Financial Advice For 2011

Sound financial advice is necessary for the younger worker

, and even more so for the senior or near-retiree. This information can be a good foundation for building a retirement plan and tweaking it to help you get the most out of your savings and investments for a stable nest egg in the future. Many financial and retirement plans usually include eliminating debt and taking control of how you spend and invest your money, with the investor planning his or her finances based on numerous factors such as risk, potential growth, and the impact of gains and losses. Here are some things you can do for better money management in 2011:

Dividend-paying stocks are still a viable cornerstone of an investment portfolio in 2011, with bonds being eased out of the picture. Purchasing good stocks with high yields from safer, secure dividends (ranging from four to six percent) are recommended, as these tend to increase in value, rather than drop. If you are not sure about what stocks you should buy, ETFs that pay decent dividend yields may be an alternative. Regardless of your tax bracket, you should buy good dividend-paying stocks this coming year or increase how much of it you have in your portfolio.

An emergency fund is always welcome in any investment plan. These will help buffer the effects of investment loss, inflation, or any other factor that could erode your retirement funds. You can use a Roth IRA as a buffer fund, and take advantage of the benefits this type of retirement account comes with. You will not get tax deductions for any contributions to a Roth IRA, but your money will grow without the burden of taxes, and you can take out any part of your balance after you reach the age of fifty and a half. If you absolutely need the cash, you can take out your contributions at any time; you do not have to keep the money there for a certain time. This type of account can be used in addition to another emergency fund if you have the financial capability to do so, but if you have limited funds like many Americans, this is possibly one of the best places to keep your money while still having access to it.

Getting into dividend-paying stocks and establishing an emergency fund or two is always a good way to strengthen your retirement plans. However, these moves can be successful only with the right financial advice. Consult your retirement advisor or investment planner for sound financial advice and other tools to ensure that you increase your chances at a stable nest egg in 2011.

by: Katherine Smith

POST COMMENT

Financial Spread Betting: What You Need To Know Instant payday advance-Immediate hassle free financial help The Seeds of Financial Problems Couples and Financial Problems Planning for a Financial Disaster Financial Borrowing Mistakes Not to Make Greek Financial Crisis: The Greek Crisis Pushes Up the Dollar Recovering From Financial Difficulties How To Achieve Financial Freedom Success iSoft Bespoke Financial Accounting Solutions Car Lease Calculator - A Financial Planner How to Make an Give on a Financial institution Owned Property How to Use a Financial Calculator