Estate planning may be one of the last things that anyone wants to think about. Not only is it difficult to contemplate our mortality, but human beings may also have a natural tendency to procrastinate. The importance of proper estate planning can become clear when a celebrity dies without a will. Some famous names with this dubious distinction were Aretha Franklin and Prince.
How is it that time of year already?! Time goes by fast, and so can your money during this time of year! The holiday season always makes me think of the classic movie “Home Alone.” Kevin McCallister was accidentally left behind while his entire family went to Paris on a Christmas vacation.
Credit cards are kind of like chainsaws. When used properly they can be extremely helpful tools, but if they are used improperly, they have the ability create a horrendous amount of damage. Considering this, it’s important to take the right steps to make sure that you get the best credit card for your situation.
- A budget is a tool for allocating your income; budgeting can be helpful in meeting short and long-term goals
- Get started by determining after-tax income and how income can be allocated
- Track spending and savings on an ongoing basis to determine if you are within your budget
- Review your budget periodically and/or if your situation changes
No matter how many times some myths are debunked, we may still believe them.
• Compound interest is interest earned on interest
• Compound interest may play an important role in meeting long term goals
• Time is an important component when thinking about compound interest
Of all the ways to save for retirement, backdoor Roth is possibly one of the most misunderstood. Perhaps it is the terminology “backdoor,” which is associated with something that is secret, hush-hush or downright improper. Who wants to consider making a “hush-hush” contribution?
Only a very small percentage of Americans have exceptional credit as reflected in a credit score of 800 or greater. The large majority of U.S. consumer have a FICO credit score in the 600s or 700s, but a significant number have “very poor” credit scores below 580. Gaining access to a credit card can be difficult for those with very poor credit scores.
The prospect of suddenly having to face life with a disability that limits your ability to work in the way you’re used always seems unlikely. Disability is something other people face, maybe in old age, but not you. While disability insurance may seem unnecessary right now the facts give cause for the preemptive action.
One of the first lessons of finance we are taught, by our parents or through some basic personal finance course, is to make creating an emergency fund our top priority. Having a reserve of cash equivalent to six to 12 month’s worth of living expenses is considered the most fundamental principal of financial security.