It is time to let the capital you have accumulated take flight. Now that your life responsibilities are better defined, we will work with you to secure the present and focus on your future goals with real and practical alternatives.

• Have you considered starting to contribute to your retirement?
• Have you considered investments like a tool to make your money grow?
• Do you know how you plan to pay for your children' college education?

Retirement, your children's college education, protecting the goods you have accrued… these are just some of the goals you may be considering. A focus on savings and cash management is important for this.

Here are the tools you need to solidify your future, with a wide scope of alternatives ranging from moderate to more aggressive models.

Most of the people in Puerto Rico do not make a budget. Worst yet, those who do have a budget do not follow it. Where is the danger here? Putting behind or postponing our dreams, personal and financial goals. By not having a budget, you won't know where your money goes or how you are using it.  Therefore, the best way to have an idea of your expenses is having a budget and following it to the 't'. A general rule to recommend is that your budget be composed and distributed in the following manner:

• 35%
  • HOME: you should not spend more than 35% of your net income on your home, including the mortgage or rent payment, utilities, insurance, taxes and house maintenance.

• 20%
  • TRANSPORTATION: you should not spend more that 20% of your net income on transportation, including car payment or lease payment, insurance, inscription label (marbete) and license, maintenance, gas and parking.

• 20%
  • OTHER EXPENSES: you should not spend more than 20% of your net income on the rest of the expenses, such as groceries, clothing, entertainment, daycare, medical expenses, hobbies and others.

• 15%
  • DEBTS: you should not spend more that 15% of your net income on paying consumer debts: personal loans, credit cards, credit lines, tax and medical debts.
    

• 10%
  • SAVINGS: you should save at least 10% of your net income. These savings can be made in: CD, savings account, IRA accounts, 401k, mutual funds and others.

• Checking and Savings Accounts
• Analyze and see if your current checking and savings account still serve your needs. Oriental Group gives you options with accounts that pay higher interests with higher balances, such as the Oriental Money account.
• Certificates of Deposit
• Short or medium-term goals require different vehicles. CDs can yield higher interests in balances you can set aside for a period of time, from 3 months to 3 years. The longer the period, the higher the interest.
• Mortgages*
• Even if you have already purchased your home, it is wise to consider refinancing your mortgage if there is a savings on interests. Contact a mortgage executive at Oriental, to analyze your current situation. Refinancing, a second mortgage or a Home Equity Line of Credit (HELOC) can also be your solution to finance home improvements or other future investments.
• Retirement Plans
• The earlier you begin saving, the more money you will have for retirement. There are different retirement plans to fit your needs and which can also provide tax savings.
  • IRAs
  • Keogh
  • 401k (1165e)
• Investments**
• You are already contributing to your retirement plans and still have space to save. Investments are vehicles that can help you reach your goals. For more information, visit our page on Investments and Retirement.

• Insurance
• Protect your assets and secure the future of your loved ones with life insurance. You should count on some products for a secured guarantee to your family in case you are missing, such as life and disability insurance, health insurance, contingency insurance and property insurance.
• College Education Planning
• Your children's college costs may be among the highest ones you'll pay in your life. Oriental Group can help you make a plan to reach that goal.

*Subject to credit approval. **The FDIC does not insure investment products; they are neither deposits nor obligations of Oriental Bank and Trust and are not guaranteed by Oriental. They are subjected to investment risks, including the possibility of losing the capital invested. Insurances offered by Oriental Insurance Agency, a subsidiary to Oriental Financial Group Inc. Oriental Financial Services Corp. Member, FINRA/SIPC and Oriental Bank and Trust are subsidiaries to Oriental Financial Group Inc. ©2009 Oriental Financial Group Inc. Reserved Rights.