work for you and it can help you save money in the long run. Easily accessible online banking and budgeting tools give you a sense of control over your finances and help you stay on top of your spending. For an even more immediate connection with your money, digital banking apps on your phone give you instant access to money transfers and notifications of transactions which makes staying within a tight budget much easier. With contactless payments exceeding $1 trillion this year, mobile wallets are increasing in popularity because of their simplicity, but the addition of loyalty programs offering rewards makes them even more appealing.
Making Small Investments
If after managing your money so well you have a little spare cash to make investments, Robo-advisors are an affordable way to get financial advice. Costing roughly a third of traditional advisors, they use algorithms to help identify the best way for you to invest and you can start with as little as $1. Micro-investing apps also offer the user the opportunity to save and invest money in small amounts. They automatically round-up your card purchases to the nearest dollar and transfer the difference to a savings account.
Being careful with your money and taking steps to stabilize your finances is important at any stage of your life. In retirement, you have the time to take stock of your accounts, research any benefits that you may be due, and make regular savings. Once you’re on top of your money, you can then spend your priceless free time to do whatever you choose.