- Save at least 15% of your income for long-term goals.
- Look at refinancing when rates are one percentage point lower than your current rate.
- Invest no more than 5% of your portfolio in your company stock or any single stock.
- To figure out how big a nest egg you’ll need, insert your ideal annual income into this formula: ______ x 30. (Subtract any pension or Social Security income you’ll get first.)
- Keep discretionary spending (clothes, dining out, movies) under 20% of your take-home pay.
- Keep your debt-to-income ratio under 30%.
- To determine how much of your portfolio should be in stocks, do this math: 110 – Your Age = % in Stocks.