The low down on saving and investing your money.

Do you want to have tons of money ? trick question of course you do.

Well the first thing you must do is save,save,save in what we call an put-and-take account. I know what you are thinking though why ? Well the only way I can say it is would you walk a tight line with out a safety net below you ? you say "duh" right ? Well that is exactly what a put-and-take account is and it is recommended that you save six months worth of pay for a strong safety net.

Now that you have a great safety net it is time to walk.

Okay so you're at the edge now ready to take your first investing steps on the tight rope. What type of steps would you take your first time ? Well if you said baby steps then you are thinking the right way. The first steps you should take in order to stay on top should be low risk investments in things like bonds and mutual funds.

You have a safety net and can walk. Now what ?

So you have money put aside for a rainy day and a few long term investments "what is next?" you may ask. Well Now the risky part. You have to decide about more short term high risk investments such as stocks witch act opposite of bonds most of the time. There is good to that though meaning if one fails the other should thrive and you won't lose everything in one drop. Stocks should be investments you make planning 5-10 years ahead.

save, invest, invest,save

So now you have rainy day money, 20 year money, and 5-10 year money, but no crazy amounts of any. So where do you get that tons of cash I asked you about ? Well you have to take even more risk but it is risk worth while specially since we have a life time of plans to get to this stage. What its it that is so high risk with such a high possible return ? Well it is time now to run for the end of the tight rope. How ? Well You will want to invest in things like penny stalks and collectibles. They are either going to sky rocket or plummet and you have to research and trust your gut to decide what they will do.

Chachig you hit the jackpot.

So this little pamphlet has gave you a life plan. Now you are prepared to go make money and most importantly save it so you can use it. Don't for get that last part SAVE. It is all about your budget (safety net)and if you walk outside of it you will fall and hit the ground hard.