Is investing for wealth the best way to make money? Many experts agree that it is.
- Saving for retirement may be old-fashioned
- Investing for wealth can be the key
- Investing offers many benefits
Is A Penny Saved A Penny Earned?
Although Benjamin Franklin is often credited with the saying, there is no evidence he coined the phrase, “A penny saved is a penny earned.” But what about the meaning behind it? Is a penny that you didn’t spend the same? Many millionaires today will tell you that it isn’t, and not only that, going the route of savings-only may not be enough to attain the level of retirement living you want to experience.
Earning money is the first step to saving enough for retirement. That sounds simple, but it makes a difference in your future earnings when you’re working a minimum-wage job versus something that pays a bit more to start. If you’re making more money, you may be able to save more money, and saving is the next step to meeting your retirement goals.
Saving money becomes sort of a game when you start to see your money accumulate. It can be addicting in a way to seeing what becomes of your money as it grows from each paycheck, bonuses, etc.
Investing money is the way most millionaires would suggest to make the greatest impact on your retirement savings.Through the power of deferral and compound interest, your money grows in a way you might not have originally seen as possible.
How Do You Do?
There are different ways to invest, of course, and one is not necessarily better than another. There may be higher rates of return over the long haul versus the short term. There can be environmentally more sound investments that help you feel better about yourself and your impact on the planet.
So if you want to invest in your future, specifically in your retirement savings and goals, what should you do? There are lots of options, but some of the wealthiest men recommend the IRA as the most powerful saving tool.
Investing for wealth is about more than just putting some money in the stock market, although that can be part of your equation. Investing for wealth means you’re looking to make your own money, that you can use in your lifetime, to help fund the retirement of your dreams.
You need to know what that looks like, first of all. Alpaca farm? Apiary? Riviera yacht cruises while you vacation in even more exotic locales than you’ve even ever dreamed of? Spend some time figuring out what you want, and then you can make the most of your investment opportunities.
Investing For Wealth With A Self-Directed IRA
So, you’re ready to put your future first, and have a strong inclination what you’d like your retirement years to look like. Maybe you’re just starting out and want to retire at age 40 instead of waiting until your 70s. But wait, you’re thinking, doesn’t everyone invest for wealth? The truth is that no, they don’t always go into it with a plan and then they don’t end up with the results they want.
Planning for your retirement can mean investing in those areas where you know best. And a Self-Directed IRA can help you do that with minimal fuss. You can make investments in literally almost anything – no life insurance, no collectibles, and nothing of direct benefit to lineal descendants. Anything else has been fair game.
A Self-Directed IRA LLC (SDIRA) is a type of individual retirement account that allows retirement investors to use their IRA funds to make alternative asset investments. Self-Directed IRAs are similar to traditional IRAs, but they provide more investment options to IRA holders. By using this retirement structure, you can diversify your investment opportunities and invest outside of stocks, bonds, mutual funds, and other traditional assets. You can still make traditional asset investments, but if you’re more comfortable investing in assets like real estate and precious metals, the Self-Directed IRA LLC allows you to do so. Ultimately, this diversifies the assets inside of your retirement account.
There are so many options for investing for future wealth that can be made with a Self-Directed IRA. In addition to the traditional investing options, such as stocks and bonds, a SDIRA provides more places to put your money. And these alternative assets can be what you know best. If you’re a Real Estate expert, you can put your funds in condos, hotels, multi-family homes, and much more.
Bitcoin and other cryptocurrency is another option available through the alternative asset power of a Self-Directed IRA. Other non-traditional asset examples, include, private equity, precious metals, such as gold, and venture capital investments.
Investing for wealth is important for future you, and for present day you as well.