Teach Your Children Well

We know that we should teach our children the “value of a dollar”, but the best way to go about it seems to escape us. Using an allowance may teach them to stretch a dollar, but in a pinch there’s more where that came from and they know it. Even when it’s tied to chores, […]

Advertisement

Eliminating Debt !

The most popular approaches to debt elimination are: paying off the largest debt first, paying off the smallest debt first, paying off the debt with the highest interest rate first, and loan consolidation. In my book “Personal Finance Simply Understood” I walk through a detailed analysis of these approaches using various loan and debt amounts, and […]

Personal Economic Value

What is personal economic value and why is it important? Our personal economic value is our earnings potential or what can we expect to earn between now and when we plan to stop working. As an example, if I currently earn $44,000 each year, I’m 32 years old, and I plan to retire at age […]

Holiday Spending Plans

Will you be splurging a little or a little too much for the Holidays? Do you plan to set a spending limit this year, and if so, how confident are you that won’t spend above it? In the coming weeks, the news will be filled with statistics about whether holiday spending is up or down […]

Encouragement

Let’s face it, prudent personal finance is like swimming against the current. We spend wisely and save according to a plan that meets short-term and long-term needs; we’re paying down debt, and more than the minimum on credit cards, and we’re making some sacrifices along the way. There are trade-offs in every financial decision we’re […]

The Emergency Fund

An emergency fund is a separate savings account that we set aside to cover monthly expenses in an emergency situation. If we experience a layoff or we’re unable to work for a period of time, the emergency fund is there to provide a financial cushion or safety net until our situation changes for the better. […]