Do you know how to manage debt and taxes?
There are different ways of managing your debt and taxes. When we meet with our nursing clients, we always make sure that the approach is the most efficient for each client. It is wise for you to focus on eliminating debt, mortgage selection and tax reduction. The question to ask is how should I start?
The first step is to eliminate debt. It will allow you to keep your lifestyle from compromise. How will you feel if you don’t have any credit card debt, car loan or student loan? It is certain that you will feel great. If you can accomplish a life that is debt-free and worry-free, your financial life will alleviate.
The second step is to have the right mortgage selection. I understand that in some cities such as Honolulu, San Francisco, and New York, the houses and/or apartments are more expensive than other parts of United States. It will be better to have your mortgage payment less than 20% of your monthly gross income. A large monthly housing payment will reduce protection and savings. If you are able to pay 20%, your cash flow will be healthy and it will allow you to maintain your lifestyle prior to the home purchase.
The last is tax reduction. There are lots of investment and savings that minimize taxes. When we work with nurses, we make sure that the implemented strategy fits their financial plan. The aim of this approach is to protect, potentially save more for tomorrow and live a well-balanced financial life.
You can see with this that there are many steps to become financially balanced. The most important thing is to live a desired and fulfilled life. If you can implement these three things: eliminating debt, selecting the right mortgage and reducing taxes, you will certainly be on the path to enjoy your life as you desire.