Kushe' Magazine Volume II December 2013 | Page 31

Retirement Funding and Investing: Put your money to work by earning interest in various forms of long-term accounts. If you haven't done so already, start funding your t a time retirement account. Consider a 401K plan when often available through your employer, cash most household fivalue insurance products and Individual Renances are being stretched the need to tirement Funds (IRAs), to name a few. Build equity in your home by paying down your effectively manage mortgage. Common investment vehicles inyour finances has clude mutual funds, bonds, unit trusts, stocks never been greater. Getting to grips with and shares. Always keep at least one funding your finances can be of huge benefit and the account that can be readily liquidated for emergencies. decision comes with many rewards. It can provide you with more free time to pursue Insurance: If you’ve worked hard to build a your interests and free up money to invest. comfortable lifestyle and firm financial footStart by understanding for you and your ing key elements of family, it’s simple to good financial manprotect it. Accidents agement. and disasters can and do happen. Seek information on different life, Practice Debt health and disability Management: Create insurance products to a realistic budget and protect your family’s cut unnecessary exability to maintain your penses. Pay off high-interest credit cards and income, relieve your family of the burden of loans. Stay focused on reducing your liabili- debt, and build a legacy of wealth. ties and building your long-term financial goals. Maintain an acceptable credit score by Effective financial management involves keeping tabs on your credit report and paying analyzing your present financial status, setyour bills on time. ting short-term and long-term goals and mak- A Getting to Grips with your Finances ing the necessary adjustments throughout your life to ensure financial independence. Budget: Working without a budget can leave Your likelihood of achieving long-term comfort and peace of mind will be based on the you mystified as your salary slowly disappears potentially leaving you empty-handed small steps you take now, to better underby the end of the month. When you create a stand your finances and manage your money. budget you see a clear picture of how much money you have, what you spend it on, and how much, if any, is accounted as disposable Authored by Leonard Davies of Aspire income. Financial & Management Solutions, London, UK 31