10 Reasons You (Think You) Don't Need a Will
.10 Reasons You (Think You) Don't Need a Will
Allison Kade Feb 28, 2019
Money can be fun: buying stuff, being generous with our friends, planning for our glorious future.
And, sure, it can sometimes be a little less fun: paying down debt, balancing our budget, planning for the unexpected.
So, understandably, a lot of people focus on the fun stuff and put off the rest. We’ve spoken to too many people who haven’t created a last will and testament. Here are the top reasons people convince themselves they don’t need a will . . . and what you should really know.
1. What If I’m Immortal?
A last will and testament describes your wishes if you were to pass away. It can cover your property, and even name whom you’d like to take care of your kids if you were no longer around. Even if you're young now, you could still benefit; millennials need wills, too.
10 Reasons You (Think You) Don't Need a Will
Allison Kade Feb 28, 2019
Money can be fun: buying stuff, being generous with our friends, planning for our glorious future.
And, sure, it can sometimes be a little less fun: paying down debt, balancing our budget, planning for the unexpected.
So, understandably, a lot of people focus on the fun stuff and put off the rest. We’ve spoken to too many people who haven’t created a last will and testament. Here are the top reasons people convince themselves they don’t need a will . . . and what you should really know.
1. What If I’m Immortal?
A last will and testament describes your wishes if you were to pass away. It can cover your property, and even name whom you’d like to take care of your kids if you were no longer around. Even if you're young now, you could still benefit; millennials need wills, too.
But hey, if you’re immortal, then you’re right. You probably don’t need a will, if you’ll live forever. And because you’ll outlive your kids (unless they’re immortal, too!), you don’t need to worry about who to appoint as their legal guardian.
2. What if I Don’t Have a Lot of Time?
The median time for Fabric customers to fill out a will is seven minutes, and 75 percent finished within 10 minutes. After that, Fabric sends instructions on how to make the will legally binding. That, too, is something you can do in minutes. For the most part, this involves printing out your document, signing it and getting two people to witness it. The whole thing can be as simple as printing it at work and getting two coworkers to watch you sign.
3. Don’t I Need a Lawyer?
Lawyers are great. In fact, we recommend speaking to one if you have any specific questions about your personal situation. Sure enough, there are many cases when it makes sense to consult an attorney—especially if you’re planning to pass down a lot of assets, or if you have a complicated estate!
To continue reading, please go to the original article here:
https://meetfabric.com/blog/10-reasons-you-do-not-need-a-will
How To Avoid Costly Estate - Planning Minefields
.How To Avoid Costly Estate-Planning Minefields
6 Costly Estate-Planning Minefields, And How To Avoid Them
Over the years many celebrities have provided cautionary estate-planning lessons, and actor James Gandolfini, who died in June 2013 at age 51, is no exception. The actor, known for portraying mob boss Tony Soprano, left a portion of his estate, widely estimated at $70 million, to relatives and friends through his will, which became public and was criticized as being badly constructed. For one thing, it exposed some of his wealth to probate, the time-consuming and potentially costly process a legal court takes to administer financial affairs. In addition, his estate could owe millions of dollars in federal estate tax alone.
At least Gandolfini had an estate plan; fewer and fewer Americans do. In 1998, 61 percent of Americans 55 and older had a will or trust. In 2012, only about 54 percent did, says a study by Texas Tech University. Failing to take action or making the wrong moves can be costly for you and your heirs. Here are six blunders experts told us they see most often, and what to do instead:
How To Avoid Costly Estate-Planning Minefields
6 Costly Estate-Planning Minefields, And How To Avoid Them
Over the years many celebrities have provided cautionary estate-planning lessons, and actor James Gandolfini, who died in June 2013 at age 51, is no exception. The actor, known for portraying mob boss Tony Soprano, left a portion of his estate, widely estimated at $70 million, to relatives and friends through his will, which became public and was criticized as being badly constructed. For one thing, it exposed some of his wealth to probate, the time-consuming and potentially costly process a legal court takes to administer financial affairs. In addition, his estate could owe millions of dollars in federal estate tax alone.
At least Gandolfini had an estate plan; fewer and fewer Americans do. In 1998, 61 percent of Americans 55 and older had a will or trust. In 2012, only about 54 percent did, says a study by Texas Tech University. Failing to take action or making the wrong moves can be costly for you and your heirs. Here are six blunders experts told us they see most often, and what to do instead:
Minefield No. 1: You Think You’re Too Young For A Will Or Don’t Have Enough Assets To Protect
A good estate plan can save your heirs some money; it also protects you and your family while you are alive. If you don’t have a plan and you become incapacitated, someone will have to go to court to be named your guardian so that he can make medical and financial decisions for you. The process not only is unpleasant but also could easily cost $10,000 or more, says Martin Shenkman, a New York City attorney and certified public accountant. If other family members object, the process could drag out, which will cost more and could leave your bills unpaid or delay needed medical treatments.
If you die without a plan, you’ll also have no control over who becomes the guardian of your minor children or who gets your assets. “A lot of people assume that if they do nothing, everything goes to a surviving spouse,” says Deborah Cohn, an estate-planning attorney in Bethesda, Md. Instead, your property will pass to your survivors based on your state’s laws of intestacy. (You can find links to your state’s rules here.)
And if you have neglected to name beneficiaries on accounts that need them, such as retirement, life insurance, and brokerage accounts, the companies that manage those products have a default rule in their contracts’ fine print that spells out how your assets will be distributed. “It might say it goes to your surviving spouse, but it might also say it goes into your probate estate,” Cohn says. “Then your state’s intestacy law make those decisions for you, and money will be depleted to pay for probate.”
Steer clear. Get a basic estate plan in place. You’ll need a will, which states who you want to inherit any property that does not have a designated beneficiary, and name a guardian to care for young children.
To continue reading, please go to the original article here:
http://finance.yahoo.com/news/6-costly-estate-plannning-minefields-204500869.html
How To Avoid The Riches-to-Rags Debacle
.Money Lessons From Boris Becker – How To Avoid The Riches-to-Rags Debacle
June 27, 2019 By Aditya
Whether you like the sport of tennis or not, you are probably familiar with the face of a former world champion Boris Becker. A flamboyant career winning 49 singles titles and 15 doubles titles paved the way for his $29 million net worth in the year 2017.
So, how do you go from a multi-million dollar net worth to bankruptcy where you are forced to auction all your trophies and awards to pay off one’s debts ?
The answer is simple — Bad Financial Planning.
While Becker didn’t turn bankrupt overnight, his riches-to-rags story is a much needed wake up call to reevaluate our finances and strategically plan for the long term. Before you lay flat on the turf, helplessly declaring your bankruptcy, let’s understand how you can avoid this massive debacle.
Money Lessons From Boris Becker – How To Avoid The Riches-to-Rags Debacle
June 27, 2019 By Aditya
Whether you like the sport of tennis or not, you are probably familiar with the face of a former world champion Boris Becker. A flamboyant career winning 49 singles titles and 15 doubles titles paved the way for his $29 million net worth in the year 2017.
So, how do you go from a multi-million dollar net worth to bankruptcy where you are forced to auction all your trophies and awards to pay off one’s debts ?
The answer is simple — Bad Financial Planning.
While Becker didn’t turn bankrupt overnight, his riches-to-rags story is a much needed wake up call to reevaluate our finances and strategically plan for the long term. Before you lay flat on the turf, helplessly declaring your bankruptcy, let’s understand how you can avoid this massive debacle.
1. Curb Your Borrowing
50X bonus points if you sign up for our latest credit card !
A brand new SUV at only $200/month !
Personal loans at the lowest interest rates ! No Questions Asked !
Of course there will be no questions asked, because the more you borrow, the more interest you pay. In my post Plastic Money – when debt comes disguised as wealth, I have elaborated on the calculation of interest payments on the amount borrowed and how it can lead to a huge pile of debt.
Just because you can borrow money instantly through some online portal, does not mean you can use the money to travel to the most exotic destination this summer. Live within your means and only a maximum 40% of your monthly income must be allotted to paying EMI’s towards your loans. Therefore, if your monthly income is $3000, your EMI payments should be no more than $1200.
2. Do You Know Your Savings Rate ?
If your savings rate is below 25% off your monthly income, you need to start budgeting right away and cut down on unnecessary expenses. Avoid impulse purchases the moment you receive your paycheck and plan your finances for the long term.
To continue reading, please go to the original article here:
https://seekingmyutopia.com/2019/06/27/money-lessons-from-boris-becker/
How To Avoid The Riches-to-Rags Debacle
.Money Lessons From Boris Becker – How To Avoid The Riches-to-Rags Debacle
June 27, 2019 By Aditya
Whether you like the sport of tennis or not, you are probably familiar with the face of a former world champion Boris Becker. A flamboyant career winning 49 singles titles and 15 doubles titles paved the way for his $29 million net worth in the year 2017.
So, how do you go from a multi-million dollar net worth to bankruptcy where you are forced to auction all your trophies and awards to pay off one’s debts ?
The answer is simple — Bad Financial Planning.
While Becker didn’t turn bankrupt overnight, his riches-to-rags story is a much needed wake up call to reevaluate our finances and strategically plan for the long term. Before you lay flat on the turf, helplessly declaring your bankruptcy, let’s understand how you can avoid this massive debacle.
Money Lessons From Boris Becker – How To Avoid The Riches-to-Rags Debacle
June 27, 2019 By Aditya
Whether you like the sport of tennis or not, you are probably familiar with the face of a former world champion Boris Becker. A flamboyant career winning 49 singles titles and 15 doubles titles paved the way for his $29 million net worth in the year 2017.
So, how do you go from a multi-million dollar net worth to bankruptcy where you are forced to auction all your trophies and awards to pay off one’s debts ?
The answer is simple — Bad Financial Planning.
While Becker didn’t turn bankrupt overnight, his riches-to-rags story is a much needed wake up call to reevaluate our finances and strategically plan for the long term. Before you lay flat on the turf, helplessly declaring your bankruptcy, let’s understand how you can avoid this massive debacle.
1. Curb Your Borrowing
50X bonus points if you sign up for our latest credit card !
A brand new SUV at only $200/month !
Personal loans at the lowest interest rates ! No Questions Asked !
Of course there will be no questions asked, because the more you borrow, the more interest you pay. In my post Plastic Money – when debt comes disguised as wealth, I have elaborated on the calculation of interest payments on the amount borrowed and how it can lead to a huge pile of debt.
Just because you can borrow money instantly through some online portal, does not mean you can use the money to travel to the most exotic destination this summer. Live within your means and only a maximum 40% of your monthly income must be allotted to paying EMI’s towards your loans. Therefore, if your monthly income is $3000, your EMI payments should be no more than $1200.
2. Do You Know Your Savings Rate ?
If your savings rate is below 25% off your monthly income, you need to start budgeting right away and cut down on unnecessary expenses. Avoid impulse purchases the moment you receive your paycheck and plan your finances for the long term. Accounting for the following future expenses in your budgeting strategy will help you better understand attributing your savings to short term and long term goals.
Short Term Saving Goal examples : New car - House repairs - Expensive gifts for an upcoming wedding
Long Term Saving Goals examples : Child’s education - Retirement planning - Health care costs
Once you are able to visualize the amount you need in order to fund each of the above needs, the likelihood of saving more today will drastically increase.
To continue reading, please go to the original article here:
https://seekingmyutopia.com/2019/06/27/money-lessons-from-boris-becker/
How To Create A Renters Insurance Home Inventory
.How To Create A Renters Insurance Home Inventory
Logan Sachon Published April 26, 2018
The first step of shopping for a renters insurance policy is finding out how much stuff you own and what that stuff is worth — and that means doing a home inventory.
Buying renters insurance is pretty straightforward: pick your coverage, buy your policy, and your stuff is protected from most cases of theft, loss, or damage.
There’s only one part of the buying process that requires any work on your part, and that’s the home inventory, the list of everything you own, along with photos, values, and receipts or appraisals if you have them, that you’ll use to buy renters insurance and make a claim if you need to.
But don’t fear! Making a home inventory doesn’t have to be a whole thing — you can even use an app to make it even more simple.
How To Create A Renters Insurance Home Inventory
Logan Sachon Published April 26, 2018
The first step of shopping for a renters insurance policy is finding out how much stuff you own and what that stuff is worth — and that means doing a home inventory.
Buying renters insurance is pretty straightforward: pick your coverage, buy your policy, and your stuff is protected from most cases of theft, loss, or damage.
There’s only one part of the buying process that requires any work on your part, and that’s the home inventory, the list of everything you own, along with photos, values, and receipts or appraisals if you have them, that you’ll use to buy renters insurance and make a claim if you need to.
But don’t fear! Making a home inventory doesn’t have to be a whole thing — you can even use an app to make it even more simple.
Why you need a home inventory
The home inventory is crucial during two steps in the renters insurance process: before you buy, and if you ever need to make a claim.
A home inventory isn’t a complicated thing, but it is important. Considering how easy it is to create one – and how much easier it can make filing a renters insurance claim – there’s no reason not to have one. And with the ability to make and edit your inventory on the go with your mobile device, that’s one fewer excuse you have for delaying.
How a home inventory helps you buy renters insurance
When shopping for renters insurance, you’ll get quotes based in part on the amount of personal property coverage, so you need to know that number. Most people underestimate the cost of their stuff, which is why the home inventory is so important. It helps you figure out exactly what you have and exactly how much it costs. The last thing you want is to buy $10,000 of coverage only to find out you had $20,000 worth of stuff.
Most renters insurance policies also have additional coverage limits on certain property categories. For instance, if you have a policy that covers $20,000 in personal property, there may be a limit that only $2,000 of that can be electronics, or only $1,500 can be jewelry. You need to know what your stuff is worth so you know if you need to buy extra coverage (you can purchase something called a rider or floater to up your coverage amounts on certain categories of property).
How a home inventory helps you make a renters insurance claim
To continue reading, please go to the original article here:
https://www.policygenius.com/renters-insurance/how-to-create-a-renters-insurance-home-inventory/
How to Create a Home Inventory (And Why You Should)
.How to Create a Home Inventory (And Why You Should)
Being a homeowner can be extremely rewarding, but keeping your home secure is a huge responsibility. If you’ve ever watched the news and seen someone in the tragic position of losing their home or valuable possessions, you may wonder how you can protect yourself in the event of an unforeseen adverse event.
By being proactive and taking certain actions now, you can help ensure that your home and belongings are protected, no matter what.
What Is a Home Inventory?
Essentially, a home inventory is a living catalog of the valuable items and possessions within your home. Farmers Insurance recommends including every valuable you own; this could be anything from heirloom jewelry to your art collection to expensive items of furniture.
How to Create a Home Inventory (And Why You Should)
Being a homeowner can be extremely rewarding, but keeping your home secure is a huge responsibility. If you’ve ever watched the news and seen someone in the tragic position of losing their home or valuable possessions, you may wonder how you can protect yourself in the event of an unforeseen adverse event.
By being proactive and taking certain actions now, you can help ensure that your home and belongings are protected, no matter what.
What Is a Home Inventory?
Essentially, a home inventory is a living catalog of the valuable items and possessions within your home. Farmers Insurance recommends including every valuable you own; this could be anything from heirloom jewelry to your art collection to expensive items of furniture.
Detailed home inventories include descriptions, pictures, serial numbers, purchase dates, estimated purchase prices, and appraisal values. Additionally, you should update your home inventory list regularly in order to re-evaluate both new and old items. In the event of an accident or property loss claim, having an updated home inventory will help you accurately report any losses and reduce the inevitable stress of trying to remember minute details.
Why Do You Need a Home Inventory?
Attempting to recall from memory what you’ve lost after unexpected events like fires, burglaries, or natural disasters can be emotionally exhausting and feel nearly impossible. During such a difficult time, it can be even harder to sort through the fog and keep track of what you need to report for insurance purposes.
If you only have general descriptions of items lost, it’s likely that your insurance company may reimburse you for the cheapest possible option. If your possessions are worth more than the lowest market value, a home inventory can help ensure that you receive what your items are really worth.
Make It Simple
Creating a home inventory may seem overwhelming at first since there are so many items to include. Because it’s important to work on every floor of the house, including basements and attics, creating the entire inventory can be a time-consuming process. To save yourself both time and hassle, look for shortcuts to make the process more efficient. These can include:
Worksheets provided by your insurance company.
To continue reading, please go to the original article here:
http://www.westernsafesandiego.com/blog/create-home-inventory/
Do's and Don'ts When You Increase Your Income
.Do's & Don'ts When You Increase Your Income
7/11/2019 Team Member Blog, Consumerism to Frugalism
2 Things You Should Do (and 1 You Shouldn’t) When You Increase Your Income
Most of you would like to increase your income.
Whether you’re looking to make a career move, change companies, start a business, or simply move up in your current situation, making more money is likely one of the major factors in your job decisions.
Here at Money Saved is Money Earned, we know money isn’t everything and you shouldn’t live just for money. However, we also know that money plays a major factor in your ability to live the way you want.
While we should live within our means, most people would make very different choices if money wasn’t an option. Having said that, money should never be the end goal.
Do's & Don'ts When You Increase Your Income
7/11/2019 Team Member Blog, Consumerism to Frugalism
2 Things You Should Do (and 1 You Shouldn’t) When You Increase Your Income
Most of you would like to increase your income.
Whether you’re looking to make a career move, change companies, start a business, or simply move up in your current situation, making more money is likely one of the major factors in your job decisions.
Here at Money Saved is Money Earned, we know money isn’t everything and you shouldn’t live just for money. However, we also know that money plays a major factor in your ability to live the way you want.
While we should live within our means, most people would make very different choices if money wasn’t an option. Having said that, money should never be the end goal.
What’s really at the heart of the drive for more money is the desire for more freedom and power: over our life and the choices we make about it, as well as our ability to influence the world in the ways we care most about.
Money is nothing more than the means to an end.
Unfortunately, most of us will not win the big lottery, start a billion dollar company, or inherit millions. This means that while our incomes may increase over time that increase will likely be gradual, and may come in the form of step or merit-based raises, bonuses, or commissions.
However, most people find themselves spending money as fast as they make it, gradual increase or not.
With these points in mind, what SHOULD you do if you find your income increasing?
Luckily, we’re here to help.
Here are 2 things you should do when you increase your income and 1 you shouldn’t.
Things You SHOULD Do :
1. Pay off Debt
To continue reading, please go to the original article here:
Organize Important Papers in Case of Emergency
.Organize Important Papers in Case of Emergency
Help others find key documents and records if you are incapacitated
Based on content from the NIH/National Institute on Aging AgePage "Getting Your Affairs In Order."
No one ever plans to be sick or disabled.
Yet, planning ahead can make all the difference if you take an unexpected trip to the hospital or suffer a health problem making it hard to remember where you put everything.
Good planning and organization is a gift to those who will help you manage your health and financial affairs if needed.
Organize Important Papers in Case of Emergency
Help others find key documents and records if you are incapacitated
Based on content from the NIH/National Institute on Aging AgePage "Getting Your Affairs In Order."
No one ever plans to be sick or disabled.
Yet, planning ahead can make all the difference if you take an unexpected trip to the hospital or suffer a health problem making it hard to remember where you put everything.
Good planning and organization is a gift to those who will help you manage your health and financial affairs if needed.
Steps for Getting Your Affairs in Order
Put your important papers and copies of legal documents in one place. You could set up a file, put everything in a desk or dresser drawer, or just list the information and location of papers in a notebook. If your papers are in a bank safe deposit box, keep copies in a file at home. Check each year to see if there's anything new to add.
Tell a trusted family member or friend where you put all your important papers. You don't need to tell this friend or family member about your personal affairs, but someone should know where you keep your papers in case of emergency. If you don't have a relative or friend you trust, ask a lawyer to help.
Give consent in advance for your doctor or lawyer to talk with your caregiver as needed. There may be questions about your care, a bill, or a health insurance claim. Without your consent, your caregiver may not be able to get needed information. You can give your okay in advance to Medicare, a credit card company, your bank, or your doctor. You may need to sign and return a form.
Which Legal Documents Are Needed?
There are many different types of legal documents that can help you plan how your affairs will be handled in the future. Many of these documents have names that sound alike, so make sure you are getting the documents you want. Also, state laws do vary, so find out about the rules, requirements, and forms used in your State.
Wills and trusts let you name the person you want your money and property to go to after you die.
Advance directives let you make arrangements for your care if you become sick. There are two ways to do this:
To continue reading, please go to the original article here:
https://www.nextavenue.org/organize-important-papers-case-emergency/
What You Should Keep in a Fireproof Safe – And What You Shouldn’t
.What You Should Keep in a Fireproof Safe – And What You Shouldn’t
If you’ve read up on fire safety, you’ve likely taken precautions to keep your family safe and prepared — you’ve equipped your home with a smoke detector on every floor, established an emergency escape plan with your family, and invested time in teaching your children to call 911 in case of a fire emergency. You’ve taken the steps to protect your family — but have you fully protected your most valuable possessions?
In an instant, a household fire can destroy treasured items, documents, and a lifetime of memories. You can protect your valuable possessions by storing them appropriately. Today, many people opt for a fireproof safe, rather than paying to keep their belongings in a safety deposit box at the local bank.
What You Should Keep in a Fireproof Safe – And What You Shouldn’t
If you’ve read up on fire safety, you’ve likely taken precautions to keep your family safe and prepared — you’ve equipped your home with a smoke detector on every floor, established an emergency escape plan with your family, and invested time in teaching your children to call 911 in case of a fire emergency. You’ve taken the steps to protect your family — but have you fully protected your most valuable possessions?
In an instant, a household fire can destroy treasured items, documents, and a lifetime of memories. You can protect your valuable possessions by storing them appropriately. Today, many people opt for a fireproof safe, rather than paying to keep their belongings in a safety deposit box at the local bank.
The benefit to having a fireproof safe at home is that you can access original copies of crucial documents (like insurance papers and passports) immediately — not just during the bank’s business hours.
Additionally, valuables and cash stored in a safety deposit box aren’t always covered through FDIC insurance, while homeowners and renter’s insurance may cover items kept in a safe at home.
If you have — or are considering buying — your own fireproof safe, it’s worth noting that these safes are best used for specific purposes. It’s important to learn which items should be kept in a fireproof safe for ultimate security; and which are best kept elsewhere.
What to Keep in Your Fireproof Safe
Standard fireproof safes protect your valuables against intense heat and smoke damage, for periods of up to 120 minutes. The best type of fireproof safe for you depends on the items you wish to store.
When deciding which fireproof safe to get, keep these points in mind:
Paper, passports, certificates, and documents require a safe capable of withstanding 350 degrees F or more.
Digital media — such as memory sticks, USBS, CDs and DVDs — require a safe that can withstand 238 degrees F or more.
Data such as computer backups, internal hard drives, and tapes are the most vulnerable; these require a safe that may withstand temperatures of 150 degrees F or more.
If you’ll be storing a combination of items from all three categories listed above, opt for a more resistant safe to encompass all of the requirements. Here are the most recommended items to store in a fireproof safe:
To continue reading, please go to the original article here:
http://www.westernsafesandiego.com/blog/keep-fireproof-safe-shouldnt/
Where Should You Keep Your Emergency Fund?
.Where Should You Keep Your Emergency Fund?
By AJ Smith
We have all heard and (hopefully) heeded the advice to keep between three and six months' worth of expenses aside as an emergency fund. Even if you feel like you have a handle on budgeting for your day-to-day expenses, what happens when the unpredictable hits with the potential to set your finances back?
This stash is not meant for buying a home or going on a trip, it is for real emergencies. It's a good idea to make growing an emergency fund a priority and where we keep this money can make a big difference.
It's important for the money to be accessible, but it can also be earning interest while waiting to be tapped. If you are building up your emergency fund and looking for a better place to keep it than under the mattress, check out these options of places to park your emergency fund.
Where Should You Keep Your Emergency Fund?
By AJ Smith
We have all heard and (hopefully) heeded the advice to keep between three and six months' worth of expenses aside as an emergency fund. Even if you feel like you have a handle on budgeting for your day-to-day expenses, what happens when the unpredictable hits with the potential to set your finances back?
This stash is not meant for buying a home or going on a trip, it is for real emergencies. It's a good idea to make growing an emergency fund a priority and where we keep this money can make a big difference.
It's important for the money to be accessible, but it can also be earning interest while waiting to be tapped. If you are building up your emergency fund and looking for a better place to keep it than under the mattress, check out these options of places to park your emergency fund.
Online Savings Account
Traditional savings accounts can be great for those of us who like to play it safe, but interest rates will not do much for you. Online banks do tend to offer slightly higher rates and lower fees so you could see a little more growth.
Furthermore, it's important to keep your emergency savings fund away from your normal checking account so you have some separation between your spending cash, cash for other savings goals and your emergency cash.
Money Market Account
This is a common place for emergency funds for those looking to get better interest rates. They are similar to regular savings accounts in terms of FDIC insurance and limits on the number of withdrawals you can make each month, but typically require a higher minimum deposit and they sometimes carry higher fees. It's a good idea to read the fine print before choosing which account to keep your emergency fund in.
To continue reading, please go to the original article here:
http://finance.yahoo.com/news/where-keep-emergency-fund-113007957.html
The Real-Life Secrets of Millionaires
.The Real-Life Secrets of Millionaires
By Kimberly Palmer
Several years ago, New York Times Wealth Matters columnist Paul Sullivan opened up his finances to a group of high-powered, high-net worth investors known as Tiger 21. Members gather regularly to discuss investing strategies and at one meeting, Sullivan asked them to critique his own -- relatively meager by their standards -- financial life.
"Given what I do, I thought [my wife and I] had a handle on it, but what I learned from that meeting is that we hadn't thought enough about the risks in life," Sullivan says. Those risks include declining incomes and the unexpected death or disability of a household wage earner.
As a result of that meeting, Sullivan and his wife took out life and disability insurance policies and sold off a condo in Florida that had been a vacation home for the family.
The Real-Life Secrets of Millionaires
By Kimberly Palmer
Several years ago, New York Times Wealth Matters columnist Paul Sullivan opened up his finances to a group of high-powered, high-net worth investors known as Tiger 21. Members gather regularly to discuss investing strategies and at one meeting, Sullivan asked them to critique his own -- relatively meager by their standards -- financial life.
"Given what I do, I thought [my wife and I] had a handle on it, but what I learned from that meeting is that we hadn't thought enough about the risks in life," Sullivan says. Those risks include declining incomes and the unexpected death or disability of a household wage earner.
As a result of that meeting, Sullivan and his wife took out life and disability insurance policies and sold off a condo in Florida that had been a vacation home for the family.
"They were so direct and harsh about that being a possible drain, if we weren't able to sell it if something bad happened. That was a wake-up call," Sullivan says.
The lessons he absorbed from that wealthy, exclusive group of over 300 members across the U.S. and Canada led Sullivan to write his new book, "The Thin Green Line: The Money Secrets of the Super Wealthy." The title refers to the security that can come from knowing you're prepared for a negative event, like a layoff, no matter how much money you have or earn.
"The people in the book who I call wealthy, whether they're a teacher or a hedge fund manager, are wealthy because they have security. They have behaviors around money that let them be in control of their lives when something bad happens," he says.
Those behaviors, Sullivan says, can be learned or even adopted later in life. As someone who grew up without much money, he says it took him a long time to have a healthy relationship with it.
He would avoid credit card debt and overspending so assiduously that he often wore threadbare clothing and skipped even affordable purchases he would have enjoyed. "You should be able to spend money on things you enjoy. If you love $4 Starbucks lattes, then buy it," he says.
If you're looking to adopt some secrets of the wealthy, Sullivan suggests the following strategies:
To continue reading, please go to the original article here:
http://finance.yahoo.com/news/real-life-secrets-millionaires-130000578.html