COLLEGE PLANNING INVESTING GOALS

What Are Your Investment Goals?

When it comes to investing, many first-time investors want to jump right in with both feet. Unfortunately, very few of those investors are successful. Investing in anything requires some degree of skill. It is important to remember that few investments are a sure thing – there is the risk of losing your money!

Before you jump right in, it is better to not only find out more about investing and how it all works, but also to determine what your goals are. What do you hope to achieve with your investments? Will you be funding a college education? Buying a home? Retiring? Before you invest a single penny, really think about what you hope to achieve with that investment. Knowing what your goal is will help you make smarter investment decisions along the way!

Too often, people invest money with dreams of becoming rich overnight. While possible,  it is also rare.. It is safer to invest your money in such a way that it will grow slowly over time, and be used for retirement or a child’s education. However, if your investment goal is to get rich quick, you should learn as much about high-yield, short term investing as you possibly can before you invest.

Generally speaking, the more risk you are willing to take in the long run the greater your potential for return. However this also means a willingness to accept short term losses and sometimes substantial losses. A person not with this mindset ought not to take too much risk.

Taxes also play an important role in investing. There are 4 types of tax on investments: ordinary income, capital gains, tax deferred and tax free. Understanding the benefits and tradeoffs of each one as it relates to an investor’s personal situation is key.

You should strongly consider talking to a financial planner before making any investments. Your financial planner can help you determine what type of investing you must do to reach the financial goals that you have set. He or she can give you realistic information as to what kind of returns you can expect and how long it will take to reach your specific goals.  Time horizon is extremely important as the longer one has to invest the more time they have to recover from losses.

Again, remember that investing requires more than calling a broker and telling them that you want to buy stocks or bonds. It takes a certain amount of research and knowledge about the market if you hope to invest successfully.  


We are in the business of helping families through the major life transition of sending their children to college.  For many, it will be the most expensive time of their lives and, if not handled properly, could cost them their retirement.  If you or someone you know needs the help and guidance of a trained financial professional, don’t hesitate to contact me.   Remember, you shouldn’t have to choose between your child’s college and your retirement.