In order to maintain financial condition and be able to achieve whatever financial goals you want to achieve, everyone must have a financial plan. In addition to saving, one effective way to achieve financial goals is to invest or invest.
In simple terms, investment can be likened to a vehicle that is able to help someone in achieving financial conditions at a higher level. The function of investment is applicable, not only for personal finances, but also family finances that have a greater burden of dependents.
For example, through investment you can more easily and quickly in raising education funds, DP home purchase, to buy a car. Of course, every family must have its own financial goals that it wants to achieve in a certain period of time. Well, this investment is a means that can make it easier for you to realize these financial goals on time.
However, before that, there are some important things you need to know about investing in order to be able to provide the choicest benefits for family finances. The important thing is to develop an investment plan and how to set aside spending money. For more details, see the reviews about these two as follows.
How to prepare a mature investment plan
In order for the investment to run smoothly, you need to plan carefully first. Only then can the purpose and objectives of the investment be achieved, including strategies in achieving it. Not difficult, here are four ways to develop a mature investment plan.
First set a goal clearly
Investment will only run smoothly when you have financial goals to achieve. For that, before starting, make sure there is a clear goal to be achieved through investment. Through that goal you are able to stay focused and continue to try to be disciplined in investing.
Setting this investment goal must be done with elements and clearly, including in terms of the nominal funds that must be collected and the time period. Only then can the investment plan be arranged as carefully as possible.
Record All Expenses For A Month
In order to better understand your financial condition and cash flow, you need to record all expenses made during the month. Although it seems complicated, it is important to do in order to know how much money is left to be invested.
If indeed the current expenditure is too large, it means you need to declare a more frugal lifestyle. Only then can the intention to save and invest take place smoothly.
Put the allocation of investment funds at the beginning
Determining the allocation of funds to invest from the beginning can make it easier for you to invest with discipline and consistency. Every payday, try to set aside investment funds before using them to meet other needs. That way, the investment journey can take place smoothly according to plan.
Learn and choose the best investment instrument
The mistake that is often made by people who invest is not understanding which instrument is best to choose according to their needs. In fact, each type of investment instrument has its own advantages and disadvantages that need to be adjusted to the profile.
For example, if the investment is for the long term, the excessive danger excessive praise instrument is better to choose. Conversely, for short-term investments, choose low-risk instruments to avoid potential losses at the wrong time. In addition, also adjust the selected investment products to the risk profile so as not to hamper the spirit of investing.
How to set aside spending money to invest
Thanks to the presence of mutual funds, now investments can be made by anyone without exception. The reason is, mutual funds make it easier for people to invest with affordable capital, starting from 10 thousand only. This of course makes investment activities easier to be utilized by almost all circles.
In addition, there are several ways to set aside spending money that should be done in order to get the choicest investment results, including:
Clear All Debt Obligations First
If you still have debt dependents, the funds that can be allocated for investment or saving are certainly not optimal. Therefore, if you still have the financial burden, first focus on finances to pay it off. Only when the debt is successfully repaid, finance can be prioritized for investment according to plan.
Choose a fixed date for investment
The mistake that is often made by someone when investing is to set aside funds at the end of the month. In fact, at that time usually the money left to be invested is very limited, or even nil.&
To get around this, try to choose a fixed date in investing to be more disciplined and consistent. For example, immediately set aside investment capital on the D-Day of payday or a few days after so as not to miss.
Use The Auto Debit Feature
To be more able to invest with discipline and consistency, do not hesitate to take advantage of the autodebet feature that many digital investment applications have provided. As a result of daily busyness, someone is certainly at risk of forgetting to invest regularly.
As a result, if it is too late, the funds that should be allocated for investment are instead used for other things that are not related, let alone shopping for consumptive needs. Investment plans are also at risk of falling apart and not being able to achieve goals. Well, this can be anticipated by utilizing this autodebet feature.
Invest in other family members
When you start investing, you may feel a phase where your monthly expenses are greater than usual and have to use other financial items to meet them, including investment funds. This is actually only natural to do, especially in urgent and emergency conditions.
Even so, keep it in yourself and your family if the allocation of investment funds remains to be met. Invite family and teach about the importance of saving and investing so that family financial goals can be realized on time.
If necessary, Put writing or images that can encourage each family member to invest with discipline, for example on a mirror, room door, or refrigerator. The goal is none other than that the spirit to invest remains high and able to withstand consumptive spending appetite that is not so important.
Don’t Waste A Dime
When finished shopping, it is not uncommon for change to be given in the form of small change. Do not be treated and placed in any place, it’s good if you do not waste the change and collect it in a special container or piggy bank.
If routinely collected over a long period of time, the nominal change will be quite large as well. Whether to increase investment capital or meet basic needs, this step is certainly wiser to do than just putting a dime and not using it, right?
Invest bonuses or perks
On some occasions, you may get bonuses or benefits from your workplace, such as THR or annual bonuses. Instead of using it for less useful things, it would be nice if the allowance is allocated as investment capital.
The same thing can also be done when winning social gatherings or getting other unexpected income. That way, plans to achieve financial goals thru investment can be realized faster than expected.
Promote A More Frugal Lifestyle
Last but not least, when intending to achieve financial goals thru investment, be sure to start proclaiming a more frugal lifestyle. Start a financial evaluation and check the usual expenses every month.
Eliminate unnecessary spending habits, and if there is a subscription or subscription of certain services that are not used so that spending can be reduced. Some examples of expenses that often cut finances and can be eliminated are gym subscriptions, cable TV, streaming, and various other consumptive habits. That way, the money that can be allocated for investment becomes more.
Be smarter and wiser when shopping
Finally, start getting used to shopping more wisely and intelligently. For example, take notes about what items you want to buy when shopping, and try to order them wholesale to get cheaper prices. In addition, do not hesitate to take advantage of promos if available by still adjusting to your needs and budget.