If you look at the stock market lately, you might think the people who dabble in those kinds of investments make bad decisions with their money. After all, even if you have the money to invest in stocks, you don’t want to gamble it in an unstable market. The truth is, if you’re going to build sustainable wealth, investing in the market on some level is probably a smart move.
While it’s true the stock market is volatile right now, that will always be true. The trick is to buy low, invest in companies you believe in, diversify your investments, and try not to panic. But all the talk about investing is for nothing if you can’t find the cash to invest. And the best place to start freeing up money to grow is your budget.
Examining Your Budget
If you don’t have a budget written down, you’re missing out on an opportunity for growth. That’s because if you don’t know exactly where your money goes every month, you’ll have a hard time finding a way to redirect your funds and reach your financial goals. While budgeting might seem restrictive, it’s really just a way to follow every dollar, so you don’t waste your precious resources unnecessarily. Think about how freeing it would be to have money waiting for every expense that comes your way and not having to worry about scrounging up cash or charging more on your credit card.
To set a budget, write down all your income sources and every expense you pay each month. Be sure to include savings, holiday gifts, and occasional expenses as well. But what if you account for every dollar and you have no wiggle room for investing? Well, then you have some rearranging to do.
Making Room for Investing
To find money to invest in the market, you have two choices: increase your income or decrease your expenses. Since vaccinations are on the rise and business is beginning to open, it’s entirely possible to pick up a side gig or ask for a raise at work. But if neither one of those is realistic and you want to find extra cash quickly, write down every expense you pay and see what you can eliminate.
Do you watch television, or can you live without it? Maybe you could consider lowering your cell phone plan. Look at each bill with a critical eye and ask yourself if it’s worth eliminating if that means you could use that money to build a more stable foundation. For those bills you can’t eliminate, consider contacting your creditors and asking if they’re running any specials that can lower your payments.
One obligation that you want to pay off as soon as you can is credit card bills. Carrying credit card debt will hold you back from building real wealth and keep you in a debt cycle. Instead, reach out to Hawkeye Associates about debt consolidation. They will look at your eligible debt and roll your balances into one loan with a single monthly payment. That way, you will free up the money you would pay on multiple balances, and you could use it to pay your debt down faster or grow it in the stock market.
Continue to Adjust So You Can Grow
Investing in the market can be a risky venture, so it’s best to seek out a professional to help you diversify your portfolio. Keep a watchful eye on your investments to make sure you’re still on the right track to reach your goals. Growing your wealth is not a set it and forget it venture, it takes active participation. So, continue to pay down your obligations, put away those credit cards, live within your means, and stick to your budget. If you do that and adjust your investments when necessary, there’s no reason to believe you can’t meet your financial goals.