Librado Wright has spent his life building a successful career and, though he specializes in sales, he uses the stock market to help build his wealth.
If you’d like to take a page from Librado Wright and invest in the stock market, that’s great, but you’ll need to prepare yourself first. The steps below will help:
1. Pay Off ALL Debt. If you’re in debt, investing in the stock market will only cost you money. Before you invest or save tons of money, examine your current financial situation, calculate the sum of your debts and pay them off.
Though there are many debt repayment strategies to consider, the one that could save you the most money is paying by interest rate. Look at a list of each of your debts and organize them from the highest interest rate to the lowest. This is the order to pay them off.
Start by allocating as much of your money as possible to paying off debt – this requires budgeting and cutting expenses – and then put everything extra onto your highest interest rate account. When that one is paid off, add what you were paying on it to your payments on the next highest interest rate account. This is known as snowballing payments.
Continue snowballing payments until all debts are eliminated.
2. Save, Save, Save. Once you’re out of debt, it’s time to save. First, calculate how much you would need to live for six months if you were to lose your job. This is your initial savings goal.
Calculate how much you can afford to save and put as much extra money toward reaching your sum as possible. Once you have saved your six-month amount, set back fifty-percent more for emergency expenses. For example, if you needed $12,000 for a six-month period, save an extra $6,000 for emergency expenses.
With this savings, you will be ready to face almost any financial situation that comes your way. Do not touch this money unless you need it.
3. Invest for Retirement. Once you’re out of debt and protected by a comforting cushion of savings, you might feel ready for the stock market, but there’s one more step: retirement savings.
The stock market is not a viable option as your only retirement savings. A 401k, traditional IRA or Roth IRA will allow you to begin putting money toward your retirement to protect you during your later years.
Work with a retirement expert to calculate what you need to save to retire comfortably and budget to put that money away every month. Place as much as you can into your retirement account and plan to need more than initial calculations suggest. Only after your retirement account is set up for regular payments are you ready to invest elsewhere.
Professionals like Librado Wright spend untold hours researching finances, the stock market and various investing options. Unless you’re an expert, or even if you are, work with an investing firm for the best chance of security and returns on your stock market investments.
If you’d like to take a page from Librado Wright and invest in the stock market, that’s great, but you’ll need to prepare yourself first. The steps below will help:
1. Pay Off ALL Debt. If you’re in debt, investing in the stock market will only cost you money. Before you invest or save tons of money, examine your current financial situation, calculate the sum of your debts and pay them off.
Though there are many debt repayment strategies to consider, the one that could save you the most money is paying by interest rate. Look at a list of each of your debts and organize them from the highest interest rate to the lowest. This is the order to pay them off.
Start by allocating as much of your money as possible to paying off debt – this requires budgeting and cutting expenses – and then put everything extra onto your highest interest rate account. When that one is paid off, add what you were paying on it to your payments on the next highest interest rate account. This is known as snowballing payments.
Continue snowballing payments until all debts are eliminated.
2. Save, Save, Save. Once you’re out of debt, it’s time to save. First, calculate how much you would need to live for six months if you were to lose your job. This is your initial savings goal.
Calculate how much you can afford to save and put as much extra money toward reaching your sum as possible. Once you have saved your six-month amount, set back fifty-percent more for emergency expenses. For example, if you needed $12,000 for a six-month period, save an extra $6,000 for emergency expenses.
With this savings, you will be ready to face almost any financial situation that comes your way. Do not touch this money unless you need it.
3. Invest for Retirement. Once you’re out of debt and protected by a comforting cushion of savings, you might feel ready for the stock market, but there’s one more step: retirement savings.
The stock market is not a viable option as your only retirement savings. A 401k, traditional IRA or Roth IRA will allow you to begin putting money toward your retirement to protect you during your later years.
Work with a retirement expert to calculate what you need to save to retire comfortably and budget to put that money away every month. Place as much as you can into your retirement account and plan to need more than initial calculations suggest. Only after your retirement account is set up for regular payments are you ready to invest elsewhere.
Professionals like Librado Wright spend untold hours researching finances, the stock market and various investing options. Unless you’re an expert, or even if you are, work with an investing firm for the best chance of security and returns on your stock market investments.