After years of hard work, budgeting carefully, and diligently saving, your savings account has finally reached a stable $50,000. It’s time to shift focus from saving to making your funds work more actively. Choosing a suitable investment strategy will help maintain growth of your funds.
Once you have a substantial amount saved up, it’s wise to start thinking about long-term goals and how to protect your assets from unknown factors. For instance, if a stock market downturn leads to the collapse of your 401(k) retirement plan before you retire.
This is where annuities come into play, providing a reliable source of income during retirement with guaranteed fixed rates, without the market risks. An annuity is a contract between investors (annuitants) and insurance companies, where the annuitant pays a lump sum or periodic payments to the insurer in exchange for guaranteed income payments that can start immediately or be deferred to the future. Annuities can be purchased through insurance companies, banks, brokerage firms, and online platforms.
If the past few years have taught people anything, it’s that market volatility can strike unexpectedly, with factors such as pandemics, supply chain issues, and bear markets affecting retirement savings.
Hence, for many, investing in precious metals serves as a way to diversify and protect their investments.
While some may think they have it all figured out, most can benefit from expert advice, especially in financial matters. Professionals often know things we don’t.
Owning rental properties has long been one of the most well-known sources of passive income.
Many wealthy individuals do it, but here lies a challenge – not everyone can directly purchase investment properties, and not everyone desires to become a landlord.
(This article draws on information from Gobankingrate’s report.)
(The content of this article is for general informational purposes only and does not constitute any recommendation. Epoch Times does not provide investment, tax, legal, financial planning, real estate planning, or other personal financial advice. For specific investment matters, consult your financial advisor. Epoch Times assumes no investment responsibility.)