What are the top best places to invest retirement savings with good return on investment? I advice you read on to find the answers you seek.

Saving up for your retirement is essential. This is because in most cases, individuals who reach retirement age are no longer able to hold regular employment or do not have the capacity to generate regular income.

So this article will provide the top 10 best places to invest retirement savings in no particular order. However, it is important to note that the top 10 best places to invest retirement savings depend highly on proper financial education, execution, and account maintenance in order to maximize its potential for investment income. Without wasting your time, below are the top 10 best places to invest retirement savings.

Top 10 Best Places to Invest Retirement Savings

  • Savings account

Investing in a savings account is always a good idea. Start by saving up 5% to 10% of your regular income and increase the amount whenever you have some extra cash on hand. The upside of taking this approach is that when you reach the Federal Deposit Insurance Commission (FDIC) limit, it’s time to open another savings account at another bank. And choose banks that provide the highest interest rates (interest earned).

  • Government bonds

These bonds are either tax exempt or 100% secured by the government and as such, your investment is guaranteed to earn high returns at low risk.

  • Invest in the money market: This means slowly learning how to play the trade and/or stocks. Money invested here is high risk but has a potential for huge returns.
  • Set up a business

Setting up your own business means that you are not only creating an alternative source of income that is sustainable but also a legacy to be left for your family’s security. There are certain types of businesses you can start that won’t take up your time and can provide a steady return for you.

  • 401K

You have two options, pay the maximum amount allowable on your 401k, or opt for an amount that already requires the employer to share in the contributions. This way, your nest egg is bigger and you even get free money by way of employer’s contributions.

  • Buy a family home

A family home maybe used by a retiring individual or couple to qualify for a reversed mortgage. This allows homeowners who are of retirement age to make use of the equity in the home to earn regular income. The best part of this is the fact that for as long as the borrower/borrowers are still alive and do not violate the terms of the contract, the home will not be foreclosed.

IRA: You can choose from either traditional IRA that provides deferred tax growth a.k.a. pay only when you withdraw gains or the Roth IRA that allows tax free growth.

Health Insurance: This does not really earn you income but potentially helps you increase your savings. Think about it, a hefty medical bill can wipe out a substantial portion of your savings. Therefore opt for health insurance to avert such situation.

Invest in a home based internet based business: Reaching retirement age means you are growing old and may find it hard to go to and from work. However, you need something to do to keep your mind alert and your spirits up. A home based internet business maybe just the thing to keep your mind and body functioning at its peak, while still gaining knowledge and income.

  • Index Funds

This is a simple way to play the stock market. You only need to track a particular index and invest in that particular index. Oh and do it slowly but surely.

In conclusion, I want to state clearly that the top 10 best places to invest retirement savings listed here are merely general guidelines on how to make a proper investment with your money.

The key to success in investing is to properly understand whatever investment option you choose and of course keeping yourself fit and healthy to enjoy the investment game. Remember, financial intelligence is the surest key to reducing investment risk.