What does investing mean
How does everything get so darn hard? You have probably thought this exact phrase about 10 or more different times on any given day.
If you have had an encounter with this question recently the good news is that there is an answer to this question and the answer is very simple.
These situations do come up on a daily basis and more often than not it usually has something to do with money or either that or it’s a situation that more money could fix.
You need money. It has become a universal fact. The more you have the better right? Here is the even bigger question. How do you get more money without sacrificing everything else in your life? You can work a ton of overtime or get a second job but then you are working and don’t have as much time. You can ask for a raise “But you already know how that’s going to go”. You can also go back to school so that you can earn more but that will take you at minimum 2 to 3 years and you will probably be able to talk someone into giving you a $2000 a year raise which equates to about $200 a month before tax.
So how do you prevent these dire situations from pushing you into the deep end? You Save and INVEST.
It’s so simple and also full proof. First saving always helps. Putting aside money that will help on rainy days is never a bad thing.
Investing is also the best way to insulate yourself long term from unforeseen emergencies. Now for you an investment would be more of a long term plan but, it would significantly impact the way your money would work.
Now let’s get a clear picture of what investing means.
- An investment is you taking your money and putting it into a vehicle (account) that will profit you money or a return over time.
- Putting your money into an account that yields positive interest to you as the investor.
These investment accounts do not include stocks. This is because as a hard working person like you are you do not have the money to risk on the bare stock market.
For you these investments would include Mutual Funds, UTMAS (uniform transfer to minors), UGMAS (uniform gift to minors) or an Annuity.
These accounts do not require huge chunks of money to start your account. It takes having the right information and the right financial professionals to be real with you and not suggest accounts and vehicles designed to make more of a profit from you.
Stay tuned next week for part II of investing
To get information on INVESTING, TIPS on money, Creating a budget, Saving, improving your Credit Score and ways to find out how you can get rid of your debt quickly, make additional income and get Financial Information and contact a Financial Coach leave a comment and we will be happy to help you.
Happy Friday for part II of INVESTING!!
See you next week
TK
