Building wealth can be easier than you think if you follow through with a few simple steps. Before you chase wealth it’s best to define what wealth means to you. Start with your goals, make a plan then stick to it. Joe and Al share simple ways you can grow your wealth, whether you’re still working, in retirement or suddenly need to plan for an unexpected event.
1:30 “The first thing that you have to do is you have to put a plan in place to figure out what exactly you want to do – that’s going to determine how much wealth you actually need to provide that lifestyle.”
6:52 “Sometimes it’s all about living within your means. It’s making sure you’re checking what your real income is and what are some things you can do to keep that in check.”
9:17 “[True or false?] I should fully fund my retirement accounts before I pay off my credit card balances.”
10:57 “A Roth IRA is an after-tax contribution that you can invest in – it’s a shell account where you can invest in stocks, bonds, mutual funds, cash CDs…that money grows 100% tax-free.”
11:33 “Having some diversity when it comes time to start taking distributions is key. Having some money that is tax-free to you, some money that is taxable to you and some money that is tax-deferred at ordinary income is by far the best way you can stretch out your money in retirement.”
12:56 “When you have money going into your 401(k), make sure that it’s set up properly to go to the right investments and not just cash, for example, because rates of return matte in this whole equation.”
15:39 “You never know which asset class is going to do the best in any given time.”
15:53 “That’s a big mistake we see retirees make, is they go 100% safe in cash or short-term bonds, but you need certain amounts of rate of return so let’s talk about investing and how to get that rate of return.”
19:14 “This is one of the first things you want to make sure you take a look at in your overall financial plan. You could get laid off, you could get forced into early retirement, how about if there’s a long-term care need or death or disability? This will blow someone’s financial plan wide open so you want to make sure you have emergency or cash reserves on hand.”
22:21 “If you can save on taxes, you can actually build wealth that much quicker.”
