Finance

Actionable Tips for a Healthier Financial Future

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If you struggle with money, the thought of your financial future may be daunting. How can you build better finances for tomorrow when you’re cash-strapped today? The fact is that even small actions now can make a big difference later. Plus, the sooner you start, the sooner you’ll be on track to getting where you want to be money-wise. 561Levon-Finance provides actionable tips on finance and investing. Read on for some pointers.

Create a budget

A comprehensive budget is at the heart of any savvy personal finance plan. To make your own, start by tallying up all of your income and expenses. You can then see where you can cut costs. This also allows you to set priorities regarding where to divert your extra cash—for example, to pay off debts, to save, or to invest. After you’ve made your budget, stick to it with the help of expense tracking apps like Expensify or Wally.

Pay off your debts

From student loans to a mortgage, you may have multiple debts. So, which one should you pay off first? Equifax describes some approaches to debt. For example, you might start by paying the highest interest debt first. Another option is to use a snowball plan, focusing on paying the smallest balance of your debts each period. Once the one debt is paid, you can then take the money you were putting towards it and roll it into another debt payment.

Get a handle on your credit

Your credit rating helps to determine your eligibility for future loans, from home loans to car loans and more. You want to maintain a strong credit score, just in case you need to take out a line of credit. You can get a free credit report once per year to check your score and see how you’re doing. This also lets you identify errors in your credit report and dispute them.

Start investing your money

By investing, you allow your money to grow over time. There are many ways to invest, from bonds to mutual funds and stocks. Exactly where you should put your money depends on your goals. CNBC explains that investing goals are usually classified as immediate term, short term, medium term, and long term. For example, when investing for retirement, it’s advisable to put at least 90% into stocks. If you’re new to investing, seek professional help.

Consider real estate investments

Real estate is another savvy option for investing and a great way to diversify your portfolio. RedFin explains common options like investing in rental properties, fixing and flipping properties, or setting up real estate investment trusts. Examine the pros and cons of each option and consider where your interests lie before going ahead.

Set aside an emergency fund

While it’s smart to invest your money wisely, you should always keep a small emergency fund on hand. The Balance recommends keeping at least three to six months of living expenses on hand. This way, if unexpected costs arise, you can tap into your fund instead of turning to credit, which will saddle you with the added expense of interest.

Educate yourself about financial matters

Financial markets are constantly evolving and it’s important to keep up with changes over time. Cryptocurrencies are a great example of how innovation can impact the markets and influence investing. Stay up-to-date on the latest finance information by reading the news, following relevant blogs, and listening to podcasts. The more info you have, the better.

Starting to think about your financial future can be daunting, especially if you’re currently saddled with a lot of debt or bad credit. However, this is the first step in building a brighter financial future for yourself—and well worth it.

By: Carla Lopez of boomerbiz.org


For more content on investing and smart finances, visit the 561Levon-Finance blog.

Finance

Things to do before investing

Friends, family, and readers always ask me that question. What do I need to do to start investing?
The answers to this question will be a little unparallel.

The same way stocks grows in value and pay nice dividend is the same way a business can also go bankrupt or cease paying dividends. When I mentioned to look for business with value and business that has been around for century doesn’t always guarantee that you are 100% safe from volatility. Look what happen to GE. I believe you should approach the market with caution and be vigilant. Don’t put all your eggs in one basket. In investment the terms you need to know is “diversify”.

It’s important to informed yourself, I’m not talking about the daily news. The daily news can impact things also but that should be the least thing you need to worry about because the market have a funny way of responding to daily activities. Do research about the business you want to invest in. Your hard earnings should be investing in valueable assets.

You don’t have to do it alone if you don’t want to there is a lot of Investment manager out there. Most of them have that saying “we do better when you do better”. It’s a way of telling you that they want you to make money so in return they can make their own profit. If you are not comfortable doing that you can also pick stocks base on valueable research.

One other thing to keep in mind is that the younger you are more aggressive you might be while someone that’s over 50 will want to be very conservative.

The next step is you must have the money to invest. It’s unwise to invest money that you will soon need. When the time comes the market might not be favorable to sale in your portfolio.
So make sure you have some kind of emergency fund which can cover all your bills for about 90 days. Lesson one in the Investment industry is to never ever borrow money to invest because in this game there is never guarantee. Also keep in unlike the banks the money you Invest are not FDIC insured! So words to the wise, make your investments count and invest wisely.

Finance

Limit Order

If you have been keeping up with me and blogs you will see In my previous article I talked about different types of Investments. This is a follow-up and I also will be answering some questions. Investing is a lot easier to manage than one thinks. With commitments and fancy technologies this days you can let AI (Artificial Intelligence) do all the hard push for you.

There are a few terms that you will probably only hear from people wearing suits on MSNBC or Bloomberg business. Your casual friends don’t use them. Well I’m here to tell that they are available to all us and there is a lot of advantage in them today I’m only going to shed light on limit orders which involves both buy and sell

According to investopidia: Limit Orders
A limit order is an order to buy or sell a stock for a specific price. For example, if you wanted to purchase shares of a $50 stock at $50 or less, you can set a limit order that won’t be filled unless the price you specified becomes available.

Similarly, you can set a limit order to sell a stock once a specific price is available. Imagine that you own stock worth $75 per share and you want to sell if the price gets to $80 per share. A limit order can be set at $80 that will only be filled at that price or better.

Now keep in mind they have the Pros and Cons.
A limit order offers the advantage of being assured the market entry or exit point is at least as good as the specified price. The key word here is certainty.

Disadvantages of Buy Limit Orders does not guarantee execution. Execution only occurs when the asset’s price trades down to the limit price and a sell order transacts with the buy limit order. The keys word here is not guarantee.

Yes you can start investing with as little as $100
And you don’t need to pay money to invest as of last year I believe Charles Schwab was the first to vanquished it. It’s always important to set up beneficiaries.To get away from negativity you don’t have to share your investments idea with people that are not in that circle.

People ask me that question consistently how do I know what and when to buy?
It’s simple I’m always in buying mood because I’m a dividend collector. But you can check within your brokerage for trending stocks and most movers from there you’ll see what others are doing.

I will answer 3 more questions next Friday
Until then invest with confidence and responsibly.