Budget Challenge: Retirement

I am having a pleasant time figuring out next month’s budget. I have set myself on an ambitious goal of setting aside more money for retirement by restricting my expenses.

I used to not actively set aside funds for savings and retirement, but lately I have been feeling really anxious about my future so I set aside some time to sit down and figure things out. One of the things I’ve realized is that I’ve been very concerned about my financial situation, not just for myself but for my family as well. So I have reexamined my budget set aside the minimum amount I needed to start my retirement savings.

It’s ambitious for my standards. 15% is still pretty sizable as I was forced to reallocate half of my budget for food and transportation to retirement savings. To be able to realize this I would need to do the following:

  • I will have to get creative and conservative with my food choices
  • I will have to rely a lot on public transportation too, and maybe also consider using my bicycle a lot more
  • I will also reconsider my miscellaneous and entertainment expenses (Netflix and other non-essential purchases)
  • I may need to do some freelance work for bigger things (like furnishing my bathroom, or a new air conditioner)

That’s really a tall task, but somehow I am enjoying the process because I know it’s a step on the right direction and I like the challenge. I just hope I’d be able to stick to it, as it stands I have very little allowance for deviations.

I hope it also gives you some ideas for setting aside money for retirement. Start as soon as you can, even if you just just got your first job. It’s one of the things I would have told my younger self because it would have made things easier for me down the line.

If you ever want to have get some tips on figuring out your retirement, you should check out Grit.ph’s article on building a retirement fund.

Have a great day everyone!

Photo by Anukrati Omar on Unsplash