My belief is that all women need to take control of their finances if they are going to have control over their future. In society in general there is not enough education around personal finances and investment. So it is up to us to teach ourselves how to best manage our money so that we can design a future that we love. What I have learnt over time is that a little really can go a long way when it comes to investing and multiplying our earnings for our future benefit. For example, you can turn a $100 monthly investment into $60,000 just using the magic of compound interest. Want the math behind it? See below:
Assumptions: $100 monthly investment with a monthly conservative estimated rate of return of 8% (Stock market average is 10%) over a 20 year period. (Source: Nerd Wallet)
In the final year of investment you would have earned over $35,000 in interest alone! Now that is what I call having your money work for you! What would an extra $60,000 mean to future you and your comfort and security?
Now I can already hear what most of you are saying, sounds great but I don't have an extra $100 per month to invest! I thought that could be a potential objection so I have put together some ideas for you to save or add a $100 per month to your income and divert it to your savings and future. Check out how to save $100 per month with these 10 tricks:
These are only 10 ideas to get you started which if you do more than one you can save even more than $100 per month. Want to know what investing more than $100 per month will look like for you? You can do the calculation easily using this online compound interest calculator available HERE.
So, now you have the money to invest, now what? What do you do with it, where do you invest it? I am not an investment expert and I don't claim to be, so I would suggest the first thing that you do would be to meet with a fiduciary financial advisor. Please take note of the underline on fiduciary as this type of advisor legally has to have your best interests in mind when giving investment advice and is not there just to sell you something to make a commission. This ensures that you get good investment advice made for you so please do consider this when seeking advice. There are also a lot of different online services that you can use that will automatically manage your investment on your behalf like Wealth Front, Robin Hood, and VanGuard with limited to no fees. But again, this is something where you should invest some time to educate yourself on and get some support before making the right decision for you and your circumstances. But remember, this will be one of the best investments you make as it will be in yourself.
If you want to learn more on the topic and in a way that can be easily understood without all of the financial jargon I would recommend the two following books from Tony Robbins. He has done the work for you by going out and learning from all the wealthiest and successful money managers and breaking down their strategies so that they can be used by the average citizen. I would highly recommend!
I really hope that you found this information useful and that you will take the time to invest in yourself and in your future in order to create a life that you love. I would love to hear your feedback on the topic and also love to hear about any other money savings ideas that you might have that we can all share in the comments below!
Design YOUR Life ~ Be Authentic. Be You. Be Sharp