For most of us, this situation has become all too familiar:

I want to grow my portfolio. I want to retire rich. I want to improve my financial wellness but I don’t know where to start.

Perhaps your busy work schedule or your focus with your children made you set aside your long-term financial plans. But let me tell you one thing: there is no better way to improving your wealth than to actually just start and do it. To jumpstart your way to early retirement or maximised capital or compounded wealth, here are some sure-fire steps to get you started.

  • Make a financial plan. This is your long-term goal for yourself or for your family. Where do you want to be in ten years? When do you plan to retire? List down how much capital you want to have after investing for a decade or which trust funds do you plan to venture in the next five years. By being transparent about your objectives, you will find it easy for you to navigate through your existing resources and plan out how you can achieve your desired securities.
  • Assess your net worth. Before jumping into new investments, it is best to measure your current wealth first. a net worth statement, which is essentially an honest measure of your current wealth. Make a record of all your assets and then deduct your liabilities so that you will have an idea of your net worth. Use this as a guide on your investment strategy so that you can minimise risks. Never forget to update this statement whenever you have new streams of profit or losses so that you will have a realistic data of your fiscal standing at all times.
  • Have an emergency fund. Allocate at least 30 percent of your monthly income for this special savings that you should only touch when a personal crisis arises, like a medical emergency or damage to one of your beloved home furniture pieces. Doing so will prevent you from prematurely withdrawing from your time deposit account or your money market fund.
  • Do not limit your financial security effort with a bank account alone. Let’s face it: your money will not grow immensely if you leave it in a regular savings account. The interest is quite low even if you’ve kept your cash with the bank for a considerable number of years. Consider investing in stocks, bonds, and other money-making opportunities in order to multiply your wealth. However, it is best to research on the options and match your venture with your risk personality.
  • Get professional finance assistance. There is totally nothing wrong with acknowledging that you are not a personal finance expert and seeking help from a mentor or a highly experienced wealth advisor. Before your investments become too overwhelming for you to understand, consult an expert right away. Doing so will help you avoid any major setbacks on your journey to financial wellness.

Always keep in mind that at the end of the day, the decision to become wealthy lies with no one but you. The first step in financial freedom must start with you and you alone. Never be overwhelmed with the magnitude of steps that you have to undertake in order to set the right direction. Break up the tasks and start small. Lastly, consult with Advice Hub to help you achieve your financial planning goals. We’re excited to hear from you. Best of luck!