Why you Should Start Solid Retirement Planning From the Day you are Born, From Founder Rick Kam of Aulegatum – Influencive

When most people hear that they should start planning for retirement from day one, they usually think this means the day after graduating college and scoring their first job. But Founder Rick Kam of Aulegatum means something different.

If you’re a parent—and if you have the means to do so—you should start saving and investing money for your child the day they are born. This is what it means to start a solid retirement plan from day one.

Here are three things you can do to set your baby up for financial success:

  1. Put away a small amount of money every month

It takes baby steps. Just by putting away a set amount of money each month for your child, you can build financial security for them and their children; and it doesn’t have to be a lot. Use that extra money that’s sitting in your checking account. Brewing your own coffee instead of buying a grande decaf gives you an extra $100 per month to save. A little goes a long way.

  1. Always keep your investment return positive

Almost all investors want a great return on their investments, but with great returns come great market risk. What would you tell your baby if the piggy bank lost a whopping 30% the moment they needed the money? The good news- there is an excellent way to avoid this market risk. There are index-linked products where there is a guaranteed floor on the investment dollar. One of the best investors of all time, Warren Buffett, once said about money: “Rule #1 is to never lose money and rule #2 is to never forget rule #1”.

  1. Grow tax-free with flexibility

A lot of new parents put money away in 529 Plans to take advantage of the tax-free feature. No doubt that’s a great feature but not the ONLY one available for parents to save and grow their babies’ financial future TAX-FREE. (Some disadvantages of a 529 Plan were explained here: https://youtu.be/bDCYNjbMA6w). This is why a good financial educator is essential to all new parents in building their babies’ financial future.

Build Your Family Legacy with Financial Advisor Rick Kam

Born in Hong Kong and raised in Vancouver, Canada, Rick Kam always had a desire to create a legacy he could call his own.

In 2018, Rick got his licenses and became a financial educator. Then in 2019, he founded Aulegatum Financial Partners. Since its birth, Rick has helped many of his clients build a golden legacy with Aulegatum’s financial services. Rick currently resides in the US with his wife and baby boy.

If you’re ready to build a family legacy by putting $60, $100 or more away each month for your children, reach out to Rick Kam.

Starting Age Monthly Contribution Age with Last Payment Age with Tax-Free $Million
0 $60 65 83
0 $100 65 72*
0 $150 65 64*
10 $60 65 107
10 $100 65 83
10 $150 65 75**

* The slight difference between $50 a month will accelerate its growth and let your baby become a tax-free millionaire 8 years earlier!

** A delay in building your baby’s wealth by 10 years will push back the tax-free millionaire dream by 11 years.

Published July 19th, 2021