Whether you’ve just begun working abroad or you’ve been an OFW for a couple of years, it’s never too early for retirement planning. For many overseas workers, the ultimate goal is to permanently live with loved ones without worrying about finances.
Past your career life, you may still have family members depending on you, or you may want to avoid burdening your children while in retirement. That’s when you’re going to need your savings. If you’re smart with money, you can even grow these savings into a lifelong income stream and leave a legacy.
Start turning all these visions into reality with these planning tips:
Know Your Post-Retirement Essentials
Everyone’s needs during retirement will be different, but a few constants in life will remain. These include food, housing, and healthcare. Future medical expenses are usually a top priority since they tend to increase in retirement. But if you’re still young, you can keep medical costs down by taking care of your health starting today.
Besides the necessities, your retirement expenses should include your wants in terms of travel or entertainment. Imagine the kind of lifestyle you want after your career, and make sure to save for a life that doesn’t sacrifice your idea of comfort.
Learn Real Estate Investing
Real estate can help you in many different ways during your retirement. You can fix and resell a property, buy a commercial unit and start a business, or purchase a home and grow your equity. The third suggestion is one of the ideal ways to get started in property ownership.
Buying a house and paying it off will prepare you for retirement. If you have your own home now, you need not worry about higher rent prices when inflation hits. Depending on its location, a house can also help you build wealth, especially when used as a rental property or resold some time in the future.
To maximize returns from your property, you should stay focused on location. It’s worth knowing that Cavite residential projects like Ara Vista Village will eventually see high real estate values. The village is near Metro Manila and Tagaytay City, so it’s set to become in demand among seekers of family homes or vacation houses.
Determine the Right Invest Mix
As you go deeper into investing, you may want to consider other money-making avenues, such as stocks and bonds, depending on the risk level you can tolerate. Your specific mix of investments should adjust according to your age. Remember that what would work in your 20s or 30s may not provide the returns you want when you’re in retirement.
Meanwhile, if you’re in a high-income overseas occupation, consider the investment advantages of having a business. No matter what age you’re in, running your own business can offer the possibility of earning unlimited income.
If you want to explore entrepreneurship, you can start small by running the business from home, which would lower the startup costs. If you have more capital, consider buying a shophouse in a prime and accessible location like Ara Vista Village.
Shophouses are flexible properties that can be converted into an office, restaurant, or store space to rent out. Today, you can find modern shophouses in Ara Vista Village, which are ideal for startup family businesses or expanding ones.
The 50-hectare village is a PEZA-accredited, Wi-Fi-enabled IT Park, providing a place for new business ventures and IT developments to flourish in Cavite. Included in the village’s array of top-notch facilities are the AMA IT School and AMA Medical School.
Automate Your Savings
Reach your financial goals by paying yourself first and automating the process. To pay yourself first means to save money before paying your bills, while automating requires setting up monthly transfers to your savings account. This way, you can put your money in the right places and avoid the temptation of unnecessary spending.
In the same way, buying a property ensures that a portion of your income is invested first. Once paid off, you’ll get savings in the form of home equity and own an asset that you can pass on to your children and grandchildren.
All these tips can help secure your retirement, but the most crucial step is to start saving now. Once you get enough cash reserves, invest early and stay invested.