Securing your future in uncertain times.


If we have learned anything from the recent economic recession it is that our money is not safe. We can work hard and save even harder just to see it all wiped away in what feels like the blink of an eye. It is important that we learn from what we have recently gone through in this decline so we do not let the economy get the best of us again in the future.

The importance of planning out your future is massive. It is vital that you determine what your goals are in order for you to be successful in reaching them. The first step in securing your financial future is to evaluate where you are right now. If you are unable to describe what steps you have taken to fight back against this recession then you have not done enough.

You should start your planning process by meeting with a financial advisor. He can help you understand the different investing options and the different risks associated with each option. The best plan for you will be a completely customized plan, it will depend on your age, your risk tolerance, your goals and your personal retirement plans.

Another good place to start working towards securing your financial future is at the workplace. Speak with a representative of your company and find out what different options there are for retirement plans. If your employer has a retirement plan which you can contribute automatically out of your paycheck, do it! This will keep you from ever seeing the money that you are investing and it won’t feel like you are paying a bill every month when you deposit in to your plan. You will quickly learn to live off of the paycheck minus your contribution and it won’t even feel like you are doing it. If your employer does any sort of matching program make sure that you contribute at the very least up to the amount that they match, it is free money they are giving you.

It is also important that you get started right away, do not delay the process of saving for your retirement. Even if you can only scrape together $50 a month to put in to an IRA it will be worth it in the end. It may seem like nothing now, but the earlier the better thanks to the power of compounding interest. Compounding interest is the ability of interest earned to earn money for you. Say you have $100 at a 10% interest rate. After one year you have $110. The next year you will have $121. You see how your interest earns interest? It is what makes investing while you are young such a great idea.

For those of us that are too late to start while we are young, or maybe we lost a large portion of our retirement savings when the stock market crashed, it is not too late to secure your future. Meet with a financial advisor as soon as possible to come up with an appropriate plan of action for you so you can still meet your retirement goals!

This post was written by

jason – who has written posts on Budget Clowns.
Father of three and married to a lovely women. Always looking for ways to save money, and invest it properly for my children's future.

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