Before you start building your retirement, most experts agree that there are several financial things you need to do before you start to invest.

First. Be sure that you have your current basic needs cared for. Typically, you should have enough money available in an emergency fund to cover unexpected situations: unemployment, injury, and death of a loved-one. How much should you have? That depends on your life circumstances. For example, if you are an Independent Contractor and are regularly moving between assignments, have enough to cover the “in between” plus 3 to 6 months’ worth of expenses.

Second. Invest in yourself first. Get rid of high-cost debt. If you carry balances on credit cards, pay them off as quickly as is practical.

Third. Learn about investing before you start. Learning as you go could prove to be very expensive.

Fourth. Develop a sound retirement plan. Investments are only one part of your retirement planning process. You’ve got to know how much you’ll need, how you’ll get that much, and what you need to do now to have the retirement plan you need. Need help getting started on a retirement plan?

Next, you need to understand why you need a retirement plan.

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