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Abstract

5zYm2xrw.png"><figcaption>Image Credit — NinjaPiggy.com</figcaption></figure><h1 id="86e6">Emergency Savings</h1><p id="688d">Having an emergency savings account is a critical component of any sound financial plan.</p><p id="5b1b">Financial experts suggest you have enough money saved to cover six to eight months of expenses.</p><p id="a10f">This emergency fund is to be used in case of a loss of job, injury or large unexpected financial obligation.</p><p id="a35f">For most people it takes years to fully fund an emergency savings plan, and there’s nothing wrong with that.</p><p id="1f54">However, it requires discipline and regular contributions to boost your emergency fund.</p><p id="ed22">The best course of action is to seek out a financial institution that offers savings accounts that pay interest on the money in your account.</p><p id="f5c1">That way, your savings can generate revenue while parked in your emergency account.</p><figure id="6b63"><img src="https://cdn-images-1.readmedium.com/v2/resize:fit:800/1*r4IdypmlaqyGjhZzAE622w.jpeg"><figcaption>Image credit — District Capital Management</figcaption></figure><h1 id="0351">Retirement Savings</h1><p id="80a6">The world of retirement savings can be tough for a lot of people to navigate and intimidating to fully delve in to.</p><p id="4e63">Unfortunately, many people shy away from saving and investing for retirement and put off contributing to a retirement account.</p><p id="7ea1">There are several different types of retirement accounts that you should consider when planning for your financial future.</p><p id="dde4">Individual Retirement Accounts (IRAs) are among the most common form of retirement vehicles.</p><p id="c378">For those who qualify and who don’t have access to a 401K that matches contributions, a Roth IRA is often the best form of retirement investment.</p><p id="b7cc">Retirement savings can take many forms within an IRA.</p><p id="8ea7">For those who prefer safe investments can put the majority of their money in cash or bonds.</p><p id="7012">For those who have a long way to go until retirement and who can afford a bit of risk can invest in individual stocks and mutual funds within an IRA.</p><figure id="1a88"><img src="https://cdn-ima

Options

ges-1.readmedium.com/v2/resize:fit:800/1*b61p_iolrCKLrviC7anSOw.jpeg"><figcaption>Image Credit — Fit Small Business</figcaption></figure><h1 id="b7d8">Do Your Homework</h1><p id="f3d1">Before opening an IRA, which can be set up easily at an online brokerage firm, you should familiarize yourself with your retirement investment options and explore your own investing style.</p><p id="a7de">However, I always suggest consulting a professional financial advisor, preferably a fiduciary, to explore the savings and retirement options that best suit your needs.</p><p id="0c56">There are many savvy financial contributors here on Medium.</p><p id="487b">If you are one of them, or if you’d like to recommend one, please share your thoughts in the comments.</p><h1 id="27b3">More Reading for More Money</h1><div id="aec4" class="link-block"> <a href="https://medium.com/@kris.lee.becker/3-easy-stock-trading-tips-for-bigger-returns-and-smaller-losses-1a052c3129cb"> <div> <div> <h2>4 Easy Stock Trading Tips for Bigger Returns and Smaller Losses</h2> <div><h3>Online trading can be very lucrative, if done correctly.</h3></div> <div><p>medium.com</p></div> </div> <div> <div style="background-image: url(https://miro.readmedium.com/v2/resize:fit:320/0*nslZlo2q3X4AYxz8)"></div> </div> </div> </a> </div><div id="b9e1" class="link-block"> <a href="https://medium.com/@kris.lee.becker/3-simple-tips-to-save-big-money-on-home-expenses-85407ad83be5"> <div> <div> <h2>3 Simple Tips to Save Big Money on Home Expenses</h2> <div><h3>Personally, I take cold showers in the dark.</h3></div> <div><p>medium.com</p></div> </div> <div> <div style="background-image: url(https://miro.readmedium.com/v2/resize:fit:320/0*o8pjUtuibXqBBw3k)"></div> </div> </div> </a> </div><p id="a677"><b>If you found this post helpful, please clap and leave me a comment.</b></p><p id="faf3">Thanks for reading!</p></article></body>

The Best Time to Start Planning for Retirement and Financial Emergencies

Please support my writing by hanging around this page for a minute or so, give a good long read and leave me a comment with your thoughts.

So when is the best time to start saving money for retirement, anyway?

For that matter, when should you start building an emergency savings account?

These are just two important personal finance questions that loom over the heads of many twenty and thirty-somethings who desire to secure their financial futures.

A simple, and probably predictable, answer to both of the above questions is — now!

The 8th Wonder of the World

The fact is, the sooner you start saving for retirement, especially when investing in the stock market, the sooner you can take advantage of the phenomenon of compounding interest.

Compounding interest has been called by some as the 8th wonder of the world!

The longer you wait to start socking money away into a retirement account, the less opportunity your money has to grow and earn interest and dividends.

The beauty of personal savings, whether it is for an emergency or retirement, is that you can build both at the same time.

You don’t have to prioritize one over the other.

The point is to start putting money away now and not letting another day go by that you don’t have money put away for an emergency or your retirement.

Emergency Savings

Having an emergency savings account is a critical component of any sound financial plan.

Financial experts suggest you have enough money saved to cover six to eight months of expenses.

This emergency fund is to be used in case of a loss of job, injury or large unexpected financial obligation.

For most people it takes years to fully fund an emergency savings plan, and there’s nothing wrong with that.

However, it requires discipline and regular contributions to boost your emergency fund.

The best course of action is to seek out a financial institution that offers savings accounts that pay interest on the money in your account.

That way, your savings can generate revenue while parked in your emergency account.

Image credit — District Capital Management

Retirement Savings

The world of retirement savings can be tough for a lot of people to navigate and intimidating to fully delve in to.

Unfortunately, many people shy away from saving and investing for retirement and put off contributing to a retirement account.

There are several different types of retirement accounts that you should consider when planning for your financial future.

Individual Retirement Accounts (IRAs) are among the most common form of retirement vehicles.

For those who qualify and who don’t have access to a 401K that matches contributions, a Roth IRA is often the best form of retirement investment.

Retirement savings can take many forms within an IRA.

For those who prefer safe investments can put the majority of their money in cash or bonds.

For those who have a long way to go until retirement and who can afford a bit of risk can invest in individual stocks and mutual funds within an IRA.

Do Your Homework

Before opening an IRA, which can be set up easily at an online brokerage firm, you should familiarize yourself with your retirement investment options and explore your own investing style.

However, I always suggest consulting a professional financial advisor, preferably a fiduciary, to explore the savings and retirement options that best suit your needs.

There are many savvy financial contributors here on Medium.

If you are one of them, or if you’d like to recommend one, please share your thoughts in the comments.