Many people have major financial goals they want to achieve in life but they often feel like they do not have the means to achieve those goals. The reality is that they simply do not have a solid plan for achieving their goals. With a smart investment plan that effectively uses various investment strategies, you have a much stronger possibility of accomplishing your long-term financial goals. There are also helpful investment rules that can help you grow your financial resources rather than diminish them. However, if you are struggling with bankruptcy, then you may want to discuss this with a Tennessee Bankruptcy Lawyer with experience.
How to Make a Solid Investment Plan
Planning is the most important step you can take toward your financial goals, whether your goals are short-term or long-term. An investment plan is a guidebook for your most important financial goals. Each goal in this list must be something you have to invest in to accomplish the goal. Many people have investment goals like buying a car, a house, going to college, or saving up for future financial emergencies like medical problems or unemployment.
Once you have this basic list, you can start the process of calculating estimates of how much money you will need for each investment goal. A way to hold yourself accountable is by adding due dates for each of these investment goals, but make sure the due dates are reasonable and tailored to your unique financial situation. Placing unrealistic goals on yourself only creates stress.
This brings us to the next step, figuring out your budgeting plan. Without a budgeting plan, you cannot save enough money by the due dates you set, and your investment goals will remain unachievable. The first step in a budgeting plan is calculating your monthly income and how much money you have left each month after accounting for bills and any other spending that you may need to make throughout the rest of the month. Decide what spending you can cut.
Follow These Helpful Investment Rules
There are investment rules that might help you on the journey to your investment goals. They operate under the 120 rule for investing where you subtract your age from 120 then use the resulting number as the percentage of your money you should invest in stocks. Put the rest of this percentage into bonds.
For example, if you are 30 years old, this would mean you would want to place 90% of your income in stocks and 10% in bonds. However, this does not mean dipping into your savings account because you need that for emergencies. You may have to adjust this rule based on your specific financial situation to avoid losing money. Consider talking with a financial advisor before making any major financial decisions.
Talk to a Bankruptcy Attorney in Tennessee
Do not hesitate to seek advice from our legal team in Kingsport, Tennessee, and North Georgia if you have serious concerns about falling into bankruptcy. All you have to do is call Tom Bible Law today at (423) 424-3116 to speak with a Kingsport Bankruptcy Attorney for a free consultation about your situation. Our experienced Tennessee bankruptcy lawyers help people who are struggling financially in Tennessee cities like Chattanooga, Kingsport, and Tullahoma.