Saving early and often
Everyone wants to give financial advice especially broke cousin Eddy, but today we are going to give solid time tested principles from our wealthy and senior population. Being that I am in my 30s with a wife and two kids I view it as a very important thing to make sure my finances are in order so I can provide for my family. We have all heard saving early and paying off debt is a smart thing to do but in this article we will cover what is recommended.
After reading over 100 books on finance and business I decided to ask some of our elderly clients what are the biggest secrets to financial freedom. Then I thought I would see what the Forbes 400 list recommended as their financial wisdom. Let me say that I do not think money is success - success comes from an internal happiness doing whatever it is that truly excites the passion within you. I heard success described last week as the people who know me the best respect me the most. That is a powerful definition of success.
65+ Financial Advice: Saving Early
With thousands of Medicare Supplement clients from every state across the country we figured we would begin asking our policy holders what their best piece of financial advice was. These are the answers we received:
- Saving Early and Often - this was highly recommended amoung most.
- Pay off Debt - being debt free is the best way to live. One man quoted, no man is free who carries a chain behind him.
- Don't use a credit card - stay away from credit cards they will take you farther then you want to go, keep you their longer than you want to stay and cost you more than you want to pay.
Most people age 65 or older seem to stay with the start saving early and live debt free philosophy. Most of the one that applied this principle are able to provide for themselves and their families just fine. They also tend to have helped their kids through college and some have even helped their grandkids!
Forbes 400 - Investment Advice To Heed
Saving early is recommended but there are some interesting traits to notice amoung the world's wealthiest:
- They state that creating wealth is easier than managing wealth
- Choosing the right career is more important than the right investment. The greatest source of wealth is your business not your investments.
- Staying married and not getting divorced is another solid piece of financial advice. The national divorce rate averages at 50% while the Forbes 400 was below 30%.
- 75% of the Forbes 400 list said the best way to build wealth is to become and stay debt-free. Saving early and not adding debt helps build tremendous wealth.