Each of us dreams of generating a retirement income that would help us to maintain our lifestyles and live comfortably without any financial worries.
If you are thinking about the same, then you should know the 15 ways to generate retirement income right here.
- Invest in Real Estate
You should invest in real estate when the prices of property fall and generate rental income from it. Though this means you might need to spend a few hours every week to review the financials, the effort is worth it.
- Try Real Estate Crowdfunding
Another thing you should try is to invest in is real estate projects that need financial assistance. In such a scenario, you can earn 10 percent returns without the headache of owning a place.
- Go for Peer to Peer Lending
You can join a lending club, help people who need financial assistance and earn a great return from it. Just remember not to put all your eggs in one basket and select more than one lending club.
- Dividends are a Safe Option
Buy stocks that have a decent dividend potential and have a good appreciation potential. Just remember that managing a lot of individual stocks could be a headache.
- Invest in a Business
Another option is to invest in a business or buy some part of a business that is doing good in terms of year on year growth. You can also start a business and be a sleeping partner if you don’t find a flourishing business to invest in.
- Real Estate Investment Trusts
If you don’t want to buy property or invest in developing real estate, you can invest in mutual funds that buy real estate. It is a reliable one among 15 ways to generate income retirement.
- Certificates of Deposits
People who want a safe place to stash their money can go for certificates of deposits. The high yield CDs may earn you 1 percent return.
- Invest in Bonds
You can also invest in bonds to generate income in retirement. Just be sure to keep an eye out for a downturn.
- Get a Part-Time Job
In case you don’t want to sit still in retirement, you can get a part-time job. Go for a job that interests you, not the one that you hate.
- Invest in Annuities
Annuities allow people to earn a steady stream of income, but before you invest in them, you need to understand them which can be a challenge.
- Stay Safe with Fixed Deposits
The safest one among 15 ways to generate retirement income is to put your money in fixed deposits and earn interest for it.
- Select a Profitable Hobby
If you have always been attracted towards watercolor paintings or the art of making candles, then you can turn this hobby into an income-generating practice with very little effort.
- Go for Retirement Income Funds
If you don’t want the hassle of managing your money daily, you can invest in retirement incomefunds where your money will be invested in stocks and bonds to help you generate income.
- Try Municipal Bonds
You also have the option of investing in municipal bonds. They allow you to have a steady stream of income from interest for a set amount of time and also let you get your entire money back at maturity.
- Rent Your Home
If you have a large home and your kids don’t live with you anymore, then you can rent a portion of your home to students or professionals and earn a steady income. Be sure to do a thorough background check for your safety.