From the moment you receive that BA degree, the clock is ticking for the start of your career and while retirement would be the furthest thing from your mind, the sooner you create a wealth generation plan, the better. Creating wealth involves setting financial and investment goals and the best way to do this is to talk to a financial advisor.
Investing Disposable Income
Once you crunch the numbers and calculate how much of your salary you can invest, you can then look for sound investment opportunities, which would be part of your overall wealth generation plan. One must take care when investing and don’t be tempted by unusually high returns (if an investment looks too good to be true, it probably is), rather sticking to lower return investment that have a level of security.
Real Estate
No one gets rich from living in rented accommodation and the sooner you get your foot on the property ladder, the quicker you will accrue equity. It can be a struggle to buy your first home, yet the Australian government does offer financial support to first time buyers. Saving the deposit is definitely the hardest part of buying your first home and if you and your partner are both saving, you should be able to make it. Some lucky couples receive family assistance with this, which really does help and when you have saved the deposit, then you must apply for a mortgage.
Minimising Risk
It is important to take out relevant insurance; life, property etc and if you would like to set up a prepaid funeral, www.academyfuneralservices.com.au are the people to contact, as they have a range of prepaid funeral packages. One never knows what the future might hold and you need to protect your family from any unexpected financial burden, should the worst happen. You have to take out life insurance when you borrow money to buy property and your mortgage broker can help you find the best insurance package.
The Importance of Financial Advice
It is oh so easy to make a bad investment, which is why you should seek out the advice of a good financial advisor and make sure that you diversify your investments, as it is never a good idea to put all your eggs in one basket. There are many variables to take into account when investing and one must decide what the goals are; either you are looking for high yield returns or capital growth and in general, the higher the risk, the higher the return. People don’t wake up in the morning to find they are wealthy (lottery winners excluded), rather you have to make your money work for you and with a good financial advisor who has your best interests at heart, you can invest with some confidence.
Second Home
While it might take a decade or more to be in a position to buy another property, this is a major wealth creator; property prices are going through the roof, which means you won’t get a better long-term return than good old real estate. Buy a pool villa in Thailand and use it for one month a year and rent it out for the rest of the time, which will generate a good income. This will ensure that you and your partner have a secure retirement, plus you can enjoy long holidays in your own private villa, which also saves money.
Cryptocurrency
If you got into Bitcoin a few years ago, you could already retire and whether we like it or not, Bitcoin (and other cryptocurrencies) are here to stay and with a finite number of Bitcoins available (total 21 million), the value is sure to keep rising. It is estimated that the last Bitcoin will be mined in 2023 and after that, the value will steadily rise until it reaches market value.
Open Ledger Blockchain
Despite heavy pressure from the banking sector and governments, Bitcoin has thrived because it is a lot more than a currency, it is also a global network that allows you to anonymously send money to anyone, anywhere and there are no banking fees.The expert blockchain development agencies say that the blockchain network is hack-proof and the only way to alter the data is to add another block to the chain.. At the very least, you should download the Bitcoin wallet software and invest a few thousand dollars and before long, all retail outlets will accept Bitcoin and the price is likely to keep rising. This is most definitely the currency of the future and the sooner you start to explore the Bitcoin payment system, the better. Life is all about setting goals and if you do this with your wealth plan, you have something to aim for.
Taxation
Of course, we all have to pay our taxes and with such a complex field, you really should be seeking professional help regarding your financial affairs. There are many ways that you can minimise taxation and it is essential to have the best advice regarding taxes and their fees will be less than the amount you save, which is great. If you forge an alliance with a good financial advisor, they can ensure that you are not paying any more than you should and by setting up trust funds, you can avoid certain taxes.
Superannuation
Choose your super company carefully and you should only have one fund to keep fees down and there are flexible options regarding your super fund. Then there’s ‘salary sacrifice into super’, which are taxed at 15% (less than regular taxation) and you can save a little taxation this way, although there is obviously a cap to this. You can make a lump sum contribution to your super fund, which allows you to claim a tax deduction and you need to inform your fund manager that you are claiming tax deduction.
With a lot of hard work and the right advice, you can create wealth for your future and ensure a secure retirement. Moreover here is good articles for your family to read, which is about home decoration ideas for you family as your reference.
