A lot of people don't like to think about picking their executor or guardian, but the reality is that by doing this work yourself while you are healthy you will save your family/friends a lot of work and grief when you might not be so healthy.
Taking care of your will/estate plan is an act of caring for your loved ones. By doing it yourself, you are saving them from trying to guess what you want done or even prevent fighting amongst family members. As bad as that sounds, I've seen family arguments because someone didn't leave a will, more than once, and it ends up devastating a family already going through a tough time.
The blog Thicken My Wallet has an excellent article on how you should choose your executor or guardian. Take some time to read it, as it could be very important to how you care for your family after you are gone.
Jerry
Tuesday, September 29, 2009
Monday, September 28, 2009
The Cost Of A Wedding
I know that as a rather frugal guy that many may disagree with me, but I believe that $26,000 may be a little too much to spend on one day. I have been happily married for over 12 years now, and we had a fairly simple wedding, but we had a lot of friends and family celebrate it with us in a pretty simple setting. Our total cost was under $4,000. I have trouble picturing starting off married with the added debt of a super expensive wedding, or saddling any parents with those costs. We had enough debt with student loans that we sure didn't need to add more to it.
But for those who are planning for the big weddings, the following 2 links can help you control and even reduce your costs. Always remember that as important as that one day is, all the days after it are even more important.
Get Rich Slowly site
Canada.com article
Jerry
Thursday, September 24, 2009
Strategies That Beginning Investors Should Avoid
Mr. Cheap, who has a blog called Four Pillars, has written an article about investment strategies that beginning investors should avoid. A lot of it comes down to 2 good pieces of advice:
1. If it sounds too good to be true, then it probably is.
and
2. Don't invest in an investment product or industry you don't know.
I would throw in a third piece of advice based on some experiences of people I know:
3. If the investment is based on a secret or global conspiracy (New World Order), you are more likely to make someone else rich than yourself with your investment. Enough said on that here.
Check out the more detailed article at Four Pillars. http://www.four-pillars.ca/2009/09/17/beginning-investment-strategies-to-avoid/
Keep your investments safe
Jerry
1. If it sounds too good to be true, then it probably is.
and
2. Don't invest in an investment product or industry you don't know.
I would throw in a third piece of advice based on some experiences of people I know:
3. If the investment is based on a secret or global conspiracy (New World Order), you are more likely to make someone else rich than yourself with your investment. Enough said on that here.
Check out the more detailed article at Four Pillars. http://www.four-pillars.ca/2009/09/17/beginning-investment-strategies-to-avoid/
Keep your investments safe
Jerry
Wednesday, September 23, 2009
15% of parents are saving for kids education over retirement
Good article by Jonathon Chevreau of the Financial Post about saving for retirement and children's education at the same time. Some scary stats about how many are saving for neither one of those.
http://network.nationalpost.com/np/blogs/wealthyboomer/archive/2009/09/23/15-of-parents-put-kids-university-savings-ahead-of-their-own-retirement-plans.aspx
http://network.nationalpost.com/np/blogs/wealthyboomer/archive/2009/09/23/15-of-parents-put-kids-university-savings-ahead-of-their-own-retirement-plans.aspx
Investment Planning 101
For some, retirement may seem like years away. For others, it may be right around the corner. Regardless of where you are, it’s still important to take control of your finances and start right now. If you invest even a small amount each month—say, $25 per week—you can accumulate a lot! If you wait, it could potentially cost you lots of money later.
If you start to invest in your 20s and invest $100 each month for just 10 years, then you will have a bigger nest egg than someone who invests $100 per month from age 35 to age 65!
No matter how old you are, if you're just starting to plan and invest for your retirement, you'll need to consider several things:
Your Time Horizon
If you're just getting started, you most likely have a while to go before you retire. The longer your time horizon, the greater your chances of reaching your retirement savings goal. Why? Because time gives compounding—earning interest on your interest—a chance to work. And, it gives long-term investors a chance to recover from market downturns.
Your time horizon also helps determine the amount of risk you can take on comfortably. The more time you have before you need your money, the greater the level of risk or volatility your portfolio can withstand (because you have years to recover). Volatility is inevitable, since markets tend to move in cycles. But the longer your time frame, the more volatility you can handle.
Risk Tolerance
To seek greater rewards–such as a higher investment return–you must be willing to accept greater risk. If you wish to reduce risk, you must be willing to accept lower returns. A diversified portfolio may help seek a higher long-term return and keep your risk relatively low. The key: find a comfortable place on the risk/return spectrum. You can accomplish this through diversification and asset allocation.
Goals and Objectives
Maybe you want to save for a dream home or your child’s education. Perhaps you just want to have a nest egg for a rainy day. Once you specify your goals and when you’d like to reach them, it’ll be easier to develop a financial plan.
Establish an Emergency Fund
It's very important to have some money set aside in case of an emergency. Experts recommend three to six months’ worth of expenses in cash or a relatively liquid investment like a money market fund. This money can help get you through emergencies or other times when you might be tempted to dip into retirement savings to get by.
You can find a more detailed article on our website at http://rockycreditunion.com/default.aspx?PageID=1084
If you start to invest in your 20s and invest $100 each month for just 10 years, then you will have a bigger nest egg than someone who invests $100 per month from age 35 to age 65!
No matter how old you are, if you're just starting to plan and invest for your retirement, you'll need to consider several things:
- Your time horizon
- Your risk tolerance
- Your goals and objectives
- Establish an Emergency Fund
If you're just getting started, you most likely have a while to go before you retire. The longer your time horizon, the greater your chances of reaching your retirement savings goal. Why? Because time gives compounding—earning interest on your interest—a chance to work. And, it gives long-term investors a chance to recover from market downturns.
Your time horizon also helps determine the amount of risk you can take on comfortably. The more time you have before you need your money, the greater the level of risk or volatility your portfolio can withstand (because you have years to recover). Volatility is inevitable, since markets tend to move in cycles. But the longer your time frame, the more volatility you can handle.
Risk Tolerance
To seek greater rewards–such as a higher investment return–you must be willing to accept greater risk. If you wish to reduce risk, you must be willing to accept lower returns. A diversified portfolio may help seek a higher long-term return and keep your risk relatively low. The key: find a comfortable place on the risk/return spectrum. You can accomplish this through diversification and asset allocation.
Goals and Objectives
Maybe you want to save for a dream home or your child’s education. Perhaps you just want to have a nest egg for a rainy day. Once you specify your goals and when you’d like to reach them, it’ll be easier to develop a financial plan.
Establish an Emergency Fund
It's very important to have some money set aside in case of an emergency. Experts recommend three to six months’ worth of expenses in cash or a relatively liquid investment like a money market fund. This money can help get you through emergencies or other times when you might be tempted to dip into retirement savings to get by.
You can find a more detailed article on our website at http://rockycreditunion.com/default.aspx?PageID=1084
Subscribe to:
Posts (Atom)