These moves may help you build, protect, and enhance wealth.
Want a good start on retirement saving and building wealth? Start early. Now is the ideal time to do important things for your future. Too many women start too late and risk outliving their money as they grow older.
Invest painlessly. A woman who consistently saves a mere $90 a month starting at age 22 can position herself to amass $279,292 if her investment account returns a reasonable 7% annually. As your earnings increase, you will be able to contribute more. As you change jobs, roll your retirement savings over rather than cash them out. Cashing out will bring taxes and penalties and set you back.1
Attack debt. College loans and other forms of indebtedness should be addressed with more than minimum payments. As an example, directing $350 per month rather than $300 per month to pay down a $13,000 education loan at 8% APR will wipe that debt out 16 months sooner and save you about $2,000 in interest payments along the way.2
Look at disability insurance. If you work in a demanding occupation or lead a particularly athletic or physically active life, you need a way to replace some income in case you can't work. Many employers belong to group disability plans offering such coverage.1
Live at home if you can. If you are pressed for cash to save and invest you might find that extra money before 30 by living at home. Society may look at this as a regression, but it can encourage financial progression. A recent Fidelity study found that 21% of adults aged 25-35 live with their parents.3
I can help you find resourceful ways to begin creating wealth. Call or email me, because paying yourself first in your twenties could be the key to retiring well in your sixties.
1 USATODAY.com, "Millennials: building a nest egg at just $90 a month", June 7, 2017
2 Nasdaq.com, "Top 5 Money Tips for Millennial Women", September 11, 2017
3 Inc.com, "How Millennials Can Become Millionaires (Hint: Saving Isn't the Answer)," October 17, 2016