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Posted by ET,
under ET, Family, Financial goals, In The Media |
08/23/2010
Budgets are very important. Without a budget, we often have no way to know if our expenses have exceeded our income until it is too late.
While I agree that they are critical to financial stability and success, I am not sure that I support Governor Arnold Schwarzenegger’s latest move. He decided to hold the proposed budget ransom until select fiscal changes have been made within California. see LA Times article here: http://www.latimes.com/news/local/la-me-arnold-budget-20100823,0,7466490.story
In order for a budget to be successful, it needs complete buy-in from the people using it. That means that the entire household (children, spouse, partner, parents, roommate, etc) need to agree on the budget or it will fail. Please speak to the other members of your house and create a plan that everyone agrees to stick to. Arnold is used to blowing things up, terminating people, and generally kicking some physical butt on film, but this strong arm tactic is doomed to fail if applied in your home.
Popularity: unranked [?]
 No Comments | Tags: Arnold, California, California State Budget, Schwarzenegger
Posted by ET,
under ET, Financial goals, Retirement, Savings |
08/9/2010
CNN has a great article this week that discusses how much money Americans need to feel rich. http://money.cnn.com/2010/08/09/news/economy/wealth/index.htm
Factors such as location (NYC vs Boise ID for example), and spending habits play a role in determining this figure. It is estimated that the average American needs $300,000 per year to be considered rich. This allows for a $4,000 monthly mortgage payment and $12,000 in monthly expenses.
I agree, this seems like a lot of money. In fact, I think $6,000 in monthly expenses sounds like a lot of money. All this, and not working, makes for quite a life style. You can begin living the rich lifestyle at age 35 if you have $12 million in the bank. This is not realistic for 99.99% of us, but for those that it is, congratulations. As for me, just being able to retire a few years early with enough money to live a simple lifestyle would be amazing.
What do you consider to be “rich”?
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No Comments | Tags: Retirement, Rich, Wealth
Posted by KEJONES,
under Financial goals, General, In The Media, Retirement |
06/24/2010
And a couple quotes that I like:
“The trouble with the future is that it usually arrives before we’re ready for it.” -Arnold Glasgow
“If you do not think about your future, you cannot have one.”
-John Galsworthy
Popularity: unranked [?]
No Comments | Tags: financial planning, funny
Posted by ET,
under ET, Financial goals, In The Media, Retirement |
06/18/2010
In the USA, the average age of retirement is now almost 66 years. The US has one of the oldest retirement averages. Some other major Countries that are lower include ; UK 65, Canada 65, Mexico 65, Japan 63, France 62. One year might not look like much on paper, but tell that to the 65 year old that just spent the first healthy year of retirement golfing, playing shuffleboard, walking the beach and playing with their grandchildren. The scary news for many of us is that the average age of retirement is rising, not dropping. This article has some good information on why retirement ages are rising across the world. http://www.npr.org/templates/story/story.php?storyId=127907362
Those of us with a financial plan are 250% more likely to hit our retirement goals than those that do not have a plan. This fact is scary to those that don’t have a plan, but great news for those that do. By taking the time to create a financial plan with an advisor or on a website like ours, you can take the bull by the horns and help determine the age that you will retire. In a few simple steps, you will know how much money you will need at the age you want to retire (60?, 62?, 64?), along with a road map to get you there. All of us want to retire while we are young enough to enjoy the perks, so create a plan and make it happen.
Popularity: unranked [?]
1 Comment | Tags: Average US Retirement Age is 66, Retirement, When do you want to retire
Posted by ET,
under ET, Financial goals, In The Media, Savings, shopping |
06/16/2010
According to NPR, Wal-Mart has over 1,000 money centers in US stores, and has now purchased a stake in Green Dot – a pre-paid debit card service. Wal-Mart shoppers lucky enough to have a money center in their local store can now bill pay, cash checks and more without even belonging to a bank. http://n.pr/dyqcq4
Now if only Wal-Mart customers had access to a free, SEC certified, personal finance planning tool to help them create a financial plan (retirement goals, investments, loans, mortgages, education, etc). Wait, they do have this, if only they knew to visit www.GoSimpliFi.com. Please help us spread the word so that Wal-Mart shoppers will now know the best places to invest all the money they are saving by shopping there.
Popularity: unranked [?]
No Comments | Tags: Financial Plan, Green Dot, Invest money, Money Centers, Personal Financial Planning Tool, SEC Certified, Wal-Mart
Posted by KEJONES,
under Financial goals, In The Media |
06/15/2010
Recently it’s come to light that the BP oil debacle is due, in part, to their negligence and cutting corners. Apparently they were running so far behind schedule and above budget with the rig construction, they skipped a few checkpoints (in place for safety, mind you) in order to keep things “on schedule” and get the oil flowing. You know, to make money. In other words, instead of taking a bit more time to ensure things were done correctly and safely (and to ensure that the rig would be functioning efficiently and effectively for years to come) they chose to quickly rush things in order to get paid faster. I would equate this with buying a lottery ticket everyday, hoping one day to win instead of getting up everyday and going to work to pay your bills and save what you can to provide for your future. Or anything of the “get rich quick scheme” variety. You reap what you sow. Now, I’m not saying that playing the lotto is a bad thing, I just don’t think it’s something you should rely on. You can’t rely on a bailout, you have to make your own way. It’s tough and not always fun, but it’s the only way you can ensure your finances will be there for you when you need them.
Popularity: unranked [?]
No Comments | Tags: BP, finacial planning, financial bailout, get rich quick, lottery, oil spill
Posted by KEJONES,
under Family, Financial goals, General |
06/2/2010
Well, the month is over and I sat down with slight hesitation to tabulate my official results of our “performance” budget wise for May. We did it! In March we spent about $600 eating out, in addition to $600 at the grocery store. So, we decided our goal for May would be $300 eating out…while trying to keep the grocery store the same. I realized that there was a chance the grocery store could possibly increase, and honestly I was ok with that. But the results are in and for the month of May we spent $322.65 on dining out (ok, ok, a little over budget, but STILL!!) and $597 at the grocery store. What’s funny is when I told my husband the good news, he was surprised. He felt like we still ate out a lot and could cut back even more! So I guess for next month we will try for $200 or $250. Although, I have to say, the kids are out of school, so if we can keep it where it is, I’d be happy. Sometimes you just gotta get ‘em out of the house and Chick Fil A is a great place to burn off some steam!
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1 Comment | Tags: budget, chick fil a, dining out, grocery store
Posted by KEJONES,
under Auto Loans, Debt, Family, Financial goals, General, Mortgage |
05/17/2010
Recently I read that if you really want to get ahead financially, you shouldn’t sweat the little things- like that indulgent, over priced coffee that you can conveniently swing by and pick up on the morning commute. Apparently that isn’t making as much of an impact on finances as that indulgent, over priced VEHICLE that some of us choose to drive. Or that ridiculous, keeping-up-with-the-Joneses house that that vehicle is being parked at. And I say AT and not IN because, be honest, the car isn’t kept in the garage because the garage is full of other stuff! Apparently we are spending too much on our cars, houses and food.
That made me think back to my recent post about cutting back on eating out: For my family, it’s true, an easy place for us to cut back. For my parents it’s not as realistic because they rarely eat out, so maybe that won’t work for them. So I thought more about the other things mentioned…the house and cars.
The house? Size-wise we absolutely could downsize, however we couldn’t scale back the mortgage payment, so that’s not really as realistic of an option. We were lucky enough to have land to build on given to us (from my uber-generous father in law!), contracting services and my husband and father in law (as well as other generous family members and friends) did a huge majority of the work. In return, we have a lot of equity in the house and a very low mortgage payment. It’s ironic because we were SO eager to get into our dreamhome and have space for everyone to spread out. I quickly learned that the more space you have, the more “stuff” you accumulate and the more space you have to clean! Thinking back to the days when we lived in a two bedroom apartment I realize I was happier. Yes, it was tight…and our family was one child smaller, but I think there is a happy medium to be had. Plus in this market, I can’t imagine listing a house and waiting for it to sell. Definitely NOT the time for us to downsize.
The cars? We have three kids…one car seat and two booster seats. Therefore, we are limited to vehicle options at this point. One is paid off, so that’s about as smart as it gets. It is on it’s second transmission and we are beginning to think it might be time for a third soon, although hopefully not. The other is not paid off, we bought it used and it works for us. I’m not sure we could replace it with anything more economical. We could lower the monthly payments by extending the terms of the loan, but that’s not smart for us, I’d rather pay it off sooner. We have recently checked into refinancing the car at a lower rate, we found some great rates through a local credit union, without extending the terms. If anything, I think we need to work on bulking up our 50 pound 8 year old, so he’ll grow and meet the height and weight requirements to get him OUT of the booster-then we can focus on our 6 year old. I’ll cut the baby some slack…for a few years anyway.
The food? We are working on it. We have adjusted to eating out less. I’m interested to see how we do by the end of the month. I’m not sure we will make our goal of 50% less, but I’m sure we are going to do better than we have been. And little by little, we’ll get there…
Popularity: unranked [?]
No Comments | Tags: Auto Loans, budget, car payments, house, Mortgage, think big to save big
Posted by KEJONES,
under Debt, Financial goals, Special Events, Student Loans |
05/10/2010
Congratulations! You made it; you walked; you’re officially an alum…NOW WHAT? It seems like we spend so much time and energy in college trying to graduate, once we fin ourselves “graduated” we are left to think to ourselves, “Oh crap, now what?” It wasn’t that long ago that graduates walked across the stage, got their diplomas, then shed the cap, gown and diploma and traded them for a suit and briefcase on Monday morning. That is no longer the case. With the current economy, new grads are finding themselves alongside job candidates that have more advanced degrees, more experience, more everything. Suddenly, their ambitions come into question and some may begin to think “Maybe that’s not what I really want to do.” The path that you had laid out for yourself, might not be the one you find yourself on.
No matter your course, there are a few things one needs to decide upon.
Job or Graduate School?
For many people grad school is a requirement in their chosen field. For others, grad school delays entering a shallow job market and enhances their resume for when they are the future. This is the time to decide what you want for your future: do you need more school, or is it time to enter the workforce? The decision is purely personal and can only be made by YOU!
Where To Live?
As long as Mom and Dad haven’t turned your bedroom into a home theatre, chances are you would be welcomed back with open arms. And a list of chores. More and more college grads are returning to the nest in order to save money. As with any situation, there are pros and cons to both. At home, you have little-to-no rent, utilities and other associated costs. You are also living with your family…and it’s not easy to bring a date home. If you rent, you have the freedom to do what you want, when you want to do it. You also have rent, utilities and roommates.
Make Your Move
Now is the chance to decide where you want to live, geographically. You might be comfortable where you are and settle in your college town. Maybe you prefer your hometown…or maybe you want to get away to somewhere completely different. Think about it, if you could live anywhere in the world, where would you live? Ok, now go!
Welcome to the World of Budgeting
As inviting at it may be to celebrate that new job with a new car…consider the fact that you are generally going to be bringing home less than you think you will and your living expenses will be higher. As much as it will pain you to drive past that dealership everyday, sit on the idea of spending for a while, at least until you’ve had some time to adjust to the new costs associated with “living in the real world.”
Save or Spend?
Point blank: Start saving NOW. Seriously… today. The earlier you start planning and saving for retirement, the sooner you can retire, or the more money you will have to spend during retirement. And it’s not just retirement anymore: marriage, kids, cars and homes all come with a price tag.
Insurance
Health, auto, and life…it seems like the options and offers are endless. Insurance can be overwhelming to some people, but it doesn’t have to be. There are advantages to all the different options, just make sure you are paying for only the coverage you need.
Popularity: unranked [?]
1 Comment | Tags: college, graduate, graduate school, graduation, insurance, job, post grad, real world
Posted by KEJONES,
under Family, Financial goals |
05/7/2010
Has it happened to you yet…you say something and instantly think “Ack! I’m starting to sound just like my mom!” Sometimes that’s a good thing! In celebration of Moms everywhere, here are some mom-isms that you should consider establishing in your financial life:
A little soap and water never killed anyone!
Clean up your finances. Take the time to figure out what you are spending (and where you are spending it). Start deciding where you can cut back.
Close the door, I’m not heating the neighborhood!
Try and make your home as energy efficient as possible, making sure windows and doors are closed and sealed. In the summertime, having the blinds drawn will help keep the house cooler as well.
Don’t you have anything better to do?
Nothing is more important that your financial future. The laundry will be there tomorrow, the house will never be clean enough; tomorrow will be here before you know it and it’s not waiting for you to be financially ready!
Go play outside, it’s a beautiful day!
Yeah, go play outside. Plan a picnic, hike, day at the park-many of these things families don’t do enough of and they cost WAY less than a standard vacation, or even dinner and a movie out. Better yet, they provide lots of time for conversation!
How do you know you don’t like it, you haven’t even tried it?
Lots of times people feel overwhelmed by budgeting and finance. But if you don’t give yourself the opportunity to like them, you’ll never know. Often times people feel a great sense of achievement and satisfaction knowing that they have their finances under control and are working towards achieving their financial goals.
I don’t care what “everyone” is doing; I care what “you” are doing.
So you might have to tell your friends “No” one night if you’ve already gone over your budget for dining out. Or maybe your girlfriend is giving you a hard time for not buying that cute dress you saw. Either way, you know what’s best for your budget and your future. Don’t be bullied into doing what someone else thinks you should!
If you don’t do it now, then when are you going to do it?
Exactly. Excuses are endless. Go get your bank statement and get to work.
You don’t always get what you want. It’s a hard lesson, but you gotta learn it sometime.
We’ve become a culture of “Gotta Have It NOW”. No, you don’t. If there is something that you just can’t live without, start saving and planning now.
And everyone’s favorite…
Money doesn’t grow on trees.
Don’t wait around hoping to find wealth. Take the time to make a financial plan and budget so you can create your wealth.
Happy Mother’s Day! And Mom, you’ll be happy to know my room is clean!
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1 Comment | Tags: budget, eating out, Financial Plan, mom. money, mothers day, shopping, spending
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Luckily, My husband and I are retired. Strange, I speak to people who feel they are retired just because they no longer work – I think that’s called “being out of work”. Retirement should mean: no mortgage – no vehicle payments – credit cards paid in full monthly – then, you can truly “retire”. Best to you all. Barbie