When it comes to money management and planning for the future, there are a lot of things you can do right—and a few things you can get wrong along the way. At Wealth Planning Corporation, it’s important to us that we help our clients understand the realities of planning for their future. Sometimes, this means breaking down the myths and common financial falsities that surround investing and financial management. As always, if you have a question about your account or you want to discuss your financial future with a professional, we are here to help! Contact Wealth Planning Corporation to get started with our intimidation-free introductory call.
Financial Myth #1: I have plenty of time to save for retirement.
As much as we wish this were true, it’s simply not. The earlier you begin to save money for retirement, the better off you’ll be—even if your contributions are smaller while you’re establishing your career. Without early investments, you are missing out on the power of compounding interest, which is an incredibly powerful tool. This compounding interest can make big changes out of small contributions, and what begins as a modest investment can accumulate significantly over time. Start investing as early as possible!
Financial Myth #2: I’ll save more later when I am earning more.
The hardest part of this myth is that it often requires some discipline and diligence. Making a plan on how to save AND spend your money is one of the most important things to do when it comes to managing your future wealth. Without a spending plan, it’s difficult to predict where your money is coming and going—which means the commitment to saving is harder and harder. When you think money is going out the door without your control, it seems difficult or even impossible to set funds aside for savings. Our Wealth Planning Corporation team can help you develop the plan and incorporate strategies for saving your money based on your current financial situation, including young people and Next Gen investors.
Financial Myth #3: I need to find that big investment so I can retire.
Looking for quick reward is a high-risk way to plan your future. Big investments that are made out of desperation for an all-or-nothing result overlook the reality of strategic investments and you can lose in a big way. The risk versus reward over a long time tends to turn out in the positive for most people, and long-term diversified investing is a smarter, safer, and more proven method for creating the future financial picture that you desire.
Our team is here to help you. From a quick phone call to our more in-depth annual reviews, we are always here to help you understand your personalized investment approach. Give us a call today to discuss your financial future or to help the next generation begin to build their own wealth planning conversation.