Wealth Building Strategies: Investing and Tax Tips for Financial Success

Welcome to NerdWallet’s Smart Money podcast, where we answer your real-world money questions. In this episode: 

Learn investment and tax strategies to help you achieve financial security and prepare for a prosperous retirement.

How can you balance saving for emergencies and investing for the future? What strategies can you employ to maximize your tax benefits and build a secure financial future? NerdWallet’s Kim Palmer and Alana Benson discuss investment strategies and tax planning to help you understand how to navigate your financial journey effectively. They begin with a discussion of investment strategies, with tips and tricks on understanding different investment accounts like 401(k)s and IRAs, leveraging compound interest, and the importance of starting investments early. Then, Alana discusses tax planning and filing in-depth, covering the intricacies of different tax forms like W-4s and W-2s, the significance of estimated taxes for freelancers, and strategies for managing capital gains taxes.

Kim and Alana delve into retirement planning and the challenges of active versus passive investing. They provide a framework for prioritizing your finances, emphasizing the creation of an emergency fund, taking advantage of employer 401(k) matches, and understanding the role of asset allocation based on age and risk tolerance. Additionally, they tackle the decision-making process in personal finance, such as choosing between paying off debt and investing, and the pros and cons of having a financial advisor.

Check out this episode on your favorite podcast platform, including:

• Apple Podcasts
• Spotify

NerdWallet stories related to this episode:

How to Start Investing in 2024: A 5-Step Guide for Beginners

Tax Extension: What It Is and How to File One

Should I Pay Off Debt Or Save?

Have a money question? Text or call us at 901-730-6373. Or you can email us at podcast@nerdwallet.com. To hear previous episodes, go to the podcast homepage.