Times have changed, and so has the way we plan for retirement. Gone are the days when we could rely on pensions or social security to help us in our golden years. More than ever, if anyone wants to build a comfortable nest egg, a solid investment strategy is involved. As the years go by, everything we know about retirement is evolving. If you don’t create a flexible retirement investment strategy, it could hurt you in the long run.

As we head toward 2020, here are some investment tips that can help you save for the future.

1. Opening an IRA or Roth IRA

If you don’t have a pension or 401K to fall back on, a great way to save is by opening an individual retirement account. An IRA can help your investments grow over time with yearly contributions, and you can receive nice tax advantages. You can select tax-deferred growth with a traditional IRA, or tax-free with a Roth IRA. If you open your IRA through a bank trust, you can invest in stocks, bonds, or mutual funds and start pulling in long-term savings.

If you don’t want someone else running your account or you want a more hands-on approach, you can try self-directed IRAs. Doing this opens the investment pool beyond the traditional methods. However, by heading out on your own there are additional risks. Take time to carefully consider your path before choosing to try your hand at self-directed investing.

2. Get an Annuity

An annuity is an upfront investment with a guaranteed payout. It’s a contract between you and an insurance company that will become a steady stream of revenue for your retirement.

The growth is slower than other avenues, but you do get fixed payments over the duration of your life or the contract. Your fund accrues interest, tax-deferred, and you can withdraw them after you hit retirement age.

You can decide how to receive your payments. Unfortunately, though an annuity has its benefits, they can have hefty fees or taxation. While it can be beneficial, this shouldn’t be your only investment.

3. Consider Alternative Assets

Beyond the traditional stocks, bonds, and mutual funds there are many alternative assets available to you. These alternative investments offer different types of growth opportunities depending on your strengths and research. Try different strategies like real estate, promissory notes, precious metals, hedge funds, or much more. There are so many more options open to you, so why not take advantage of them?

Of course, you don’t want to just dive into an investment without any knowledge on the subject. Take the time to perform your due diligence and take advantage of the alternative options out there.

4. Construct a Diverse Portfolio

In the world of retirement investing, diversity is king. Having all your eggs in one basket is never a good idea.

To get the most out of your investments, it’s beneficial to have a mixture of different assets. Pair slow-growing, long-term investments with more high-risk options. A few safer options matched with some more daring choices. Create a balanced portfolio, where your money is allocated appropriately to protect your account growth and monetary future.

5. Expect the Unexpected

The future, if anything else, is unpredictable. Social security in the coming years is clouded with uncertainty.

Aside from that, you don’t want to rely on one single source of income: one IRA, one stock option, one annuity. Many unexpected things could happen with your health, your home, and your livelihood. As you plan for the future, the number you aim to accrue should take all of these factors into consideration. To live comfortably in your retirement, you must be prepared for all the twists and turns of life.

6. Weigh the Risks

As you compile your investment strategies and look at your portfolio, consider how much you are willing to risk. Balance your long-term growth plan with higher-risk investments.

Decide how much you are willing to put in and potentially lose on an investment and work around that idea. Don’t be overly cautious – but don’t jump right in. The best thing to do is do the research and find a threshold that works for you.

7. Plan for Fees

As you save for retirement, one thing many people don’t account for is the fees. Withdrawal fees, rental upkeep, fund management fees, UBIT, taxes, these are all general costs that will eat away at your retirement fund.

Look at the expenses that will hurt your bottom line. Do yourself a favor and shop around. Look for a reasonable custodian or financial advisor, don’t spend what you don’t have, and budget. Prepare for the taxes and fees you can’t escape, but also create a strategy so these charges don’t hurt your bottom line.

Create Your Personal Strategy

While these tips can certainly help you save up for retirement, keep in mind no two people are the same. We have different risk thresholds, investment knowledge, and life factors that will determine how we save. The important thing is to develop a successful strategy for your personal situation. Before investing consider speaking to a financial professional and get your retirement savings on track for a better future.