Bellmore Group Management Services, Tokyo Japan Make Your Investing Resolutions Reality in 2018

Bellmore Group Management Services, Tokyo Japan on Make Your
Investing Resolutions Reality in 2018
These six New Year's resolutions will give your investment portfolio a boost in 2018, deliver long-lasting rewards and
require neither spandex nor excessive amounts of kale.
It’ll be nearly impossible to find an open treadmill at your local gym come January. By March? Everything’s back to
normal again.
Welcome to the season of good intentions. Many people will start 2018 with a New Year’s resolution like exercising more
or losing weight, only to abandon it within weeks.
Sound familiar? Even if you haven’t succeeded in the past, 2018 can be different. (No, really!) If you’re unsure where to
begin and would like to start with some quick wins, how about your investment portfolio?
Investing resolutions can reap long-lasting rewards and require neither spandex nor excessive amounts of kale. Pick and
choose from the following investing resolutions, or go ahead and tackle the entire list.
Save more (and invest it)
Spending less and saving more is a noble resolution, but here’s some bad news: Saving money won’t adequately prepare
you for retirement unless you invest it.
First, some ground rules. Don’t invest in the market unless you’ve established a rainy-day fund with enough money to
cover three to six months of expenses. Generally speaking, you shouldn’t invest money you’ll need within the next three
years.
Once you have some short-term savings accumulated, work toward contributing 15% of your income to your retirement
accounts. Everyone can make (and keep) this resolution, whether your nest egg has cracked the six-figure mark or it looks
more like, well, an egg. Even an extra $20 each week will add up to nearly $40,000 in 30 years, thanks to compounding
interest.
Exercise more (than just your 401(k))
Think of saving for retirement like exercising. A routine workout may get the job done, but your body (or nest egg) won’t
radically transform until you switch things up.
If you’ve been contributing to your 401(k) — congratulations, by the way, as it’s an important first step — resolve to open
an IRA in 2018. These accounts carry a maximum contribution of $5,500 for people under age 50 ($6,500 for those 50
and up) and offer a broader array of assets that often have lower fees than employer-sponsored plans.
First, decide whether you prefer the Roth or traditional variety. (The difference comes down to when you’ll be taxed, now
with a Roth or later with a traditional when you take distributions.) Once that’s settled, you can open an IRA in a matter of
minutes. You may not burn a lot of calories in the process, but you’ll appreciate this move someday — maybe even as soon
as tax season if you open a traditional IRA.