We all make financial decisions, every day in fact. It’s only natural that some of our decisions could have been better. However, when bad decisions persist they cease to be simply bad decisions (or lessons if you like) and become major obstacles to financial success.
Here’s four potentially disastrous actions.
Delaying
We’re all tempted to delay saving for [...]
Have you ever heard the phrase “financial sense”?
While the phrase may sound awkward at first, possessing a head full of financial sense is just as important as common sense. Understanding how to save, spend, and invest is essential for financial success. Unfortunately, financial sense is not always the same thing as common sense.
Due to this [...]
If we can’t beat the market, what’s left? Well, we can cross our fingers, selecting individual stocks and fund managers in hopes that we’re making the right decision.
Or we can approximate the market’s returns by owning everything. There are several benefits to this approach:
You’ll beat approximately 85% of managed funds When the market goes up, you [...]
Most investors skip this step and billions are made thanks to their oversight.
Investors spend countless hours trying to find an angle to give their investments a boost. This hope persists because the financial industry invests millions spreading the myth that you can beat the market.
Unfortunately, beating the market is highly unlikely, especially over the long [...]
People often set money aside for retirement, but underestimate how much they need to save. Fortunately, figuring out how much to save isn’t too difficult.
How much will I need at retirement?
Experts generally agree that you can safely spend 2-3% annually of your nest egg. Anymore, and you significantly increase the risk of outliving your savings. [...]
This step is essential; it is hands down the most important, for this reason:
For every decade delayed, one must save twice as much.
This means if $1,000/month was enough in your twenties, you’ll need $2,000 monthly if you’re in your thirties. For those of you starting in your forties, $4,000 might be in order.
Once you pick [...]
A six-page pamphlet on building wealth, distilled into four simple, reliable steps.
A lot of people think financial success is complicated or difficult to achieve.
It isn’t.
Just as the recipe for staying healthy is simple—eat less, exercise more—the recipe for financial success is straightforward.
Spend less, & save more.
Few people find this fun or even pleasant, but it [...]
