I found a great all in one article on CNNMoney.com today. It’s not a site I regularly frequent, but this article is definitely top notch. It covers “10 simple strategies for finally achieving your financial goals“.
It takes a deeper look into saving more money, investing smarter, getting out of debt, getting your career kick-started, and more.
It’s actually a collection of 10 articles, and will take some time to get through all of them, but it’s time well spent.
JLP probably has one of the best all-in-one personal finance posts I’ve seen all year. This post is about making personal finance resolutions for 2006. He enlisted help from Jim, FMF, Flexo, Smarty, Jose, Alexander, and Jonathan. Together, they cover emergency funds, getting out of debt, 401ks, IRAs, budgets, and personal finance statements. It’s worth your time to read every bit and reference every link.
I’ve increased my 401k contribution to 10%. For the first time, I’m now paying myself first. That first 10% of my check comes off the top and goes directly to me. Well, almost, it goes to my 401k. I’ve actually lost money since I first decided to join my companies 401k because the price per unit is less than what I paid for my first contribution, but I’m staying optimistic. I expect dollar-cost-averaging to come to my rescue and continue to help my nest egg grow.
The third lesson from The Wealthy Barber is to make sure to take care of retirement. This is separate from paying yourself first. This is making sure that you’re able to afford your desired lifetime upon retirement.
David Chilton says it best in this quote:
Your years in retirement should be among the best years of your life, so you owe it to yourself to do everything possible now, without crippling your current standard of living, to enable you to enjoy them to the fullest.”
Chilton advises using IRAs, CDs, and 401k as vehicles in the financial planning for a wealthy retirement.
I finished Suze Orman’s The Courage To Be Rich last night. I found it rather enlightening. There are 6 parts and 22 chapters. She covers courage, value, love and money, buying a home, retirement, and courage to use your money to connect to the world. She presents her own tales and stories told by clients or other people she’s dealt with and uses these experiences to share financial wisdom. If you’re afraid of money because of the math, she’s provides guidance without throwing a barrage of formulas at you. She’s realistic, informed, and friendly. The book extensively covers some serious issues including money and divorce, money and retirement, and money and financial ignorance. She explains the value of getting second opinions. She shows how some kind of active interest in creating wealth will benefit everyone. If you’ve never read any of her books, the first part is probably the best part. It helps you overcome your fear and procrastination related to money. The 5th part helps you plan for retirement and has a really good chapter on IRAs. I think the book would be good for beginner investors and those readers just about to jump out of the debt hole. The part on money and love is good for newlyweds and people considering divorce. It’s not for people looking to start their own business. It’s not for those looking for trading secrets. I’ve read other books that give more detail on becoming debt free, so this wouldn’t be my first choice for readers seeking that advice. My wife now plans to read it, and I’ll ask her to do a review of it after she’s read it too.