So, you're thinking about starting your investment journey. But how prepared are you to make your journey smoother? Similar to a road trip, investing starts with a plan.
I like to think of myself as a "pro road tripper." A road trip isn't just driving from point A to point B. It's about the planning, execution, and EXPERIENCE! When planning my road trips, I like to think of it in three components:
👉My budget: How much can I spend on my trip?
Depending on how much I can spend on my trip will allow me to figure out where I can go and for how long.
👉The duration: How long do I want the trip to last?
There are some limitations on duration, like how much vacation time I have. So, if it is a waterpark, I might stay there for a few days. But if I'm going on an international trip, I might want to spend a week or two there.
👉The destination: Based on my budget and duration, where can I go?
Now, you may be thinking to yourself, "Okay… Thanks for the trip planning advice, Jessica. But what does this have to do with my investment journey????"
A similar strategy can be applied when thinking about investing in the markets as well!
👉Your budget: When you're considering investing, you want to commit to an ongoing monthly deposit. Whether it's your 401k, employee purchase plan, retirement account, or taxable investment account, you should ascertain how much you can put in the markets without compromising your budget.
👉The duration: How soon will you need access to that money? So, where are you in your life stages, and what is the next life stage you will be saving for? You want to think about life stages, such as school, wedding, buying a car or a house, retirement, etc.
👉The destination: Your money can be put to work within various investing accounts. You may consider a Self-directed retail broker, a Robo advisor, or a financial advisor account. Within these types of accounts, there are various assets like stocks, ETFs, bonds, and mutual funds that you can invest in. Figuring out your budget and duration will help determine the type of account and mix of asset classes that best fit your timeline.
Sooooo, before you start your investing journey, you should have a plan in place. By determining your budget, how long you want to invest and the end goal, you can start investing and building wealth.
👇Share your thoughts in the comment section below 👇
MAY THE MARKETS BE IN YOUR FAVOR
THE SHOW
HER MONEY & INVESTING
SHOW
Learn about money and investing concepts for women Click Here
MONEY, PERSONAL FINANCE &
INVESTING EDUCATION
CLASSES NOW
POSTED
Start your journey with
Jessica Perrone! Register Now
TEST YOUR INVESTING IQ
HER INVESTING IQ
Free Fun Quiz
Your Investing IQ - Revealed!
Disclaimer: Jessica Perrone is not a registered investment professional nor a financial advisor. This content is for educational purposes only and is not investment, tax, or financial advice. Always do your own research. You are solely responsible for all investment, tax, and financial decisions that you make. Please read the full disclaimer here.