Good day, I am a small business owner with a writing career.
Discover the secrets behind investing + habits that will transform your life.
7 Investments In Your 20's That Will Change Your Life
By now, everyone has seen the shocking images of rioters storming the capitol building yesterday, January 6, 2021. Americans invested in the stock market have many worries and questions about why the market is doing so well in a time of chaos.
Roth IRA, 401(k), traditional IRA, which one do you choose? My recommendation is a Roth IRA and there are many reasons for this. It is optimal to break down an IRA into four sections. How a Roth IRA earns interest, how to choose your investments, what you can control, and what you can't control. Let's dive straight into it.
A summary of four extraordinary economic thinkers. Adam Smith, Thomas Malthus, David Ricardo, and Carl Marx. Adam Smith fascinates me the most. His most famous piece of work is the "Wealth of Nations," published in 1776. He preached that money facilitates the exchange of commodities. When trading goods or services, it is ideal to exchange currency. Without an exchange of currency, trading goods or services would be a lot more complicated. How do people make money so they can buy goods and services? Income is made by working for an organization.
As promised in the final pages of 7 Investments In Your 20's That Will Change Your Life, I've compiled many of the most practical long-term investments into a bonus chapter based on a Nobel Prize-winning strategy.
Who is the greatest slugger of all time? Maybe you are envisioning Babe Ruth or Hank Aaron. I'm referring to a different type of slugger: Warren Buffett. I've learned a great deal from the chairman of Berkshire Hathaway (BRK-A),(BRK-B). Many credit Buffett as the most successful value investor of all time.
Many middle-aged adults find themselves questioning their career choice. Some even want to make a career switch. Commonly, I hear of middle-aged adults taking a swing at some type of real estate investment. New real estate entrepreneurs often try to flip a house in a few months' time to make some quick money. A close family member of mine did just that.
Successful Investors Live Below Their Means: Have you heard the saying before? The fact is, most people like myself hate to hear this because it sounds like taking all the fun out of life. I see a shirt at the store that fits me well and I like the design, why can’t I buy it? Because some guru told me to live below my means? Let's approach this concept in a more realistic fashion. Live within your means. It doesn’t matter how good of an investor you are, if you don’t have the capital to invest then you won’t see big returns. Since few of us are lucky enough to inherit money, win the lottery, or marry into wealth, beefing up your portfolio is dependent on education and practicality. The more you can save, the more money you can transition into your investment portfolio where you can make money. At the least, live within your means. Use Senator Elizabeth Warren's budgeting plan. 50% of your income for basic needs. 30% for wants and pleasures. The last 20% is used to set yourself up for success (investment money).
While the internet is a great place to learn about anything from advanced zucchini gardening techniques to literal rocket science…