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| the "grumpy old goat" emporium grumpyoldgoat.com Your source for good advice. It cost nothin, and it's worth the price. Where attitude is everywhere, and the goat rules, so watch your backside. |
| IF YOU WANT TO SUCEED YOU NEED A PLAN START WORKING ON YOU PLAN TODAY. |
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| YOU NEED A PLAN by Robert Plumb |
| Plan: Any detailed scheme, program, or method worked out beforehand for accomplishment of an object: a plan of attack. |
| * This site has been made possible by the many, many buttholes who have left their lasting impressions on our souls. It's to you, that we let our pants down and curtsey. * If you have any questions or comments about the grumpy old goat emporium, please hesitate to contact us by e-mail. the old goat | webmaster * |
| Financial Independance is being able to take care of yourself and not relying on somebody else to do it for you. This doesn't happen by accident. It requires a long term plan, or it will never happen.And guese what? You get to make the plan, all by yourself. You didn't think somebody else was going to do it for you, did you? Now for the good news. We will give you some hints on how to do it. The first thing you have to do is find some money each week or month, depending on how you are payed, and set it aside. You have to do this regularly, and do it first, before you pay your bills, so that it gets done. If you have a payrole deduction plan at work, this is a good way to start. If you just can't find any money to save, you are going to have to change something. Either your expenses must come down, or your income must go up. There is no third choice. Remember, it's up to you! And time is of the essence. It has been proven that if you save a set amount of money per month from the ages of 20 to 30, and invest it until you are 65, you will have more money than if you save the same amount of money per month from the ages of 30 to 65, and receive the same rate of return. |
| SAVE FIRST, AND SPEND THE REST |
| Now that you have some money set aside for the future, you must decide how you want to invest it. As we have mentioned earlier, leaving it in the bank won't do. They don't pay enough interest, so you will never become financially independant. There are many, many was to invest your money. Some are rather straight forward, while others are quite complicated. You want to stick with the simple ones for now. To start with, there are stocks, bonds, and real estate. If you have a payroll deduction plan at work, get into it. You will probably have several choices of stock, bond, and money market funds to choose from. Read everything you can find about the plan first, then decide which funds you want to invest in. If you can save enough money outside of your plan at work to invest, or if you don't have a plan at work, you might want to consider individual stocks, and real estate. Individual stocks will require a lot of research on your part, and real estate will require research as well as maintanance. The up side is that they both can reward you quite well if your research is correct. The single most important thing for you to remember about investing is, "If you don't understand it, don't invest in it!" What this means is that you must become knoweledgable about the investments you choose. If you like stock mutual funds, study them to know how they work. If you like real estate, become an expert on the local market you intent to invest in. If you buy bonds, understand the way their value is effected by current interest rates. |
| IF YOU DON'T UNDERSTAND IT, DON'T INVEST IN IT! |
| The next thing you need to learn is to be patient. Your not going to get rich over night. Sometimes, your net worth will go up rapidly, and sometimes it will go down. This is ok! It's the way it works. Don't panic and sell off your holdings. Take the time to evaluate the situation before you act. If you did your homework, you'll be ok. You will have to periodically review your investments anyway to dertermine if you need to make adjustments such as selling, or adding to your positions. One more thing to keep in mind. You need to be aware of how all this will effect your taxes. You need to learn about capital gains for starters. Also, if you own real estate, you need to read up on depreciation. This is all part of understanding your investments. If you do your research beforehand, you won't have any problem with your taxes, either. |
| GOAT QUOTE SAVE FIRST, AND SPEND THE REST. |
| GOAT QUOTE IF YOU DON'T UNDERSTAND IT, DON'T INVEST IN IT. |
| GOAT QUOTE YOU NEED A PLAN ! |
| GOAT QUOTE BE PATIENT, DO YOUR HOMEWORK. |
| GOAT QUOTE THE SOONER YOU START, THE EASIER IT GETS. |
| GOAT QUOTE A FAILURE TO PLAN IS A FAILURE ! |
| UNDERSTAND YOUR TAXES |
| GOAT QUOTE UNDERSTAND YOUR TAXES. |
| Now it is time to start working on your plan. You will have to do a lot of research, but it is worth it. Something to keep in mind is that a good plan needs to be reviewed regularly, and updated as required. Remember, a failure to plan is a failure. |
| GOAT QUOTE WHEN INVESTING, PAITENCE IS A VIRTUE |
| GOAT QUOTE REMEMBER TO KEEP YOUR PLAN UP TO DATE. |
| WHY NOT START ON YOUR PLAN TODAY ? |
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