Apr
1
Retirement Revolution - Part Two
April 1, 2008 | 2 Comments
… on PBS for the first time on March 31, 2008. The second half “On Our Own” airs on PBS Monday April 7th, 2008 for the first time. I watched the second episode via the website and I’ve outlined the highlights of part two below.
Note that this is the information presented by the Retirement Revolution. I’ve made commentary where I felt it was appropriate.
Part Two: On Our Own
Baby Boomers’ Challenge
The baby boomers face many risks going into retirement. These include …
Aug
27
Interest Rates Increasing?
August 27, 2008 | Leave a Comment
… 4.00%
30 Month
4.00%
36 Month
4.00%
48 Month
4.00%
60 Month
4.25%
HSBC is offering a 3.5% rate on their Online Savings account right now. See all HSBC rates here. That's where I hold most of my savings. ING Direct is offering 3%. Not a big difference but if you have enough money, it's worth it to shop around.
I'll keep my money in liquid savings right now. I can't afford to tie it up for a year. The time for my transition draws closer …
Aug
8
Fooled By Randomness - Overview
August 8, 2008 | 1 Comment
… the world works, then Fooled by Randomness: The Hidden Role of Chance in Life and in the Markets is it.
Aug
6
… Your house will need to be painted every 4 to 8 years. Good paint will cost you at least $25/gallon. Don't scrimp, you don't want to do it again.
Fact: Painting your house is not easy. Especially if you have a two story house. You may have to buy ladders or rent scaffolding.
Fact: About one in ten paint jobs goes awry.
Fact: Permanent siding can cost 4 to 5 times as much as traditional wood siding.
Fact: Permanent siding also wears out can be damaged by wind and …
Aug
4
Track Home Improvment Expenses for Tax Purposes
August 4, 2008 | Leave a Comment
… never pay capital gain tax on the sale of their primary residence. Current tax law excludes $250,000 (single) or $500,000 (married) in capital gains on the sale of your primary residence. So unless you're going to make a large amount of money on the sale of your house, those additional home improvement expenses won't help with capital gains taxes.
Over your lifetime, your home could appreciate quite a bit. If you've made major improvements to your home, track those expenses and …
Aug
1
Should You Buy a New Car for Better Gas Mileage?
August 1, 2008 | 2 Comments
… between a 12 mpg and 20 mpg vehicle is about $1248 or about $100/month. If you bought a 25 mpg vehicle the difference would be $1623 or $135 per month. This amount doesn't justify the increased car payment on a newer vehicle.
You'd have to a long haul truck delivery driver for a new vehicle to make sense. That is unless you really need a new vehicle anyway.
So it seems the media has people whipped up into frenzy yet again. Yes gas prices are high but if you can't afford …
Jul
31
How Much Do You Spend On Gas Every Month?
July 31, 2008 | 1 Comment
… of gas per year / 12 months = 19 gallons per month
19 gallons per month * $3.75 per gallon = $71.25 per month gas bill
I spend $71.25 each month to get to daycare, the gym, and then to work and home again. So does it make sense for me to buy a more fuel efficient vehicle?
In part 2 I'll talk about the wisdom (or lack thereof?) of buying a new car to save money on gas. I'll run through various gas price scenarios (higher, lower and flat gas prices).
Stay tuned…
Jul
30
The Real Reason I Paid Off My Mortgage
July 30, 2008 | 14 Comments
… rates. About a year ago, several online savings accounts were offering 6% APY, and PenFed had a 6.25% CD promotion. Those might have tempted some of the more risk adverse people, as they were probably safer than paying down your mortgage.
Jeff is making a good point here. Interest rates (for investors/savers) are terrible. That is the number one reason I paid off my mortgage.
I realized that I hadn't properly explained my motivations for paying off my home mortgage.
My wife is …
Comment by ajc: … as 75% - 125% of pre-retirement salary (but, I …
Jul
29
More Reasons to Pay Off Your Mortgage
July 29, 2008 | 4 Comments
… keeping an open mind on this topic. If I can find a convincing argument as to the merits of a mortgage, I'll post it.
Comment by Jeff: … and PenFed had a 6.25% CD promotion. Those might have …
Jul
21
How Long Should I Keep Credit Card Statments?
July 21, 2008 | Leave a Comment
… The IRS has 6 years to audit your return if they suspect you under reported your income by 25% or more. There is not limit if the IRS suspects fraud.
The Easiest Way to Manage Financial Documents
If you have a computer, try storing everything electronically. That way you can save everything indefinitely, in case you're curious how much your grocery bill was 20 years ago. Also electronic storage takes up no physical space. You wont' have to lug your paper around with your …