Debt is nothing new to many young adults coming out of college. More often than not, and now more than ever before, young adults are graduating college with thousands of dollars in debt. It is important, therefore, that they have some sort of strategy in mind to get rid of their debt. Stonegate Financial is sharing some ways that young adults can start to pull themselves out of debt.
When you have a lot of debt, it can oftentimes be hard to save for retirement when you already under a lot of financial strain to make ends meet at the end of the month. Stonegate Financial knows that at the end of the day, after all the bills are paid for rent, electricity, car payments phone payments and more, there can be little to no money left to pay of the debt. Even though it may be hard and you might have to give up some of the things you like to do or extra luxuries, it’s important to pay off that debt as soon as possible.
The best way to do this is to start practicing good habits financially. Achieving smaller, more attainable financial goals is a great way to do this. Saving for a future vacation, a car, or a larger payment on your debt is a great way to start. Another way to plan for the future even with a lot of student debt is to maximize employer-matched benefits on 401ks, and gives you a lot of saving money for the future and for retirement. For more information about any of these strategies or anything else discussed, contact Stonegate Financial Group today.
Stonegate Financial knows that many young adults do not feel as if they should start saving for retirement. When these young adults graduate from college, the furthest thing from their mind is probably what they will be doing in forty years when they are retiring. After all, people at this age are usually just starting out in their careers and have not begun thinking about leaving the work force. Aside from this, it can be quite overwhelming to think about putting away money for retirement when you may be barely making ends meet after paying off loans, debts, car payments, rent, and other expenses. The best way to start saving for retirement is to do it in small steps that are still proactive but not too overwhelming.
One way to do this is to start out by making small contributions to your retirement funds when you are just starting out in the workforce. By this, you can assess how much money you will be able to put away without worrying about making ends meet. Any money that you can set aside at this time will certainly be beneficial in the long run. Then, as you start making more money in your career, you can boost the contribution that you are putting towards your retirement accordingly.
Stonegate Financial shares that the ideal way to increase your contributions is to use any bonuses or pay raises that you may get each year. You can take these bonuses and put that towards your retirement.
Stonegate Financial Group knows that when it comes to managing your lifestyle, the decisions you make are some of the most important factors towards your financial situation. Whether it comes to your choice of home, what automobile your drive, even things like how you spend your time away from work can affect your overall financial situation.
A home is not only one of the most important assets in a person’s life, but also represents a significant part of their lifestyle. Where and how you live is meaningful on many levels, and one of the most important is the financial aspect.
For example, take into consideration the size of your current home. Does it fit the needs of the family? Stonegate Financial Group encourages home owners to ask themselves if they could downsize to help save funds, or would more room be more beneficial? These questions are important evaluations that should be considered every few years, especially since the days when a steady increase in home value is not always a promise.
If your home is larger and the space is not needed, consider this: the cost of maintaining a larger home might free up some funds to put towards activities that you enjoy, things like any hobbies or even travel. Plus, there can be some additional upsides to downsizing. This can also free up some money to make investments that could grow your savings even more. When it comes to investing, trust the experts at Stonegate Financial. For more information about our services and ways we can help guide you along the path to financial freedom, please visit www.stonegatefinancial.com
Stonegate Financial Group knows that many people are curious as to how they can build income during retirement when rates are as low as they are. This is a very valid question and the answer must be preceded by information about what not to do. Investors can make the error of focusing on yields and increasing risk. This is meant to generate income from portfolios as rates fall. When rates increase, investors are vulnerable to significant loss of principal and this should be avoided by those who are conservative.
Having core bond holdings with high credit quality and maturities that are short to intermediate can increase both income and diversification. Having limited foreign bonds and preferred stock helps as well. Proper asset allocation can allow for greater income and appreciation, and result in what is known as a synthetic dividend with lower capital gains, since the portfolio is continuously balanced at regular intervals.
Like all financial plans, Stonegate Financial Group believes that all investors need to have unique plans that work best according to particular situations and a financial advisor can determine these through meticulous consideration that looks far beyond to the impacts of a plan in the short term. Taking these steps into practice will help to achieve greater success for the investor to be financially secure, which is an important step during retirement.
Stonegate Financial knows that when it comes to saving money for retirement, many individuals struggle. But with these easy tips and tricks, anyone can start making a better future for themselves today.
1. Start As Soon As You Can: Even though it may seem far away, retirement will be here before many are ready. Even for those getting close to the retirement years, it is never too late to start. As far as all those younger people out there where the golden years are the last thing on the mind, set money aside now to avoid scrambling and unnecessary stress later.
2. Treat Saving Money As A Monthly Expense: Stonegate Financial knows that saving money on a regular schedule can be challenging, especially when considering all the regular expenses of the month or even the year. This can also be even harder when certain luxury items entice buyers into spending what they consider their “disposable monthly cash.” Set aside some fun money every month, but don’t spend on extras until some is set aside for savings.
3. Try a Tax Deferred Account: By contributing into a tax-deferred retirement account, it will help you save money down the line. And if the amount is deducted from a monthly paycheck before taxes, it can help reduce the amount of income taxes owed on a yearly salary come tax-filing time. If you have enough income, consider increasing the amount you save. For instance, save money in an employer-sponsored account but also consider if you can contribute to an IRA and which one would be right for you.