Build a safety reserve.
Every client must have a safety reserve for the day-to-day emergencies that life brings. While this reserve will vary with each person and family, it should never be less than three months of monthly recurring expenses.
Pay installment or revolving debt.
This type of debt, which includes credit cards, is expensive and should be avoided since it is extremely destructive to your ability to accumulate wealth.
Accumulate liquid assets.
Through the utilization of a plan, accumulate assets equal to at least one year’s earnings. These funds are available for the uncertainties of life or unique investment opportunities.
Own your home but with a mortgage.
Your plan allows you to accumulate wealth in investment vehicles. Here your investment assets are the vehicles you use to pay your mortgage. The tax advantages of this strategy serve YOU, not to the IRS, allowing you to control your money.