Travel nursing is a rewarding career and many individuals choose it for a variety of reasons. Like most health professionals, nurses spend the majority of their time taking care of others and not themselves.
However, if you are a travel nurse, it’s essential to start retirement planning as soon as possible. At the end of your time in the workforce, you want to make sure that you have enough funds to enjoy your retirement after many years of hard work and dedication to patients.
With that said, if you’re looking for retirement resources, this article is for you. Continue reading to learn more about nurse retirement and what you can do to secure your future finances.
Understand Your 401k Options
When it comes to retirement planning, one of the primary problems that travel nurses face is setting up a 401k. As you know, travel nursing usually involves working for various employers, which makes setting up a 401k difficult.
Since travel nursing isn’t a conventional job, some companies may not offer investment plans. Thankfully, nurses who work through Stability Healthcare don’t have to worry about that.
Once you’ve worked with us for one year, we’ll provide you with the details on our 401k plan and how you can enroll through our partner ADP. We have an incredible selection for you to choose from and we want all of our employees to secure their monetary future.
Retirement Planning for Travel Nurses
Now that you know that we offer 401K plan options to our employees, you can take the proper steps towards implementing your retirement financial planning.
Although we require one year of work before you can enroll into our 401k, there are other things you can do to ensure that you are protected financially. Below are a few suggestions:
Save 15% of Your Income
Even without a 401k, there are ways that you can jump-start your retirement planning. One of the smartest things to do as an employee is to pay yourself. Saving 15% of your income ensures that you’re putting away a nice nest egg.
In addition to a 401k, using a Roth IRA allows you to invest money that grows tax-free. The good news is, you won’t be taxed once you take the money out for retirement either.
Your objective should be to continually invest for retirement, even while you concentrate on other financial obligations— like paying off your mortgage. By implementing financial strategies that work in conjunction with one other, you can create a stress-free life after nurse retirement. Therefore, after 20 to 30 years of working, you could have a home that is paid for and a hefty retirement savings.
Tax-Deferred Retirement Plan: Yes or No?
When starting your nurse retirement plan, one of the primary decisions you’ll have to make is whether or not you want a tax-deferred benefit. Basically, Tax-deferred means that you won’t pay taxes on your income right now.
However, you will have to pay them on the funds once you withdraw it. It’s a big decision to make, but it’s one that you’ll have to choose carefully. If you believe you are in a position to pay taxes right now, then do so. That way you won’t have to pay the money after retirement.
On the other hand, if you have lots of financial obligations, you might benefit from saving money on paying taxes and waiting until you have a larger lump sum after retirement.
Retirement Financial Planning: Invest Long-Term
Retirement planning takes a lot of patience and willpower. One of the biggest challenges individuals face when trying to secure their financial future is the impulse to withdraw money from their 401k.
Things happen in life, and when they do most people panic and become riddled with fear and anxiety. In this state of mind, you might decide to pull all the money out of your 401k, which interrupts the consistency of your retirement planning.
It’s important to remember that investing is a marathon, not a sprint. So before you go tampering with your retirement money, make sure you have other savings funds set aside to help you in case of a financial emergency occurs.
Monetary difficulties are examples of situations when saving 15% of your income comes in handy.
Use Professionals to Help With Nurse Retirement
Sometimes it helps to have an expert financial advisor to assist you with your retirement planning. One of the biggest misconceptions is that financial professionals are only helpful to individuals with large salaries. However, people of all tax brackets can benefit greatly from a monetary advisor.
If investing and retirement planning is too big of a task, let an expert assist you. By doing so, you can ensure that you’re set at the end of your working years. Plus, it’ll provide you with someone who holds you accountable.
A financial professional can also offer tips on what you can do in the event of a monetary setback.
Travel Nursing Made Easy
Retirement planning is essential for securing your financial future. But if you’re at a crossroads in your career and need to find your next nursing job, Stability Healthcare can help.
Our free job search platform allows you to view jobs that pay your preferred rate. You’ll get interviews quicker through our platform and begin a rewarding travel nursing assignment in no time.
For questions about our services, feel free to call 855-742 4767. Also, check out our nursing reviews to learn more about how we’ve helped other travel nurses.