Making the Most of your Money: Preserving and Growing your Wealth

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You work hard for every dollar you earn so the least you can do is give that money every opportunity to work itself so that you preserve and grow your wealth in order to enjoy a more secure financial future.

A certain percentage of your cash will obviously go on living expenses and other costs but what can make all the difference to your wealth is what you do with the money you have available to invest.

Here are some tips and suggestions that could help you preserve the wealth you currently have and improve your financial standing in the future, including a look at the basic rules that so many of us fail to follow, how to emulate a formula used successfully by the super-rich, plus why you need to take advantage of all the tax rules and incentives available.

Taking control of your money

A lot of people simply can’t put a finger on where their money goes each month and why it seems to be a struggle to organize their finances in such a way that they have enough money to live and enough to save for the future.

Reading Understanding Infinite Banking is one example of a concept that should give you a greater level of comprehension about how to take more control of your money rather than it being the other way around.

If you break down your strategy into three simple investment essentials, which are growing your money safely but achieving competitive returns, legally reducing your taxes to the lowest possible level, and having access to enough money when you need it, you are already improving your odds of success because you have a plan that you are working to.

Take a lesson from the rich

Wealthy people seem to be pretty adept at keeping what they have accumulated and growing it into an even larger pot of gold, so is there some secret formula that they have discovered or can we emulate their strategies to a certain extent?

Having a large amount of money does potentially make it easier to achieve lucrative returns as it can give you access to a greater variety of exotic and technical investment opportunities, but the fundamentals of wealth creation are there for us all to use and stealing a few of the successful strategies employed by the very rich amongst us doesn’t seem like a bad idea.

Even if you don’t have millions to invest you could emulate their formula and apply it to your own portfolio.

For instance, it is no coincidence that most wealthy people have an enviable property portfolio and even if you can’t join them in buying up the luxury apartments, real Estate Investment Trusts (REITS) are something that any stock market investor can put their cash into, giving you a piece of the action by investing in commercial and residential real estate opportunities.

Tax-efficiency is a key aspect of wealth creation

Another area where the rich are always focused on when it comes to preserving their wealth is getting good advice on how to be as tax-efficient as possible.

This is an area that you should pay attention to regardless of what level of wealth you have, as it makes sense to keep as much of your money as possible and legally limit the amount you have to pay in tax by taking advantage of whatever schemes and incentives are available to you.

Writing up an estate plan that decides how your property will be distributed when you die is one example of making sure you have a say in what happens to your assets rather than leaving to a local state government probate code to decide your fate.

Every U.S citizen has an exemption from the estate tax and it is an absolute no-brainer that you get some professional help to make sure you take advantage of these allowances in order to preserve the wealth you have created.

We all have a different risk profile and some investment strategies might take you out of your comfort zone, but you can always find a way of creating and preserving wealth that you are more at home with.

The fundamental point to remember is that the key to preserving and growing your wealth is primarily about developing a strategy that helps you make the most of every dollar you earn and understanding the consequences of every financial decision you make, however small it might seem.