If you, like most people, earn an average income, then you
might think it’s impossible to ever reach millionaire status. The fact of the
matter is, however, that you actually can become a millionaire…or at least get
pretty close…as long as you’re willing to be smart with your money and follow
some simple tips.
One of the best pieces of advice you can ever follow is to
invest your money and to start investing it early on. Really, if you can just
save 10 to 20% of your income each month and use it wisely, you’ll be on the
right track.
One smart use for the money you’re saving is to put it into
a Roth individual retirement account (Roth IRA). If you just let this money sit
there and don’t make any withdraws, it will reinvest its own dividend, and the
interest will compound. Your money can grow quite a bit over the years. In
fact, if you start investing into your Roth IRA at 25, invest about $458 per
month, and your money grows at 7% each year, you could expect to have a million
dollars by the time you reach age 63 and are ready to retire!
If you’d like to
have your money before you reach retirement age, then it’s as simple as
stepping up the amount of savings that you invest each month.Even if you can’t
quite save enough to reach that million dollar mark, some saving and investing
is better than none at all. To find the absolute best investment strategy for
your goals and budget, speak with a financial adviser who can provide you with
help and advice and get you started on a good “savings strategy.”
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