The first part of the year is always a great time to overhaul your budget. I must admit, my husband and I intended to go through ours together a month or two ago. We haven’t really had a chance to do it so far, but I’m sure we will soon.
On a happy note, though, we’ve been extremely frugal so far this year. My husband was not working during the first several weeks of the year. At that time, we only had my income and it made us both a bit nervous about our finances. Therefore, out of necessity, we spent only what we had to and tried to keep our food budget low.
Of course, all of us should strive to do this yearlong. Still, your budget may not be the only part of your finances to adjust each year. Another area not everyone thinks about is investing. If you aren’t investing regularly, you should be. It can help you to have a more secure and comfortable future. Here’s how you can routinely invest your money.
Find the Money to Invest
Sometimes, finding the money to routinely invest is easier said than done. It’s easy to invest financial windfalls, tax refunds, or Christmas bonuses, but doing it regularly is a different thing entirely.
Fortunately, it can be done if you want a brighter future badly enough. Take a hard look at your budget and see where you could make cuts.
Do you have an expensive habit you could let go of or cut back on? Perhaps you go to the salon more regularly than you really need to. Or, maybe you could have a date night at home instead of going out each weekend.
The truth is that most of us have financial habits we could eliminate or adjust to save money. Look for those areas, make changes, and use the money to invest for your future. Alter your investment amount each year as your income and expenses change. Whenever possible, increase the amount you routinely invest.
There’s more than one way you can routinely invest once you find the money to build wealth for your future. Here are a couple of ways to consider.
Invest on Your Own Each Month
Add a line item to your budget for the amount you are able to invest. If you’re already knowledgeable about investing, put the money into the type of investment you prefer.
On the other hand, you might be a beginning investor. Luckily, you can learn about investing and still build up money for your future goals. You can read about it, hire a financial advisor, or ask a friend to help you. These are only a few of the avenues you can take to gain investing confidence.
To make it more likely that you‘ll routinely invest, check into monthly automatic deposits into your investment fund. Automating the process eliminates the possibility that you’ll forget to invest or use the money for something else instead.
Contribute to a Retirement Account Each Month
Many employers offer 401K plans or other types of retirement accounts in their benefit packages. If yours does, and you aren’t taking advantage of it, ask if you can sign up for it. This money is usually deducted from your earnings before taxes are taken out, which is an added benefit to you.
It’s also possible that your employer will match what you put into the 401K account, up to a point. That will help you build your retirement account even faster.
Use a Robo-advisor
What If you don’t have the option of a 401K and lack the time to learn about investing? Believe it or not, there are ways to do hands-off investing.
Consistent investing through a robo-advisor lets you grow money whether you’re a beginner or an expert. What’s more, most provide apps you can use on your phone to make it easy, convenient, and quick to routinely invest.
Minimum deposit requirements can be very low with some robo-advisors, which is another advantage of using them. Rebalancing is often done for you as well.
Obviously there are additional ways to invest and get investing advices that are not listed here. Nevertheless, you don’t have to settle for hit and miss investing opportunities. It is possible to routinely invest your money for a more secure financial future. You can take control of your money and make it happen.
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Do you routinely invest money for retirement or other future needs?