Online Finance Solution and Tips for all

Category: Investment

  • The Right Steps In The Process Of Creating A Family Heirloom

    The Right Steps In The Process Of Creating A Family Heirloom

    What is your financial starting place, and how much money do you have? What is your comfort level with taking risks? What are your goals in this situation? By asking yourself these questions, you will be able to determine your investor profile as well as the type of legacy you wish to leave behind. This is important because, while there is no such thing as a “best investment,” there are investments that can be made regardless of your financial situation. According on your job, your profile, and the needs you have, some of these may be more relevant for you than others. In the process of Wealth building this goes perfect.

    A first step may be to amass it via savings in order to allow it to grow in the future. Many different avenues can be used to save money for a house. Some of the most common are life insurance and home equity loans. Other options include retirement savings plans (the latter of which, under recent legislation, may be used to fund the purchase of a primary residence), and other items related to the home (PEL and CEL). Saving is essential for young people, whether they live in families or on their own, since it allows them to save funds for the goal of investing in real estate or other types of investments as soon as they begin their working lives.

    There are three ways to generate money in the real estate industry

    In terms of asset value, real estate remains to be the most secure investment. Since the outbreak, there has been a significant increase in the number of markets for all types of goods, including specialized products such as castles, and particularly for houses with gardens. Investment in real estate is an excellent way to accumulate profitable assets over the short, medium, and long term, regardless of whether you are looking to purchase a primary residence, invest in a rental property to generate additional income, or make a legacy purchase that will be passed down to your heirs.

    What You Should Do

    For the first time in a long time, acquiring your main residence is a good alternative for building a robust and long-lasting investment portfolio. If you have a compelling argument and make a (good) contribution, you should be able to come up with a workable solution on your own. Banks sometimes need a down payment of around 10% of the purchase price in order to finance at the very least the notary fees and expenditures.

    When starting off, it will be more cost effective to invest in rental properties rather than making any personal contributions to the investment. Rental homes are a fantastic way to supplement your income while also taking advantage of tax breaks. Indeed, a variety of devices, some of which are quite large, allow for the deduction of amounts that can sometimes be quite large: the Pinel law, the Denormandie law, the Historic monuments law, the Scellier law, the Girardin law, the land deficit mechanism, the LMNP status (Non-Professional Furnished Rental), and so on. These include the Pinel law, the Denormandie law, the Historic monuments law, the Scellier law, the Girard

    The possibility of making a financial investment in paper stone is also a possibility. When we talk about real estate assets, we are referring to investments in real estate assets (through SCPI – Civil Companies for the Placement of Real Estate – and OPCI (Collective Real Estate Placement Organization) rather than the purchase of a property in its entirety. It is possible to produce additional income with a high rate of return by investing exclusively in real estate and pooling your resources with other investors, while assuming no risk and making no commitment. These assets, for example, may be obtained in the form of life insurance policies, among other means.

    In addition to asset investing, what are the alternatives?

    The “atypical” investment options are accessible in addition to the “traditional” investments that we are all acquainted with, such as real estate, stocks, life insurance, and other similar investments, among other things. Wine, art, vintage autos, gold (or, more broadly, commodities), equines, and other such assets are examples of such diversification. Perhaps these investments will be both interesting and fit with one of your passions at the same time, making them a winning combination. Having a good understanding of your individual savings or investment profile can be beneficial in this situation.

    Last Words

    Navigation through this labyrinth of assets and investment opportunities, on the other hand, is not always clear. Every person does not have the potential to be a true expert in every topic!

  • Smart Investment Tips That Gives You Your Gains

    Smart Investment Tips That Gives You Your Gains

    Investment guides are there that will take you by the hands of small sums of money, and take you into the world of more specialized finance.

    What are the best actions and what will the financial markets do in 2022? Is it better to buy ETFs, or Mutual Funds, or another type of financial instrument?

    After a record-breaking 2020, in the middle of 2021 the financial markets have started to scale down for various reasons; at the world level since Trump’s trade war, in Italy the change with a sovereign government and the increase in the spread have affected banks. The 2019 instead started well and at least until May there was a growth both in the global and in the Italian markets. Certainly it is a difficult year for investors: government bonds guaranteed with very low returns and volatility of equities, do not help to make financial investments for everyone. This is a part of the Investment tips now.

    All the more reason you need to use common sense and the basic rules to invest, if you do not know this matter thoroughly, rules that we have reported here in the first part of the article with related links to further information. Continuing reading, instead, you will find opinions on various financial products and their peculiarities.

    Start investing: know the basic rules

    The higher the return, the higher the risk for capital, moreover those that were once called safe investments, that is, government bonds, as well as the postal bonds have low and unattractive interests for the investor, here so that in recent years, instruments such as the Mutual Funds, ETFs have finally come to the ears of everyone, even the small saver who has a few thousand dollars to make money to try to improve their financial structure.

    But even the shares are back in fashion during this period, especially the shares of Italian companies of excellence, titles that on this site we often take a look at as they are closer to us and easily ‘controllable’ by the investors themselves. Finally, there are investments for the more experienced, made through Online Trading.

    The main rules to know before investing money

    It is not enough to know where to invest,i.e. which financial instruments to buy, but you have to follow your own investment method, to do this you need to know some basic rules on how to use money.

    What You Need To Know Before Buying a Financial Product

    First of all, before putting your savings to capitalize, you need to have a picture of our current financial situation, so make a plan to diversify, so that you can carefully decide which type to focus on and evaluate how long you want to keep the money firm, that is if we want to engage them in the short – medium or long term.

    Unfortunately, here many savers who are not experts commit their first mistake. BEFORE deciding whether to invest all or part of your capital, you must absolutely stop and make a precise project, which as we said before, an investment project that involves knowing:

    • How much of the available capital we want to make use of.
    • In which form of instrument / the financials put their money (or maybe in other forms, like real estate or a company) that is diversify.
    • The time period for which we can commit that particular capital.
    • It will therefore be sufficient to sit down, take a pen and paper, call the spouse (if there is one and if we have the communion of goods) and start deciding on our financial future, so as to decide the investment strategy.
    • For example, we recommend for the small saver to always use the drawer’sstrategy, in order to minimize the risk and maximize the income with a portfolio of securities adequate to their invested capital.
    • We also need to know other valid investment methods, such as the Dual Momentum , or the best time to buy upside stocks, learn about widely used investment methods like the famous Sell ​​May go away , even know the best time.
    • Moreover, we must always remember that, for how many predictions and calculations we can make, investments are never totally safe , we write this almost always and every time we never tire of repeating it, because sometimes people tend to forget about it.

    To this, we add a substantial collapse of the Nasal technology stocks that began at the end of August 2018, widely announced by us, a natural collapse, after 9 consecutive years of growth. This collapse was also due to the Federal Reserve policy, which further raised interest on American bonds, which made them much more attractive and much safer investments than stock dividends.

    In June 2018, the Milan Stock Exchange had problems with the formation of the Count Government and the failure to appoint Prof Savona as Minister of the Economy, who until recently was a leading exponent of the euro economists . This destabilized the spread and banking stocks also suffered, bringing all financial markets to the brink of a serious crisis. On the other hand, the 2018 Stress tests of Italian banks seem to have gone well.

    The Government launched on June 1 instead seems very convinced to stay on the euro, although aware of having to modernize the structure of the European Union, so it is hoped that the markets will resume their growth.

    America’s duties could create problems for everyone, though the US is still the world’s leading economy; as such it is fundamental to the performance of financial markets. President Trump’s financial policy seems inspired by a new internal liberalism that should penalize goods from abroad through tariffs, even if so far Wall Street has responded very well to Trump’s policies.

    USA had indeed promised an American economic policy with high tariffs for foreign goods, more work for Americans and more aid to American companies.

    It must be said that he met the foreign managers of important industries working in the States (such as the FCA), for now the reactions of the American stock exchange are very positive and a little all the global stock exchanges are having good performances, including the Italian one.

    The influence of oil prices:

    Black gold has influenced the economic trend of 2017. A battle is taking place between American and Arab producers. A clash that is favouring a low price for crude oil with the intent to damage US investments. This deadlock could last for at least the first part of 2017.

    Financial markets do not seem to be undergoing major shocks, but we will also have to wait for the forecasts of the various rating agencies that usually express themselves at the end of December for more reliable information.

    The importance of the cost of money

    There are states that issue bonds with a negative return, in order to keep the cost of money low. The other types of bonds in this way also have low returns and investments are held back.

    The trend of the Italian stock exchange in this early 2017 seems more than positive, the growth figures coming from the European Union, but above all the data coming from Wall Street and its capitalization record and the insistent rumours of a rate increase of interest.

    How much money to invest and for how long?

    Before starting to make money, you should sit down and make an investment strategy that does not put too much risk on our capital, such as to make us earn, to be as differentiated as possible, not as clever as possible, in the sense who must take into consideration how much money we can commit and how long we can keep investing this money.

    Investment tips depending on the amount available

    Earn with small amounts.

    100000 dollars.

    40000 dollars .

    20000 dollars .

    1000 dollars

    200 dollars

    From 10 to 50 thousand dollars

    100 dollars

    Invest according to your risk profile:

    Today all the banks make the risk profile of the customers, that is the possibility of risking their own capital that can put the customer at stake, therefore building a portfolio of securities adequate to the cognitive and capital capacities of the same and on the basis of which they will then propose the financial instruments. The risk profile is based on parameters such as: knowledge of financial markets, knowledge of financial instruments, availability of capital, age of the client, income, type of work performed, the real estate owned by him.

    We have tried to collect articles in which there are the best types of investments for every possible risk profile, here are some ideas about what your risk profile might be:

    • Suitable for a child
    • For a pensioner
    • Low risk for the drawer
    • For the professional trader
    • Choose the most convenient current account
    • The first step for a saver to do is to choose a current account with little expense and offer the greatest number of services possible.

    The Last Words

    Today, like today, banks operating in Italy offer a large number of C / C packages for their clients, according to their risk profile and according to their needs. Current accounts are not real means of investment, even if they bear interest; they are so low that we can consider them more a tool for savings than anything else. We of Economic Italia, we are trying to understand, through reviews and opinions collected online, which are the best current accounts.

  • Top business without investment

    Top business without investment

    In order to assist those who wish to start a business but have limited financial means in doing so, the following are five steps they may take to help them overcome the difficulties listed above.

    Try to maintain your job for as long as you possibly can if at all at all feasible

    To be an entrepreneur, some individuals feel that one must devote one’s whole time and attention to one’s own commercial operation. Others, though, are not convinced. A considerable deal of effort and many hours of hard work are required to achieve success in the real world. But if you are already employed, there is no need that you stop working right away (at least for the time being). Beginning with excitement because you have a better grasp of how the company will be received, as well as the demand for its products, and how the brand will change over time as you gain more information about the market, it is an exciting experience. For business without investment you need to consider the followings.

     During the second step, you should choose a specific area of study in which you are very interested

    Despite the fact that you may not have the required financial means, it is feasible to start your own company. The most important thing to remember is to devote the required time and attention to the task at hand. Choosing the sector in which you wish to work is an important step before beginning your job hunt. This is, in essence, the first stage in the procedure’s progression. In this instance, the question is not “What is the best business to make money in?” but rather “What is the most profitable industry to make money in?” The issue being explored is “What is the most lucrative sector to make money in?” The inquiry states that the question is “What sectors do I already have skills and expertise in, and how can I earn money in those businesses?” The inquiry further states that the question is “What sectors do I already have talents and experience in, and how can I make money in those businesses?”

    Fulfilling all of your responsibilities at your place of residence

    According to the PEGN website, it is possible to identify numerous instances of entrepreneurs who started their enterprises in a small room in their own home and eventually expanded. As a result of the reduction in overhead, it will not only become more feasible, but it will also become less costly due to the savings in lighting, water, power, and renting space that will be realized as a result of the drop in overhead. Create a website on a free or low-cost platform and use social media to market your product or service after you have determined your goals and products, and after you have determined your goals and products, after you have determined your products and services. Giving a first taste of the product to a small number of close friends may be a wonderful experience, especially if it allows you to judge how the product will be accepted by a larger audience.

    Using social media sites to reach out to customers (make sure you use the business account!) is a great way to build your brand and build relationships with your customers. When a consumer sees a basic list of accessible products and services selections, as well as when they get automatic responses during their initial contacts with the organization, customer acquisition is made easier.

    Implement, test, and re-implement your solution as many times as necessary

    Understanding what works and what doesn’t work during the first few months of operation can assist the organization in identifying areas where it may make changes to its current operating procedures. In order to determine the most lucrative road to profitability, you must first get input from customers. They will tell you whether or not your product works, what alternative items they would want you to manufacture, and what their most urgent requirements are. Following the receipt of this information, you will be better prepared to do more study and eventually choose the product or service that has the greatest likelihood of success in the marketplace. As a consequence, the creation of approaches and actions for providing items to customers as quickly and effectively as feasible would be required.

    The fifth step is to design plans for the company’s future growth and development

    Soon after your company has shown that it is capable of standing on its own two feet, you will realise that you have more time on your hands to think about long-term aims and strategies, and you will be able to put those plans into action. It is anticipated that the organisation will benefit from clarifying roles and responsibilities, as well as the elimination of day-to-day operations, which will free up resources to develop innovative ideas to attract new clients, launch more ambitious initiatives, and investigate additional job opportunities. Based on the fact that your firm is now successful, you may be in the position to allocate a portion of this revenue toward expansion initiatives, which will enable you to expand your product or service offerings into new market segments. Moreover, it is possible that you will attract the attention of an investor who is eager to assist financially to the development of your firm.

  • Invest Money for old-age Provision

    Invest Money for old-age Provision

    Investing money is an art and best practice. People must aware about this only when you have settled your debts and looked after reserves can you take care of your retirement savings. As an employee, you are usually compulsorily insured through statutory pension insurance. However, the statutory pension will generate less and less income in old age in the future. Therefore you have to make additional provisions. This can be done, for example, with the pension, with the state-funded pension or with a company pension scheme.

    For those who prefer to make private provision without receiving special support, choose, for example, classic or unit-linked private life or pension insurance. You pay the contributions for this from your net salary. However, consider whether you can pay the sum constantly over several years. If your income is not secure because, for example, you only have a temporary employment contract, you may not be able to pay the installments at some point.

    As a saver, you can of course also save flexibly without any life or pension insurance. This is possible, for example, with a savings plan on exchange-traded equity index funds. Think about how much money you can and would like to put aside each month. Not everyone is ready to make noticeable cuts in everyday life. For a better estimate of how much money you should save, you can use the pension estimator of the Institute for Retirement Provision. Even small installments of 50 to 100 dollars can be invested in an ETF. It is important to stay in the long term and choose a fund that bundles as many different stocks as possible to compensate for fluctuations.

    Tip: As you get older, you should move from building up to securing your assets. Anyone who owns a securities account gradually shifts: from high-risk equity funds to low-risk investments, such as open-ended real estate or pension funds.

    Open a life insurance policy

    Taking out a life insurance policy is often recommended to those who decide to take shelter from any future unexpected events and unwanted events. Today there are several agencies that offer investment plans able to meet all needs, so much so that sometimes the payment of a small monthly fee is enough to cover themselves or their family members from the occurrence of possible accidents for example death, disability, accidents, job loss etc.

    Rely on a professional

    If the financial planning of your expenses is anxious or if you are simply afraid of not doing enough, you can always evaluate the idea of ​​being followed by an expert. A serious and reliable financial advisor, being a professional in the sector, can help in all this.

    Last Words

    A recent Northwestern Mutual survey confirmed that people who are assisted by a financial advisor, and who together with a professional identify valid tools and strategies for planning their investments, are less afraid to face the future. They manage their savings more confidently and face life with more confidence and stability, both financially and personally. Because money will not make you happy but, certainly, knowing that you have a little bit of it when things go wrong can certainly help you live better.

    Invest is important for all which is essential at the time of old age, Time is very short in our life and we can say that time is money. investing is required time to time in our every station of our life. during our old age, it will help to manage our life otherwise people’s life will be valueless. This is the best time to think about the importance of investment targeting the old age vision. Everyone must note it to get the things done for our better future.

  • The Essential Things You Need to Know About Mutual fund investment

    The Essential Things You Need to Know About Mutual fund investment

    There are more than 12,000 financial investment funds currently. Among them are the Mutual fund investments, which belong to the category of Undertakings for Collective Investment in Transferable Securities (UCITS).

    When you want to invest, there is, on the one hand, the bank investment which gives a rather low return, but without risk and on the other hand, more risky financial investments with a good return. How does a MFI work? What is the taxation on the performance of a MFI? Here is a full article on mutual funds.

    What is an MFI?

    In order to grasp the subject of MFIs as a whole, it is important to come back to the definition of these and their functioning.

    Mutual funds (MFI): definition

    MFI: pooling of capital

    The mutual fund consists of a pooling of capital invested by holders of financial securities (investors). A security holder is a person who has invested in one or more MFIs and who, in return, holds a share (pro rata of the securities). Security holders are co-owners of the fund.

    There are several classes:

    Monetary: the risk is minimal

    Shareholder: for a Mutual fund investment of this class, 60% in action and 40% free. The risks are significant, but the return is high.

    Bond: few risks with a so-called modest but more regular performance.

    Alternative management: the risks are high.

    With formula: there are the guarantee funds (without risk of loss), the funds known as protected with a limited risk and the funds with promises (amount indicated in advance).

    Streamlined: these are mainly life insurance contracts that have linearity in their management and in their performance.

    How an MFI works

    It is a company that manages the fund. Each holder of securities invested and it is the company which will decide where to place this money according to the objectives of the fund. An MFI does not have a legal personality; each co-owner engages his responsibility up to his invested capital, neither more nor less.

    There are different types of MFI:

    Company MFI (MFIE):these funds are intended for employees who wish to invest in their business. It is an employee participation in the results of the company.

    Risk MFI (MFIR):as its name suggests, it is for so-called “risk” products with a minimum mandatory investment of 50% in European stocks not listed on the stock exchange. In return for the risks incurred, there is a tax advantage on these shares if they are kept for at least 5 years. Advantage which consists of a tax exemption (social security contributions remain compulsory). This type of MFI is now called FPCI (Professional Capital Investment Fund).

    MFI in innovation (MFII): the fund must be invested at least 60% in companies not listed on the stock exchange, in an innovation sector (high-tech sector) with high capital gains. This is for example the case of the Internet, telecommunications or even electronics. It is also a risk fund which gives the right to a tax reduction of 28% of the amount of capital invested with a ceiling (€ 3,000 for a single person, € 6,000 for a couple). It will, of course, be necessary to keep this investment for at least 5 years.

    Real Estate Investment Funds: in shares only. They can be managed by distributors, custodians or management companies.

    Futures market mutual fund (FCIMT): it is the same principle as a MFI to which two additional constraints are added. 50% must be held in cash and be a formula fund with the amount of the fund determined in advance.

    Taxation and MFI calculation

    For the accounting of a MFI, it is necessary to differentiate income from capital gains. In fact, to be able to file your income tax return, you will not put these two things in the same box.

    Since January 1, 2018, the taxation of financial investments has changed. The 2018 Finance Law introduced the single flat-rate levy (PFU) which brings a levy up to 30% including 12.8% tax and 17.2% social security levy. This fixed deduction is calculated on the capital gains recorded on the sale of capital shares. It is also calculated when you are going to declare your income from securities and movable capital.

    Did you know?

    • You can choose the PFU or the progressive tax scale for your income tax return. It must be requested before the end of the year preceding the declaration. This choice is correlated with your income. There are tax details for each type of mutual fund.
    • To calculate and know the performance of your capital, simply subtract the assets from the liabilities.
    • The liabilities are equivalent to the number of shares of security holders and the assets are all that relates to financial instruments, the market, etc. To make the calculation, the assets are frozen through the MFI’s portfolio. This gives the value of the asset. By dividing the value of the assets by the number of shares of security holders, you will have the net asset value of the fund.

    MFI or Investment Company with variable capital (SICAV)?

    It is important to differentiate between a SICAV and a MFI thanks to their definition:

    SICAV: SociétéAnonyme (SA), a legal person managed by shareholders with a board of directors. Each shareholder has the right to vote. For a SICAV to be created, a minimum capital of 7.5 million euros is required.

    MFI: it is a little on the same principle as an SARL since each holder of securities is entitled to a number of shares proportional to its investment capital. To create a fund, the entry ticket amounts to € 400,000.

    When we already look at these two definitions, we can see that the legal status is not the same. Then there is a difference in the risks taken and the nature of the investors. For a MFI, you have a more lucrative return with greater risks than for a SICAV. Only the capital is limited.

    What should be remembered is that these are collective investment undertakings for transferable securities (UCITS) which operate almost similarly with differences in status. To make your choice, you can refer to the document that was sent to you during your investment search: the Key Investor Information Document (KIID). It is this document which will detail all the data concerning the fund in question: performance, strategy, risks, costs, etc.

    Good to know: SICAVs are often more suitable for so-called experienced investors because they are decision-makers, which is not the case for a MFI. Find out more.

    Frequently Asked Questions

    How to translate MFI in English?

    We could translate this by mutual funds. It is the same translation for a SICAV or a UCITS. Indeed, our French acronyms do not exist as is in English. It will therefore be necessary to explain in more detail what an MFI is to make the difference with the others.

    How to subscribe to a MFI?

    To subscribe, simply go to an online banking establishment, with a broker or an insurer to make your request. In exchange you will receive the KIID which will give you an idea of ​​the risks and costs incurred. Then it only remains to choose.

     

  • Options for Saving in Retirement

    Options for Saving in Retirement

    Retirement still seems far away? What if it was the best time to prepare it? From the age of 40, your purchasing power increases and you have good visibility into the future. So thinking how to save for retirement? The options are right here.

    You have twenty years ahead of you to prepare for your retirement, which leaves you with many opportunities to seize. Overview of solutions to best prepare for your retirement.

    Investing in real estate

    Investing in stone is often presented as the first investment to make. Even if everyone does not think about real estate in preparation for retirement, it has many advantages on this side. So How to save for retirement? Here we are with the best deals.

    The acquisition of your principal residence must be a priority. Having a home when you retire offers real security. You no longer have to pay rent at a time when your income is decreasing. You also have guaranteed accommodation: by being a tenant, you may have to separate from your accommodation if the owner wishes to recover it.

    In addition, depending on the location of the accommodation, it can gain value over the years. You can then make a capital gain during the resale if you want to move to change the region or buy smaller once the children are gone, for example!

    If you are already an owner, consider rental property

    Subscribe to a new mortgage when the previous one is reimbursed or about to be reimbursed? This can be very useful for your retirement: you can deduct the interest on your loan from your property income and this rental income can supplement your pension after retirement. Depending on your plans, you can also consider making this investment with a view to occupying it during your retirement. And if you don’t want to keep it at retirement, you can resell it. That can be used as a contribution to finance other projects.

    How to build retirement savings at 40?

    Investing in real estate is very useful, but other solutions are possible, with rates, unlocking possibilities, etc. different. 45 is therefore the time to increase your savings effort alongside real estate. To start, check that you always have sufficient precautionary savings in liquid devices (Booklet A or Sustainable Development Booklet). Once this precautionary savings possibly completed, there are many solutions to prepare for retirement.

    Life insurance, to combine flexibility and performance

    A life insurance is a contract that allows to gradually building capital for retirement. However, this capital remains available at all times if you have to recover these funds before your retirement.

    Most contracts allow very broad investment choices, from the safest to the most dynamic. And you can change the distribution of your investments at any time within your contract. With twenty years before you retire, you can afford a dose of risk in order to hope for a better return. It is better to hold than to run, and it may be more interesting to allow yourself a dose of risk which you will have time to catch up than to stay on devices with returns close to or even below inflation.

    This solution allows you to prepare for your retirement at 40 with flexibility. You pay what you want, when you want. Try to make regular payments (even small amounts) to build up your savings smoothly. You can always adjust the amount of your regular payments, either up if your income increases, or down otherwise. In case of difficulty, you can even stop them.

    You can supplement these regular payments with additional payments according to your possibilities: exceptional cash inflow, 13th month, etc. This will allow you to improve your retirement capital! You also get out of your contract as you wish in capital or in annuity according to your projects. The capital will allow you to finance a retirement project. The annuity guarantees you additional income for life.

    A PEA if you are looking for a dynamic investment

    The Equity Savings Plan is more risky because it allows you to invest only in European stock market securities. But it offers interesting performance potential over time. To smooth the stock market fluctuations and reduce the uncertainty on what the PEA will ultimately yield favor these investments over long periods (at least over 8 years) and progressive investments. You take less risk by investing € 500 per month for 12 months, rather than € 6,000 at once! When you retire, you can choose to recover your savings in the form of capital or additional income paid for life and exempt from income tax. Only social security contributions will be due.

    Prepare for retirement from age 40 with specific savings products

    The Popular Retirement Savings Plan allows you to benefit today from tax advantages on your payments and tomorrow from an additional income. However, the amounts saved can only be recovered at the time of your retirement except in certain exceptional cases. Depending on your personal situation the possible savings already acquired and your tax situation, it is therefore important to adapt these payments on these contracts. Today’s retirement is mainly in annuity, which allows you to secure additional income for life.

    If you are an employee, prepare your retirement with company offers

    With corporate savings plans (PEE) or collective retirement savings plans (Perco) , you benefit from tax advantages and the contribution of your business. In return, savings can be blocked. You can most often make voluntary payments, at your convenience (capped) or simply pay the profit-sharing or the participation of your company. You save for your retirement effortlessly, your employer finances part of your retirement supplement! If you are self-employed, take an interest in the individual retirement savings solutions that you can set up. The Pacte law will transform the Perco into a universal PER, with slightly different methods.

    What about the financial markets?

    There is still a long time between now and retirement. Depending on your risk appetite, it may be wise to invest part of your savings on the financial markets. They are more risky, but offer greater performance potential over a long period of time. In conclusion, diversify your savings to 40 years to prepare for retirement! Among the different solutions for preparing for retirement, each has advantages and disadvantages.

    Conclusion

    Real estate presents a certain security but is illiquid, that is to say that you are not guaranteed to be able to recover your investment quickly if you have an urgent need to sell. Savings products are differentiated by their yield potential, their risk, their unlocking possibilities. Diversified savings, that is to say carefully distributed among different solutions, allows you to adapt to your needs and the events you may face while optimizing your capital and your earnings.