MINT HILL, NC – The road to financial security can be bumpy. Still, you can help smooth the journey by marking three important milestones.
The first milestone can be described as building a foundation. Start by putting up to one month’s worth of living expenses in an emergency fund. Also, contribute enough to get any employer match in your retirement account. And work to reduce high-interest debt.
Next milestone: Gaining stability. Increase your emergency fund to cover up to two months’ worth of living expenses. Try to save up to 10% or 15% of your gross income in your retirement accounts. And do what you can to pay down your debts.
Third milestone: Reaching a level of financial independence. Strive to have three to six months’ worth of living expenses in an emergency fund and invest as much as possible in your 401(k) or similar plan. Your debt should be manageable at this point, but if it continues to be a source of stress, consider paying it down further.
By achieving these three milestones, you’ll have the financial stability and flexibility to live life on your terms.
If you have any questions, please contact me at (980) 859-2549 or by e-mail at email@example.com
This article was written by Edward Jones for use by your local Edward Jones Financial Advisor