Wise investments increase your value and grow your wealth. Creating and following a financial plan doesn’t mean never spending a dime; quite the opposite, actually. The key is learning how to spend smart.
You’ve probably heard the saying, “Sometimes you have to spend money to make money.” That’s true, especially if you want to position an already successful business for even more success.
By spending, I’m not talking about a new BMW or designer suits or trendy shoes.
The toys are tempting. But no matter what make and model car you buy, it eventually ends up in the scrap yard, just like every other make and model. The clothes and shoes wear out and end up at the thrift store or in a landfill, just like their non-designer counterparts. All of these things only lose value. You need to spend on things that increase in value so they can create more wealth for you and your business.
Here are some examples of smart spending:
First, you need to protect the business so it can create wealth. That means making sure you have the setup that is right for you. It could be a corporation, or an S Corporation, or an LLC. A proper classification will protect you from liability. That’s important, because today’s society is so litigious. A single lawsuit can destroy a business.
You also should protect yourself and your family. If you die during your working years, life insurance protects your family. However, that death benefit is worthless if you become disabled. Many professions, including that of chiropractor, are physically demanding, so a disability policy also is critical to your financial security. If you have business partners, a buy-sell agreement protects all the parties in the event of death, disability, or retirement.
Another example of a smart investment is office space. Real estate typically increases in value. However, you can’t use traditional savings plans such as a 401(K) to invest in it as you get hit with tax penalties for tapping into it before you are 59 and a half. You will want to have wealth through plans that allow you to use your money for wise investments.
As a chiropractor, I wanted to keep my patients and family healthy. But in order to do that over the long term, I had to create wealth. That wealth allowed me to continue to provide health.
Whatever service you provide, the partners at Wealth Preservation Planning LLC can help you spend wisely so you can create and maintain success that will last a lifetime.
Contact Wealth Preservation Planning LLC today at info@ www.wppllc.net or call (866) 212-9696.