West Palm Beach, FL – Smart money strategies aren’t more complicated than you think. They’re simpler! Here are some to consider:
- Ignore economic forecasts. They only keep forecasters employed. Most economists were blindsided in 2008 by the biggest financial collapse in 70 years.
- Ignore “expert” stock picks. The stocks that Wall Street experts like the most generally fare no better than those they like least.
- Keep it simple. Choose a simple, diversified portfolio of low-cost index funds, rebalanced yearly, as well as some long-term treasury bonds.
- Know thyself. Don’t pursue complex financial or tax strategies if you’re not a details person. Cut up your credit cards if you’re a shopaholic. Invest more conservatively if you’re apt to panic in a crisis.
- Protect yourself from disaster. Have disability insurance, either through work or directly. Buy term life insurance to protect your dependents.
- Save early, save often. Time and patience are the investor’s best friends.
- Make the most of what you have. Don’t pin too much hope on the next pay raise or stock windfall. The more we have, the more we want. The only way to have enough is to master the art of being satisfied.
- Plan for a long life. A third of your adult life could come after you’re 65. By the time you retire, try to have your mortgage paid off and at least 10 times your annual salary in savings. Delay taking your government pension for as long as you can (up to age 70) to maximize monthly payments.
- Pay off debt. Don’t carry a balance from month to month unless you’re planning to default and file for bankruptcy. Credit card interest rates are extremely high—partially to account for the borrowers who default.
- Cut the waste. There’s fat in every middle-class budget. Most cell phone bills are too high. Most cable bills are too high. Most people waste too much money on cars. Regularly eating out can bust your budget.
To learn more about how you can use your mortgage to accelerate your wealth, contact us today!
Ideal Lending Solutions is your premier home mortgage lender in Florida. At Ideal Lending Solutions you will work one-on-one with a dedicated mortgage professional who can explain loan programs and offer great mortgage rates to meet your financial goals.