investing

New to the Live Richer Challenge: Net Worth Edition? Learn more about it HERE.

Missed some of the Challenge tasks? Catch-up then come back…

Day 8: HEREWays to Increase Net Worth

Day 9: HEREThe Art of Negotiation

Day 10: HERE: Entrepreneurship

 

Week 2: Increasing Your Net Worth

Today’s Easy Financial Task: Start investing your money to grow your net worth.

How to rock this task:

  • Learn why investing is essential for growing your net worth
  • Take one step towards investing today

 

Welcome to Day 11, Dream Catchers!

Today, I’m going to teach you how to become a beginning investor!

Remember how net worth is calculated:

 

Your Assets – Your Liabilities = Your Net Worth

 

We’ve talked about putting money into savings and repaying your debt so far.

It’s time to discuss investing.

Investing is when you devote money into funds or activities that will earn you returns or profit. Saving cash in an emergency fund for rainy days is very necessary. But money in a basic savings account is an asset that may earn you very limited (if any) return from interest.

On the other hand, investing in assets like stocks, bonds, retirement funds, and more can increase your net worth exponentially.

Today, I’m going to share two steps you can take to get started investing.

***Before moving forward, I do want to mention that investing in anything (stocks, funds, etc.) comes with risk. Please know that the resources in today’s task are meant to inform you. The choice of where you want to invest is solely your own.**

Now let’s move on!

 

Automating Your Investments With Acorns

If you’re a newbie and unsure how to start investing, Acorns is a robo advisor that has a very low barrier to entry for new investors.

Robo advisors are systems that automate investing for you after you deposit money into an account.

Here’s how Acorns works:

Acorns invests your change for you and this change can add up quickly.

You tell Acorns your age, income, and investments goals and the app recommends an investment strategy. Acorns invests your change in ETFs from six asset classes.

ETFs are bundled funds that can be made up of stocks, bonds, and other assets. The type of asset mix that Acorns chooses for you will depend on your answers to the initial questionnaire.

 

How to Get Started With Acorns

Acorns connects to your bank account and transfers money into your investment account automatically. Here’s how to get started:

Step 1: Download the app for free HERE.

Step 2: Sign up for an account.

Step 3: Link your bank account.

Every time you make a transaction with your bank account, the app rounds your purchase up to the nearest dollar and invests the change.

You can also transfer $5 to $50,000 extra into the account whenever you want!

Acorns is a good way to put a little extra money into investments alongside your other retirement accounts such as an IRA or 401k that you have with an employer.


Fees: 
Acorns does come with a fee. Most robo advisors charge a fee to handle your account, so this isn’t out of the ordinary.

  • The fee is $1 per month for accounts under $5,000
  • The fee is 0.25% per year charged monthly for accounts over $5,000

If you’re a college student with an .edu email address, you can have your management fees waived for four years.

 

Watch a FREE Stock Investment Q&A

Signing up with a robo advisor like Acorns is a hands-off approach to investing.

What if you want to take a more personalized approach to investing your cash?

I have a solution for that, too!

Alanya Kolberg is one of the AWESOME instructors that teaches a course in my school, the Live Richer Academy.

Alanya is a self-taught stock investing expert. In her course, Investing: How to Buy Your First Stock, she gives you step-by-step instructions on how to:

  1. Open an investment account
  2. Choose an investment strategy
  3. Evaluate stocks
  4. Make your first stock purchase

She recorded a FREE Q&A introduction video about stock investing.

You can check it out below.

 

Side note: Enjoy this video? There’s a lot more where this came from. In the Live Richer Academy, teachers like Alanya bring you courses on topics like investing, homebuying, starting a business, and much more! Learn more HERE.

 

***EXTRA BONUS***

Did you get this freebie from Day 4’s task? There’s still time. To help you increase your investments, Ellevest is redefining investing for women, and you’re sooo invited. Get exceptional tools to reach your biggest goals.

Start by getting your FREE, personalized investment plan from ElleVest. A financial advisor would typically charge you $1000 or more to create this plan for you. But I got the hook-up!

Get your free plan here:
http://thebudgetnistablog.com/ellevest

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Your Tasks

Today, you have a choice to take action with one (or ALL) of these things…

  • Look into robo advising via an app like the Acorns investing app HERE
  • Watch the Q&A with Alanya to get started with stock investing on your own
  • Get your FREE Investment Plan from Ellevest here: http://thebudgetnistablog.com/ellevest

 

This action element is important. Gaining knowledge about investing and increasing your net worth is GREAT.

But taking action is what’s going to ultimately lead to you building wealth!

That’s it for today!

 

Share what you’re doing today with your friends on Twitter!

Today, I took a step toward INVESTING and increasing my net worth! Day 11: #LiveRicherChallenge… Click To Tweet

 

If you have any questions, hit the comments below or reach out to the other Dream Catchers in the Live Richer Facebook Forum.

Don’t forget to keep tabs on your accountability partner(s)!

Teamwork makes the dream work.

 

Live richer,

Tiffany

You can reach out to me here:

Twitter: @thebudgetnista

Instagram: @thebudgetnista

Facebook: The Budgetnista

Private Forum: Dream Catchers : LIVE RICHER

P.S. Don’t forget to get your free Live Richer Challenge: Net Worth Edition Starter Kit. GET IT HERE.

P.P.S. Here’s a copy of the Challenge Calendar. It’s a fun way to keep track of your progress.

LRC Net Worth Calendar

Want to work through the Live Richer Challenge: Net Worth Edition in a workbook? It’s part of a bestselling series!

Click the link below and get your copy.

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My Lisa Rule: I have 4 sisters and Lisa is the baby (well she’s not a baby anymore). Of all of my sisters, I’m the most protective of her. Before I share any product or service with you, it must pass my Lisa Rule.

What’s the Lisa Rule? If I would not advise Lisa to use a product or service, I won’t advise you to. YOU are my Lisas. I feel protective of you and your financial journey.

Acorns & ElleVest pass my Lisa Rule. Yes, I am an affiliate of Acorns and ElleVest, and I earn a commission from referrals, but I would not recommend a product or service that I didn’t believe was helpful and useful.

  • Lisa Gray

    This info was amazing

  • Karriemah Graham

    So excited just signed up for Ellevest!! On my way to invested in ME!!

  • Tamara Manning

    For the Acorns app it is saying that the referral code is not correct. 8SVYNV

    • Candi Chinwe Onuoha

      I am getting the same response

    • I’m waiting them to fix it.

  • marciaturner

    Hey Tiffany, I registered at Ellevest and answered questions to get plan, but instead of providing a way to work toward a dollar retirement target, I got a strategy to earn a certain annual income in retirement. Is there a way to see the path to having, say, $3 million for retirement, like you did on your sheet? I feel like I missed it.

    • Patty Palmer

      Same here.

      • When I registered I was asked how much I wanted to have in a certain amount of years. I chose wealth and retirement as my two goals.

    • Yup! When I registered I was asked how much I wanted to have in a certain amount of years. I chose wealth and retirement as my two goals.

      • marciaturner

        Interesting. That’s not what I was asked.

  • Joyce Humphreys

    Today was a little overwhelming for me but, I did listen to Mrs. Alanya’s video. Also i clicked on the Acorns App and it said the the referral code was incorrect and would not let me download.

  • The Kolorful Nvestor Buys Hous

    I will be signing up for the Live Richer Academy and I definitely will be taking Alanya’s class! Very informative session — keep up the good work ladies!
    Georgia
    The Kolorful Nvestor Buy Houses!

  • Traveya Brown

    Would you suggest that if I was considering the robo advising app that I wait until I pay a significant amount of my debt off first?

    • Tiffany

      Hello Traveya,

      That is what I am doing. I would love to invest but I feel that I need to pay off some of this debt first to be comfortable. I paid off one thing today! I have a lot more to go but at least I am moving forward. I am building an emergency savings at the same time though.

  • Nicole Garris

    Interesting. Great information.
    Thanks for the insight into investing.

  • Tabb Martin

    I invest in Gold which is money…thanks for all your information

  • Trici Coleman

    Acorn is a great app which I also recommend but StockPile is great as well.

  • gm roberts

    Is anyone investing through Ally? I have several money buckets I started with them when I did the savings challenge with Tiffany @thebudgetnista:disqus . One of my money buckets with them is a stock money bucket. I didn’t know two years ago that I could invest with them. Thinking now that I should open a brokerage account with them since I already have money going into a savings account for this purpose but not sure about their fees, performance, products they offer, can I do my own stock selections, can I dollar cost average with them? Guess I need to take Alanya’s class in the LRA. My biq question is about other’s experience investing with Ally. I also have a Fidelity account and one with Scott Trade.

  • Jeanette

    I was signed up for Acorn already (great minds lol). I want to take a few of the stock courses to understand what I’m doing before I enroll in Ellevest. I think Alanya talked about opening a Roth IRA, and there is that option in Ellevest, but there are other IRA vehicles and I need to figure out which would be best.

  • Pat

    Do you have to have a ROTH IRA first before getting into stocks?