Expert offers New Year’s financial advice
Jordan Goodman, a financial adviser from the Bronx, says most people are not making the right financial choices.
He says budgeting yourself, staying on top of your debt, consolidating your credit cards for lower interest rates and investing are just the first steps to getting financially fit for 2017.
For a return on your investments, Goodman recommends skipping the savings accounts, CDs and money market accounts, which typically have low interest rates, and instead enroll in an automatic investment plan, which allows you to take money out of your checking account and place it into an index fund.
To get the most out of your existing 401K, Goodman recommends maximizing your contribution rate with 6 percent of your salary to see an aggressive yearly growth.
For long-term savings, Goodman says you should open a Roth IRA or put in $5,500 a year in it if you're under age 60 and $6,500 a year in it if you are over the age of 50. He says this way the money will be tax free.
"You want to make sure you sign up for every employee benefit being offered; maybe it's a stock purchase plan, health plan, all these things being offered to you."