When Should Investing Stop?
Much has been said about how to spot the right investment, when the right time to invest is, and when to increase investment. Since investment is generally considered a good move, there is not much attention placed on determining when the right time to stop investing is. As in all good things, personal investments must have its ending as well.
The right time to invest is when the market is booming and personal financial circumstances allow for some speculative actions such as investing. Investing is not recommended for the hard-up since profits usually take time to materialize. People have no place investing money intended for basic needs since the expected returns will not be back in time to serve the investor’s immediate needs.
When continued investments tend to adversely affect the capacity of the investor to live a proper life, there is something seriously skewed in a person’s list of priorities. There is not much use in being too wealthy upon retirement age when the ability to enjoy life has become very limited. The situation gets worse if investment yields are not even usable on retirement thereby producing the great possibility of being overcome by death before an investor gets to enjoy the fruits of investments.
Investors have the option to stop investing even before reaching the official retirement age when earnings from stable investments approximately equals earnings from job held. This simply means that your money can now actually work for you, leaving you time to enjoy life as you prefer it. When returns of investments are way beyond your highest expectations and estimated lifetime many times over, it is about time to consider how you can do some good for humanity by getting involved in charity work or direct assistance to others. In this way, you can now claim that your prudent investments had a higher purpose than to provide for you.