Learn how you can avoid common financial pitfalls that have derailed many as they pursued their wealth building efforts…
As you navigate life and your finances you want to ensure that you do all that you can to avoid financial pitfalls that seem to happen far more than they should.
In this discussion TheWealthIncreaser.com will show you the importance of “making decisions on the front end” that can prevent you from getting into a difficult or less promising financial position.
In the area of insurance you want to ensure (no pun intended) that you insure yourself and your property in all of the necessary areas. That means–home, auto, life, umbrella and other areas of insurance–have all been addressed in a meaningful way.
In the area of investments you want to ensure that you have the right type of investment for the risk level that you are comfortable with.
In the area of taxes you want to make sure that you file your income taxes annually and in a timely manner.
You never want to get in position where you have to file multiple years of taxes!
It is best that you know where you now stand on your taxes, therefore you want to engage with a professional who can direct you so that you have the correct tax withholding that allows you to file and pay your taxes with confidence because you have a realistic idea of what you will possibly owe or what your refund will be—generally speaking.
You want to file by the deadline or file for an extension as that is a better approach than letting your tax situation go unrealized because you feel that you will owe and you may not currently have a means of payment.
You don’t want to put yourself in position where you will have to “settle” or get an “offer in compromise” or some other debt settlement agreement (or borrow) to pay your taxes.
You want a tax professional who will stay on top of your accounting and finances so that you have a comprehensive overview of the direction that you are going—along with the direction that you desire or need to go to live your life in a more comfortable manner!
In the area of education planning you must ensure that you properly estimate the amount of funds that will be needed for your or your loved ones educational needs.
The sooner that you get to the numbers that you need to reach–the more effective you can be as far as funding educational costs (and keep in mind that inflation is a major factor) and pursuing other goals that you may have.
In the area of estate planning/wills you want to make sure that you plan for the transfer of your assets and a will at a minimum is mandatory—and depending on your current financial position a trust or other more “advanced directives” may be needed.
Why leave the potential for your “heirs to squabble” or get your local, state and/or possibly national government involved in your financial affairs when you can possibly avoid that scenario?
In the area of retirement planning you want to make sure that you pay off or pay down your mortgage.
You want to ensure on the front end that you are in the best position possible—from a financial strength standpoint to pay your mortgage and have a plan to pay when emergencies or other life happenings occur that can set you back if you have not properly prepared for what could potentially happen in your future.
By paying off or paying down your mortgage and other debt prior to retirement you can get your monthly cash flow to a level that allows you to live at the “comfort level” that you desire.
It is important that you know your “retirement number” at this time and you strive to reach that number during your working years so that you can live out your life from a position of comfort.
Conclusion
By choosing to look at your finances at this time in a comprehensive way you can avoid pitfalls that have hampered many and made their journey toward financial freedom far more challenging than it should have been.
Your decision at this time to make a serious effort to get out in front of your finances can possibly put you in position to avoid or lessen the impact of bad or inappropriate financial decisions during your lifetime.
You can find new and possibly more effective ways of freeing up income and learn how to manage your finances in a way that will allow you to enjoy life in a more abundant way—starting today.
All the best to your wealth building success…
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