WHERE DO WE INVEST OUR MONEY?

TIPS ON WHERE TO PUT YOUR SAVINGS

ON my first blog, I've discussed some ways how to save and make it as a habit. If you have started setting aside a portion of your income mainly for your savings,let me say  CONGRATULATIONS! You just made your first step towards achieving your financial freedom.


Now, the greatest challenge is where to put that money so it would yield much higher return.But first things first, you need to ask yourself these important questions:
  
  > what is my goal or objective?
  > How long will I invest
  > Am I ready to take the risk?

Goal setting - It is very crucial that you set an objective before you start investing because that would be your guide all throughout.That would serve as your motivation.It may be for your child's college education, dream house or if you just want to retire early.

Timeframe - This depends on your goal and your age.The younger you start, the better.In IMG, we encourage people who just started their job to start saving and investing so they can retire even at the age of 40 and enjoy the fruits of their hardworks.


Risk tolerance - All investments/businesses have risk.In other other words, there is no such thing as "risk free investment".You just need to learn how to minimize it.If you take higher risk, then you get higher return

Where to Invest?
 

Savings Account

There are a lot of investment vehicles that  you can ride on. The most common type is savings account or time deposit that most banks offer. This is the most liquid among other investment, meaning you can withraw the money anytime (On maturity date, for time deposit) and it is low risk investment especially if you put in commercial banks. But the downside is they give the lowest return.It s  normally below inflation rate.That means your money is not growing because it is being eaten up by inflation.The value of your money decreases.Inflation, in layman's term is the general increase of the prices of commodities.

Real property

Acquiring property is another type of investment.They say that real property is the best investment because the the value appreciates.In a way, it is true.However, we also need to consider the recurring fees associated with the property like monthly dues, taxes, maintenance and others.And if you decide to sell it, you will need to pay to transfer the property to another person and of course taxes.Furthermore, it takes a while before it can turn into cold cash.

 Business

Getting into business is another way to grow your money.But before putting up any business, there are a lot of things you need to consider.Otherwise, it will fail. As a rule, you should know the business by heart.Don't just go with the trend.You must be familiar with the  product/services that you are going to sell.I strongly recommend not to go beyond your passion or your talent.That is your core gift that God gave you and it has purpose so you might want to  monitize it.If you love cooking then food business may be the best option. If you are good in art, you can get into printing business.Whatever business you have in mind, you have to enjoy doing it because it is your passion.Money will follow afterwards.

 Stocks/Mutual Funds

Stock market and mutual fund are another vehicles you may be interested in.Peolple think that getting into these types are only for rich people and is complicated.Honestly, that's what I thought  as well until I joined IMG.To my surprise, It is very easy to understand and you dont need technical skills to invest.You dont even need to take a close watch at the market.Same thing goes with stock market investing.You just need to know the basics.THAT'S IT!The best thing about it, it yields high return around 10-20 percent compared to 1% if you put it in the bank.

But hold your horses! Let me remind you that before you invest, you have to create a solid financial foundation otrherwise it will collapseIt is like building a house.You need to build a strong foundation so even if an earthquake strikes, it won't get destroyed easily.You have to protect yourself first.If you don't and if something happens to you,like if you get sick, all your investment, all the money that you worked hard for will be wiped away, instantly.

At IMG, we teach people the proper way to invest.If you don't follow the principles, you might end up losing your money.Remember,Financial Literacy is the key to manage your finances effectively.



IF YOU  ARE  COMITTED  TO SAVE AND INVEST   FOR YOUR FUTURE, CLICK HERE

OR YOU CAN VISIT OUR  PERFUME BUSINESS WEBSITE .CLICK  HERE

 

"For I know the plans I have for you," declares the Lord, "plans to
prosper you and not to harm you, plans to give you hope and a future."
Jer 29:11

 

 

 

 

TIPS ON HOW TO MANAGE FINANCES

Most of us would like to be financially succesful.That is actually the main reason why we work hard, at times we even work beyond the traditional 8-hour shift.Others may even do business in between.But still, the moment you receive your pay check, it just slips through your hands and you ask yourself where did my hard-earned moneygo?


If you can relate to this, then you are one of those people who tend to mismanage their finances.I know you want to get over this dillemma and want to start enjoying every single cent that you work hard for.
 Let me share you the 10 commandments for personal finance
management:

I.  Thou Shalt Take Action
II.  Thou Shalt Pay Off All Credit Card Debt
III.  Thou Shalt Understand the Difference Between WANTS and NEEDS
IV.  Thou Shalt Live on Less Than You Earn
V.  Thou Shalt Pay Yourself First
VI.  Thou Shalt Set Financial Goals
VII.  Thou Shalt Educate Yourself and Be Responsible for Your Decision
VIII. Thou Shalt Save and Invest
IX.  Thou Shalt Protect Your Finances
X.  Thou Shalt Donate to Worthy Causes and Those Less Fortunate

Just to summarize this, Here are the basic steps you MUST start doing now.It is never
too late:
        > Stop borrowing money for bad debt, meaning money that would not generate income   like you borrowed money to purchase unnecessary stuff.
        > Do not spend more than you can afford. Your formula should be income less savings = expenses. You should always put aside an amount for savings
        >If there is really a need to purchase something, look for a store first where you
can purchase it at a cheaper price.
        >If you own a credit card, do not bring it all the time especially if you will be going to a
mall.At times we tend to be impulsive.
        >If you already have savings, donot put all your money in the bank. You have to invest
it or put up a business
        >Make use of your God-given talent and monetize it.For instance, you are good in drawing, then make it as a money machine to generate income or think of a  business out of it. You can also earn additional income through online marketing such as clixsense wherein you earn by just clicking ads.

PLS WATCH OUT FOR OTHER  FINANCIAL TIPS/BUSINESS  TOPICS I WILL
BE SHARING SOON!!!!!


               TO KNOW MORE ABOUT SAVINGS ANDD INVESTMENT, CLICK HERE!