Retirement Plans: Do Away With Fears...You Should Start #Investing Now!

Investing is the most important element of anyone's financial future — but sometimes it takes a while before most people catch the investment fire.

Many know the concept of investing but very few put it into action. Here, we give you reasons why you should get off your skeptical seat and start investing now!

Biggest success factor: Pull the trigger
There are many reasons why investing believers have not turned into investing doers. These two come immediately to mind:

- They don’t think they have enough money.
- They have fears about external factors that may affect the returns on their investment.

Those reasons may sound valid, but no matter how valid the reasons sound, they still don’t remove the simple fact that, if you don’t invest now (and you continue not to invest), you will discover somewhere down the road that retirement is not an option for you.

Findings have revealed that majority of people who get started with any form of investing, stay at it. And the ones who don’t, don’t.

Action reinforces action
The biggest single factor for your future financial well-being is simply to get started investing. The human mind is wired in such a way that, once we begin with something, we acquire an emotional attachment to it, and we will make significant sacrifices to keep that thing going, whatever it is. It may be allegiance to a political party, figure or football club, a cause, or values like eating correctly, respecting the environment, and, of course, .

Our minds will continuously reinforce the positions we take: if I’m committed to eating at White House (Yaba), I will only plan my time to ensure I don't miss a single day. The people who don’t invest might nod their heads sagely and agree that investing is essential to their future financial health … and continue on without investing.

How do you break the inaction mindset?
The key to success is to simply break the bad habit/mindset and replace it with the healthier one. Easily said, you might say, but it has been discovered that the biggest thing holding people back from getting started on their investing careers is very simple: They just don’t know how to get started.

These two things will help;
1. Knowledge
The more you learn about any subject, the less intimidating it becomes. More knowledge also adds mental ammunition to take the jump and stay on course, all the way to retirement. Also, the more knowledge you have, the more assurance you will feel that you’re not making obvious mistakes. There are many resources to learn more about investing.

2. Simply setting aside money
Making the decision set aside money is the hard part. Once you have done that, you get to the choice of where to put that money you set aside each month.

Play to your strengths
Figure out who you are and what you’re comfortable with, and go with that. Don’t listen to what others say you should invest in: Consider all the options and pick one or two investments that resonate with you.

Keep it simple at first
But whatever your investment interest is, start out with something simple. The two simplest options are:
- Sign up for an account in which you put an amount you’re comfortable with every pay period. Automate that transaction, so it gets taken right out of your pay every month and you never see it.
- If you don’t have a job with regular pay, open a savings account and decide what you’re going to put in there … and do it. Automate it if possible. That is simple and easy.

Once you’ve stayed with the savings account or retirement plan for a year or so, you’ll discover that, while you weren’t looking, that switch in your mindset shifted from trying to justify not investing to trying to justify investing.
The important thing is not what you start with, but that you get started. That is how you can benefit from the extraordinary power of compound interest. The sooner you start, the more options you will have in your future when retirement beckons.

There is no way you will enjoy retirement or financial freedom later in your life if you don’t invest. If you have been holding yourself back by not knowing where to start, be held back no more.

Have you had to overcome the fear of investing? What made you finally decide to pull the trigger? What advice would you give to someone that is trying to overcome their fear?

No comments

Powered by Blogger.