Retirement is defined as withdrawing from one’s position or occupation from one’s active working life. Although it is a relatively new concept, it has come into effect due to the increase in life expectancy. Although the average retirement age is 65, it is possible to retire when you have sources of income that do not have to be earned by working – meaning you can retire earlier.
Often used interchangeably, financial independence and retirement are both terms that are achieved when you have enough combined savings, investment income, and/or pension income to cover all of your living expenses for when you are no longer working.
There are a number of decisions to be made when it comes to your retirement and also your pensions, such as deciding whether to take a lump sum or an allowance. As such, when it comes to saving for a pension for your retirement or investing for retirement, it is important to know what options are available.
Understanding How Much Crypto If Any You Want For Retirement Funding
With the popularity of cryptocurrency on the rise, many are considering including some form of cryptocurrencies within their portfolio. Although cryptocurrencies have been on the market for more than a decade, it still remains a topic many do not fully understand. With a rise in investors recommending that cryptocurrency belongs within your retirement portfolio, it also leads to the question of how much crypto should one own within their retirement portfolio.
Check Your Budget
Cryptocurrency and its prices are very volatile, which is why experts recommend that only a portion of your retirement portfolio should be used to invest in cryptocurrency. What some may describe as play money, it’s essentially the money left over once you have paid for all of your other expenses. As a result, you are not using the money that you need for important things, such as bills or food supplies, and are only investing in cryptocurrencies with money that you can afford to lose.
Know What’s Available
Before investing in cryptocurrencies, it is important to see what is available and what is showing signs of growth. Ethereum, which is the second most popular form of cryptocurrencies to Bitcoin, has recently been turning heads with a rush of interest. When investing in Ethereum, you are betting that people are going to keep adopting and using new Ethereum-based technologies such as online gaming, music streaming in which the money goes directly to the artist, or art auctions without an auctioneer. As such, it might be worth considering investing in some cash to Ethereum, which you can do by using platforms such as Paxful.
Cashing In Currencies
At the time of this article, banks will not convert cryptocurrency into cash. Although there are a few projects available that are attempting to offer similar services, however, a few are very recent whilst others are still in their development phase. For the time being, the cheapest option is through exchange sites. To save you time in researching, there are a number of guides available which provide you with the tools on how to cash out your cryptocurrencies.
Disclaimer- Leisure Freak is in no way advising readers to invest in cryptocurrencies. Invest at your own risk. Crypto is a high risk investment scheme. This article is for information purposes only.