You may be reading this blog at a very young age, but you’ll get old very quickly, trust me. Someday all of us want to relax and not have to focus on earning money every hour of every day. The best way to prepare for that time in our lives
Savings and investments are necessary for you to take full responsibility for your future. You provide for your future by accumulating enough wealth to take care of your needs independent of any other person or entity. You accumulate wealth by investing. You invest by first saving dollars for that purpose.
Simple Saving Rewards You can receive financial rewards by saving and by personal discipline! It isn’t easy to save! It takes a commitment to start saving and sticking to it. Something else will always be waiting to take your money. But no one else will save for you, so you
The Best Time to Begin Saving When should you begin saving? As early as you can. If you start at 25, and put away $25 a month, you could reach $300,000 by age 65. If you wait until 45, that $300,000 at 65 may cost $300 a month. Remember the
Compounding Year after year, any money you invest may earn interest, dividends or capital gains. When you reinvest those earnings, they help generate additional earnings; those additional earnings help generate more earnings, and so on. This is called compounding. For example, if an investment returns 8% a year and its
Start a Retirement Fund Now! Start a retirement fund. If you work for a corporation that has one, use the 401(k) plan. If employed by a firm with no pension plan, open an Individual Retirement Account. As a rule, both the contributions to these plans and the earnings are untaxed
Dusting Off the Piggy Bank Long-term investing is your best hedge against inflation, but you need to save in order to invest. This can be tough to do. Have you ever noticed that after you pay your monthly bills, buy groceries and cover your other expenses, you have little left
How To Save Set Savings Goals Start with 5-10 percent of every paycheck. It’s easiest if your employer deducts it from your pay because you don’t miss money you don’t see. You could also ask your bank to move it from checking to savings every month or make automatic investments
Ways to Make Your Savings Grow Faster! Put cash you don’t need right away in three- or five-year CD’s. If you need the money and have to break into the CD before it matures, you might pay a six month interest penalty. But that’s nothing compared with the penalty you’re