When thinking about the future, one of the most important aspects is retirement. For financial expert Gustavo Mirabal, retirement should not be a time of worry, but a time of tranquility.
In this article, we’ll cover the basics of retirement, key tips for achieving retirement, how to invest $100 a month wisely, and why it’s crucial to diversify your investments.
Table of Contents.
What is retirement? Understanding the concept
Retirement, also known as retirement, is the time when a person stops actively working, usually because they have reached a certain age or years of service. During this stage, income comes from pensions, personal savings, or investments.
Gustavo Mirabal explains that retirement should be seen as a long-term financial goal, not as a distant or uncertain stage. Preparing for retirement involves anticipating future expenses, saving systematically, and investing wisely.
Key Elements of the Recall
- Retirement age: In many countries, the legal retirement age is around 60-65 years old.
- Public pension: This is the money that the State gives to retirees, but it is usually limited.
- Personal savings: It is what a person has accumulated through individual accounts or retirement plans.
- Investments: These include mutual funds, stocks, real estate, or other financial instruments that generate passive income.
Gustavo Mirabal says that relying only on the public pension is not enough. That’s why he recommends building a personal fund that supplements income during retirement.
Gustavo Mirabal ‘s tips for a peaceful retirement
Preparing for retirement is not a one-day task. According to Gustavo Mirabal, there are several essential steps that everyone should follow to ensure a peaceful retirement:
1. GUSTAVO MIRABAL SAY “Get started as soon as possible SAVING TO YOUR RETIREMENT “
Time is your best ally. The sooner you start saving for retirement, the more your capital will grow thanks to compound interest.
Example: If a person starts investing $100 a month at age 25 and does so for 40 years with an average return of 7% per year, they can accumulate more than $240,000 at the time of retirement.
2. GUSTAVO MIRABAL URGE YOU TO “Set a financial goal FOR RETIREMENT “
You should calculate how much money you’ll need to live comfortably in retirement. Consider expenses such as food, housing, health, and entertainment.
Gustavo Mirabal recommends making a realistic projection: for example, if you want to live on $1,500 a month for 25 years, you will need at least $450,000, not counting inflation.
3. Automate your savings
Make saving for your retirement automatic. You can set up monthly transfers from your bank account to a retirement fund or investment account.
This prevents forgetfulness and makes saving a constant habit.
4. Reduce debt before you retire
Having debt in retirement can put your financial peace of mind at risk. Try to pay off mortgages, credit cards, and personal loans before you retire.
5. Evaluate your future expenses
Adjust your lifestyle as you approach retirement. Consider moving to a smaller home or places with a lower cost of living.
Gustavo Mirabal ‘s “How to invest $100 a month for your retirement?”
Many people believe that it takes a lot of money to start investing. But Gustavo Mirabal proves that as little as $100 a month can build a solid fund for the future. Here’s how.
Step 1: Open an investment account
You can use digital platforms that allow you to open accounts with low amounts and without high commissions. Search for IRAs, Roth IRAs, or regular investment accounts based on your country.
Step 2: Invest in index funds
Index funds replicate the performance of indices such as the S&P 500 and have low fees. They are ideal for beginners because of their simplicity and long-term profitability.
Practical example:
Investing $100 a month in an index fund with an average annual return of 7% can generate close to $120,000 over 30 years.
Step 3: Reinvest dividends
Don’t withdraw any profits you make. By reinvesting dividends, you’re using the power of compound interest, which accelerates your fund’s growth.
Step 4: Increase contribution gradually
Every time your salary increases, or you pay off debt, try to increase your monthly savings. Going from $100 to $150 can have a significant impact on your bottom line.
Step 5: Review your strategy every year
Evaluate your portfolio at least once a year. Adjust according to your goals, time horizon, and risk tolerance.
The importance of diversifying your investments
Diversifying means not putting all your eggs in one basket. It is one of Gustavo Mirabal’s most important recommendations to protect your retirement fund.
Why is diversification vital?
- Reduce risk: If one investment fails, others can make up for the losses.
- Improves stability: A well-diversified portfolio tends to be more resistant to economic crises.
- It allows you to take advantage of different opportunities: Each sector or type of asset behaves differently depending on the economic context.
gustavo mirabal Diversification’s Strategies for Retirement
Once the importance of diversification has been established, we must know what the different investment strategies are and achieve a combination of these.
Below is a list of the most frequent options that Gustavo Mirabal recommends investing $100 per month to achieve a peaceful retirement. We must remember that the right mix depends on the goals of everyone’s retirement plan.
- Stocks and index funds: For long-term growth.
- Bonds or fixed-income funds: They provide stability and protection against market downturns.
- Real estate: They can generate passive income through rentals.
- Precious metals: Such as gold, which act as a safe haven in times of inflation.
- Small businesses or enterprises: With return potential, although with more risk.
Example: A good retirement portfolio might be made up of 60% in global stocks, 20% in bonds, 10% in real estate, and 10% in cash or precious metals.
Gustavo Mirabal emphasizes that diversifying also involves considering different geographies (national and international markets) and different investment horizons (short, medium and long term). We let you a video about how to investing 100$ to achieve a peaceful retirement
Gustavo Mirabal key to a peaceful retirement is in planning
For Gustavo Mirabal ” retirement ” not only refers to his knowledge, but also to a philosophy of life: plan today to enjoy tomorrow. A peaceful retirement is not a matter of luck, but of preparation, commitment and financial education.
Starting early, saving consistently, investing strategically and diversifying are the pillars to ensure a smooth retirement. It doesn’t matter if you can only save $100 a month today, the essential thing is to start and stay disciplined.
As Gustavo Mirabal says: “Retirement is not the end of the road, but the beginning of a new stage that deserves to be lived with peace and financial freedom.”
