6 Things You Can Do Now To Maximize Your Wealth In 2017
When it comes to building wealth, one of the most important factors in achieving that goal is setting a plan. Millionaires usually don't just strike it rich through the purchases of a lottery ticket, it generally take hard work, following a plan and a proper investment diversification strategy.
Here is a checklist of 6 items you can do now to help make 2017 your best financial year ever.
#1. Pay Yourself First
When it comes to building wealth, you have to pay yourself first. Can you save 20-25% of your net take-home pay? Strive for that goal in 2017. Even if you just notch up the savings by 1% that can make a significant difference over a 20-year period.
#2. Define Specific Financial Goals And Set Dollar Amounts
Studies show that investors who set out specific financial goals are more apt to actually reach their goals. Whether your financial goals include, saving for retirement, stashing cash for your kid's college education or wedding, buying a vacation home or an exotic vacation be specific and write them down.
Instead of just "saving for retirement," define your actual goals. Example: "Retire by the time I'm 62, with $1.5 million in savings and live on a beach." Attaching a dollar amount, and a time horizon to the goal can help you develop a plan to actually meet that goal.
#3. Get Professional Advice
You wouldn't attempt to do surgery on yourself, you'd find the best surgeon available. Financial planning can be complicated. Smart investors lean on professionals who follow the markets every day for advice and counsel. At Blanchard and Company, we work with our clients for the long-term, building relationships that last decades. Each client is assigned to a portfolio manager who takes the time to listen and understand your long-term investment goals, your time horizon and risk tolerance. Relationships matter at Blanchard.
#4. Rebalance Your Portfolio At Least Once a Year
Many investors often forget to rebalance their asset allocations at least once a year. Here's what that means. Let's say an investor has a 60% allocation to equities, a 30% allocation to bonds and a 10% allocation to physical tangible assets like gold and silver bullion. The recent rally in the stock market likely means that your equity allocation now exceeds the 60% level and your portfolio may be exposed to more risk than you intended.
Take the time now to examine your current holdings and make adjustments to ensure that your portfolio still matches your target percentage allocations. Within your tangible assets allocation we have identified an asset allocation strategy that offers the best performance after five years. That includes exposure to numismatic rarities, mint state gold and bullion and investment grade gold. Learn more here.
#5 Make a Commitment to Stay Educated
Smart investors stay informed. Economic and financial market expectations have shifted dramatically over the past month. Many on Wall Street are now pricing in forecasts for faster economic growth and higher levels of inflation. However, there remains a great deal of uncertainty as to what types of proposals the new Administration will be able to enact and what their impact could be on the markets. At Blanchard, we offer high-quality market commentary, forecast and outlook several times a week on our website. Bookmark this page or sign up via our email newsletter to follow the analysis.
#6 Max Out Your Retirement Contributions Consider A Gold IRA
Did you get a year-end bonus? Instead of spending that on a trip to Hawaii or a new kitchen remodel funnel at least a portion of it into your retirement account. Fully fund your retirement accounts if possible. The experts say the number one thing you can do to improve your chances of meeting your goals is to increase your savings rate, and let the power of compound interest and time work in your favor. Individuals can contribution up to $18,000 to your 401k, or $24,000 if youre over age 50, in 2016.
IRAs are easy with Blanchard: Many clients who are concerned about the purchasing power of their retirement funds choose to open up a Gold IRA. The IRS does allow individual investors to own certain gold and silver coins in an IRA account. Blanchard and Company is proud to offer a precious metals IRA option of its own. Visit our IRA page here, where youll find a brief one-minute YouTube video outlining the procedure of establishing the account.
Its an easy 3-step process: 1) Verify or create your IRA; 2) purchase bullion; and 3) deposit the bullion with your custodian.
Following these simple steps can help you on your journey to achieve your goals. Best wishes to you and your family during this holiday season.