Feb
17
Death and Taxes
February 17, 2008 | Leave a Comment
As I write this article it is tax time again in the United States. A time of year that strikes fear and dread in the productive and brings glee to those “in the cart*.” Those of that that produce something will have to pay taxes. Those of us who simply exist off the system will get child tax credits and the like, basically welfare embedded in the tax system.
You may think I sound a little bitter, and I will admit this time of year …
Jan
11
Stages of Life
January 11, 2008 | 1 Comment
On our path to wealth it’s handy to know where we’re at. Much of our financial outlook is based on how old we are and our “stage of life.” What do we mean by stage of life? Humans have a pretty clear path through life. We pass through stages from being taken care of to learning to caring for others then full circle to being taken care of again. I believe the most important thing we can do is first and foremost to understand ourselves. We need to understand what …
Dec
19
Make More Money
December 19, 2007 | 3 Comments
Everyone wants to know how, at least, everyone claims they want to know how. It’s strange that so few make the effort to learn how to become wealthy, let alone actually do it. If you want to become wealthy, the logical first step is to find out how to make more money.
The secret to making money is to understand that there is no secret to making money. Becoming wealthy is the most obvious thing in the world. In fact, any kid with a piggy bank …
Nov
19
How Much Can I Contribute to My Roth IRA in 2008?
November 19, 2008 | Leave a Comment
… $6000. Of course you have to check your eligibility to contribute to a Roth IRA.
Remember you can contribute as late as April 15th, 2009 and still have the contribution count as a 2008 contribution.
The Roth IRA benefit is phases out as your income increases.
Eligible
Partly Eligible
Not Eligible
Single
Up To $101,000
$101,000-$115,999
$116,000 and up
Married Filing Jointly
Up to $159,000
$159,000-$169,000
$169,000 and up
Married …
Nov
18
Switching to Vanguard
November 18, 2008 | Leave a Comment
It's official. Vanguard now has my money and it's all in their Target Retirement 2040 fund. The best part is, the transition was smooth and painless.
If you've been hesitating to move those old 401(k) 's and Roth IRA 's, stop procrastinating and just do it.
Why did I chose Vanguard?
Because the expenses are low and the fees are waived if you sign up for their online statement delivery. Any index fund can match the markets, however the …
Nov
14
How to Visualize the Financial Crisis
November 14, 2008 | Leave a Comment
Mint.com has created a diagram of the financial sub-prime crisis. Head on over and take a look. As far as I can tell, it's accurate based on the sources I've read so far. I've been trying to explain this to friends, family and co-workers and this chart makes it much easier.
I think this recent round of idiocy has proven the Greater Fool theory. Thas is person A buys [stock|bond|house|etc] knowing that it isn't worth …
Nov
12
The End of Wall Street
November 12, 2008 | Leave a Comment
Not to beat a dead horse, or bull in this case, but Wall Street as we know it seems to be gone. As a child of the 80's, I watched my share of Charlie Sheen/Michael Douglas/Michael J Fox movies. Wall Street was the place where kids with big dreams went to make it.
Michael Lewis wrote Liar's Poker as an expose of Wall Street. Instead of a warning, it became a recruitment manual for the next …
Nov
11
Worry About Yourself First
November 11, 2008 | Leave a Comment
When asked about their current economic condition, most people respond with something like "I'm fine but the guy down the street is really in trouble." I think it's time that to stop worrying about the people down the street and worry about your own problems.
If everyone in the country would just take care of their own business we wouldn't be in this mess. Government programs designed to …
Nov
5
Credit Card Rates Going Up
November 5, 2008 | Leave a Comment
If you're like millions of Americans you may be getting a surprise. You're credit card company is probably raising your APR (interest rate). What should you do?
Don't Carry a Balance
I use a credit card but don't care about the APR. How can that be? Am I too rich to care? No, I just pay my balance in full every month. You don't pay any finance charges if you pay your balance off every month.
Don't Use a Credit Card …
Nov
4
Fire Your Financial Advisor
November 4, 2008 | Leave a Comment
… something I've wanted to do for a long time. I fired my "financial advisor." Here's why you should consider it.
History
I had some 401(k) roll over money and Roth IRA. I wanted to move them to the same place for convenience. A new "advisor" had taken over my Roth IRA account (I opened it with a friend and he quit the business). I didn't trust the new advisor with my money.
So I asked around and a friend told me about the lady he used. I talked to her and she sounded …