Many in the military are aware that they need to start
saving for their future; however many people serving our
Country have no idea where to start or how much they will
need. With uncertain economic times it is now more
important than ever you start investing young
Retirement is long way military personnel under the age of
30; however this is a critical time to start your financial
plan in order to retire young. And the sooner young
members in the military invest the easier it will be for
them to retire young. The simple lessons below will have
you on the road financial security and, equally important,
will allow you to fully enjoy life now. You can become
financially secure in the military while you're young with
some simple steps. The tips below will put you on the path
to an early military retirement.
1) Invest - Get that military paycheck working for you
immediately. The sooner you begin to invest the sooner you
can plan to retire young. By investing young you are able
to harness the power of compounding interest which is a
great ally in achieving your objective of an early
retirement.
'Compounding interest' is earning money from the profits of
your investments. So you're making money off money you did
not have to work for. This offers young military members a
tremendous advantage. In fact, investing as little as $100
per month starting at age 18 could make you a young
millionaire well before you reach retirement age. Plus it
will give you the ability to do the things you like to do
while keeping on track to retire young.
2) Consistent investment plan - Investing on a consistent
basis will allow you to generate long-term gains over time.
For most in the military this consist investing over time
may allow you to retire young. Start to follow a
consistent investment plan now; then as your investment
knowledge grows you can add other forms of high-return
investments.
An ideal investment for young military personnel ready to
retire young is low-cost broad market index investments.
Warren Buffet states, "A very low-cost index is going to
beat a majority of the amateur-managed money or
professionally-managed money." This is one of the easiest
investments you can make. An added bonus is that it takes
only minimal knowledge and about 60 minutes to start
getting your money working for you.
3) Diversification - Diversification lowers risk. If you
have all your money invested in the stock market, and the
market crashes, you could potentially lose a lot of money.
Now if you had a portion of your money invested in stocks,
some in real estate, some in businesses and some in other
alternative investments - if any one of the markets
corrects itself, you wouldn't get hit as hard since you're
diversified.
4) Tax benefit vehicles - By using investment vehicles that
give you tax benefits you'll be on the road to retire
young. A Roth IRA or other form of retirement account can
be a key investment vehicle that will allow you to reduce
taxes. Many people don't realize about 40% of your income
goes to pay taxes. So by choosing an investment vehicle
like an IRA may help to keep more money in your pocket.
To retire young from the military, start to follow a
simple, consistent investment plan at a young age. Being
diversified and using investment vehicles that provide tax
benefits will help to supercharge your returns. Get
started now because you'll be able to afford the things you
want now and in the future.
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Give yourself the freedom that you deserve by learning the
simple military money lessons that will help you afford
what you want now and allow you to retire young. Visit
Vince Shorb's, 'Financially Free By 30' site now at
http://www.FreeBy30.com for free video lessons.
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