TEXARKANA MAGAZINE
Keep it simple. Everyone worries about what investments to use. I bring good news. The important part of investing is actually shoveling more money into your investments when you are first starting out. If you are new to this, stick with broad options like an S&P 500 or Total Stock Market fund. These give you exposure to companies like Microsoft, Coca-Cola, and Nike without the risk of betting on individual stocks. Pro Tip— Avoid individual stocks and real estate early on. Stocks lack diversification, and real estate is too illiquid when emergencies strike. You can’t sell a bathroom quickly enough to purchase new school clothes for the kids. Automate everything. I’ve spoken with the best and brightest in the financial world on our Stacking Benjamins podcast. David Bach (ten- time New York Times Bestselling author), Jill Schlesinger (CBS News), Jean Chatzky ( Today Show Money Editor), and Suze Orman all shared one tip—Don’t trust yourself to be disciplined. The best way to stay consistent is to automate your savings. Use payroll deductions for workplace retirement accounts or set up automatic transfers to a Roth IRA. Pro Tip— Start with your workplace plan to take advantage of payroll deduction (401k, 403b, etc.), then add a Roth IRA for tax-free growth. Make it automatic so you don’t rely on willpower. Diversify over time. When should you worry about diversifying more analytically? Once you have saved $100,000, start fine-tuning your portfolio based on your goals. Use tools like the efficient frontier to maximize returns while managing risk.
STEP 3—SAVE MORE FASTER Now that you are paying down debt and investing, it’s time to find extra cash. Use these tips to save without sacrificing joy. Cut subscriptions. Do you really need five streaming services? Rotate them. Watch Netflix for three months, then cancel and binge another. That seems like a small tip…maybe saving you $50 per month. But $50 per month is $600 per year. That is $6,000 per decade, which could add up to some really nice family vacations. Want to do more? Little moves like this add up. Spend on what matters. Review your bank statements. Identify what truly lights you up, and cut the rest. Cheryl and I realized we preferred cooking at home over dining out, so we now spend more on kitchen gadgets (hello, hot chocolate maker!) and less on restaurants.
Pro Tip— When I spoke with motivational speaker Jon Acuff about this topic, he suggested building three columns
to see what type of person you are. List experiences that make you happy (traveling, time with family, etc.). Then, in column two, list “things” that create joy (a vase, artwork, board games). In a third column, include people who you like to be around and spend time with. You will quickly find one list is longer than the other. Identifying ways to do more on that list is how to add more fun to your life and the best way to build your budget. Ask for a raise. Statistically, most bosses want to give you a raise—
you just need to ask. Frame it as a win-win by showing how your work benefits the company.
Pro Tip— Remember, your boss is often your ally, not the final decision-maker. Approach them confidently and collaboratively.
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BUSINESS & POLITICS
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