How to save and invest for the life you want – CNN
Let’s be honest: Saving and investing may be necessary, but they often can feel like a chore.
Both become a lot more rewarding, however, when you think of them as more than just spreading your money across different investment categories, such as stocks and bonds, to fund a seemingly far-off, no-guarantees future.
“We obsess over investment allocation, but we don’t spend much time thinking about other allocations,” said Christine Benz, Morningstar’s director of personal finance and retirement planning.
Benz encourages everyone to focus on what she calls your “time on earth” allocation. That is, think about what is important to you and what you really want to spend more of your time doing – not just in retirement but today and in the foreseeable future.
It could be that you want to travel to be with your aging parents more often. Maybe you want to step out of the workforce for a few years to be home with your kids. Or leave a well-paying job that sucks you dry for one that is less lucrative but more fulfilling.
Or maybe you just want to take a bucket-list vacation abroad.
“Hitting short-term and intermediate goals is so powerful,” Benz said. “For a lot of people [saving to buy] a first house is a catalyst for getting their whole financial life in order. You need to see a payoff.”
That’s especially important for young adults, she added. “People in their 20s and 30…….