Have you been putting off saving money?
Do you think you should be saving more?
Accumulating wealth, no matter how old you are when you start requires:
- A long-term investment strategy.
- A commitment to seeing that strategy through.
- An understanding of your tolerance for risk.
As you go through various stages in life - having children, buying a home, raising a family and paying for college - your ability to set aside money will fluctuate. This fluctuation must be factored into any long-term accumulation strategy you develop.
People today are retiring earlier and living longer. Where the concern was once accumulating sufficient assets, it is now making sure those assets last a lifetime.
But you have other asset accumulation concerns too:
- Helping children afford college costs.
- Taking advantage of the equity markets without undue risk of loss.
- Managing cash-flow and debt.
The bottom line?
You need an effective plan to set aside money for the future. A plan that is consistent with your investment objectives, time horizon and comfort level, and will not jeopardize your current lifestyle.
Save early and often, and practice solid investment management - Asset Allocation.
Asset Allocation simply means you allocate your assets among a variety of investment choices to help protect against market ups and downs.
Investment funds can be allocated among a number of accumulation vehicles, including:
- Fixed annuities, which pay a guaranteed rate of return and accumulate tax deferred.
- Variable annuities, which allow you to choose how your money is invested according to your risk tolerance. Variable annuities also accumulate tax deferred.
- Mutual Funds, which allow you to accumulate money according to your investment risk tolerance. Most mutual fund families offer a range of conservative, moderate and aggressive investment choices.
- Life Insurance Cash Values, which accumulate tax deferred and which can be used to help pay for such things as college costs or to supplement retirement income.
- Stocks, bonds, money market funds, CDs, etc.
Where are you saving money?
Are you paying income taxes on your earnings?
Would you like to earn more?
The right plan can help protect against market fluctuations and may result in greater wealth over the long term.