But if you commit to this goal, it is no longer impossible and becomes an achievable goal. You just need to set up days to get there.
In this article, you will find tips on where to invest your money and find out how to live on income. Even if you start small, you can get where you want to go. Just have discipline, knowledge and a good action plan.
What is living on income?
To live on income is to accumulate money that generates regular interest and is sufficient to cover your expenses. Periodically, that money comes back to you in the amount you need to support yourself.
To live on income you must have a goal
It is difficult to know how to live on income if you don’t have a goal. That is why self-knowledge is so important.
When you know yourself you know all your needs. has an idea of what it is to have a comfortable life and what is necessary to have a comfortable life.
So, the first question you have to ask yourself is: “How much do I need to earn per month to have an ideal life? “.
When you make an emergency reservation, you make a survey of what you are spending at that moment, how much your life costs until that moment. Now you need to imagine what would be right for you, not just what is necessary. Then define your goal.
Suppose you believe that you need R $ 7,500 to have a comfortable life. How much do you need to accumulate to have that money falling into your account every month?
There is a calculation that we do today based on 0.3% monthly income. In other words, 0.3% of its assets invested in fixed income. If you want to live with R $ 7,500, how much do you need to have accumulated so that 0.3% of your assets is R $ 7,500? That is, you need R $ 2,500,000.
Where to invest?
Now that you know the amount needed to live off your income, you need to know where to invest that money. Value must be available somewhere, necessarily where it has liquidity.
If you want to live on an income, you shouldn’t leave your money all concentrated in one place. After all, you need to have a differentiated investment portfolio to reduce risks.
Especially if you have a bolder profile and want to make more risky investments.
Above all, you need to look for a type of investment that generates profitability above inflation.
What are the best investments for you to apply if you want to live on income?
Fixed income
IPCA + Treasury with semiannual interest (NTN-B)
This Treasury Direct bond is linked to the IPCA. This is the inflation index. So, it is a post-fixed security that you receive the gain over the inflation rate. This amount will be increased by interest. However, these earnings are paid in the form of half-yearly coupons. Every six months, everything your accumulated money yields will be deposited in your account.
SELIC Treasury
The SELIC treasure allows you to withdraw money at any time. That is, it has liquidity as long as it respects the opening hours of the redemption. You can request a redemption from 9:30 am to 6 pm at the price in effect at the time of the transaction.
Investment in shares
Shares in highly profitable companies generate dividends. When you acquire shares in a company, you become a partner in it. What does that mean?
It means that every time companies make a profit, you as a partner are entitled to part of that profit. So seasonally, if the company makes a profit you will receive a stake. This usually occurs every semester. However, you need to check this periodicity with your broker.
If you want to set up a dividend portfolio, you need to seek some knowledge. This knowledge is essential to know how to choose actions well. Having a good investment agent to monitor your entire investment with you is essential.
Investment in real estate funds
In real estate funds you are entitled to receive a monthly contribution. Because real estate funds pay a kind of rent to their investors. It is as if you were the owner of a property that would charge the rent only without the property. Then, you will receive a percentage in proportion to what you have invested every month.
It is worth remembering here that real estate funds are exempt from income tax.
Real estate funds also involve a certain amount of knowledge. You need to know the location of the property. What type of contract is applied to this property and where does he receive the money from.
Find out how is the evolution of receiving these rents, research the last 3 years.
Dividend fund (cash)
In this category you need to analyze investment funds that are traded on the stock exchange. Why is that so important? Because exchange-traded funds are remunerated in cash. These are not quotas paid in within the fund itself. Prefer a fund that actually puts money in your account.
Debentures
Debentures allow you to make gains in excess of savings and direct treasury, such as NTN-B. These are private credit securities and are issued by companies in different segments. In this case, you lend money to a company for a certain period in return for remuneration.
One of the advantages of this modality is that it is also exempt from income tax for individuals. You still have protection against inflation.
Conclusion
Throughout your journey to discover how to live with income, you can improve your strategies. In this way, you will maximize the possibilities. If you get a profitability of 0.6% per month, with a little more knowledge you can increase these monthly gains. But for that you have to start at the bottom and start as soon as possible
The greater your knowledge, the better your strategies. The more money you accumulate, the more doors open for you.
No matter how much money you have today, living on income is a possibility. You only need to plan, seek knowledge and invest. Work the figure of the investor in you. Soon you will accumulate interesting capital and you will be able to start living on income.
