Life insurance is something that everyone should have, particularly if there are people who are financially dependent on you. After all, you would want to secure them financially after you are gone. When it comes to getting life insurance, age is a key factor that determines its need and cost. If you are planning to get it after 50, the implications may be different from those for someone in their thirties.
Investors can become fixated on certain markets or asset classes, particularly if they achieve high returns, but given current global uncertainty, diversification is vital to ensuring that risk is properly spread across a range of markets, asset classes and regions. As the 2008 recession proves, by putting too much focus on one market without proper consideration for its debt load – e.g. the housing market and sub-prime mortgages- investors can cause financial ripples that lead to global repercussions. [Read more…]
Once you own a car, paying for auto insurance is inevitable.
You must insure your car against collision, vandalism, and damage. Some car insurance companies take advantage of ignorant clients and charge exaggerated premium rates.
If you’re not informed, you will pay high rates thinking that’s what everyone is paying. You don’t have to pay more than you should if you know the average rates.
Do you care about the environment? Do you recycle regularly? But perhaps you are also eyeing up investing in fossil fuel companies as a way of beefing up your portfolio.
It is easy to think that investing in fossil fuel companies is a necessary evil that can be offset in other areas of your life. However, fossil fuels are not only quickly becoming unprofitable as the world changes they can also damage your reputation if you want to set up other businesses.
About one-third of American households have saved $1,000 or less. Between long-term and short-term financial goals, $1,000 simply isn’t going to cut it. What about retirement, real estate down payments, or even a simple emergency fund?
The problem isn’t that people don’t want to save; it’s that they don’t know how. Setting financial goals — and reaching them — requires determination and strict budgeting. If you’re saving money without any thought, you could experience a financial disaster down the road.
You may have got insurance for your home, car or health because this is something that everyone does. But have you thought about insuring your ability to make a living? Probably not, even though you will now realize that it matters the most! Getting disability insurance is a smart move in this context because it pays up a portion of your income if you cannot work for a prolonged period due to an injury, illness or workplace accident. In fact, anyone who relies on a paycheck and has dependents to support should absolutely have this coverage. Here are some facts that you need to know about disability insurance.
With the holidays quickly approaching, I think it’s time we discuss proper spending and saving for this time of year.
The holiday season is a special time of year that brings together family and friends to share a special day with one another.
That said, it also brings along expenses. Buying gifts, food, and for some, plane tickets. What can you do to help save money during this time of year? Let’s find out.
Your holiday spending plan should start on January 1st. Set up a recurring transfer from your checking to your savings account.
Start with an amount that’s realistic. Personally, I do a weekly transfer. $10 per week. Multiply by 52 and we get $510 (technically) for holiday spending.
Another way to boost your savings is to start with one dollar amount, say $5, and increase it incrementally throughout the year.
There are a ton of savings challenges out there. Check this one out!
When buying gifts, a lot of people wait to buy big items on Black Friday or Cyber Monday. Regularly marked down items are priced relatively similar to those items that go on sale after Thanksgiving.
Save yourself the hassle and stress, and buy items throughout the year.
Create a list of the people you want to buy gifts for. After that, assign a dollar amount to that person. This is how much you will spend on each person.
Here’s an idea for next year. Make that list right away and add it up. Whatever the total is, that’s how much you need to save for your holiday budget.
Another point I’d like to make. If your list is long and the total $ spent is high, you might want to consider removing some people from your list.
I know this might sound harsh, but you don’t have to buy them something. Maybe bake some cookies for those you won’t buy gifts for.
There are so many apps and programs out there that can help you save money. A few of my favorites are Coupons.com and Gas Buddy.
For online shopping, there are browser extensions and apps like RetailmeNot and Honey that find coupon codes for you.
The link below is an article about 7 different apps that can help save you money during the holidays.
7 Best Apps for Holiday Shopping
There’s no better way to gauge outgoing cash flow than tracking your spending. When you track your spending, you not only figure out how much your spending, but on what.
Better yet, use that list you created earlier and record what you spent on them. It keeps you honest and gives you a “checklist” so you don’t buy for someone more than once.
Handmade gifts are so much less expensive than store-bought gifts (most of the time). Also, in my experience, they are more appreciated than purchased ones.
Take a skill or craft you enjoy and make something special for someone.
There’s a large number of things you can do instead of your normal holiday party. For one thing, if you do have a party, make it a potluck! Everyone brings a dish so the financial burden of preparation doesn’t fall on one person.
Take the family sledding. Start a Secret Santa. Go for a walk/drive through a neighborhood and admire all of the Christmas lights.
One thing I found when researching for this article that moved me was volunteering at your local food pantry. Serve and set up a meal for those in need.
There’s one other person I want you to put on that list. Yourself. We bust our backs trying to make a living, and often, we think about treating everyone else, but not ourselves.
This year, do something for yourself. Buy that thing you’ve wanted or take yourself to dinner. Whatever #treatyourself looks like, do it. You deserve it.
Related reading:
Does Money Reduce Your Holiday Cheer?
Read More:
What Is The 2023 Walmart Holiday Schedule?
My name is Jacob Sensiba and I am a Financial Advisor. My areas of expertise include, but are not limited to, retirement planning, budgets, and wealth management. Please feel free to contact me at: jacob@crgfinancialservices.com
One of the most popular investment vehicles in use today is the index fund. Recently, the assets under management in the index fund category surpassed that of which is managed in active mutual funds.
That said, what is an index fund? How did it come about? What are the characteristics of an index fund?
In its simplest form, an index fund is a passively managed mutual fund that tracks an index. It started out by tracking the S&P 500 and for a long time, that’s all these funds tracked.
Now, there are index funds for anything. The DJIA, biotech sector, micro-cap stocks, the list goes on and on.
In terms of stock market history, index funds aren’t old. The first index fund was created by Vanguard in 1975.
Through the late seventies and into the eighties, the index fund failed to catch on. It seems that only in the last decade or two, index funds were recognized as compounding machines and grew in popularity.
So what’s the big deal? Why are these investments so popular? What are the advantages and disadvantages?
Active mutual funds and passive index funds do have similar characteristics.
I’m a big fan of index funds, especially for the general public. Fees, over the long-term, are really good at eating into your returns. Selecting low-cost index funds reduces your fee exposure.
That said, I’m also a believer in active management. When the economy is booming like it has the last 10 years, index funds will win almost every time. However, when the market finally turns over, that’s where an active manager can set themselves apart.
Related reading:
The Pros and Cons of Index Investing
The Different Between Mutual Funds and ETFs
My name is Jacob Sensiba and I am a Financial Advisor. My areas of expertise include, but are not limited to, retirement planning, budgets, and wealth management. Please feel free to contact me at: jacob@crgfinancialservices.com
Around 16 million people are self-employed in the US alone. That number will likely grow significantly over the next few years as millenials opt out of traditional employment.
While many people dream about running their own business or working for themselves, it’s not a simple or easy ride. You assume many risks and responsibilities that employers handle for their workers. Just as importantly, your family typically assumes the same risks you do by default.
In the US, about 66 percent of adults are covered by life insurance. However, 1 in 5 say they do not have enough life insurance. And, 44 percent of millennials say they overestimated the cost of life insurance.
Clearly, a lot of us could be doing a better job of choosing and understanding life insurance.