by Bianca Raven

Created on: August 23, 2008   Last Updated: November 01, 2008

Is it really possible to retire earlier than you thought, with more money than you imagined?

Of course it is! And I'm happy to show you how you can do it, starting today.

It's easier than you think!

Let's take a look at some very easy steps you can take today to make your retirement easier, sooner and better. We'll start small and work up to more aggressive options.

1. 401k Fund

The 401k (or sometimes called Superannuation fund) is often the only retirement plan many people have. But will it be enough to allow you to retire early? In almost 90% of cases, the answer is no.

So what can you do to boost your retirement savings?

Ask your employer to deduct an extra amount of money from your salary each pay and add it as a voluntary contribution to your fund. Even a small amount of money, like $10 or $20 per pay-packet, can have a massive impact on the total amount invested.

2. Savings Plan

This might sound like a pointless option to many people - but there is a reason for including this option.

Can you find $50 per pay-period to put aside into a high-yielding interest savings account with your bank? It might not be a lot of money, but you will be surprised how quickly the power of compound interest can grow your tiny amounts of money into a healthy nest-egg!

All you need to do is remember to keep putting small amounts of money into that account on a regular basis. The interest will start to accumulate and grow, adding to your funds, and it won't take long to build into a respectable amount of money.

3. Passive Income Plan

When you retire, you will be relying on payments from your pension plan that will become your sole income. Once again, in many cases this will not be enough money to survive on and many retirees may find themselves still working long after retirement age has come and gone.

You do have the option of creating a small side-income before you get to that point. Your side-income could come from managed funds, dividends from a carefully selected share portfolio or even a small investment into cash bonds.

If you stuck to suggestion number 2 and created a savings plan to build a core amount of money, you should find you suddenly have enough cash to invest into a safe, high-yielding option that could return a nice income for you when you need it most.

4. Gearing for Growth

This option is a little more advanced than the previous three - and I strongly suggest you seek professional advice prior to making any investment decisions.

The term "gearing" simply means borrowing money

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