Retirement products can be challenging to understand. Learn what the product options for retirement savings are and what you should avoid when you're young.
- So let's say you're all fired up…to get yourself organized for retirement.…A lot of your success will come from your financial habits.…But success can also hinge upon what sort of account…or product you put your money into.…So, what are the options?…The first is a tax-advantaged retirement account.…If you're not familiar with the options…in your country, Google it.…These accounts are set up that you can grow…and withdraw your money,…with as little tax burden as possible.…
By reducing the tax owed on your investments,…your savings should grow more quickly.…Tax-advantaged accounts are available at stockbrokers,…most banks, and sometimes through your employer.…In the US, an employer-based 401k tax-advantaged account…also has the benefit of an employer contribution.…If your employer offers one,…definitely take advantage of it.…Now, if you don't want to manage your investments yourself,…you can look for someone to do it for you,…but make sure of these two things.…One is that they are a fiduciary…who will only offer products that are appropriate for you.…
- Recognize the strategy used to combat inflation while still working.
- Determine whether investing in a company or working for a company is more profitable.
- Summarize the concept of Dollar-Cost Averaging.
- Identify the simplest, easiest investment opportunity available for young workers just starting to invest for retirement.
- Explain what “diversifying” means by using an example.
- Determine whether incurring debt can have a financial advantage.