How to Invest $50 – $5,000 The Small Investor’s Step-By-Step Plan for Low-Risk Investing in Today’s Economy by Nancy Dunnan
As promised here is the first entry of How, this weeks review is on the, Introduction Chapter – Getting the Most for your Money.
The Introduction chapter included 3 charts, that I would like to share with you today, as well as the fact that it is never to late to begin investing and to get your financial life in order.
Chart 1 – Reading Your Goals – How Saving Can Be Fun
Goal Cost Target Date Months To Go Save Each Month
Ex. Vacation $1,000 7/1/2018 5 $200
Now this chart is very helpful, especially to keep with your financial goals for upcoming events. I found an app that does the same thing and pulls money from a specific account, Digit.
Chart 2 – The Rule of 72
The Rule of 72 is a quick and easy way to know how long it will take for you to double your investments. You divide 72 by the interest rate and you will determine how many years it will take to double your money.
Ex. 72 divided by 7% is 10.30 years.
Chart 3 – The Ten Dumbest Mistakes People Make About Money
- Being Ashamed to Invest Small Amounts
- Having Inadequate Emergency Savings
- Leaving Cash in a Bank Savings Account
- Operating Too Many Accounts
- Confusing Income with Appreciation
- Avoiding Financial Goal Setting
- Failing to Diversify
- Ignoring Savings Plans at Work
- Failing to Have a Will.
This final chart also had solutions for every mistake that you may have made. The goal is to mark by which mistakes you’ve made and follow through with the solutions. I did not include the solutions, but I will if you guys need me to.
Leave your comment down below and let me know if this was helpful information. I hope, like me, you are all working towards a stable financial future if not for yourself, for your family, and friends. Until next time TH*S readers, make sure to Read TH*S!