Money & Lifestyle - how to retire rich & young.

Why is it that some people work really hard all of their life and end up with nothing and some people don't seem to work hard at all but are extremely wealthy?

The truth of the matter is that its not really about how much you earn but what you do with it. Rich parents teach their children something very different to that understood by the poor and middle classes. It is not difficult and anyone can be wealthy.

Lets have a look at the truth

If you have a job working for someone else or even if you are self employed, you are more than likely to be following the above 45 year plan. Very simply we all leave school, get into some sort of employment or trade. Our income starts off usually low but as our skills increase our income rises. After awhile our income levels out and if we are lucky enough to stay in employment all the way through we then retire at a round 65 years of age. Our income now drops to around a third of what we were earning and this is where many people struggle.

This is a sad situation as throughout the years we have been putting money into the tax system and into pension plans but most people retire with a very low income. We have worked to make companies and governments wealthy but neglected to look after ourselves.

Official figures show that on retirement:-

1% retire wealthy -

 4% retire financially independent-

32% are dead -

6% will still need to be working -

57% will be dependant upon the state -

Which group would you prefer to be in?

We all have a choice, if we take no action and allow fate to guide us we will either be dead or dead broke. Alternatively we can take some action and ensure we end up in the top 5 %.

Simple methods to be wealthy.

Up your income. Lets say we find a way to increase our income a little.

Possible we arrange some overtime, or we get a part time job, or even better we start a little part time business.

If we aim to make just 100 extra per week, (that’s less than 14.30 a day!) and we save it at a 10% return, just watch what happens over 20 years.

Year                 Amount Saved              Total Savings with Interest.

1                      5,200                                         5,200

2                      5,200                                       10,920

3                      5,200                                       17,212

4                      5,200                                       24,133

5                      5,200                                       31,746

6                      5,200                                       40,121

7                      5,200                                       49,333

8                      5,200                                       59,466

9                      5,200                                       70,613

10                    5,200                                       82,874

11                    5,200                                       96,362

12                    5,200                                       111,198

13                    5,200                                       127,518

14                    5,200                                       145,469

15                    5,200                                       165,216

16                    5,200                                       186,938

17                    5,200                                       210,832

18                    5,200                                       237,115

19                    5,200                                       266,027

20                    5,200                                       297,830

Just by saving a small amount everyday we have achieved an income of 29,783 per year. Possibly you may decide just to retire early.

   Another Example that may be easier for most?