If you'd like to discuss finance, there are many topics that are worth sinking your teeth into. One of the most interesting, perhaps, is the topic about myths and the ones that are still trusted as fact. If your goal is to save money, falling for these myths is the worst thing that you can do. Fortunately, there is still plenty of accurate information that can keep you from falling from mistruths. Here are 4 myths regarding finance that the likes of Robert Jain can shed light on.
"When making a purchase, always use cash." If you think that cash is the way to go for every purchase, you'd be mistaken. As a matter of fact, many people only use it for emergencies. It can be argued that certain credit cards are better, particularly those that offer rewards over the course of time. You'd be amazed by the number of frequent flyer miles people rack up over the years. This is just one example that names like Bob Jain can tell you about.
"Only those that are wealthy can invest." While having a sizable bank account certainly helps, it's not a requirement for investing money. In fact, it's entirely possible to take a small amount from your weekly or biweekly paycheck, placing it in a separate account for the future. While it may take time to build, you'll be amazed by what you've accumulated by the end. Don't assume that investing is only limited to the wealthy.
"It's too early to save for retirement." On the contrary, it's been said that you benefit the most from retirement saving by starting at around age 30. It makes sense, as you're able to put money into your account sooner. Many people assume that their age determines when they should begin saving, which usually isn't the case. The earlier that you begin planning for retirement, the more money that you'll have to use during your golden years.
"I'm already secure, so why do I need an emergency account?" Simply put, you never know what might happen in life. Perhaps you end up leaving your workplace unexpectedly. Maybe a medical emergency arises that requires you to be out of work for during an extended period. The costs will add up, but an emergency account can cover many, if not all, of the costs. It's a simple matter of how you put into this account and, just as importantly, how early you begin saving.
"When making a purchase, always use cash." If you think that cash is the way to go for every purchase, you'd be mistaken. As a matter of fact, many people only use it for emergencies. It can be argued that certain credit cards are better, particularly those that offer rewards over the course of time. You'd be amazed by the number of frequent flyer miles people rack up over the years. This is just one example that names like Bob Jain can tell you about.
"Only those that are wealthy can invest." While having a sizable bank account certainly helps, it's not a requirement for investing money. In fact, it's entirely possible to take a small amount from your weekly or biweekly paycheck, placing it in a separate account for the future. While it may take time to build, you'll be amazed by what you've accumulated by the end. Don't assume that investing is only limited to the wealthy.
"It's too early to save for retirement." On the contrary, it's been said that you benefit the most from retirement saving by starting at around age 30. It makes sense, as you're able to put money into your account sooner. Many people assume that their age determines when they should begin saving, which usually isn't the case. The earlier that you begin planning for retirement, the more money that you'll have to use during your golden years.
"I'm already secure, so why do I need an emergency account?" Simply put, you never know what might happen in life. Perhaps you end up leaving your workplace unexpectedly. Maybe a medical emergency arises that requires you to be out of work for during an extended period. The costs will add up, but an emergency account can cover many, if not all, of the costs. It's a simple matter of how you put into this account and, just as importantly, how early you begin saving.
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