DALLAS — In recent years, the value of some assets like stocks and bonds have risen.
But how do you use your money wisely?
Here are five tips to get started.
You don’t have to invest the same amount each year to save for retirement.
That’s not how most people do it.
Instead, invest what you need every year.
If you have a retirement account, the best strategy is to use the funds to cover your other expenses, such as housing and medical bills.
That way, you’re not left with more debt and the chances of an economic crash are slim.
You also won’t have the opportunity to borrow against your savings to buy something.
If you’re saving for retirement, you might be tempted to do that.
But it could mean losing out on some of your investments.
“I think the key is not to have a lot of cash in the bank,” said Mike Hulsey, a managing director at Hulsh & Matson in Dallas.
“We’re very cautious with our money.
We don’t spend a lot, we don’t hold it in any form.
It’s a little like when you buy a car and drive it all the way to your destination, and the last thing you want to do is buy another car.”
You can’t get a lot done if you don’t plan for retirement as a major part of your plan.
That means keeping a steady stream of cash and checking accounts.
Most people start with savings in their early 20s.
But if you’re a retiree, you need to keep them up-to-date.
If they go bad, you may have to take on a lot more debt.
“You can have a couple of hundred thousand dollars in the retirement account and spend it on groceries,” Hulseys said.
And you can’t rely on your spouse to make sure you don the same.
“If you’re married, you have to do the same thing,” Hulssey said.
“But if you live alone, there’s no reason to do it.”
Don’t forget your savings accounts.
You can set up an automatic check to send to your employer each month to make up for any losses you may experience in the economy.
This way, if you lose a job, you won’t need to worry about paying it back.
Don’s also important to set aside some money for emergencies.
The National Association of Realtors has an online tool to help you do this.
“It’s an online system that you set up to get an emergency fund for you, so you can take your money and use it for your retirement,” said Karen DeGraw, an NAR executive director.
“And it’s a lot less risky than using your 401(k) for emergencies.”
The more you save, the more you can enjoy a lifestyle that’s better for your mind and body.
“The things you spend, the things you have access to, the luxuries you can access, that you don.
enjoy, will give you a great sense of well-being,” said Michael Hulscher, managing director of CapitalOne Wealth Management in Arlington.
There are some financial advisers who specialize in helping retirees save and invest money.
But they’re not as common as the people who want to buy a house and live a life of luxury.
Investing wisely is a skill that can help you stay ahead financially and emotionally.
“People don’t want to spend all their money on frivolous things,” Hullsey said, adding that they want to enjoy life.
“That’s the whole purpose of investing.
If your purpose is to get rich, then it’s not going to work.”
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