Preparing For Retirement? How To Make Your Money Work For You
If you are preparing for retirement and just beginning to realise that you might not have as much as you would like to retire on, you need to either start saving more or start making your money work for you. Both options are feasible, but saving more typically means working harder for your money. With that being said, most people like the idea of making their money work harder for them and that is what we are going to focus on today. Let’s get started:
5 Tips To Make Your Money Work For You
Here are 5 tips that will help you make your money start working harder so you will have more to retire on.
Eliminate Your Debt- the first step to making your money work harder is to have more of it. That means eliminating your debt and the high-interest rates that come along with it. Find out how much you owe, decide how you’re going to pay your debt and start chipping away at it.
Invest In A 401k- 401k’s enable you to invest for your retirement and get free money as your employer will match your monthly contributions. Each month, a portion of your pre-tax pay is invested automatically into the 401k. If you hit a certain percentage of contributions, your employer will also match you 1:1.
Invest In A Roth IRA- this tax-advantaged retirement account allows for incredible growth and savings and leverages your after-tax income. However, you’re not taxed on your earnings when you withdraw it at retirement age. Contribute as much as possible each year and look into an index fund such as the S&P 500 as well as an international index fund. Speak to an asset management professional who can help select the right fund for your specific needs.
Save Automatically- automate your finances and have money automatically deducted from your pay and deposited in a high interest-bearing savings account.
Use Target-Date Funds- target-date funds (or lifecycle funds) are a collection of assets that automatically rebalance and reallocate themselves as time goes on. This saves you the time and potential errors of choosing your portfolio mix. Target-date funds diversify automatically to be more conservative as you get older.
Contact Quadriga Asset Management
To learn more about London asset management service and how it can help your business grow and become sustainable, contact Quadriga Asset Management and speak to an asset management professional who can create a strategic asset management plan to suit your needs and the needs of your business.
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