Retirement
Income
From a Home BusinessEnjoy exciting trips, have nice cars,
a dream home. Lucrative retirement income can be built
from having your own home based business.
Most people today retire with just their social security
checks. That money for most is barely enough to get by on
as long as they're healthy.
Many have retired thinking that the company would continue to
pay for their health insurance, only to receive notice after
they have been retired for a couple of years that the company
will no longer be paying for health coverage. Now the retiree is forced to
try and find health coverage at an advanced age and
limited funds.
Others have seen their retirement income disappear almost over
night with the plunge of the stock market, only to be told by
their young broker "don't worry, it will come back in 10
years."
Employment opportunities for senior citizens are quite limited.
Your choice is often between being a greeter at your
local Wal-Mart's or working at the fast food restaurant with a
bunch of teenagers.
How Much
Money Do You Need?
What will it take to have the dream retirement life?
To start, you will need to sit down and determine the
life style that you want to have for your retirement.
Then you need to determine what it would cost each year
to maintain that life style.
Next, the big question is "how much money do I need to save
in order to have a retirement income of (you fill in the
amount) per year?" To help you determine that, this CNN
income calculator will help you
(it will open in a new
window).
Home
Business Retirement Strategies
To use a home business for retirement income, you are not
limited to just building up the nest egg to live off of for the
retirement years. There are three basic
options: 1.Start a business to earn extra income during
the retirement years. 2. Build up a business and sell it.
This can be done before or after retirement and 3. Create
a residual /passive income.
Start A
Business
By having your own home based business in retirement you have
much more control over your income and time. There will
not be a boss dictating the work schedule. Income is
determined from the success of the business and not limited to
minimum wage. The business is an opportunity to do those things
that you enjoy doing. The chance to explore new areas of
interest.
Use the section on
Business Ideas to stimulate the thinking. It provides
a starting point on finding an area of interest. The
key is to make it something that you enjoy doing. It
should not be a chore.
Remember, a business can be started before retiring from a
job.
Start a
Business and Sell It
What you do here, is take a business, build it up, and then
find a buyer for the business. You then live off of the
proceeds.
The earlier that you can start the business, the better, for it
provides for more years to build the business up. The
sale of the business would occur at the time of the planned
retirement. Allow time for the sale of the business.
Before it can be sold, a willing buyer has to be found.
Planning should be done well in advance of putting the
business up for sale, to make the business as attractive as
possible to potential buyers.
A word of caution, to use this strategy, great care must be
taken in the selection of the business to start. Most
home businesses will be difficult to sell because they are
completely centered on one individual. The more that the
income of the business is dependent upon the relationship
between the owner and the customer, the more difficult it is to
sell.
Create
Residual / Passive Income
A
network marketing business is one of the best ways to
create this type of retirement income. You create a
residual income from the on going orders from the customer base
that you created and from the overrides from the team that you
built. This income permits you to take time off when you
want and even to stop work all together, and still have an
income.
These businesses can be sold, or even willed to others.
Many will use it to create a family legacy.
The major caution here is that you must take care in selecting
the network marketing company. Very important that the
company selected is one that will be around for a while.
To help insure this stay away from startups, they have
the highest failure rate, and give much consideration to the
product and it's long-term viability.
An
Internet business can also create some passive income,
particularly if you create a product that is sold by others.
A web site selling products can provide a business that
you can operate from almost anywhere, and that you can leave
for periods of time. A web site can also be sold.
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