In the U.S., people in the middle class often live a comfortable life, but that doesn’t mean all of their needs are met. Certain things, like homeownership and healthcare, can still be major financial stressors for middle-class individuals. This is true of those who are still working and of retirees alike.

If you’re retiring in the middle class and want to continue to build wealth — either for your own goals or for your descendants — you have options.



Use a High-Yield Savings Account (HYSA)

While you should ideally have at least some money in investment accounts, based on your risk tolerance, chances are you also have some savings in the bank. But don’t leave your money in a traditional account — use a high-yield account instead. While this won’t make you rich on its own, it can help your money grow and lead to more wealth over time.

A high-yield savings account is a must-have for all. Whether it is for your emergency fund, your renovation fund, or your vacation fund, It is a secure and safe way to grow your money while preserving liquidity.

If you already have a high-yield savings account, check the rate and compare it with other options. If you find a bank with higher yields, you might want to make the switch as this can help your money grow faster.


Invest in T-bills or other Government Instruments

** Short-term T-bills for instance have become a desirable way to get a higher interest rate return with various lengths of time within the investment. For instance, a 4-week T-bill only locks up your money for 4 weeks and will pay a much better return than a 30 – 60 or even 90 CD in most cases.


Continue Working Part-time

** Don’t rust in retirement take on a part-time job or fulfill the passion and purpose you had to place on hold earlier in life. Financially, it’s a great way to keep building your nest egg and to find more fulfillment in your later years.

Plus, if you’re able to live on the extra money you can draw less from your retirement or investment accounts. This means the money in those accounts can continue to grow unhindered.


Live on 70%, Invest 30%

** Living within your means and putting as much money as you can working for you is the optimum goal.


Keep Diversifying Your Investment Portfolio

Just because you’ve retired doesn’t mean you should forget about your investments. If you want to continue to build wealth in retirement, review and diversify your investments every so often to ensure they’re meeting your goals. ** In the investment world we call that re-balancing.

** By spreading investments across a variety of asset classes, sectors, and geographies, and risk, one can navigate the ups and downs of markets with greater ease. Make sure your investments are spread out with correlated and non-correlated assets.


Article originally published by GoBankingRates 

Written By

** Additional edits within the article by Ric Bender

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