Most people pay very little attention to their investing activity, and simply let their employer handle where their 401k and other retirement money goes. Knowing this information yourself is crucial, because without understanding investing and knowing the best places to put your money, you will never achieve your retirement goals and lifestyle.

Of course, without having a specific plan in place, investing is all but useless. First of all, you need decide what kind of house you want to live in, and the overall lifestyle you wish to live when you retire. When you know this, decide how much money that will cost you.

When you have all this information, only now should you begin exploring investing options. For instance, if you need $1 million in the bank by 2030, your investing choices will be different than if you knew that you only needed $300,000 in the bank.

The main point is to find out how much money you will need when you retire, and find the right investment vehicle for you to help get you there. Of course, this vehicle will be different for everybody depending on their retirement needs; there is no right or wrong answer to where you invest. You can invest in real state, the stock market, mutual funds, bonds, etc. It really doesn't matter.

When you invest however, remember that the bottom line is always about the numbers. This is the number one retirement planning tip that just about everybody misses. Believe it or not, most investors never look at the financial situation behind the investment they are considering.

For example, in the stock market, many investors will simply look at how a stock price of the company's doing, and jump aboard only because the price is going up. There may be no profits at all behind that particular company (in fact there often aren't) but they will still invest anyway, because their stock broker call them up and told them to.

Don't ever take this approach with your investing. Remember that whether you are investing in real state, the stock market, foreign currency, etc, it is always about the numbers in the financial situation. Before you invest, always look at the numbers and make sure there's profits in whatever investment that you are planning on doing, whether be real estate or to the stock market. This is probably the most important retirement planning tip you will ever get, because without knowing what the finances of the investment you are considering are like, you can never be certain it will make money.

This is by far the most important aspect of investing, and the only way to ensure long-term success. Don't ever jump aboard a particular investment just because someone hypes you up on it, gives you a tip on it, or because it looks good; if the numbers aren't there now, they likely never will be.

So to recap the process: formulate your plan, figure out how much money you'll need to achieve your retirement lifestyle, and then find the right investment vehicle to get you there. When looking for the right investment, look only at the numbers. Follow this important retirement planning tip, and you'll achieve the retirement you've always wanted to, no matter how lofty or ridiculous you think your goals may be.