The thought of entering into retirement empty handed is pretty scary.
If you are reading this then chances are you understand the importance of taking control of your financial future. You want to ensure that you have enough money to enjoy the golden years, and rightfully so!
In this article, we’ll take a brief look at some of the pitfalls associated with common retirement plans, and what you can do to ensure you have enough money to make ends meet throughout the golden years.
How “Secure” Is Your Retirement?
Most people think the best way to secure their financial future is to “go to school, get good grades and find a secure job with benefits”. But is this really the best way?
I’m not so sure.
That may have been a great idea in the industrial era, but this is the information age and times are changing rapidly. The “system” is failing people left and right, and job security is not what it used to be. Am I just being dramatic?
Let’s consider some relevant facts for a moment. For starters, the age in which retirees can claim the full benefit of social security is steadily rising.
According to Market Watch:
If nothing is done, the assets in the combined Social Security trust funds will be depleted in 2034, and benefits would at that point need to be immediately cut by approximately 21%
This sentiment is echoed by many experts in the field. The only logical way to counter the seemingly inevitable downward spiral of social security is to raise taxes or cut benefits. Neither option is pleasant.
Then there’s the 401K that most people are banking on, and assume is a safe investment. While it certainly is popular, and arguably about as safe as you can invest, it’s not perfect. Far from it in fact.
Like any market swing, your 401K is subject to huge fluctuations and can be wiped out practically overnight.
This is exactly what happened in 2008 during the global recession, where the average American lost 25% of their investment in a short period of time. Despite popular belief, many 401K’s have not recovered from this.
When referring to the 401K, here’s what The Atlantic had to say:
…if current trends continue between 2013 and 2022, the number of poor or near-poor 65-year-olds will increase by 146 percent.
I think it’s safe to say, relying on social security and 401K’s may not be your best bet.
So what can you do then? Read on.
The Internet As a Means Of Generating Income
Home based business is becoming more and more popular as time goes on, but there’s a lot of misinformation to sort through before you can ever hope to make it worth your while.
The online world does bring an incredible amount of opportunity in many different ways, but it also breeds a lot of scams.
I’ve purchased many programs over the years in an attempt to learn how to make money online. If there’s one thing many of these have in common, it’s how they promise “quick and easy” results. This industry is absolutely rife with misleading claims and downright scams.
Whenever (and I do mean whenever) you hear some ‘internet guru’ telling you it’ll be push button simple to make money online, run for the hills! Money is not made “quickly and easily” when you are first starting out. This is THE biggest thing you need to understand before you can ever hope to be successful. This is the cold hard reality I came to myself before I even made my first $1 on the internet.
Unfortunately, scams do more than just take your money. They turn many people off giving internet business a proper chance because (rightfully) they are fearful that “everything is a scam”. I can assure you, that not everything is a scam online. You just need to know where to look, and where not to look! They key to sifting through the rubbish is doing your research before buying anything, and to avoid buying into something based on impulse.
Once you find the right formula, it’s a matter of getting in applying what you learn wholeheartedly, and most of all, consistently. Like ANY business, it takes time to learn the right skills, to practice, to make mistakes, and to build a successful business.
Making Extra Money For Retirement Using The Internet
There are many ways you can go about making either some extra cash, or even a full-time income online. Some are simple, some complex, some require lots of money and some require almost zero dollars to start.
More importantly, some ways are better than others.
The way I make money myself, and what I believe is the best way, is through something called affiliate marketing.
The reason I love affiliate marketing, is because you can choose ANY topic you are interested in, it’s very simple to do, and the sky is the limit in terms of how much you can make. It is based entirely on the effort you put in.
How It Works
In a nutshell, you promote other people’s products through a simple website.
Building a website is not difficult either. Don’t believe me? I show people (live and over the shoulder) how it’s done in less than 60 seconds here.
Once you have your site setup, you need to learn how to attract people to it through Google, Yahoo and Bing. How? You do this by publishing useful content on your website. You see, people are looking for useful content every single day, and Google shows this content in it’s search results for free.
You choose a topic you are interested in, which means you can easily write useful content for your audience. This is less about “selling” and more about helping people find what they are looking for.
I’ll get to the money part in a moment, but let’s look at a quick example so you know what I am talking about.
Quick Affiliate Marketing Example
Let’s say you love fly fishing, and started a simple website in this niche.
There are 100’s of topics you could write about and get ranked for here. But let’s say you did some basic keyword research and decided to write an article about “Fly Fishing Techniques For Trout”. Awesome.
You do some research and lean on your experience in fly fishing to write that article and publish it on your new site. You have followed the right steps, so you are confident that this article will rank in Google.
When it does rank, it will show up here:
That’s great, but why does all of this matter?
It matters because once you have an article ranking in Google, people are going to be clicking through to your website. When they do this, you have visitors on your site! And when you have visitors on your site, you can make money.
How? You promote relevant products and services on your site as an affiliate through free ‘affiliate programs’.
Amazon has a free affiliate program, it’s called Amazon Associates.
Anyways, all you need to do is place banner advertisements or text links on your site. A percentage of people who visit your site will click these ads or text links and a percentage of those will make a purchase. When they do, you get paid.
This is all tracked automatically so once you get it setup, there’s nothing to think about. You main job is just writing useful content to get people to your site. That’s it!
The end result is you making money on the internet and having enough money for retirement. This is a proven business model, Amazon pays out millions of dollars each year in commissions to it’s affiliates. And this is just one company. There are 1000’s of affiliate programs out there worth joining.
Once you understand the potential of this and how it works, you can set yourself up for a very profitable future online. Again, it does take some effort, but if you stay the course you can absolutely do this.
Where on earth do you start this?
There are many worthwhile blogs to learn from, and some great programs too. I personally learned how to make money this way through Wealthy Affiliate which is free to get started with. They even give you a free website to follow along with the training videos which is very helpful.
There’s also a Premium option for $49 per month, but this isn’t required and if you feel like it’s not for you, you can keep your free site for as long as you want. The great thing about this method is that the costs of getting started and building your business are very low, and the potential is very high.
Hopefully, you can see that there is potential to create an income using the internet. While I do believe the way I have shown is the best way for beginners to get started, it’s not the only way to make extra money. I run through some other worthwhile methods in this article.
Either way, it is possible to take a proactive approach and boost your income. By learning this stuff now, you can make sure you will have the kind of retirement you really want.