Financial planning is one of the most important elements in an individual life. We are often struck with planning the details but fell short because we do not factor in many things.
A financial and wealth creator will know how to plan the financial events and also create backup plans so that you do not deviate from your goals.
Every financial planner and wealth creator will give tips and pointers to plan your life in advance. Gone are the days when you save money in fixed deposits because inflation is eating up the money big time and you may have to look at a bigger picture after 20 years when you retire.
Tip # 1- Don't put your eggs in one basket
We have heard this a lot right because we want to ensure and invest in more than one investment areas to achieve consistent results. Normal instruments like FD can fetch consistent returns but the rate is fixed which means it does not adhere to the growing inflation.
Second, if you invest too much in risky bonds/mutual funds, you may end up facing a lot of troubles in making profits because the share may fell down or you may have to constantly monitor them to trade.
Advisors believe that you must opt for SIP (Systematic Investment Planning) to put your 'eggs' in different 'baskets' to yield greater returns.
Choosing and selecting fixed and floating interest based bonds is a decision best left to a financial advisor.
Tip # 2 - Keep An Emergency Fund
We often neglect that emergencies can come anytime. We better prepare for the worst and it's important to have an emergency fund. Put the money in an online account which pays you high interest OR certificate of deposit!
Tip # 3 - Start saving for retirement
Most important part is to start savings for your old age as you do not know how much you will live and what will be the status of your health and inflation. So, it's important to start right now and save more to retire happily.
Tip # 4 - Get a grip on taxes
It's highly important to get a grip on taxes and ensure you invest heavily to avoid taxes at this stage.
Tip # 5 - Take Care Of Your Health
Taking care of your health means you get additional cover and enjoy benefits to survive in extreme conditions.
Live a basic life whether you earn $1 or $1 billion so that it does not affect you. Take charge of your health and life so that you can build wealth easily.
If you are looking to save for a better tomorrow, Contact Mr. Dan Tiffin, who helps adults to plan and achieve their financial goals for the lifetime.
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