Archives for February 26, 2018

5 Tips to buying a mattress on a budget

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How long have you had your mattress? If it is at least seven years old, then it is probably time to get a new one, especially if you have not been able to sleep comfortably for a while. There are a lot of things to consider when buying a mattress, as there are many types and varieties.

It might feel confusing, but you need to understand that there is no one perfect mattress.  You just need to consider which model works best for you and your needs. If you are looking for the perfect mattress but you don’t want to spend a lot of money, check out the tips below.

  1. Do your research – before you go to the store and pick the first mattress you see, it would be smarter to do your research on the different kinds of mattresses. You will actually be surprised with all the information you will get. This is so that if ever you visit the store, you will not be overwhelmed by all the data and marketing talks you will hear from the store personnel. You don’t have to read all the information you will research, but arming yourself with basic knowledge is a good idea.
  2. Set a budget – since there are so many choices for you when it comes to mattresses, it’s better to set a budget and stick to it. Don’t worry if you don’t think you can spend a lot of money, especially if you did not plan to buy a new one but you had to because your old mattress is no longer comfortable. For sure, with the range of products available, you will be able to buy the model that would not just meet your needs but also be right around your budget.
  1. Check the online reviews – when doing your research, don’t forget to look at online reviews of the types of mattresses, and even particular brands that you are interested in. Find out how comfortable the mattress is, based on reviews of real people, and just the information presented by the manufacturers. Be on the lookout for models that have a reputation for getting bad reviews so that you can steer away from them and not waste any of your money.
  2. Know what your preferences are – once you’ve done your research, you can begin to narrow down the choices based on your own preferences. Buying a mattress is very personal, remember that you will be using it for at least five years so you want to get one that is truly worth it. If you are sharing your bed with a spouse or partner, find out what their preferences are so that you can include that when you start hunting for your mattress.
  1. Look for online deals – if you do not enjoy retail shopping, don’t worry as there are online websites that can cater to your needs. What’s great is that they often offer cheaper prices compared to physical stores. They can even have additional information, such as this website that compared Leesa and Tuft & Needle mattresses for those who are considering the two brands.

4 Tips That’ll Save Your Retirement

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We repeatedly are told to prepare for retirement during our working years. But what if that milestone is quickly approaching and you’re nowhere near ready? If you’re anxious about retiring, you’re not alone, but rather than fear what lies ahead, you can take steps to be prepared financially. Here are a few ways to salvage your retirement if you’ve been grossly neglecting it thus far.

1. Take advantage of catch-up contributions

Maybe you didn’t start saving for retirement early on and are looking at a somewhat paltry savings balance. You wouldn’t be the only near-retiree with that conundrum — the median savings balance among households aged 56 to 61 is just $17,000. But if your savings look somewhat similar, or you’ve yet to start saving at all, it’s time to play catch-up — immediately.

The good news is that older workers get the option to contribute more to tax-advantaged retirement plans than younger workers, so if you’re 50 or over, you can put away up to $6,500 annually in an IRA and $24,500 in a 401(k). Of course, you’ll probably need to cut some of your present expenses to hit the latter limit, but if you’re willing to do so, you can catch-up on savings in a relatively short period of time.

For example, socking away $24,500 for 10 years will leave you with an ending balance of $338,000 if your investments generate an average annual 7% return, which is more than feasible if you invest much of your savings in stocks. And that, combined with your Social Security income, could make for a reasonably comfortable retirement.

2. Plan on paying taxes

If you just read the paragraph above, you’re probably thinking: “Great, I’ll just max out my 401(k) for 10 years and have $338,000 to use as I please.” Not so fast. One of the biggest mistakes retirees make is failing to account for taxes, and if you have a traditional 401(k), you’ll have no choice but to give the IRS a piece of your savings once you start taking withdrawals.

Remember, the money you contribute to a traditional 401(k) or IRA goes in tax-free, but in exchange for that immediate benefit, you pay taxes when you’re older. That said, if you prepare for those taxes and factor them into your retirement budget, you’ll avoid getting caught off-guard later on. (Incidentally, there’s also the option to convert some of your savings to a Roth account, which will allow you to take tax-free withdrawals as a senior. However, doing so means paying more taxes up front.)

3. Knock out your debt

The scary thing about retirement is living on a fixed income. If you enter that stage of life burdened with debt, you’ll have less flexibility in spending your money. That’s why it’s crucial to eliminate as much debt as possible before bringing your career to a close.

If you’re carrying a credit card balance, cut corners in your budget to free up cash and use that money to chip away at the outstanding balance. If you still owe money on your mortgage, try sneaking in a few extra payments each year to knock it out by the time you’re ready to call it quits. Entering retirement debt-free will make for a much less stressful existence down the line.

4. Be willing to work in a different capacity

Many folks associate retirement with not working at all. But if you change your outlook on working, you may discover that you’re a lot less financially stressed than expected. Rather than discount the possibility of earning money as a senior, think about the ways you can do so enjoyably. For example, maybe you’re an avid baker or enjoy caring for animals. There are a host of hobbies you could conceivably turn into a business, and once you do, you’ll benefit in two ways.

First, you’ll have extra money coming in, which will buy you more wiggle room in your budget. But just as importantly, the more time you spend earning money, the less of your savings you’ll have to spend to keep yourself occupied. Talk about a win-win.

If you’re worried about retirement, don’t just resign yourself to a financially shaky future. Instead, use the remainder of your working years to make smart decisions that serve you well in the long run. At the same time, embrace the idea of earning money in retirement, albeit on your own terms. Collectively, you’ll be doing your part to minimize your stress both now and in the future.

The $16,122 Social Security bonus most retirees completely overlook

If you’re like most Americans, you’re a few years (or more) behind on your retirement savings. But a handful of little-known “Social Security secrets” could help ensure a boost in your retirement income. For example: one easy trick could pay you as much as $16,122 more… each year! Once you learn how to maximize your Social Security benefits, we think you could retire confidently with the peace of mind we’re all after. Simply click here to discover how to learn more about these strategies.