Here are 6 financial tips that will take you from early adulthood to retirement and help you create a road map for success. One of the most important aspects of your life is your financial life and how you handle it, from early adulthood to retirement will determine the quality of life you have. While money is definitely not the most important part of your life, it has the ability to affect almost every area of your life.
Financial Tips – Get Those Student Loans Paid Off!
With the cost of post-secondary education coming in at over $30,000, many students are unable to pay their way through school and therefore make use of student loans. While borrowing money for school is not the end of the world, they can affect your financial life for a long time. Good financial tips will suggest you work as hard as you can to get those student loans paid off as soon as possible following University.
Image Credit: Financial Tips – Trash To Cash on Amazon
Maintain a Good Credit Score
An above average credit score saves you thousands of dollars throughout the course of your life. From saving on car loans and mortgages, to helping you get a job (yes, employers do peek at your credit report), having a good credit score is important. Pay bills on time and don’t over extend yourself and you should be able to keep your credit score in the high range.
Avoid Using Expensive Credit
Expensive credit is the type of credit that lures you in by giving you “no payments for a year” and other promises like that. If you don’t manage to pay the debt in that time frame, you could be saddled with debt at well over 20% interest that will take you a long time to pay off. It won’t be nearly as exciting if that new couch or dining room set takes you 4 years to pay off!
Reduce or Eliminate Debt – Debt Free Living Interview on YouTube
Get Life Insurance
Usually it is sneaky life insurance salespeople that try to scare you into life insurance, but let’s face it – 100% of people die and you are either going to leave your family in good financial shape, or cripple them when you’re gone. The cost of term policies is so low that you can’t afford not to have some type of life insurance.
Compile a Financial Dream Team
You don’t have to look far to find professionals in the financial field including accountants, financial planners, insurance professionals and bankers. Build a team of financial professionals that can give you great financial tips and offer you professional advice on various finance related topics. Too many people make critical errors in their finances that could have been avoided if they had hired a professional to help.
Make Use of RRSP’s or IRAs
Registered Retirement Savings Plans are a great way of saving money and saving taxes. Start early and contribute to an RRSP on a monthly basis and you would be surprised at just how much money you could amass over a 20 or 30 year period. Get professional advice from a Financial Planner or other investment professional to make sure you purchase the right type of investment for your situation.
If you follow the simple guidelines above, you will be well on your way to a bright financial future, free of stress and mismanagement.
Do you have any financial tips that you would like to share?
By: Kole for Silver and Goren