DINARRECAPS8 9/26/23 DINARRECAPS8 9/26/23

8 Things You Must Do Every Time You Save $500

Jordan Rosenfeld Mon, September 25, 2023

It feels good to save money, to see those numbers climbing higher and higher in your savings account without necessarily being earmarked for anything in particular.

But money sitting in a savings account is not the best way to build wealth or contribute to a healthy financial future. Instead, experts recommend the following 8 things to do each time you save an additional $500.

Jordan Rosenfeld Mon, September 25, 2023

It feels good to save money, to see those numbers climbing higher and higher in your savings account without necessarily being earmarked for anything in particular.

Adopt a Pay/Invest/Borrow Strategy

Noah Gomez, a financial consultant and founder at Thick Credit, recommended a pay/invest/borrow strategy.

“With $500 in savings, you can make an additional payment on outstanding debt (if any), invest a portion in stocks or your retirement fund, and place the remaining portion in a certificate of deposit (CD) that you can use as collateral to quickly take out a low-rate emergency loan.”

Put the First $500 Toward an Emergency Fund

“If it’s the first $500 you’ve ever saved, you should put it into a checking or savings account and keep doing that until you’ve saved enough for an emergency fund of 6 months living expenses,” according to Joe Pelusi, a financial advisor with Green Investment Strategies.

“Aspiration has some good savings accounts where your money earns a relatively high rate of interest (up to 3% in their savings account) and isn’t loaned out to fossil fuel companies causing the climate crisis.”

Open a High-Interest Savings Account

https://finance.yahoo.com/news/8-things-must-every-time-210009831.html

DINARRECAPS8 9/25/23 DINARRECAPS8 9/25/23

Why Real Assets Are a Safe Haven Against Inflation

Notes From The Field By Simon Black September 25, 2023

The first time I ever visited Zimbabwe in late 2010, the country was barely one year removed from the end of its legendary hyperinflation.

Hyperinflation in Zimbabwe had become so extreme-- roughly 90 billion trillion percent (that’s not a misprint) -- that the government finally capitulated in 2009 and simply abandoned the currency altogether. And when I first landed in the capital of Harare, the infamous Zimbabwe dollar had become so worthless that many people were using it for wallpaper.

Why Real Assets Are a Safe Haven Against Inflation

Notes From The Field By Simon Black September 25, 2023

The first time I ever visited Zimbabwe in late 2010, the country was barely one year removed from the end of its legendary hyperinflation.

Zimbabwe had once been a vibrant, highly productive economy based on valuable mineral and agricultural exports. Even by the early 2000s, after two decades of independence under Robert Mugabe, inflation was still ‘only’ around 20%.

But inflation began to spiral out of control.

There was no end to Mugabe’s bad policy ideas, ranging from price fixing to land reform. And after confiscating assets from citizens in the late 90s and early 2000s, Zimbabwe’s economy contracted viciously.

If that weren’t enough, Mugabe also ballooned government spending. He borrowed heavily and increased Zimbabwe’s national debt. So naturally, the central bank began printing vast quantities of money.

We all know what happened next; Zimbabwe’s economy was in the dumps, so fewer goods and services were being produced. Yet the central bank created substantially more paper money. So inflation soared.

By 2003 it reached nearly 600%. By 2006, over 1,000%. And yes, by November 2008, 90 billion trillion percent.

Most of us from developed countries can’t imagine the living conditions of a collapsed economy. And the locals I met in Harare told me incredible stories of food shortages and endless lines at banks, grocery stores, and pharmacies.

If you were lucky enough to be inside of a store where there was actually food on the shelves, workers were constantly putting new price tags on products. And while you were shopping, a voice would come over the loudspeaker and announce the new price of soup, bananas, and rice.

Everything was a constant rush. You had to race through the aisles to grab whatever you could, and check out before the prices went up.

It was the same at restaurants; several times during a meal, a waiter would come out and inform you about the new price of the beer you were drinking.

I remember one person told me that he used to buy two loaves of bread every morning on his way to work. He would eat one of the loaves during the day, and then sell the second loaf in the evening at a significantly higher price.

He realized that bread, bizarrely enough, held its value-- at least for the day. It was also a highly ‘liquid’ asset; he would always able to quickly find a buyer and sell his extra loaf at market value.

It’s not hard to understand why: bread has a real use in that it provides critical nourishment. And in a time of economic chaos and shortages, this is far more valuable than rapidly deteriorating paper currency.

The same logic applies to “real assets”, i.e. they hold their value during inflationary times because they provide something vital. And this is a key point to understand.

Think about consumer behavior: during economic boom periods, inflation is low. Unemployment is low. Interest rates are low. People have confidence and optimism about the future, so we tend to borrow more and spend more freely.

And the best performing assets during these boom periods mirror that sentiment.

Just think about the economic boom period from, say, 2016 through 2021. Unemployment, inflation, and interest rates were all at historic lows. Consumer spending soared.

And the most valuable companies in the world were the so-called “FAANG” stocks:

- Facebook, which just enables people to waste time swiping and scrolling

- Apple, which makes the devices for people to swipe and scroll

- Amazon, which makes it easy to shop and spend money

- Netflix, which is basically just an entertainment business

- Google, whose YouTube division is another entertainment business

In other words, the world’s most valuable companies were all consumer-oriented… and even more specifically, oriented towards shopping, recreation, and entertainment.

Over the same period, companies who produced some of the world’s most essential products were ignored.

Facebook stock soared nearly 500% between 2014 and 2019. Yet shares of Exxon Mobil lost about 10%. Netflix stock exploded more than 1,000%, while an ETF of gold miners lost 21%.

But today’s harder economic times are forcing changes in people’s focus and behavior. It’s only natural.

Most people have started paying a lot more attention to their expenditures. Spending $2,000 on a new iPhone suddenly doesn’t seem like such a great idea when oil is approaching $100/barrel.

And this is what leads me back to real assets. But first let’s define what that actually means--

“Real Assets” are defined in a variety of different ways. Sometimes people define real assets by citing specific asset classes, i.e. commodities and real estate. ChatGPT tells me that a real asset “is a tangible physical asset that has intrinsic value due to its substance and properties.”

I think these definitions miss the point. To me, a real asset is something that provides a critical need, like food, energy, economic productivity, or a store of value.

This could be a tangible, physical asset, like a barrel of oil or bushel of corn. But not necessarily.

Productive technology that makes the world better, faster, cheaper, etc. is considered intangible intellectual property. But it provides a critical need, which makes it a real asset.

Conversely, Mark Zuckerberg’s new “Threads” app is also technology. But given that it makes the world less productive, it is not a real asset. It’s just another recreation asset.

Similarly, 500 acres of prized, high-quality farmland provides critical value. But a Class C office building in a declining tier-3 city does not.

Viewed through this lens of “critical need”, it’s a lot easier to understand what is/isn’t a real asset… and why they can hold their value during inflationary times: it’s all about shifting priorities.

Real assets (including real asset businesses) have been largely ignored for more than a decade, in favor of ‘recreation assets’ focused on shopping and consumption.

Consider that, in 2019, a ripe banana that was duct-taped to the wall sold for $120,000 at an art exhibition. Critical need? Hardly.

Meanwhile, that same year, the high priests of climate change (like Blackrock’s Larry Fink) were working diligently to cut-off funding for vital industries like oil, coal, and natural gas.

And this bizarre mismatch of priorities continued for years, through at least the first half of 2022.

But priorities are finally starting to shift. And this means that the ‘real assets’ which are critical to solving the world’s challenges will become much more important than ‘recreation assets’. And that’s what makes them such a great hedge against inflation.

To your freedom, Simon Black, Founder Sovereign Man

https://www.sovereignman.com/investing/why-real-assets-are-a-safe-haven-against-inflation-148196/

DINARRECAPS8 9/24/23 DINARRECAPS8 9/24/23

3 Ways To Avoid Being Exploited As You Get Older

‘They left us with nothing’: This elderly couple was evicted from their home of 20 years — after their son transferred ownership. 3 ways to avoid being exploited as you get older

Serah Louis Sun, September 24, 2023

An elderly California couple was devastated when they were served an eviction notice in April for the home they’d been making regular payments on for two decades.

Ismael and Angelita Ramirez purchased their home back in 2003 with their son, who told them they didn’t need to include their name on the title.

3 Ways To Avoid Being Exploited As You Get Older

‘They left us with nothing’: This elderly couple was evicted from their home of 20 years — after their son transferred ownership. 3 ways to avoid being exploited as you get older

Serah Louis Sun, September 24, 2023

An elderly California couple was devastated when they were served an eviction notice in April for the home they’d been making regular payments on for two decades.

Ismael and Angelita Ramirez purchased their home back in 2003 with their son, who told them they didn’t need to include their name on the title.

"He told us they told him it wasn't necessary. And well, since we don't know English, that's where they lied to us," Ishmael told FOX26 News.

The eviction notice reportedly stated that the owner of the home was selling the property and the couple said they later learned their son had transferred the home to a woman who sent them the notice. Although the couple tried to get legal help, there wasn’t much the lawyer could do since the house wasn’t in their name.

“We thought, why did our boy do that to us if he knew the house was ours?" Ishmael said.

Elder financial abuse impacts millions of Americans

The Ramirezes were victims of elder abuse — which is far more common than you’d think.

In fact, the National Council on Aging reports up to five million older Americans are affected each year, while victims of financial abuse are estimated to lose at least $36.5 billion a year.

And in almost 60% of cases, the perpetrator is a family member — often the adult child or spouse of the victim.

The Ramirezes told FOX26 they’ve since been displaced and their Social Security income isn’t enough to buy a new home or even afford rent.

"They left us with nothing," Ismael said.

Their other son, Ismael Jr., created a GoFundMe fundraiser, which has already received more than 1,600 donations to help the couple.

Here are five ways to avoid being exploited as you get older, or to protect your aging parents from predators.

1. Appoint a power of attorney

To continue reading, please go to the original article here:

https://finance.yahoo.com/news/left-us-nothing-elderly-couple-100000273.html

DINARRECAPS8 9/23/23 DINARRECAPS8 9/23/23

9 Middle-Class Money Traps That Keep You From Being Wealthy

Angela Mae Thu, September 21, 2023

According to the Pew Research Center, approximately half of all American households are considered to be part of the middle class. This equates to roughly 165 million people.

Typically, people in the middle class have some kind of college education, some disposable income, and may even be planning for retirement. But that doesn’t mean they’re financially stable.

In fact, middle class households usually have some kind of debt — like a mortgage, auto loan or credit cards — that they need to pay off. Along with this, these individuals are also still subject to many common financial pitfalls, or money traps, that keep them from achieving true wealth.

9 Middle-Class Money Traps That Keep You From Being Wealthy

Angela Mae Thu, September 21, 2023

According to the Pew Research Center, approximately half of all American households are considered to be part of the middle class. This equates to roughly 165 million people.

Typically, people in the middle class have some kind of college education, some disposable income, and may even be planning for retirement. But that doesn’t mean they’re financially stable.

If you’re in the middle class and want to become financially independent or wealthy, here are some financial decisions or behaviors that might be keeping you from achieving this goal.

Trying To Keep Up With the Joneses

The “middle-class money trap is being on the hamster wheel of life,” said Sebastian Jania, owner of Manitoba Property Buyers. “This is doing things such as buying cars that depreciate over time, taking on student debt for a degree that doesn’t have a solid financial future, or buying a property that one simply shouldn’t be buying because it’s too expensive. This is all commonly referred to ‘keeping up with the Joneses.'”

Societal influence and pressure are very real concerns for many people, ones that often lead to extravagant purchases just to keep up appearances. The problem with this is that it can lead to a cycle of debt and overspending. When this happens, it can be harder to achieve long-term financial goals, invest in the future or build wealth.

Spending Without Saving or Investing

A common middle class money trap is spending all or more than your income without saving anything that will allow you to make investments that generate wealth, such as a home,” said John Bodrozic, co-founder of HomeZada.

“For the middle class who are homeowners,” Bodrozic added, “the money trap is neglecting maintenance, repairs, and obvious remodeling and improvement opportunities, or mismanaging your home from a financial perspective, that will prevent you from growing your investment and may even lower home values and your equity.”

Settling for the Status Quo

To continue reading, please go to the original article here:

https://finance.yahoo.com/news/9-middle-class-money-traps-120048718.html

DINARRECAPS8 9/22/23 DINARRECAPS8 9/22/23

More Money, Literally More Problems: Unique Estate Planning Concerns for the Ultra Wealthy

Patrick Villanova, CEPF® Thu, September 21, 2023

In the realm of personal finance, estate planning stands as a paramount consideration for those who have amassed substantial wealth. For ultra-high-net-worth individuals – people with over $30 million in investable assets – the complexities and implications of legacy planning become even more pronounced. While it’s often tempting to delay such discussions, proactively managing your wealth’s future distribution is essential to ensure a seamless transition for your beneficiaries. A financial advisor may be able to help you manage your wealth and create an estate plan tailored to your needs.

More Money, Literally More Problems: Unique Estate Planning Concerns for the Ultra Wealthy

Patrick Villanova, CEPF® Thu, September 21, 2023

Importance of Proper Estate Planning

Estate planning is a powerful gear in the engine of wealth management and preservation. It establishes mechanisms like trusts, which cater not only to the future needs of heirs but also ensure your assets are distributed according to your wishes. A well-drafted plan clearly outlines the distribution of assets, minimizing the chance of disputes and legal battles. This not only preserves family relationships but also reduces stress during an already challenging time.

Without precise planning, heirs could also face taxing burdens and legal puzzles that can whittle down the value of their inheritance.

Additionally, estate planning offers a chance to express one’s healthcare preferences through documents like living wills and medical powers of attorney. These documents ensure that an individual’s medical wishes are respected, even when they are unable to communicate their desires.

Unique Estate Planning Concerns for the Wealthy

If you’re ultra-wealthy, the complexity of your wealth demands a more intricate plan than what the average person or even high-net-worth individual may require.

Ultra-high-net-worth individuals often possess wealth that spans multiple generations. Ensuring this wealth endures and thrives requires strategic estate planning. Structures like family limited partnerships (FLPs) and generation-skipping trusts can be employed to efficiently pass assets to grandchildren, avoiding excessive taxation while maintaining family control over assets.

Many affluent individuals also hold a deep commitment to philanthropy. Establishing charitable foundations or trusts can allow you to leave a lasting impact on causes dear to your heart.

To continue reading, please go to the original article here:

https://finance.yahoo.com/news/more-money-literally-more-problems-135446685.html

DINARRECAPS8 9/21/23 DINARRECAPS8 9/21/23

Goldilocks' Comments and Global Economic Evening News for September 21st

Goldilocks' Comments and Global Economic Evening News for September 21st

Good afternoon Dinar Recaps,

We currently have a bloodbath phase going on in the bond markets. Once this phase is over, everything is expected to move to the upside.

Market cycles are cyclical by nature and there are normal legs up and legs down in them.

Although stocks and the commodity markets will have their ups and downs, we are approaching a long-term bull market in gold. Some say we are already in it, but I would like to see it reach 3,000 an ounce before I will make that claim.

Goldilocks' Comments and Global Economic Evening News for September 21st

Good afternoon Dinar Recaps,

As the cyclical trends in gold move into long-term gold cycles inside a bull market, we will be well on our way to Major shifts taking place in our economy towards a gold standard. As we discussed a few days ago, we will be going to a very volatile period of time to get where we want to be.

© Goldilocks

Mining Gold Link
Bullion By Post
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"Real-time payments software provider ACI Worldwide has partnered with Microsoft to facilitate instant payments via ACI’s Real-Time Payments Cloud (RTPC) platform."

Investor Link
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BRICS: "India & UAE Continue Ditching USD in Landmark Oil Deal"

This is why Forex is changing many of their foreign currency mechanisms in trade we talked about yesterday.

Countries around the world are beginning to utilize their own currencies and backing it by gold going forward.

The movement from a fiat system to a system based on real values is coming into light.

For the next 6 weeks we are working to achieve this end through converting old traditional assets into new tokenized assets backed by commodities. As they are switched out on the Financial System, new values will begin to formulate news price patterns.

© Goldilocks

https://watcher.guru/news/brics-india-uae-continue-ditching-usd-in-landmark-oil-deal

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CGI certified to support instant payments on the new nationwide FedNow® Service
PR News Wire Link

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Temenos Payments Hub launches on IBM Cloud to enhance security for banks
IBS Intelligence Link

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Digital Market Announcement:

CFTC’S MESSAGE TO DEFI PLATFORMS: REGISTER WITH THE CFTC OR LEAVE THE US MARKET—OR RISK ENFORCEMENT
Morgan Lewis Link

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Inflation or Recession? CEOs Will Decide Next Month

The Washington Post Link

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The UN chief summons world leaders to action. But, he says, they seem 'incapable of coming together'

The Public's Radio Link

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What US Basel Endgame Means Outside of the United States

Mayer Brown Forum Link

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House Committee Passes Bill to Ban FED from Creating a CBDC

https://watcher.guru/news/house-committee-passes-bill-to-ban-fed-from-creating-a-cbdc

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Nearly 70 countries sign historic UN treaty to protect high seas
Finance 24 Link

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Follow Goldilocks' Roadmap

Follow Goldilocks' Timeline

Goldilocks' Telegram Room

Q & A Telegram Room

Goldilocks on the Seeds of Wisdom Team™ Website

Thank you Dinar Recaps

DINARRECAPS8 9/21/23 DINARRECAPS8 9/21/23

The Worst Financial Gifts to Give Your Kids

September 16, 2023 The White Coat Investor

Parents with fantastic intentions often hurt their children by giving terrible financial gifts. Here's how to change that.

PIMD welcomes the White Coat Investor. WCI is a physician-specific personal finance and investing website. The White Coat Investor can help you to become financially literate and disciplined, which will allow you to spend your time and effort on your patients, your family, and your own wellness. WCI truly believes that a financially secure doctor is a better partner, parent, and practitioner. White Coat Investor is an affiliate partner of PIMD.

As a general rule, parents love their kids and would do anything for them. However, due to a lack of financial literacy, many parents with fantastic intentions end up hurting their children. Here are some of the ways they do that.

The Worst Financial Gifts to Give Your Kids

September 16, 2023 The White Coat Investor

Parents with fantastic intentions often hurt their children by giving terrible financial gifts. Here's how to change that.

#1 A Car

I'm sure there are people who think it is a bad idea to give your kid a car because it will spoil them. That's not what I'm talking about. If you really want to spoil them, knock yourself out (actually we'll get to this under #6).

What I am talking about is giving your kid a car that isn't yet paid for. Yeah, some people do this. Can you believe it? They go down to the dealership, put down a $300 down payment, sign up for some loan payments, and then get the car for their kid. Along with the responsibility to make the payments! Uhhh . . . thanks, Mom. I guess it could be worse. They could have signed you up for a lease.

#2 Whole Life Insurance

Another common situation is a parent who bought their kid a whole life insurance policy at birth. It would stand to reason that if you're buying baby food and life insurance from the same company, one of the two probably isn't a very good product.

Despite that, I keep running into people in their 20s and 30s who have just been given a whole life insurance policy and asked to take over the payments. Their parents have been making monthly payments on these for 2-3 decades, but the surrender value is only a four-figure amount at this point and the child is basically being asked to pay a two- or three-figure amount every month for the rest of their life.

It wasn't a good policy to start with. It doesn't address any financial need they actually have (because the face value is usually something like $20,000). And now they have no idea what to do with it, so they just start making the payments too!

Incidentally, what they should do is surrender it; put the money toward their student loans; thank their parents for their kind gift; and never, ever run the numbers on how much that gift could have been had it been invested aggressively in a 529.

To continue reading, please go to the original article here:

https://passiveincomemd.com/the-worst-financial-gifts-to-give-your-kids/

DINARRECAPS8 9/21/23 DINARRECAPS8 9/21/23

Replacement Cost Versus Actual Cash Value Home Insurance

By Financial Samurai / 09/18/2023

Home insurance costs are going up due to rising home prices, rising building costs, increasing natural disasters, and less appetite for risk from the insurance and reinsurance companies. As a result, more homeowners are looking to save by taking out an actual cash value (ACV) home insurance policy as opposed to the more common replacement cost value (RCV) home insurance policy.

I'm going through this dilemma right now as I diligently hunt for a home insurance policy for a new home I plan to buy. The actual cash value policy I found is about 52% cheaper than the best replacement cost policy I've found. With such significant annual savings, I'm leaning toward the actual cash value option.

Replacement Cost Versus Actual Cash Value Home Insurance

By Financial Samurai / 09/18/2023

Let me explain the definitions of each home insurance policy and discuss why one may be better than the other. Ideally, a homeowner needs disaster insurance in case the worst happens, such as a fire that destroys everything.

First, let's review what depreciation means. It is key to understanding the difference between replacement cost and actual cash value. In simple terms, depreciation is the loss of value of your property over time.

Replacement cost is the amount paid to replace property or personal belongings without any deductions for depreciation. You may also have the option for replacement cost value on automobile, motorcycle, and boat policies.

Actual Cash Value Home Insurance Policy Definition

Actual cash value is equal to the replacement cost value minus depreciation. In other words, an actual cash value home insurance policy does not replace what you lost. Instead, it reimburses you for the item's CURRENT actual value.

For example, your roof might have cost $30,000. However, since it's 15 years old and only has a useful life of 30 years, the current value of your roof might only be $15,000. If your roof tears off during a tornado, your actual cash value home insurance policy would just pay $15,000.

How is the current value of your roof determined? To determine an item's ACV, an insurance adjuster will take the cost of replacing your damaged or stolen property and reduce the cost of the property based on depreciation, such as age and wear and tear.

Therefore, the older your house, the less an actual cash value policy will likely cover.

Replacement Cost Value Home Insurance Policy Definition

Replacement cost value (RCV) is what it costs to replace damaged or stolen property without depreciation. It doesn't matter how old the item is. A replacement cost value policy is obligated to replace the item at whatever it costs today.

To continue reading, please go to the original article here:

https://www.financialsamurai.com/replacement-cost-value-versus-actual-cash-value-home-insurance/

DINARRECAPS8 9/19/23 DINARRECAPS8 9/19/23

The $2 Billion Powerball Winner Is Making The Worst Mistakes Financial Planners Warn People Of After They Come Into A Ton Of Money

Paige Hagy Tue, September 19, 2023

The winner of the record-breaking $2 billion Powerball prize is breaking every financial planning rule in the book. Edwin Castro is buying up California real estate since winning the lottery in November, including a three-story $25.5 million mansion in the Hollywood Hills, the same part of Los Angeles that A-list stars like Leonardo DiCaprio and Ariana Grande call home.

That’s the exact opposite of what financial advisors recommend for lottery winners—or any person who suddenly comes into great wealth. Rather, they suggest waiting until the emotional high of winning the jackpot cools off. One advisor counseled against buying up expensive homes altogether.

The $2 Billion Powerball Winner Is Making The Worst Mistakes Financial Planners Warn People Of After They Come Into A Ton Of Money

Paige Hagy Tue, September 19, 2023

“I’ve seen clients purchase large homes in faraway locations that they ultimately realize they will not use frequently and end up being a major ongoing financial burden that took several years to sell,” Paul Karger previously told Fortune.

Karger is a cofounder and managing partner at TwinFocus, a wealth advisory firm that manages over $7 billion for ultra-high-net-worth families. He recommends to clients, who range from centimillionaires to billionaires, to wait six months to a year before making any big buys.

The value of second or third homes (or mansions) is shrinking post-pandemic, and luxury real estate is not known for being a great investment considering its vulnerability to economic conditions outside the owner’s control. Plus, real estate is an illiquid asset, which can become a burden if the owners are careless about managing the rest of their wealth. The annual cost to maintain a home is roughly 1% to 4% of the home’s worth.

By this estimate, the upkeep for Castro’s $25.5 million Hollywood Hills home—which has five bedrooms, six bathrooms, a game room, wine cellar, home theater, wet bar, gym, cold plunge, steam shower, and sauna—will cost $255,000 to over $1 million annually.

More mansions and a vintage Porsche

And that’s not all he bought. A couple weeks after buying the first mansion, he spent $4 million on a Japanese-inspired house in Altadena, Calif., his hometown in the Los Angeles suburbs and near the gas station where he bought the winning ticket.

Earlier this month, he also bought a $47 million mega-mansion in Los Angeles, with seven bedrooms, 11 bathrooms, an infinity pool, koi pond, champagne room, wine cellar, home theater, and a view of the city skyline. Castro also purchased a vintage Porsche 911 costing $250,000, the New York Post reported in April.

Castro claimed his prize in February, choosing to immediately receive nearly $1 billion in cash, which came out to be roughly $628 million after taxes. The alternative option was to collect the full $2 billion prize through an annuity over 29 years, which financial advisors say is usually the better strategy.

“People don’t understand there is a potential for loss. They only focus on the potential for gain,” Nicholas Bunio, a financial planner told the Associated Press last November.

To continue reading, please go to the original article here:

https://finance.yahoo.com/news/2-billion-powerball-winner-making-170524751.html

DINARRECAPS8 9/18/23 DINARRECAPS8 9/18/23

‘Rich Dad’ Robert Kiyosaki Says the Dollar Is In Trouble

‘Rich Dad’ Robert Kiyosaki Says the Dollar Is In Trouble: What That Means for Your Money

Angela Mae Sat, September 16, 2023

It’s common knowledge that the value of the U.S. dollar has fluctuated throughout the years. But now, it seems the dollar could be in serious trouble. This could be especially problematic for people who are trying to save money, or who have most of their assets in cash.

A recent post on Rich Dad, which is part of Robert Kiyosaki’s “Rich Dad Company,” details just why the dollar is in trouble, what this could mean for your money, and what to do about it. Here’s the gist of it.

‘Rich Dad’ Robert Kiyosaki Says the Dollar Is In Trouble: What That Means for Your Money

Angela Mae Sat, September 16, 2023

The Gold Standard

Simply put, the gold standard is a system in which a country ties the value of its physical money directly to gold. While it’s no longer implemented in any country today, the U.S. dollar was tied to the gold standard for many years — all the way until 1933. However, it wasn’t until the early 1970s when Richard Nixon was in office that the U.S. dollar fully went off the gold standard.

Once that happened, the dollar was no longer backed by something substantial — in this case, gold. Instead, it became what Kiyosaki called “fake money” or an “IOU.” It also began to lose its value compared to gold. This is also true for the Euro and Japanese Yen.

It’s no secret that Robert Kiyosaki has continued to invest in both gold and silver. Because these resources exist in a finite amount, their perceived value is higher than that of fiat currencies, like the U.S. dollar.

The Dollar: Inflation and Recession

According to Kiyosaki, the dollar’s purchasing power has diminished by almost 95% since 1996 as a result of inflation. Despite slowing demand, the Federal Reserve continues to print more paper money.

The reason why this is problematic for the value of the dollar is simple. With greater supply and less demand, anything is bound to lose value — the dollar included.

Kiyosaki noted that this particular dollar-related trouble began when Ben Bernanke, the previous Chairman of the Federal Reserve, made a choice to try to combat the Great Recession. Bernanke could have chosen to up the production of paper money, which would lead to increased inflation rates and potentially cause the dollar to collapse. Or he could have increased interest rates to try to slow inflation, which could have led to a recession.

In either case, it spells trouble for the U.S. dollar.

The U.S. Dollar Has Limited Time

Many Americans are caught up in trying to save as much money as possible, especially when dealing with the increased cost of living. But if the dollar is already losing value at an alarming rate, this could be disastrous for anyone who’s relying on it to get them through financially.

And, as Robert Kiyosaki pointed out, the U.S. dollar is already “living on borrowed time.”

To continue reading, please go to the original article here:

https://finance.yahoo.com/news/rich-dad-robert-kiyosaki-says-170008171.html

DINARRECAPS8 9/18/23 DINARRECAPS8 9/18/23

5 Financial Mistakes To Unlearn Now

Millennials Say Boomer Parents Are to Blame for ‘Shameful’ Money Habits — 5 Financial Mistakes To Unlearn Now

David Nadelle Sat, September 16, 2023

While only 27% of Americans across all ages say their money-saving habits are “excellent,” 65% of millennials and Gen Z-ers are worried about baby boomers’ impact on their future, finds a new study.

The survey, conducted by OnePoll for National Debt Relief between Aug. 4-8, 2023, found that although younger generations were concerned about the effect older generations’ financial decisions will have on them, 62% of all respondents (split evenly by generation) admit they make poor money decisions sometimes. Almost half (48%) of respondents said their parents influenced their money habits.

Millennials Say Boomer Parents Are to Blame for ‘Shameful’ Money Habits — 5 Financial Mistakes To Unlearn Now

David Nadelle Sat, September 16, 2023

With 51% of respondents admitting they have been in debt at some point, and 42% currently experiencing money troubles, the study also found that many Americans are eager to destigmatize “shameful” debt (36%) and are taking responsibility for their bad spending and savings habits.

“There’s a lot of guilt and shame people feel when they’re in debt and that needs to change,” said Natalia Brown, chief client operations officer at National Debt Relief. “The data shows that most of us face challenges with money and that none of us are alone in that.”

Here are the five most common bad money habits — and ones you need to unlearn as soon as possible — according to the National Debt Relief/OnePoll study:

1. Writing Off Small Purchases As Insignificant (43%)

It’s easy to make simple purchases that can add up over time, so you have to hold yourself accountable for how you spend your money. Even if it seems like an insignificant purchase, write it down or acknowledge it. Spending even a few extra dollars a week can account for hundreds of dollars a year. And resist the urge to make impulsive buys or in-app purchases.

2. Gambling (39%)

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https://finance.yahoo.com/news/millennials-boomer-parents-blame-shameful-180041296.html