Investing for Life's Milestones

Spending Money Now to Benefit Your Future

No matter what your plans are for your life, you don’t want money to get in the way of achieving your goals. As such, you may want to consider investing your money during each stage of your life to make your aspirations are more attainable.

Going to School

Saving money for your education can be difficult, especially if you intend to continue your schooling right after high school. However, in addition to setting aside spare cash for your post-secondary education, you should set up a 529 college savings plan. While 529 plans are typically set up by parents, you can start one yourself to further your schooling later on in life. You can also ask your friends and family members to give you cash instead of gifts for your birthday or other special occasions so you can put that money towards your 529 fund.

Starting a Job

Once you have your first job out of school, you may want to invest in a 401(k) plan to save money for your retirement. Many employers will match your investment in a 401(k) plan, so you should at least pay the minimum amount that makes you eligible for a full employer match. Diversifying your investments by selecting different bonds and stocks in order to protect against a potential downturn is also a good idea. If you are self-employed as an independent contractor or sole proprietor, you can select a solo 401(k) instead.

Getting Married

If you decide to get married, your investment plan then becomes something to discuss with your partner. Have open communication and shared goals for your investments in stocks, bonds and mutual funds. If one spouse is not working, they can also invest in a spousal IRA so they can save for retirement.

Having Kids

You may find that your expenses greatly increase if you have children, and that your income decreases if you or your spouse leaves work to care for the children. If you have children, you may need to adjust your financial plans and add to your emergency fund. Setting up a 529 plan for your children as soon as possible as investing in your children’s education from birth can be helpful later on. Once they’re older, your children can start applying for scholarships and FAFSA to assist with college tuition, as well.

Investing throughout your life can make it easier to turn your future aspirations into reality. Before you start planning for your next milestone in life, be sure to speak with a financial advisor about which investments are right for you.

HTLF Retirement Plan Services are offered through HTLF Bank. The information provided herein is general in nature and is not intended to be construed as specific investment, legal or tax advice. The factual information has been obtained from sources believed to be reliable, but is not guaranteed as to accuracy or completeness. HTLF Retirement Plan Services makes no warranties with regard to the information or results obtained by its use and disclaims any liability arising out of your use of, or reliance on it. Products offered through HTLF Retirement Plan Services are not FDIC insured, are not bank guaranteed and may lose value, unless otherwise noted.