Ever wonder how the wealthy seem to effortlessly increase their fortunes while the rest of us toil away just to keep afloat? It’s not all about luck or inheritance; there are strategies and habits that set the affluent apart.
From investing to making and saving money, the rich have a different approach to money management. Let’s peel back their curtain to reveal key insights that can help middle-class folks tap into the wealth-building tactics of the rich.
Get ready to transform your financial mindset and learn how to make your money work for you! Not all these suggestions will work for your situation, but some will, so read them all.
1. Get a second set of expert eyes
To properly manage your money, work with a professional — it’s totally worth it. If you’re not doing this, you could be missing out on some serious financial gains.
A Vanguard study found that, on average, a hypothetical $500,000 investment over 25 years would grow to $1.7 million if you manage it yourself, but more than $3.4 million if you work with a financial advisor. That’s twice as much!
If you’ve got at least $100,000 in investments, check out a free service called SmartAsset. You fill out a short questionnaire and instantly get matched with up to three vetted financial advisors in your area, all legally bound to work in your best interests.
Even if you don’t want help picking investments, an advisor can help lower your tax burden, create a comprehensive financial plan for you, maximize your Social Security, and serve as a second pair of eyes to make sure you’re on the right track.
Please carefully review the methodologies employed in the Vanguard white paper, “Putting a value on your value: Quantifying Vanguard Advisor’s Alpha.”
2. Instead of paying your mortgage, get paid
You’ve spent years maintaining and building equity in your home. Now it’s time for your home to pay you back.
A reverse mortgage is an insured loan that lets homeowners 62 and older convert their home equity into cash, but without selling the home. Take the money however you’d like: monthly, lump sum or line of credit. Use it however you’d like: home repairs, bills, traveling or simply living a better life.
Your home remains yours. You hold the title until you die or choose to move elsewhere, provided you maintain the home. When you leave the house, the loan is repaid.
A reverse mortgage can make a huge difference in your quality of life. But they’re not for everyone, so it’s important to get more information. Also important: not all lenders are equal. Be careful who you deal with.
One lender that’s highly rated and happy to answer questions is Longbridge Financial. They’ve earned 4.9 of a possible 5 stars from Trustpilot and ConsumersAdvocate.org said, “By far the best online experience and tools among all the reverse mortgage lenders we reviewed.”
If you’re 62 or over and have equity in your home, it’s time to at least need to see what your options are.
3. Safely lock in 5.55% for the next three years
The clock is ticking. The government has said rates will start declining this year, and the interest on savings accounts and CDs is already starting to come down.
Now’s the time to lock in a high rate on your savings before it’s too late.
With a Gainbridge® SteadyPace™ annuity, you can lock in a guaranteed 5.55% APY — that’s four times higher than the national average CD rate!*
Not only does Gainbridge® SteadyPace™ provide higher returns, it allows for your savings to grow tax-deferred, making your money work harder for you.
Gainbridge® also offers the flexibility of free withdrawals of up to 10% in aggregate, beginning in the first contract year, with no hidden fees.**
Get started today and beat the banks at their own game! Click here for information about SteadyPace™ and lock in your 5.55% APY today.***
4. Protect your family and your future now
Here’s hoping your retirement years are active, healthy and vibrant, and that you’re able to function as you always have, right up until the time you shuffle off this mortal coil.
But don’t bet on it. According to the U.S. Department of Health and Human Services, 7 in 10 people who turn 65 today will probably need some kind of long-term care.
“But won’t Medicare take care of all that?” Nope. Medicare doesn’t cover long-term custodial care — and paying for it out of pocket could take a huge chunk of your retirement savings. That, plus inflation, could mean near or total depletion of your nest egg.
Without long-term care insurance, your options aren’t great: running through savings, borrowing money, burdening your family with your care, and possibly losing independence because you can’t live on your own.
One place to find long-term care insurance is GoldenCare. (Unless you live in the four states where GoldenCare doesn’t operate: Alaska, Florida, Hawaii and Washington.)
At least check it out and see if it’s a fit. Because planning now could mean a more secure tomorrow.
5. Protect your home from costly surprises
Home repairs aren’t cheap. Whether it’s a leaky roof or a broken appliance, your castle can quickly crumble and cost you hundreds, or even thousands.
Unless, that is, a home warranty company has your back. Example? First American will protect you from giant bills by covering everything from home appliances to electrical, plumbing, heating and cooling systems — even pools and spa equipment.
They also allow you to customize your plan, so you only pay for what you need.
When something goes wrong, just call First American, day or night. The company has a network of prescreened technicians and typically dispatches an independent contractor within 48 hours.
Hey, if you’re handy and like to repair stuff yourself, that’s obviously the cheapest route. But if that’s not you, a penny spent now could save you big bucks later.
6. Have this company help you pay off debt
Worrying about debt is probably the worst way you can spend your time, and paying interest and late fees is the worst way you can spend your money.
If you’ve got a problem, the sooner you deal with it, the better.
National Debt Relief is one of the most respected providers of debt relief in the U.S.
They’ve helped more than 500,000 people, are A+ rated by the Better Business Bureau and also are top-rated by Top Consumer Reviews, Top Ten Reviews, ConsumersAdvocate.org and ConsumerAffairs.
You simply fill out a form on the company website, then a debt coach will call you to learn more about your situation. If they can help you, they’ll set you up with an affordable plan that works for you — and give you an estimate of when you can expect to be debt-free. There’s no upfront fee and no obligation to get started.
National Debt Relief can help you with almost any unsecured debt, like credit cards, personal loans, medical bills, repossessions … even some student loan debt. Ready to start a new, happier chapter of your life?