Financial Friday #55: 5 Ways to Retire Early
The average age of retirement is 63 in Canada. But what if you don't want to wait that long? Below find 5 ways to retire earlier.  
🏡 Ways to Retire Quicker

1. Decrease your housing expenses.
Moving to a more affordable city can save you thousands per year, and with so many working from home, it's more attainable. Here is a list of the 20 cheapest cities to live in, in Canada.  

2. Work part-time.
Retirement does not have to mean you stop working. Choosing to work 2-3 days per week during retirement can provide a steady stream of income to ease your financial obligations and allow you to retire sooner. Finding work you enjoy and are passionate about can be financially and emotionally rewarding.  

3. Lower your retirement budget.
If your plan provides $6,000 per month during retirement, budget to spend less, allowing you to retire sooner.   

4. RRSP withdrawal.
The hidden costs and taxes to withdrawing your RRSP money can cost Canadians tens of thousands of dollars. Speaking to a financial professional or coach and creating a RRSP withdrawal plan can help you retire years sooner. Here are ten strategies to pay less tax in retirement.

5. Join the FIRE movement.
FIRE stands for Financial - Independence, Retire Early. It's a lifestyle movement with a goal of early retirement through extreme savings and investments, allowing money to grow faster. By dedicating 70% of income to savings, people can quit their jobs and survive off small withdrawals from their portfolios. Learn more about the FIRE movement here.  

📚 Resources
  1. 2021 Stock Market Update. On Tuesday, our team member Arian Beyzaei did a live MasterClass sharing how to prepare a 2021 stock market strategy. If you missed the class, you could watch the recording here.
  2. Canadian real estate defied all expectations in 2020. Sales records were obliterated in countless local markets, despite sky-high prices not seen since the 2014-2017 feeding frenzy. Read about the four trends that will shape Canadian real estate in 2021.
  3. Read more here.
  4. If you are planning to sell, renovating can sometimes be a good investment. The two main rooms to focus on are the washrooms and the kitchen. Here are 8 home renovations that add the most value to your home.
  5. Warren Buffett: How To Invest For Beginners. Learn tips and strategies to jumpstart your investments from one of the most successful investors of all time.
  6. How do Payday Loans work? Payday loans are short-term, high-interest-rate loans that you generally need to pay back within the typical two-week payday cycle. Are these lenders filling a need, or are they preying on Canadians who cannot borrow money from conventional sources?