It does not matter if you are retiring in 10 years or 30 years; it is never too early or too late to employ methods for a more secure future. Everyone hopes to be financially stable during retirement, but even with a pension there are no guarantees. Use your home now to make sure you can live comfortably during your golden years.
1. Switch to Solar – If you are still paying the electric company every month for every bit of power you use, you are really missing out on the potential to save a lot of money. You could build a solar station yourself, or if you don’t want to have to pay for everything upfront there are companies that will allow you to use the panels if you sign a contract.
2. Rent Out Extra Space – Whether you have one spare room or an entire guest house, you can make some extra money renting it out. If you live anywhere near a university you will have no problem finding a student eager to rent an affordable room. If you are in a touristy area, you could offer overnight accommodations, even if it is only on the weekends or once a month. Put the money earned from this in a separate retirement account.
3. Overpay Monthly Mortgage – A lot of people assume they will be set in retirement because their house is worth a lot. However, if it is not paid off, you can’t rely on it to be a nest egg. Get in the habit of paying a little extra on your mortgage every month, even if it is only $20.
4. Refinance – Not comfortable paying a little extra money monthly? Refinancing is an option. Rates are great right now, so if you can get a lower rate you will not only reduce your bill, you will have extra to save.
5. Be an Entrepreneur – Working from home is more popular than ever and the opportunities are truly endless. Whether you are a stay-at-home parent willing to bring on a few babysitting clients, or if people have always told you that you should bottle and sell that special salsa everyone raves about, it is easier than ever these days to make it happen. Plus, if you work at home there is a lot you can write off when you do your taxes.