sparks joy<\/em>. <\/li><\/ul>\n\n\n\nRemember that the smallest changes can make a big impact over time. Start by skipping the coffee shop and brew your morning java at home. Your dark roast or latte ritual can cost you a few bucks each trip, but a cup made at home costs you pennies, and over time, those savings add up!<\/p>\n\n\n\n
5. Invest Long-Term<\/h2>\n\n\n\n
If you have been scanning the business headlines as of late, you may have read about GameStop, AMC, and Nokia shares skyrocketing over a short period. This may have left you lamenting \u201cif only I had bought shares.\u201d<\/p>\n\n\n\n
That said, when you invest, you should only invest for the long-term<\/strong>: 10, 20, or 30 years. You\u2019ll always experience peaks and valleys, but if you buy a good stock, you will ultimately end up with higher gains by the time you hit the sell button in the next couple of decades.<\/p>\n\n\n\nAlso, dollar cost average (DCA) your way to investment success, which allows you to evade volatility and generally reduce your share price average over time.<\/p>\n\n\n\n
6. Focus on Dividend Investing<\/h2>\n\n\n\n
Are you getting paid for holding a stock? That is what dividend investing is all about. In an era of historically low interest rates, parking most of your net worth in a savings account becomes dead money. If you are receiving pennies on hundreds or thousands of dollars, why bother?<\/p>\n\n\n\n
While it is a good idea always to have money in a savings account, you should also buy dividend-paying stocks to generate income. A dividend is a profit paid out by the company every quarter. For example, Walmart pays its investors 55 cents per share every quarter, while Chevron offers its shareholders $1.29 for each share they own.<\/p>\n\n\n\n
Over time, this money adds up. You have two options: reinvest the dividends or transfer them into your savings account.<\/p>\n\n\n\n
If you need some inspiration for dividend stocks, here are some investment picks:<\/p>\n\n\n\n
- Restaurant Brands International (QSR): 2.77%<\/li>
- World Wrestling Entertainment (WWE): 0.88%<\/li>
- TD Bank (TD): 3.85%<\/li>
- CubeSmart (CUBE): 3.60%<\/li>
- Coca-Cola Co (KO): 3.19%<\/li><\/ul>\n\n\n\n
7. Index Your Investments<\/h2>\n\n\n\n
Who has time to watch CNBC or monitor Yahoo! Finance all day long? Since you probably lack the time and patience to scan stock tickers during every trading session, you might as well index your investments.<\/strong><\/p>\n\n\n\nAn index fund is an investment that mirrors the composition and performance of a broader market index, such as the S&P 500 or the Nasdaq Composite Index. This is achieved through mutual funds and exchange-traded funds (ETFs). Research has found that index investing can offer you greater returns at a lower cost than individual stock picking. Plus, dividends are historically safer with indexes.<\/p>\n\n\n\n
8. Use Roth IRAs for Your Investing Needs<\/h2>\n\n\n\n
Investing can be exciting, especially when your portfolio is headed to the moon. Unfortunately, eventually the taxman will rear his ugly head and start eating away at your profits.<\/p>\n\n\n\n
This is why a Roth individual retirement account (IRA) is necessary since it offers tax-free growth and tax-free withdrawals in your retirement. Note that in order to withdraw your money from a Roth IRA, you need to have owned the account for at least five years and be at least 59 \u00bd years of age.<\/p>\n\n\n\n
Let\u2019s be honest: we have done a terrible job when it comes to saving our hard-earned money. Until the pandemic struck, the personal savings rate nationwide was a paltry 3% to 5%. Today, many households are saving greater portions of their paychecks. But where are they putting this newfound cash? And can they sustain the momentum? By embracing these tips, you can guarantee that you will come out of the pandemic more financially savvy than you could ever imagine.<\/p>\n","protected":false},"excerpt":{"rendered":"
Has the coronavirus pandemic changed the way you view your money? Whether you lost your job or you were forced to save more of your income, chances are the COVID-19 public health crisis made you adjust your perspective on all things finance. A recent survey found that 60% of Americans say the pandemic forever changed<\/p>\n","protected":false},"author":1924,"featured_media":29998,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[1625],"tags":[],"aioseo_notices":[],"modified_by":"GabrielaC","_links":{"self":[{"href":"https:\/\/makemoneyinlife.com\/wp-json\/wp\/v2\/posts\/30638"}],"collection":[{"href":"https:\/\/makemoneyinlife.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/makemoneyinlife.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/makemoneyinlife.com\/wp-json\/wp\/v2\/users\/1924"}],"replies":[{"embeddable":true,"href":"https:\/\/makemoneyinlife.com\/wp-json\/wp\/v2\/comments?post=30638"}],"version-history":[{"count":1,"href":"https:\/\/makemoneyinlife.com\/wp-json\/wp\/v2\/posts\/30638\/revisions"}],"predecessor-version":[{"id":31245,"href":"https:\/\/makemoneyinlife.com\/wp-json\/wp\/v2\/posts\/30638\/revisions\/31245"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/makemoneyinlife.com\/wp-json\/wp\/v2\/media\/29998"}],"wp:attachment":[{"href":"https:\/\/makemoneyinlife.com\/wp-json\/wp\/v2\/media?parent=30638"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/makemoneyinlife.com\/wp-json\/wp\/v2\/categories?post=30638"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/makemoneyinlife.com\/wp-json\/wp\/v2\/tags?post=30638"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}