Retirement Savings Plan - How To Start Your Own

Your future financial security is dependent on having a retirement savings plan. Where to put the money is not the issue. There are numerous choices of where to put your retirement savings. How to actually create the funds to put there is the question. Here's how to start one on your own, RIGHT NOW!

The old adage, Pay Yourself First, is without doubt, the best financial advice you'll ever get. If you don't pay you, who will? How do you manage that? Here's how.

Out of every bit of income that you make, immediately carve off 10% and put it in an account that you have designated for your retirement savings plan. This is more than likely a scary idea for those with debt and past due bills to pay. My advice? JUST DO IT! You will find that you CAN operate on 90% of the income if you decide you are going to. As time passes, you'll find you have adjusted to operating on less money.

The best benefit of this self created retirement savings plan is the financial security and peace of mind it gives you. You will find that you actually stop worrying about money. You will actually start sleeping better at night just knowing the cash is there.

Do you think the whole 10% is too steep a step to start with? Take a look at your cash flow from this point of view. Go over all of the suppliers you pay out of your herd earned money every month and get the idea that these suppliers are all on your payroll. Is there anyone you can fire and operate without? Is there anyone you can cut back to part timer status? Just look at the invoices that come in every month, and those automatic fees deducted from your bank accounts and you'll see exactly who is on your 'payroll'.

Here is an example. I was working with a company owner who was having a hard time cutting operating expenses back 10% to put away in his retirement savings plan. We looked at each expense from the viewpoint that the supplier was on his 'payroll.'

Suddenly we were playing a game of firing suppliers like the extra $9.95 per month third-party fraud protection on each of his credit cards. We cancelled the expiring contract on some advertising that wasn't bringing in much new business and found a more cost effecrtive alternative and saved $280 a month. We consolidated a portion of his debt to a low interest loan and saved over $300 in monthly finance charges. We sold a lease-purchase piece of equipment he had no use for and paid off the note. That saved him $239 a month. We even switched banks and moved his accounts to one with no monthly account charges and got the old bank off his payroll to the tune of $25 a month. Now he has a nice pension fund building up each month.

Why is it so important to be in control of the flow of money? Money is the energy and life blood of a business. It is vital to channel it through the income generating areas first to keep it running smoothly. Everything runs smoother when plenty ofcash is available. And that includes you, the business owner. The Money Management Solutions software guides you towards making the best possible decisions about how to use your money to generate more profits and build wealth.

Just by changing your viewpoint about how you use your business' income, you can make a fun game of building your retirement savings plan. Be the Donald Trump of your own company. Take a hard look at who you are paying out of your hard earned cash flow. Don't be reluctant to say 'You're Fired!' and pay yourself 10% first by putting that money away in your personal retirement savings plan.

Sandra Simmons, President of Money Management Solutions, has years of experience helping professionals and private individuals manage their income to eliminate debt. To find out about the Money Management Software she created, visit her website and watch the FREE 5-minute demo video at www.moneymgmtsolutions.com (http://www.moneymgmtsolutions.com)

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