Author: Moneywise

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Countless Americans are chasing the dream of one day becoming rich. But at some point in the race, many of them come to find there’s an important difference between being rich and feeling rich.

Let’s say you’re a surgeon, married, in your late 40s and your household brings in a tidy $573,000 each year. Considering that the median income in the U.S. (adjusted for inflation) was $80,610 in 2023 — based on U.S. Census Bureau data — you’re doing pretty well. More than good.

At this point, you shouldn’t feel broke — especially if you’re working with a financial advisor who should be helping you to make smart decisions to use all that money as wisely as possible.

But if you are struggling, it’s worth looking at whether your advisor could be doing you a disservice, either by steering you in the wrong direction or by charging you unreasonable fees.

Not all financial advisors are created equal

Whenever you place your finances in the hands of someone else, you take a risk. Thus, it is very important that you place your hard-earned money in the hands of someone you trust.

You can connect with vetted financial advisors through Advisor.com. All you need to do is answer a few simple questions, and Advisor.com automatically matches you with a certified advisor best suited to handle your finances and goals.

You can then set up a free, no-obligation consultation to further assess whether they’re the right fit for you.

First and foremost, if your advisor isn’t a fiduciary, you could have a problem. A fiduciary has a legal duty to act in your best interest and give you advice that’s right for you. Other financial professionals do not have the same strong legal obligations.

It may come as a surprise, but not all people who bill themselves as financial advisors have fiduciary status. Some professionals, like Certified Financial Planners (CFPs), are held to a fiduciary standard but many individuals can offer financial advice even if they don’t have this special designation.

You’ll also want to see what licensing your advisor has. Ideally, you’ll want someone with independent certification, such as a CFP or a chartered financial analyst. Advisors who are licensed by independent agencies are typically held to higher ethical standards and have had to undergo specialized training and complete exams.

Before hiring an advisor, it is also worth checking if they are a fiduciary. This means they are obligated to choose investment products and give financial advice that is in the best interest of the client. This step can help protect you from being sold on products by an advisor that you may not need or that may not be best for you in the long term.

Advisor.com connects you with accredited fiduciaries with substantial experience under their belts, and are registered with either the federal or state securities administrators.

Finally, you’ll want to find out how your advisor charges for their services. If they work on commission, this can create a conflict of interest because they may be tempted to steer you into investments that earn them the most money, even when those investments aren’t actually the best ones for you.

Your advisor will ideally be fee-only and will charge you a predetermined, agreed-upon rate for managing your assets. AdvisoryHQ reports that the average advisor fee for someone with $1 million in assets came in at around 1.02% in 2023. If your advisor is charging much more than that, their fee structure may be unfair.

What to do if you suspect your financial advisor is ripping you off

If you’re concerned about whether your advisor is mismanaging your money, ask to see your account statements, a summary of your transactions, and a summary of what you’ve paid to your advisor.

If they’re unwilling to provide the documents you’re asking for, this is a major red flag and you may want to get legal help to recover your records and potentially take action if fraud is found.

Financial advisors found through Advisor.com are upfront regarding their charges — typically billing a flat fee or a percentage of the total assets under management.

Once you have your financial details in front of you, review the information carefully to see where your money is going, what fees you’re paying, and what ROI you’ve earned. Ask any questions you have to get to the bottom of why you don’t feel rich when you’re making so much.

Ultimately, whether it’s lifestyle decisions you’ve made or bad investments, you should have plenty of money to save, grow your wealth and live a comfortable life on an income of $573,000. If you aren’t doing that now, consider looking for a different licensed, fee-only advisor who can help you make a better plan for your financial future.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

The head of America’s largest bank told an audience at the Institute of International Finance earlier this year that his team is running scenarios in preparation for a global conflict involving nuclear powers.

Jamie Dimon, CEO of JPMorgan Chase, told the crowd that war and nuclear proliferation are greater existential threats than climate change.

“World War III has already begun. You already have battles on the ground being coordinated in multiple countries,” Dimon said at the annual event in Washington, DC on Oct. 24.

Dimon named potential conflict between Western countries and China, Russia, Iran, or North Korea as far more concerning to him than any potential instability in the global financial markets.

JPMorgan Chase has “run scenarios that will shock you” in preparation for potential global conflict, Dimon told the audience.

Curious timing

Dimon’s alarming comments came on the same day as the conclusion of the BRICS Summit, where Brazil, Russia, India, China, South Africa, Iran, Egypt, Ethiopia, and the United Arab Emirates met to discuss deepening their integration.

However, Dimon may have had other reasons much closer to home for speaking on geopolitics to a finance crowd.

According to the New York Times, Dimon privately supported Kamala Harris for president, but didn’t want to do so publicly out of fear of retribution from Donald Trump. Dimon, a registered Democrat, was reportedly also hoping for a post as the Treasury Secretary in a Harris administration.

No matter what the markets have in store now that we’re post-election and expecting many policy changes with the incoming second Trump administration, you can still get solid advice on the future by speaking to an accredited financial professional. Advisor.com can help you find someone that’s right for you.

Advisor.com is an online platform that connects you with vetted financial advisors. Just answer a few quick questions about yourself and your finances, and the platform will match you with experienced financial professionals best suited to help you develop a plan to navigate the markets and continue building your wealth. You can view the advisors’ profiles, read past client reviews, and schedule an initial consultation for free with no obligation to hire.

What to own in times of crisis

Whether you are concerned about Dimon’s warnings or not, they might inspire you to start thinking about your own response to potential global instability.

Given the ongoing conflicts around the world and other uncertainties looming in the distance, it might be tempting to hide out in cash.

But many market veterans, including Warren Buffett, don’t exactly believe in stashing your savings under the mattress.

“The one thing you can be quite sure of is if we went into some very major war, the value of money would go down,” he told CNBC in 2014. “That’s happened in virtually every war that I’m aware of. So the last thing you’d want to do is hold money during a war.”

Consumers have learned firsthand the risk of holding money over the past few years of rampant inflation. What should investors own instead? Buffett has always believed in productive assets, and he stands by that even in times of crisis.

“You might want to own a farm, you might want to own an apartment house, you might want to own securities,” he said.

It’s easy to see the appeal of farmland. Whether boom or bust, people still need to eat. These days, it’s also easy to invest in farmland even if you know nothing about farming.

Investing in farmland

One thing is for certain: In times of war, the military needs constant and reliable food production. Investing in arable land, therefore, is a safe bet — Even Bill Gates thinks so.

If you’re an accredited investor, you’ll want expert advice and assurance that you’re investing in the country’s top farms.

FarmTogether is a company offering a range of funds and bespoke investment opportunities for those looking to put some capital to work in physical farmland. With more than $2.1 billion in capital deployed and a conservative and disciplined investment philosophy, the company hits on many of the key needs of investors looking for exposure to this asset class .

The company’s proprietary sourcing technology and experienced team with best-in-class partnerships means that less than 1% of the deals that enter the company’s pipeline are passed onto investors.

You’re required to be an accredited investor to take part in FarmTogether’s funds or to use any of the company’s bespoke services. But for those in this group looking at investing in farmland, this is an option worth considering.

Real estate

Real estate could offer another hedge against uncertainty.

Sure, real estate has its cycles, but no matter how much economic growth slows down, people need a place to live. And with real estate prices rising to unaffordable levels in many parts of the country, renting has become the only option for many people.

The segment is also becoming increasingly accessible to retail investors.

First National Realty Partners (FNRP), allows you to invest in institutional-quality commercial reale estate.

FNRP has developed relationships with the nation’s largest essential-needs brands, including Kroger, Walmart, and Whole Foods. The firm offers accredited investors access to these types of promising retail-anchored real estate investments.

Their team makes investing in commercial real estate convenient and simple by offering white-glove service to investors. They act as the deal leader, providing expertise and doing the legwork, while investors can use their secure platform to explore available deals, engage with experts and easily make an allocation.

Another option for safe real estate investing is in private real estate funds.

For example, DLP Capital offers tax-advantaged, private REITs, which are primarily focused on acquiring or developing affordable rental housing for working families across the country.

With a track record of identifying high-potential properties and over $5.2 billion in assets under management, DLP Capital helps investors capitalize on real estate’s long-term value. Plus, accredited investors in these funds can earn passive income through monthly, quarterly, or annual distributions.

DLP Capital’s funds target potential annual returns between 9% and 13% — almost at par with the S&P 500 index’s 10.26% returns annually. But you get two distinct advantages by investing in DLP Capital’s funds — portfolio diversification and a potentially lower tax bill.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

A quick Google search reveals that millennials are often characterized as entitled whiners who are quick to complain about their financial struggles — but it’s not a fair assessment.

There’s a reason why millennials — typically defined as between the age of 28 and 43 — are on shakier financial ground compared to previous generations.

A recent study from Allianz shows that, while boomers have been able to benefit from periods of strong economic growth, millennials have been hit with one financial crisis after another since reaching an age when it was finally possible to start saving and growing their wealth. A study in the American Journal of Sociology found that millennials have 30% less wealth at age 35 than boomers did.

Here’s how society’s “biggest losers” can get ahead even after multiple setbacks — and what Americans of any age can learn from their struggles.

Why millennials got a raw deal

Millennials have had a number of economic factors working against them over the years.

During the Great Recession (2007-2009), many millennials were in their 20s, facing high unemployment, stalled careers, and mounting student loan debt. Unlike boomers, who attended college when costs were low, millennials faced steep tuition, with average public college costs rising from $514 in 1973-1974 to $4,587 in 2003-2004.

The job market’s slow recovery and low interest rates further hindered millennials’ savings efforts, while higher rates in the 1970s helped boomers build wealth. The pandemic didn’t help matters.

However, millennials can navigate these obstacles and maximize the longevity of their future nest egg or any other long-term financial goals by seeking a trusted financial advisor — and finding one doesn’t need to be a long, stressful process.

Advisor.com simplifies the search process by connecting individuals with an exclusive network of fiduciary advisors, each dedicated to transparency and held to high ethical standards.

All you have to do is answer a few simple questions regarding your finances and long-term goals, and Advisor.com will connect you with a vetted expert near you who is best suited for your needs. You can then set up a free, no-obligation consultation to see if they’re the right fit for you.

How millennials can get ahead

Personal finance expert Suze Orman stresses that the key to building wealth lies in compound interest.

“Their priority is their youth, their priority is time,” Orman once told Moneywise, highlighting that compounding over time is crucial to financial freedom.

For example, saving just $100 a month starting at age 35 with a 12% annual return could grow to $300,000 by retirement age, Orman explained. While still below the $1.46 million Northwestern Mutual recommends for a comfortable retirement, it’s a step toward catching up after economic setbacks.

Millennials can also make up lost ground with real estate, which offers robust growth potential whether through homeownership or through other investments like real estate crowdfunding platforms and real estate investment trusts (REITs). REITs allow for real estate investment without needing to buy physical property, making them an accessible option for beginners with even modest funds.

Investing in real estate without buying a property

In fact, there are emerging platforms that simplify real estate investing further, offering flexible options to invest in large-scale real estate projects without the traditional barriers to entry. These services open up new opportunities to grow wealth and diversify portfolios.

If you’re looking to start investing in income-producing residential real estate, Arrived offers an accessible way to do that without the barriers of buying and managing a property yourself.

Backed by influential investors including Jeff Bezos, Arrived is a real estate investment platform that allows individuals to directly invest in shares of rental homes and vacation rentals .

By investing with Arrived, you’ll earn returns in two ways: rental income generated by the properties and capital gains when properties appreciate in value.

For as little as $100, you can invest in the housing market and earn passive income without dealing with mortgages or landlord responsibilities.

And you aren’t limited to residential opportunities when it comes to income-producing real estate.

If you’re an accredited investor looking for larger returns through institutional-quality commercial real estate, First National Realty Partners (FNRP) could be a better fit with a $50,000 minimum investment requirement.

Specializing in grocery-anchored retail, FNRP offers a turnkey solution for investors, allowing them to passively earn distribution income while benefiting from the firm’s expertise and deal leadership.

FNRP has developed relationships with the nation’s largest essential-needs brands, including Kroger, Walmart and Whole Foods, and provides insights into the best properties both on and off-market. And since the investments are necessity-based, they tend to perform well during times of economic volatility and act as a hedge against inflation.

You can engage with experts, explore available deals and easily make an allocation, all in one personalized, secure portal.

Building your nest egg with gold and high-interest savings accounts

With another 20-25 years in the workforce, even older millennials have time to grow their retirement savings through increased IRA or 401(k) contributions and smart investing. Even so, with rising living costs and economic uncertainty, it’s important to consider different ways to secure your financial future.

Many investors are seeking more diversified strategies, such as gold IRAs, to provide stability and protect their savings against inflation and market fluctuations.

Additionally, high-interest savings accounts have become a more attractive option for those looking to boost their savings with minimal risk.

You can open a gold IRA account with the help of Priority Gold. This way, you can benefit from the hedging properties of gold as well as reap the tax benefits — creating a secure financial cushion for retirement.

You can get up to $5,000 in free silver if you make a qualifying purchase with Priority Gold. If you want to learn more, sign up now to get a free precious metals IRA guide.

On the other hand, if you’re looking for a more accessible and hands-off approach to saving and investing, platforms like Acorns offer a great solution.

Acorns makes it easy to grow your savings by automatically rounding up your everyday purchases to the nearest dollar and investing the change into a diversified portfolio. It’s a simple way to start investing without even thinking about it.

And the investing options with Acorns don’t end there. You can also open an IRA with Acorns Later and reap the tax benefits that are associated with registered retirement accounts. Acorns Silver plan offers a 1% IRA match on new contributions, while the Gold plan, you can get a 3% IRA match.

And with a $20 bonus for signing up, it’s an easy entry point to begin investing toward your long-term goals while still managing the demands of daily expenses.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Car dealers aren’t always known for prioritizing your budget — and the lengths some will go to to separate you from your hard-earned money are greater than you might think.

Most car shoppers have never heard of the four-square method, although it’s often used to convince you to make a big financial commitment without the full picture.

Here’s how it works, along with some tips on how to avoid falling into a car dealer’s trap.

How the four-square method works

The four-square method refers to the dealer making four squares on a piece of paper. The squares contain the following figures:

• The value of your trade-in
• Your down payment
• The price of the vehicle you’re buying
• The monthly payment for your new car

Writing this info down might seem innocent, but dealers often cross numbers out and write them all over the sheet, causing you to lose track of what’s happening.

Dealers sometimes try to obscure the car’s total costs when using this method. Instead, their goal is to get you focused on the amount of your monthly payment. They want to convince you the vehicle is in your budget if you can manage the monthly costs — no matter how many months it takes.

Unfortunately, dealers aim to lock you into long-term car loans to make that price appear lower. But what it does is increase the total cost of the car, leaving you in debt for longer. You also pay more in interest over time, which is never good considering you also have to account for the ongoing cost of car insurance.

Of course, the total cost is nowhere to be found on the squares.

Insurance costs are an important factor to consider, whether you’re in the market for a car or not, you can always benefit from doing a little comparison shopping on your policy. This used to take hours of research, but not anymore with free services like OfficialCarInsurance.

OfficialCarInsurance helps you instantly sort through the best policies from car insurance providers in your area, including trusted names like Progressive, GEICO, and Allstate. With rates as low as $29 per month, you can find coverage that suits your needs and potentially saves you hundreds of dollars per year.

To get started, fill in some basic information and OfficialCarInsurance will provide a list of the top insurers in your area.

The more you find savings for other car costs, the more money you can put toward your monthly car payments to pay off your loan faster.

Avoid falling for a car dealer’s strategy

Fortunately, you can avoid being fooled by the 4-square method — or any other methods dealers use to squeeze every dollar out of you. Here’s what you can do to ensure you pay a fair price.

Do your research before you go

An informed customer is less likely to be swindled, so doing your own research can help you stick to a budget that makes sense for you. The Kelley Blue Book and AutoTrader can be a good way to find out the going rate for a car so you’ll know how much you can expect to pay.

Get preapproved for a car loan independently

You don’t have to borrow from the dealer when buying a car. While they sometimes offer great incentives, the rates are often comparable to car loans from private lenders.

If you pass up dealer financing, they have fewer chances to tack on hidden costs or trick you into a low payment over an extended loan term.

Take the time to shop around, compare rates and find out what you can afford with a reasonable loan term. That way you can leverage your pre-approval at the dealership and see if they can offer a lower rate.

Look at total costs

Dealers use the four-square method to present so many numbers that you won’t notice they aren’t disclosing the total costs. The problem is that not understanding the actual price you’re paying can lead to bad choices.

If you have already been taken in by the four-square method, it’s not too late to lower your costs so you can make your car payments more affordable, allowing you to pay-off high-interest debt faster.

Credible makes it easy to streamline your debt payments so you aren’t juggling paying off multiple lenders at different rates. Its online marketplace of vetted lenders provides personal loan offers based on your needs, allowing you to pay off your car loan more efficiently at a fixed rate.

Consolidating your debt with a personal loan from Credible can be the first step towards more financial freedom and getting out from under that damaging debt.

When buying a car, don’t let the dealer drive your decision making — and don’t let them confuse you. Go in with a clear budget and an understanding of what the car should cost. If the dealer doesn’t align with your financing needs, find a lender that does.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

In a call on an episode of The Ramsey Show, a 73-year old Arizona resident named Robin shared that she has no 401(k) or mutual funds and more than $12,000 in outstanding student loan debt — but is considering a home purchase within the next three years.

Host Dave Ramsey then asks, “How would you be able to buy [a house] if you don’t have any money?” Robin says she expects to pay off the student loan by March of next year and is setting aside a modest amount for a down payment every month.

Ramsey suggests she cash in her insurance policy, pay down her student loan faster and maximize her down payment savings right afterward. “Basically, you’re going to live on beans and rice for the next three years.”

Robin isn’t alone. According to a study commissioned by the ALI Retirement Income Institute, the majority of Americans who will turn age 65 between 2024 and 2030 are not financially prepared for retirement.

If you’re concerned about being stuck in the same situation, consider these three ways to boost your retirement savings on short notice.

1. "Live on beans and rice"

When Ramsey suggests Robin “live on beans and rice” he doesn’t mean it quite so literally, but rather that living a frugal lifestyle and cutting spending where you can can help you boost your savings. So skip the steakhouse dinner and make some pasta at home.

While spending money is inevitable no matter how frugal you are, using a tool like Acorns — an automated savings and investment app — can make the most out of your spending.

When you make a purchase on your credit or debit card, Acorns automatically rounds up the price to the nearest dollar and puts the excess into a smart investment portfolio. This way, even the most essential spending translates to money saved for the future.

Plus, Acorns lets you customize how you save. With an Acorns Silver plan, you get access to Acorns Later, a retirement investment account with a 1% IRA match on new contributions. With Acorns Gold, you get a 3% IRA match on new contributions and the ability to customize your portfolio by selecting your own stocks.

When you sign up now, you’ll get a $20 bonus investment, too.

Another excellent way to grow your savings safely is with a certificate of deposit. CDs offer a guaranteed rate of return, and those rates are usually higher than your typical savings account. You can choose how long to lock in your investment, and so they’re suitable for both short- and long-term savings.

With SavingsAccounts.com you can shop and compare top CD rates from various banks and credit unions nationwide.

Their extensive database shows the most competitive rates, with daily rate updates and personalized recommendations based on your risk preferences and time horizon, so you can find the right CD to meet your savings goals.

If you want to help your money grow even faster, a high yield savings account can help you do just that.

To pick a high-yield savings account that is best for you, check out the Moneywise list of the Best High-Yield Savings Accounts of 2024 to compare your options.

2. Reinvest dividends

You can boost your passive income by reinvesting it for a short period. A Dividend Reinvestment Plan, or DRIP, can allow you to deploy your regular dividends into acquiring more stock. These programs can expand your nest egg considerably.

For example, Walgreens Boots Alliance Inc. (WBA) currently offers a 11.03%8.6% dividend yield. Implementing the company’s DRIP program could double your capital in nine years, depending on the stock’s performance during that time.

Platforms like Public make it easy to invest in dividend stocks and ETFs.

Public not only offers commission-free trading but also provides a high-yield account where you can park your cash between investments. Public also has social features, enabling users to follow and learn from other investors, share ideas, and stay updated on market trends with real-time insights — kind of like its own internal Reddit community.

As an added bonus, Public’s high-yield cash account offers competitive interest rates on uninvested funds. Earn an industry-leading 4.6% APY with no fees and no subscription.

3. Tap into insurance

Home insurance policies allow you to cash out a certain amount before maturity. If a policy is no longer needed, consider this option to boost your retirement savings — but only as a last resort. Consult your tax professional or financial advisor before pulling the trigger.

WiserAdvisor — an online platform connecting you to vetted financial advisors — is an easy-to-use option to find the best financial advisor for you.

After answering a few questions about yourself and your finances, WiserAdvisor matches you with two to three FINRA/SEC registered financial adviseos best suited to help you with your financial goals.

You can view the advisors’ profiles, read past client reviews, and schedule a free initial consultation with no obligation to hire. If you’re advised against cashing out your policy, you can still find a way to save money on your plan with a quick comparative search on BestMoney.com.

Their easy-to-use platform helps you find the best home insurance rates in your area. The process is simple and makes shopping for home coverage fast, easy and affordable.

All you have to do is answer a few quick questions about yourself and your home, and you’ll see a list of quotes tailored for your needs. You could save hundreds on dollars per year on your home insurance, and stash that money in your retirement accounts, where every dollar saved will add up to a happier lifestyle in your old age.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

The U.S. Department of Labor estimates you’ll need 70–90% of your pre-retirement income to maintain your standard of living in your golden years.

Citizens Financial Group reported that a range of $1 million to $1.5 million is needed to guarantee a comfortable retirement.

Compare that to what many Americans have saved: a median of $185,000 for those aged 55-64, according to Federal Reserve data — a balance that may not be enough to last you.

The wise strategy to grow your wealth is not to sit passively on your nest egg, but to continue building it.

Here are three strategies that the richest Americans use — and you can borrow — to help get your nest egg to the size you need for a comfy retirement.

Leverage tax-deferred growth

The IRS has no age limit on how long you can continue contributing to an individual retirement account (IRA) contributions, and your money will continue to grow tax-free as you save. But there are still contribution and deduction limits to be aware of.

If you’re covered by a retirement account at work, traditional IRA deductions are phased out for married couples if your modified adjusted gross income (MAGI) is between $123,000 and $143,000. With a Roth IRA, that phase-out happens between $230,000 and $240,000.

For single filers, the range is $87,000 to $161,000. Fortunately, the IRA contribution limit in 2024 is $8,000 if you’re 50 or older, up more than 14% from 2022.

While Roth IRAs are a key savings vehicle, you’ll also want assets that protect you from inflation and stock market volatility.

A gold IRA, for example, allows you to hold physical assets like gold, providing a hedge against both inflation and the ups and downs of the market. Although it will be subject to income tax, and will contribute to your taxable income upon retirement, a gold IRA can be a terrific risk-adjusted complement to a Roth IRA, which could be riskier depending on assets you hold inside.

If you’re keen on making gold a key part of your retirement strategy, consider opening a precious metals IRA with help from Priority Gold. This retirement account can help you stabilize your finances by allowing you to invest directly in physical precious metals rather than stocks and bonds.

One of the country’s most trusted precious metals companies – with an A+ rating from the Better Business Bureau and a 5-star rating on Trust Link – Priority Gold has helped thousands of clients protect their retirement.

When you’re feeling unsure about how to set up your retirement accounts, and how to meet a seven-figure savings goal, it’s time to call in a pro.

Professional advisors — like those at Advisor.com — can help you create a money management plan. Whether you’re looking to diversify your portfolio or grow your nest egg, Advisor.com connects you with experienced financial advisors who can help you reach your financial goals.

By partnering with a reputable advisor, you’ll gain expert insights into which alternative assets align best with your goals. Once you’re matched, you can schedule a free consultation to discuss your financial strategy and explore the investment options available to best suit your needs.

Move to a less expensive part of the country

From 2015 to 2019, only 5.9% of people aged 65 to 74 chose to relocate, according to U.S. census data. But definite financial advantages lie in moving from a high-cost-of-living locale to a much less expensive one. As of the second quarter of 2024, the Council for Community and Economic Research found that the Cost of Living Index in San Francisco (the nation’s fourth-most expensive city) is 167.4.

Meanwhile, Amarillo, Texas, one of the cheapest cities to live in, has a score of 83.1. If you want to stay closer to your hometown, a cost-cutting move is also entirely possible. RentCafe estimates that the cost of living in Rockford, Illinois is significantly lower than in Chicago — only 90 miles away.

Whether you stay or you go, one beneficial way to lower costs for your home is to shop around for a better deal on your home insurance.

BestMoney is an easy-to-use platform that can help you compare home insurance rates in your area.

Shopping for a better policy is fast and easy: All you have to do is answer a few quick questions about yourself and your home, and you’ll see get a list of quotes tailored for your needs.

A report by MarketWatch also found that Americans struggle to keep the monthly cost of car ownership below the recommended threshold of 10% of their monthly income. On average, we’re spending 20%. Lowering this expense can give you more funds to add to your retirement savings.

When you use OfficialCarInsurance, you can ensure that you’re cutting your insurance costs down to size.

Getting started with a quote is easy: When you enter your age, your home state, the type of vehicle you drive, and your driving record, OfficialCarInsurance will sort through the leading insurance companies in your area, including top providers like Progressive, Allstate and GEICO. You can then easily compare rates and choose the policy that best suits your needs and budget.

Invest a small portion of your portfolio in cryptocurrency

Yes, cryptocurrency has a well-earned reputation for volatility. But many financial experts say it is potentially profitable to invest in it, as long as you limit your risk exposure.

Working with retirees worth between $2 million and $10 million, certified financial planner Evan T. Beach told Kiplinger that crypto should typically make up no more than 5% of your portfolio. “Rich Dad, Poor Dad” author Robert Kiyosaki also has optimistic predictions for Bitcoin in particular.

When the virtual currency was testing $30,000 in October, Kiyosaki predicted, “Next stop Bitcoin $135,000.” If his predictions were to come true, it would result in an incredible lift of 277%.

For those interested in the world of digital currencies, Coinbase is the largest crypto exchange in the U.S. With over $269 billion in safeguarded assets and 245,000 partners in 100 countries, Coinbase is a trusted name in the crypto space.

It offers a secure platform for buying, selling, and storing digital currencies like Bitcoin, Ethereum, and Litecoin. And with its own wallet service, you can store hundreds of different cryptocurrencies securely on the platform.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

After nearly seven decades of experience, investing legend Warren Buffett has accumulated more than $142 billion in personal wealth — and the Oracle of Omaha believes much of his success is based on his ability to avoid losing money.

Buffett has always advocated a long term investment approach – which is perhaps the reason why his strategies resonate with millions of people.

“You only have to do a very few things right in your life so long as you don’t do too many things wrong,” he once said.

With that in mind, here are three investment mistakes you should avoid in order to secure your fortune for the long term.

1. Speculating instead of investing

Some investors fail to recognize the difference between a speculative asset and an investment-worthy asset. According to Buffett, the difference is in how the asset generates a return.

“All investment is laying out some money now to get more money back in the future,” Buffett once explained. “Now, there’s two ways of looking at getting the money back. One is from what the asset itself will produce. That’s investment. [The other] is from what somebody else will pay you for it later on, irrespective of what the asset produces. And I call that speculation.”

Buffett believes that assets that produce income organically — such as farmland, profitable companies, dividend stocks and real estate investment trusts — are investment-worthy.

Real estate has historically been less speculative than stocks, with stable returns generating a steady stream of passive income. It is often touted as one of the best avenues to build wealth – a move that can pay off brilliantly during retirement.

However, with home prices steadily increasing over the past few years, direct ownership of residential real estate might be challenging.

But that doesn’t mean you can’t tap into the $30 trillion home equity market, with real estate crowdfunding companies that let you invest in residential properties without constantly worrying about mortgage or home maintenance expenses.

Arrived’s online platform allows you to invest in shares of rental homes and vacation rentals without taking on the responsibilities of property management.

With Arrived, you can browse a curated selection of homes, each vetted for their appreciation and income potential. Once you find a property you like, you can choose the number of shares you want to buy and start investing in real estate with just $100.

For accredited investors looking to expand their portfolios beyond traditional residential real estate, First National Realty Partners (FNRP) allows you to tap into the commercial real estate market.

FNRP is a private equity firm with a triple net lease (NNN) structure with some of the largest grocery chains in the U.S. such as Walmart, Whole Foods, and Kroger.

The tenants who lease FNRP’s properties are responsible for maintenance expenses, taxes and insurance, translating to potentially lower net operating expenses.

You can own a stake in institutional-quality commercial real estate, such as grocery chains and distribution centers, without having to do the leg work.

2. Trying to time the market

Market timing is deceptively tempting. Investors often convince themselves they can wait for the right time to buy or sell a stock. However, experienced investors understand that market cycles are unpredictable, so staying invested for longer is typically the best approach.

"You shouldn’t buy stocks unless you expect to hold them for a very extended period and you are prepared financially and psychologically to hold them," Buffett had said during Berkshire Hathaway’s annual meeting in 2020.

If you are investing for retirement, you need to make sure you are picking the right stocks. Also, you need to make sure you are planning correctly to meet your short-term goals without having to cash out your portfolio.

Advisor.com connects you with experienced FINRA/SEC registered financial advisors who can help you figure out how to manage your portfolio optimally.

Not everyone’s retirement needs and investment strategies are the same. Advisor.com has a vast network of independent and unbiased advisors who are pre-screened and matched according to your preferences.

Once you find an advisor you like, you can set up a no-obligation consultation free of charge.

3. Hedging against volatility

Warren Buffett, who had a long-standing history of not liking gold investments, reversed his stance when he invested a $565 million stake in Barrick Gold Corp. back in 2020 – a move that hedged his portfolio against the pandemic-era market volatility.

With market volatility reaching new highs as election season nears, investing in gold can help you hedge your portfolio against sudden market fluctuations.

While gold stocks are still susceptible to stock market downturns, investing in physical gold can help you mitigate the market risk.

“No matter how wonderful a business it is, there always is a risk that you will pay a price [and] that it will take a few years for the business to catch up with the stock,” Buffett once said at a shareholder meeting.

On the other hand, with physical gold, you get what you pay for. Over the long term, gold is almost certainly going to increase in value, cushioning your retirement fund.

A gold IRA account set up with help from industry-leading firm Priority Gold lets you invest in physical gold while reaping the tax benefits of an IRA.

One of the country’s most trusted precious metals companies – with an A+ rating from the Better Business Bureau and a 5-star rating on Trust Link – Priority Gold has helped thousands of clients protect their retirement.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Shaquille O’Neal, the NBA Hall of Famer, has seen significant success off the court, largely thanks to early investments in companies like Google, Ring, Apple, and Lyft, contributing to his $500 million fortune.

However, he admits that his journey to becoming a savvy investor wasn’t always smooth. "I failed many times," Shaq shared on CNBC’s Power Lunch in 2019. “From like, 19 to 26, anybody could come to my office, tell me that deal, and I would take it right away. No research, no due diligence.”

Over time, Shaq learned to approach investments more thoughtfully, ultimately improving his financial outcomes. His evolution as an investor offers valuable lessons for everyday investors aiming to master due diligence.

Create a game plan

Planning is the first step for any investor. Professional portfolio managers and investment advisors often offer new clients a questionnaire to create a formal Investment Policy Statement (IPS). This statement outlines the client’s risk tolerance, risk capacity, preferred assets, growth targets and retirement goals.

If you’re not working with an advisor, you could always take a generic questionnaire online to create your own plan.

However, for those looking to take their investment strategy to the next level, finding a trusted financial advisor quickly through platforms like Advisor.com, for instance, can help you reach your long-term financial goals faster – whether that’s saving for a house or your retirement.

Advisor.com is an online platform that simplifies the process of finding a financial advisor you can trust – matching you with several vetted fiduciary advisors who can provide you with a personalized plan based on your current financial situation and future goals.

Take a few quick minutes to answer some questions about yourself and Advisor.com will instantly match you with a financial advisor for free. From there, you can book a free, no-obligation consultation to confirm if your match is right for you.

Cultivate high quality sources of data

Good investors know that knowledge is key. Warren Buffett reportedly reads 500 pages a day, and Mark Cuban spends three hours daily reading. But with information overload and unvetted advice on social media, it’s easy to get overwhelmed or misinformed.

69% of young Americans have encountered financial advice on social media but only 31% have verified the credentials of content creators supplying the information, according to a survey by Forbes Advisor.

For better outcomes, it’s essential to cultivate high-quality data sources such as established publications, investors with a real track record, and newsletters from industry professionals.

Moby, an investment research platform created by a team of former hedge fund analysts, provides high-quality stock picks backed by in-depth analysis. With its stock picks outperforming the S&P 500 by an average of 11.95% over the past four years, and over five million users already benefiting from their insights, Moby makes a strong case for its financial data — simplified into easy-to-understand reports.

With Moby, you can become a wiser investor in just five minutes, backed by a 30-day money back guarantee.

Regardless of your source of information, if you plan to tackle investing on your own keep the following in mind:

• Test your hypotheses: To validate your hypothesis whether a stock will outperform, find trusted information via statistics, consumer surveys, sales data or market research from financial experts.

• Focus on valuation: After testing, check if a stock’s price is justified using valuation methods like price-to-earnings or discounted cash flow analysis.

• Establish a margin of safety: Buffett advises buying stocks below their intrinsic value to reduce risk. Aim to purchase 10-20% below a stock’s fair price to create a buffer against market swings.

• Stick with it: Shaq’s early missteps highlight the need for persistence. Successful investing requires ongoing learning and refining your strategy to achieve better outcomes — just as he did.

Think you’ve got the basics down? The next step is finding an investing platform you can understand and trust. For those looking to build wealth responsibly and avoid the temptation of risky, get-rich-quick schemes, Public offers an innovative approach to self-directed investing with a focus on transparency, community, and long-term growth.

Public is a commission-free, self-directed investing platform that lets users manage diverse assets — including stocks, ETFs, crypto, and alternative investments. The platform helps you make informed choices through real-time insights and social features where you can chat with other investors.

Unlike robo advisors, Public provides control without automated management, promoting transparency by rejecting payment for order flow in favor of an optional tipping model. With fractional share investing and a high-yield cash account, it’s designed to help investors build wealth gradually and responsibly.

Real estate as a steady alternative to the stock market

Real estate is compelling because it offers potential for steady income and portfolio diversification. Investing in property has long been a go-to for creating reliable cash flow, yet today’s high home prices make direct ownership less accessible.

If you’re seeking entry into the real estate market (without breaking the bank or the added burden of property management), there are modern platforms that can accommodate those needs.

Interested in buying shares of vacation properties? Arrived, backed by world-class investors like Jeff Bezos, makes it simple to add rental assets to your portfolio. Through its user-friendly platform, investors of all income levels can access SEC-qualified rentals and vacation homes with flexible investment amounts. Simply browse their curated selection of homes, choose shares, and start benefiting from the income and appreciation potential. You can get started for as little as $100.

For accredited investors with $50,000+ who are looking for even more security in their investments, First National Realty Partners (FNRP) offers institutional-grade opportunities in grocery-anchored retail — a sector that tends to weather economic volatility well.

FNRP manages the entire process, allowing investors to earn passively while benefiting from their expertise and partnerships with major brands like Kroger, Whole Foods and Walmart.

You can engage with experts, explore available deals and easily make an allocation, all in one personalized portal.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

When it comes to picking a bank, most people focus on things like access to ATMs and monthly account fees. For rich people, those things matter — but most are looking for much more from their bank than just the bare minimum.

In fact, the ultra-wealthy often enjoy awesome perks that make their lives easier and help them stay rich. They do it with private banking.

Private banking is a tier above standard premium accounts at traditional banks, offering specialized services within regular banks. Wealthy clients gain access to these accounts by meeting high minimum balance requirements. Here are three of the best perks that rich account holders can get.

A dedicated relationship manager

Eligible clients have a dedicated advisor or team, often called a private client advisor or banker, who manage their needs, help to avoid fees, resolve issues, and find suitable financial products. It’s personalized service that doesn’t involve waiting on customer service lines or getting help from an online chat.

If you don’t have the millions it takes to become eligible for private banking, the good news is that you can still find good customer service from the right advisor for much less, with services like Advisor.com.

Advisor.com is an online platform that simplifies the process of finding a financial advisor you can trust. The platform matches you with several vetted fiduciary advisors who can provide you with a personalized plan based on your current financial situation and future goals.

All it takes is a few minutes to answer some questions about yourself, and Advisor.com will match you with a financial advisor for free. From there, you can book a free, no-obligation consultation to confirm if your match is right for you.

Also check out credit unions and local banks, as these smaller institutions may have a stronger focus on providing top-notch support to account holders compared with large multinational banks. A 2019 Gallup study found that credit unions are far better at supporting their members’ feelings of wellbeing than banks are.

If you do have those millions, you might be pleased to learn that you do have options outside of private banking at mega-cap financial institutions, including a more personal touch — options such as Arta Finance.

Arta Finance is a digital wealth management service that offers exclusive financial strategies, primarily serving affluent individuals and accredited investors. One of their aims is to democratize access to sophisticated investment strategies traditionally available only to ultra-high-net-worth clients.

Arta provides a range of services, including investment in alternative assets, personalized portfolio management and financial planning, diversified portfolio building and tax strategy, all aimed at supporting your long term financial growth.

Financial services at no charge

Rich clients — especially those involved in private banking — often get access to free or discounted advice and support from financial professionals. For example, some private banks offer clients estate planning services or meetings with financial advisors.

While this can be hard to replicate without a big bank balance, there are institutions that offer similar types of financial support to clients even without seven-figure accounts. For example, online bank SoFi has member benefits that include personalized financial planning advice at no cost, as well as a 20% discount on estate planning services.

SoFi also offers FDIC insured, no-fee checking and savings accounts so that all your accessible cash can grow, too. Their rates also outpace traditional accounts, so you can earn 4.60% APY on savings balances and 0.50% APY on your checking balances.

You also enjoy no-fee overdraft protection, early paycheck deposits and access to over 55,000 ATMs within the Allpoint network.

Sign up now and you can get a bonus up to $300 for setting up direct deposit.

Armed with these options for free financial advice and free high-interest accounts, you should also look for a free trading platform — and Public offers you the best of both worlds.

Public is a commission-free, self-directed investing platform that lets users manage diverse assets — like stocks, ETFs, crypto, and alternative investments — while making informed choices through real-time insights and social features.

There’s the added bonus of Public’s high-yield cash account with an industry-leading 4.6% APY and there are no fees and no minimum balance required. This can allow you to grow your uninvested cash more effectively over time.

Unlike robo-advisors, Public provides control without automated management, promoting transparency by rejecting payment for order flow in favor of an optional tipping model. Public makes it easy to do all of your wealth management from one place with their fractional share investing features and high-yield cash account.

Opportunities to save

Finally, ultra-rich Americans often pay less for services and are paid more for investments thanks to their bank.

Some private banking clients receive higher Certificate of Deposit (CD) rates, for example, or may be eligible for waived fees. These can include monthly service fees, ATM fees, and even wire transfer fees. Often, clients with high balances will also be rewarded with lower interest rates or discounted closing costs on loans.

While not everyone can get all of the same great deals, tools or financial products that the ultra-rich do, new services and platforms like SavingsAccounts.com continue to level the playing field.

For instance, if a good rate on fixed income is what you’re after, SavingsAccounts.com can help you shop and compare top rates from various banks and credit unions nationwide. Their extensive database shows the most competitive rates without bias, with daily rate updates and earnings calculators which give consumers an array of free tools to help them find the right CD to meet their savings goals.

If you’re still hungry for more set-it-and-forget-it savings options with better yields than big banks, take a deeper look at some of the best high-interest savings accounts available right now on our list of the Best High-Yield Savings Accounts of 2024.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

With mortgage interest rates falling, homeowners are hunting for ways to cut their monthly payments. Refinancing remains hugely popular, but a lesser-used hack could also save you hundreds each month: mortgage rate modifications.

The best part? All you have to do is ask.

The average rate on a 30-year fixed mortgage is 7.13% as of Nov. 28, down down from over 8% in October of last year.

With this in mind, homeowners can ask for a mortgage rate modification. This is an agreement between a borrower and their lender to adjust the interest rate on a loan without a full refinance.

How to get a rate modification

Unlike refinancing, which involves replacing your existing mortgage with a new one (often with different terms and costs), a rate modification simply alters the interest rate of your current loan, lowering monthly payments and reducing interest over the life of the loan.

Mortgage rate modifications are typically associated with loan modifications designed to help borrowers avoid default or foreclosure. Some lenders offer rate modifications proactively to retain good customers when market rates drop. But do you really want to wait for the lender to make the first move?

Before approaching your lender, understand your existing loan terms, including the interest rate, remaining balance and any clauses related to modifications or prepayment penalties.

You can also benefit from researching rates before you decide whether a modification or refinancing is the better move for you.

For example, according to research from Freddie Mac, borrowers who approached different lenders and got two or more quotes saved between $600 and $1200 annually compared to people who refinanced their mortgages from their current lender. Over the lifetime of your mortgage, this number can add up to substantial savings.

Mortgage Research Center helps you view refinance rates offered by various lenders in your area within minutes. Simply enter some basic information about your existing mortgage and finances, and the Mortgage Research Center compiles and displays competitive rates offered by vetted lenders.

After matching with a lender, you can set up a free introductory call to learn how to transfer your current mortgage.

Knowing the current mortgage rateslike yours will strengthen your position when negotiating with any lender.

If you then decide that a rate modification is the right move, your next step is to contact your loan officer or customer service representative to explore what’s possible. Be ready to demonstrate your good credit score and consistency with on-time payments, since lenders are more inclined to accommodate reliable borrowers.

Finally, it’s time to negotiate terms. Be prepared for rejection. After all, the lender has its agreement and isn’t obligated to change the terms. But if your lender is open to it, be ready to discuss possible fees associated with the modification. While some lenders may charge a nominal fee, it’s often significantly less than the costs associated with refinancing.

Why consider a rate modification now?

Though interest rates are dropping they remain relatively high, so homeowners with mortgages locked in at higher rates stand to benefit significantly from a lower rate. The typical costs and hassles associated with refinancing — closing costs, appraisal fees, and extensive paperwork — are enough to send anyone looking for something better.

A rate modification gets around many of these hurdles. Since you’re merely adjusting the terms of the existing loan, the process is usually faster and cheaper, and involves less paperwork.

Obtaining or making changes to your mortgage can have long-term implications so it might be worth talking to a financial advisor to create a plan or find out all of your options depending on your goals.

If you need help finding one, Advisor.com connects you with vetted fiduciary financial advisors near you. All you have to do is answer a few simple questions about your finances, and Adivsor.com matches you with a certified expert that matches your needs and situation.

You can then set up a free consultation — with no obligation to hire — to see if they’re the right fit for you.

How can it save you money?

Here’s why it’s worth asking your lender.

Suppose you have a $300,000 mortgage with a 30-year fixed rate at 5%. Your monthly principal and interest payment would be approximately $1,610. If market rates drop and your lender agrees to modify your interest rate to 4%, here’s how the numbers change:

New monthly payment: Approximately $1,432

Monthly savings: $178

Annual savings: $2,136

Extra considerations

While typically lower than refinancing costs, some lenders may charge a fee for modifying the loan. Ensure that the savings outweigh any expenses.

Secondly, confirm that other loan terms remain the same. Some lenders might try to adjust other aspects of the loan during modification. Also, unlike refinancing, a rate modification generally doesn’t require a hard credit check and shouldn’t affect your credit score.

To sum up, refinancing can be more expensive than you think. On average, the total cost of refinancing can range from 2-6% of the total loan amount.

If you are thinking about buying a house now with hopes of refinancing in the future, it might not be the bargain you think it is. Rather, you might save substantially just by doing some research to try to get the best possible quote on your new mortgage.

According to a report from LendingTree, shopping around for a mortgage can help you save an average of $76,410 over the lifetime of a 30-year fixed-rate loan.

Once you have picked your desired property and downpayment, you can compare rates offered by vetted lenders through Mortgage Research Center.

By comparing rate information from Mortgage Research Center, you’ll be armed with the information you need to negotiate with a lender to get the mortgage — and home — you’ve been searching for.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.