Improving the Odds of Reaching Your Goal
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Improving the Odds of Reaching Your Goal
Most online tools will give you some idea of your likelihood of meeting your goal, given the inputs of time horizon and your contributions today and in the future. However, you may find that your goal is unattainable with the inputs you submitted. There are some things you can do to improve your chances of meeting your goal.
Things To Know
- What if your inputs are insufficient?
Invest more now
If you can invest $30,000 now instead of just $20,000, your odds of having $1 million in 30 years improve.
Increase your monthly contributions
Maybe you can’t come up with an extra $10,000 now. But if you invest an extra $200 each month, your chances of reaching your goal improve.
Extend your number of years
Maybe you can’t put in more money at all but can wait an additional five years before retiring. That would help, too.
Become more aggressive
If you can’t invest more money or time, try changing your portfolio mix by increasing your weightings in equities. But be sure to notice what becoming more aggressive means to your portfolio’s volatility over time.
