Investment Tips for Freelancers

Investment Tips for Freelancers - For freelancers, this investment is also another way to get a steady income, with this everyone must have a financial planning strategy.

Financial planning should be done by anyone, no matter what type of job you are. If you are a professional, employee or businessman, we must have a financial planning strategy that is tailored to our income or income. But what if our income doesn’t stay like freelancers?

“This is a major problem for freelancers who find it difficult to achieve their financial goals. Therefore, start you who are freelancers planning finances from the start and must be able to allocate the money. Starting from financial allocation, emergency funds, protection and investment, “said financial planning, Rizqi Syam, in his written statement, Friday (19/2/2021).

Freelance workers, not only can they make a measurable financial plan, they can also keep investing to develop their financial condition. Here are tips for freelancers to keep investing.

1. Why is investing so important to freelancers?

There is a miracle in the world of investment that we can feel, namely coumpounding interest. If we want to accelerate our financial goals, Rizqi suggests that we should be able to open up more sources of income. Don’t just rely on one source of income.

“By investing it allows us to get income from investment results,” he said.

2. The allocation of freelance investment must be greater than that of permanent employees

Rizqi said that as a freelancer you should allocate a bigger income for investment compared to permanent employees. Why is that?

“As freelancers, we are required to allocate income, at least for the next 6 months, and this future income is outside of the emergency fund,” said Rizqi.

Many freelancers are struggling with their financial arrangements because they don’t have the future income they allocate. Every time you receive a payment for your work, it feels like money is abundant but if there is no allocation for investment it can be dangerous in the future.

“That’s because they don’t budget for their future income and this could backfire on us,” he said.

3. Determine your financial goals before investing

The thing that usually confuses someone when they want to start investing is determining the investment product. What products are suitable for other people may not be suitable for your financial goals. Each product’s financial goals will be different.

Make sure you have calculated in advance the value that is in accordance with the financial goals, inflation, timeframe, and the return that we hope to achieve.

“If we have found the answer, then we choose an instrument to diversify in order to minimize the risk,” said Rizqi.

4. Find out as many financial product questions as you can from independent advisers

If you already know your financial goals, find out as much as you can about financial and investment products. In order to be safe, you don’t choose the wrong choice, the key is to deepen the education of financial products.

Rizqi suggested that it is better to join a class organized by a financial planner or advisor. This is important so that you can get an independent opinion on financial products. Don’t ask about financial products only to the seller of the product, because every trader will always say that the goods are good.

5. Ask the following questions in order to choose an investment product that suits you

After getting to know various kinds of investment products and their benefits and risks, you can consider which product to invest in. Now is the time for you to match the product to your financial goals based on several measures.