The 4 Basics to Master for a Successful Retirement, Ep #38 

<p>Davis Love III—a pro-golfer and PGA Champion—was interviewed years ago and asked, “How do you prepare for these tournaments?” He said, “When you see me play, everything looks natural….Day after day, Monday through Friday, preparing for a tournament, 95% of the time I work on the basics—the fundamentals of golf.” Every morning he’d practice the basics until he couldn’t get it wrong. You need to prepare for a successful retirement the same way: <em>master the basics</em>. Listen to this episode of Retirement Made Easy as I share the four basic strategies you need to master.</p> <p> <<<<<<<<<<<<<<<PLAYER CODE GOES HERE>>>>>>>>>>>>>>>></p> <h2>You will want to hear this episode if you are interested in...</h2> <ul> <li>[1:51] It’s time to master the basics</li> <li>[3:22] Basic #1: Live below your means </li> <li>[6:47] Basic #2: Stay diversified</li> <li>[11:06] Basic #3: Create a retirement plan</li> <li>[14:14] Basic #4: Prepare for the unexpected</li> </ul> <h2>Basic #1: Live below your means </h2> <p>If you’re saving for retirement, you need to live on less than you make. Most people haven’t mastered this basic concept. According to the <a href="https://www.newyorkfed.org/" target= "_blank" rel="noopener">Federal Reserve</a>, the average household credit card balance in America in 2020 was $6,270. While there were some extenuating circumstances in 2020, that’s certainly not living below your means (and the research including all household income levels). </p> <p>Living below your means is the basic fundamental of personal finance and is worth carrying over into retirement. You need to get your spending under control with a rigid budget. Living on a disciplined and fixed income in retirement is based on the lifestyle you want to have. This is extremely important to nail down and stick to. You have to be careful and committed to stick to your allotted spending. </p> <h2>Basic #2: Stay diversified</h2> <p>Having a checking account, a savings account, and a money market account doesn’t mean you’re diversified. Th