What's the best way to save for the future?

Jump to Last Post 1-9 of 9 discussions (10 posts)
  1. Athlyn Green profile image94
    Athlyn Greenposted 13 years ago

    What's the best way to save for the future?

  2. profile image0
    screamingposted 13 years ago

    Stay away from credit and stay out of the big box stores. Big box stores make money off of "impulse buyers". People who see it and have to have it. So instead of saving money in those stores, the average people will blow $3,620.00 a year on stuff they don't need, but thought they did. Make a list before shopping and stick to the list.

  3. dpsimswm profile image61
    dpsimswmposted 13 years ago

    If you have a lot of debt over 5% interest, I suggest paying this off first.  Mortgage debt and student loan debt is the good type of debt. As long as you are able to make your monthly payments, keep going. I recently consolidated some revolving loans through my credit union.  Now, I know exactly when that debt will be paid.

    Next, consider your budget and max out retirement savings that have a company match.  If your company matches 50% of the first 5% contributed to your 401k, you are essentially saving 7.5% in your retirement account by contributing 5%.  It's like getting an investment that returns a whopping 50% in the first year.

    Take advantage of dollar cost averaging and invest in a mutual fund or index fund. I've written a hub on this topic.
    http://dpsimswm.hubpages.com/hub/Should … l-Planning

  4. dennis.cherenkov profile image61
    dennis.cherenkovposted 13 years ago

    Great question, and good proactive thinking. As a financial professional I help clients do exactly what you are asking about and more.

    Before I answer your question I would like to recommend a great course in personal finance and you can sign up for one at www.daveramsey.com/fpu hopefully you will have one near you. I think that Dave Ramsey's strategy is very well thought out. Here it is...

    First establish a $1,000 emergency fund. Which will now allow to pay for emergencies without getting into more debt, hopefully.

    Second, start getting out of debt using the debt snowball method as fast as you can (if you have debt, other than a mortgage). This is super important.

    Third, once you are debt free (other than mortgage) build up a "fully funded emergency" fund which is 3 to 6 months of your income. Once you are out of debt and have a fully funded emergency account, then you should start investing into mutual funds, IRAs, 401(k)s etc. The logic is this if you have debt payments at 18% which are guaranteed/for sure it makes no sense to invest in a mutual fund where you maybe earn 12% and it is NOT guaranteed. Basically once you are debt free and financially strong with a solid emergency fund. You will be in the best position to save for the future and do the rest of the financial steps that come later. Yes it will be hard, but it is definitely worth it.

    Contact me if you have any questions.

    Good Luck,

    Dennis Cherenkov

  5. inChristalone profile image59
    inChristaloneposted 13 years ago

    I have to agree with Dennis.  Dave Ramsey or Crown Financial are two of the best programs out there.  Another One that I hear was the 70/30 principle.  You should get to the place where you are able to live off of 70% of your income including all of your debts.
    Give 10%.  If you don't sow into others, you will never truly know freedom.  As a Christian, I give to my church but if you are either not involved in church or are not a Christian, then find an organiztion that you have researched and that you believe in and give to them.
    The last part is to pay yourself 20%.  Save this amount in the safest, highest-yielding instrument you can find.  I believe IRAs are highly recommended.

    1. dennis.cherenkov profile image61
      dennis.cherenkovposted 13 years agoin reply to this

      Thank you inChristalone, I am familiar with Crown Financial as well.  I do prefer to refer my clients to Financial Peace University because it has a lot more to offer in my opinion.

  6. profile image47
    lillian13posted 13 years ago

    Put a little money away each month when u get paid

  7. Ramsa1 profile image63
    Ramsa1posted 13 years ago

    1. Spend less and save more.
    2. Learn about investments.
    3. Invest in what you understand and are comfortable with.
    4. Never, never, never give your money to someone else to invest for you. Never.

  8. Vegas Elias profile image61
    Vegas Eliasposted 13 years ago

    Small Savings is the best method of saving for the future. If you can save very small amounts then it is better to collect cash in a box of earthen savings box and deposit it in your Savings Bank account when it is full. When the Savings Bank account has a decent account balance then it is advisable to deposit in some long term fixed deposit plan.

  9. abo ajoba profile image60
    abo ajobaposted 13 years ago

    Before expending any thing, think whether it can be avoided? This practice will train you to spend rationally, and will result into saving for future

 
working

This website uses cookies

As a user in the EEA, your approval is needed on a few things. To provide a better website experience, hubpages.com uses cookies (and other similar technologies) and may collect, process, and share personal data. Please choose which areas of our service you consent to our doing so.

For more information on managing or withdrawing consents and how we handle data, visit our Privacy Policy at: https://corp.maven.io/privacy-policy

Show Details
Necessary
HubPages Device IDThis is used to identify particular browsers or devices when the access the service, and is used for security reasons.
LoginThis is necessary to sign in to the HubPages Service.
Google RecaptchaThis is used to prevent bots and spam. (Privacy Policy)
AkismetThis is used to detect comment spam. (Privacy Policy)
HubPages Google AnalyticsThis is used to provide data on traffic to our website, all personally identifyable data is anonymized. (Privacy Policy)
HubPages Traffic PixelThis is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.
Amazon Web ServicesThis is a cloud services platform that we used to host our service. (Privacy Policy)
CloudflareThis is a cloud CDN service that we use to efficiently deliver files required for our service to operate such as javascript, cascading style sheets, images, and videos. (Privacy Policy)
Google Hosted LibrariesJavascript software libraries such as jQuery are loaded at endpoints on the googleapis.com or gstatic.com domains, for performance and efficiency reasons. (Privacy Policy)
Features
Google Custom SearchThis is feature allows you to search the site. (Privacy Policy)
Google MapsSome articles have Google Maps embedded in them. (Privacy Policy)
Google ChartsThis is used to display charts and graphs on articles and the author center. (Privacy Policy)
Google AdSense Host APIThis service allows you to sign up for or associate a Google AdSense account with HubPages, so that you can earn money from ads on your articles. No data is shared unless you engage with this feature. (Privacy Policy)
Google YouTubeSome articles have YouTube videos embedded in them. (Privacy Policy)
VimeoSome articles have Vimeo videos embedded in them. (Privacy Policy)
PaypalThis is used for a registered author who enrolls in the HubPages Earnings program and requests to be paid via PayPal. No data is shared with Paypal unless you engage with this feature. (Privacy Policy)
Facebook LoginYou can use this to streamline signing up for, or signing in to your Hubpages account. No data is shared with Facebook unless you engage with this feature. (Privacy Policy)
MavenThis supports the Maven widget and search functionality. (Privacy Policy)
Marketing
Google AdSenseThis is an ad network. (Privacy Policy)
Google DoubleClickGoogle provides ad serving technology and runs an ad network. (Privacy Policy)
Index ExchangeThis is an ad network. (Privacy Policy)
SovrnThis is an ad network. (Privacy Policy)
Facebook AdsThis is an ad network. (Privacy Policy)
Amazon Unified Ad MarketplaceThis is an ad network. (Privacy Policy)
AppNexusThis is an ad network. (Privacy Policy)
OpenxThis is an ad network. (Privacy Policy)
Rubicon ProjectThis is an ad network. (Privacy Policy)
TripleLiftThis is an ad network. (Privacy Policy)
Say MediaWe partner with Say Media to deliver ad campaigns on our sites. (Privacy Policy)
Remarketing PixelsWe may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.
Conversion Tracking PixelsWe may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.
Statistics
Author Google AnalyticsThis is used to provide traffic data and reports to the authors of articles on the HubPages Service. (Privacy Policy)
ComscoreComScore is a media measurement and analytics company providing marketing data and analytics to enterprises, media and advertising agencies, and publishers. Non-consent will result in ComScore only processing obfuscated personal data. (Privacy Policy)
Amazon Tracking PixelSome articles display amazon products as part of the Amazon Affiliate program, this pixel provides traffic statistics for those products (Privacy Policy)
ClickscoThis is a data management platform studying reader behavior (Privacy Policy)