Archive for the 'Debt and Debt Management' Category Page 2 of 10

Are Women Better Investors Than Men?

Women Smarter in Investment DecisionsSeniorWoman

The Washington Post, October 11, 2013

Is it time for men to have a nice big slice of humble pie?  A new study by a University of California professor is showing that women make more lucrative investment decisions when it comes to the stock market.  Could this be true?  Or is this just another one of the age-old “Anything you can do I can do better” arguments?

Unfortunately for the men, hard facts are a little difficult to dispute.  Over the course of this seven year study, Professor Terry Odean watched over stock picking by gender closely.  Her findings might be surprising to some (We’re talking about you, Warren Buffett!)  According to the study, female investment groups outperformed others by 4.6%, and women in general outperformed their male counterparts by 1.4%.  Read the article at the link listed below to find out more as to why women are

Learning About the Economy

Understanding How the Economy Workswall, September 22, 2013

Almost everyone is aware of how important it is to make a financial plan for your future.  And in most cases, it’s not just your future, but the future of you and your family, and for some, your business.  And while financial planning is a many-headed beast, the hero cannot vanquish the beast without understanding its nature.

It’s important to know how the economy works in order to best determine the financial plan most suited to you and yours.  But there are so many different aspects to the economy that even just the word “economy” can be intimidating.  And although you would have to go to school for years to really understand all of the in’s and the out’s of our economy, it’s still important to have at least a basic understanding of it.  Follow the link listed below to a video that gives a pretty thorough overview of how the economy works, in a way that is easy for almost anyone to understand.

Free Online Course to Teach You About Retirement Finances

Masters Course in Finance Available Online

The New York Times, October 11th, 2013

Most of us could potentially benefit in any number of ways from going back to school.  The biggest motivation to do this for the majority of us would probably be to make more money.  But if you’re not ready to enroll for the Spring semester, what if there was a class that you could take to teach you more about what you can do with the money that you already have?  And what if you could do that from the comfort of your own home?

A finance professor at the Stanford Graduate School by the name of Joshua Rauh had a revelation.  He realized that his graduate-level course on the finance of retirement and pensions could be beneficial to more than just his students.  This is why he decided that he was going to make it available to any who are interested.  To maximize availability, it was going to be a free course and it would be offered online.   Read the article at the link below from the New York Times on the perks of what Professor Rauh’s class can offer to your average person, and how you can sign up!

Can You Teach a Young Dog New Tricks Too?

Is Our Youth Finally Learning?

Market Watch, October 24th, 2013

In today’s high expense society, an alarming percentage of seniors are having a difficult time transitioning into their retirement years, financially speaking.  More and more are struggling to make ends meet on their 401K’s and Social Security alone.  And while many people in this age bracket like to talk about the “ignorance of youth,” is it possible that our younger generations are taking notice of the struggles they see their parents and grandparents are going through?  And beyond that, is it conceivable that they are actually taking pro-active steps to make sure they don’t face the same hardships?

A new study conducted by Wells Fargo & Co. says yes.  While 75% of people in their 40’s and 50’s are saying they regret that they have not started saving for retirement sooner, 34% of people in their 30’s stated that they already have a written retirement plan in place.  A pretty impressive number when compared to the 24% of those in their 40’s.  Read the article at the link below to read more about how our young people seem to be wising up to the need to plan ahead.

Finances and Marriage: Retirement Edition

Financial Planning Can Lead to a Healthy Marriage?

Global Post, October 9, 2013

It’s a well known fact how common divorce is these days.  In the United States, the divorce rate is currently at an alarming rate of 53 percent.  But this isn’t just in the category of young people who are divorcing each other in their first few years of marriage.  Many would be surprised to learn that the divorce rate in married couples who are beyond their Silver Anniversary is on the rise as well.

Many of us could guess at the reason why some of these marriages are ending as some of us experienced our own parents going through this.  But would finances in retirement be on, or even near, the top of your list of guesses as to why this is happening?  Retirement is looked at by many as being the “golden years” of their lives.  But what if your idea of a dream retirement doesn’t match up with that of your spouse’s?  Read the article below to get some ideas on how to tackle some of the issues regarding retirement that, quite frankly, don’t come up all that often.

Can You Loan Money to Family Without Regret?

How to Mix Family and Money Successfully

The Wall Street Journal, October 14, 2013

Everyone knows that mixing finances and family will, in most cases, end up seeming like a bad idea.  Ironically, it seems that whenever someone needs money and the bank cannot help them, family members are who they will turn to first.  This could be for anything from a small amount to help someone make their rent or a car payment, to larger amount for things like funeral expenses for the death of a loved one.  And it isn’t always the children asking their parents for money; it could be for a sibling, an in-law, or even the parents having to ask their children for a financial favor.

When entering a financial contract with a relative, most have a pretty good idea that they won’t be seeing this money back anytime soon, if ever.  That being said, how do you know how much you can afford to “loan” without it causing excess financial hardship for you?  And what about the IRS?  Loans over a certain dollar figure, even when being given to a family member, can become a tax problem.  There is much more to loaning family money than many people realize.  Read the article at the link below to learn more about these potential risks to the borrower, and lender, of what many would consider to be a “family affair”.

Retirement Planning Options

Staying Ahead of Retirement Planning Stress, September 17, 2013

It’s been a long road of building a life for yourself from the ground up, but it’s behind you now and you’re finally ready to start planning for your retirement.  But what does that entail?  Do you get to just stay at home, put your feet up, and trust that everything you might need will be provided?  If you’ve spent any time looking into retirement planning, chances are you know the answer to this questions is a resounding “No!”.

There are many things that need to be taken into consideration when planning for your retirement, but making sure your finances are in order is among the most important.  Under the heading of getting your finances in order comes making sure you’re getting the most out of social security, choosing the right healthcare plan, housing expenses,  and your cost of living.  What if, after reviewing your finances, it looks like you don’t have enough money coming your way to comfortably retire?  Who can you talk to in order to find out what your options are to maximize your retirement benefits?  And can you trust that whoever this is would be looking out for your best interests and not just trying to line their own pockets?

Read the article at the link listed below to give you some ideas on where you can get started to make sure your retirement will be everything you want it to be, or at least as close to that as possible.

Retiring Abroad, Fantasy or Reality?

Can Retiring Abroad be a Realistic Option?

BBC Capital, September 19th, 2013

With the cost of living in the United States being as high as it is in many places, many retirees are considering taking their retirement elsewhere.  Places where the climate might be a little warmer, where the cost of housing might be a little (or a lot) less expensive, and the healthcare might be more affordable.  But is it realistic to think you can afford to spend your retirement years living in some exotic locale?

Not only is retiring abroad plausible, the number of retirees who have actually done this has more than doubled since 2006.  And the kicker?  They’re doing it for a lot less money than you might think, some as low as $40 per day!  Concerned about a language barrier?  There are communities, much like here in America, where you can find many fellow English speaking retirees.  See the article listed below for some examples of people who are actually living their retirement dream.

New Rules to Make Reverse Mortgage Qualification More Difficult

The U.S. Department of Housing and Urban Development will be instituting major changes to the Reverse Mortgage program.

Changes taking effect this month, effective September 30, 2013 include:

  • Limits to the amount of money that you can access in the first year of the loan
  • A new mortgage insurance fee structure which may mean higher fees for some borrowers
  • Lower loan amounts – experts estimate that total loan amounts will be about 15 percent lower after Sept. 30, 2013
  • Instructions for setting aside money to be used to pay property taxes and insurance

An additional change will take effect, but not until January 13, 2013

  • Borrowers who are assigned a case number after January 13, 2013 will be required to undergo a financial assessment. The assessment will include a credit history analysis, a cash flow/residual income analysis, analyzing compensating factors and extenuating circumstances and determining if the HECM applicant has the financial means to continue paying property taxes, insurance and other obligations.

These changes are significant and will take effect very quickly. If you are interested in a Reverse Mortgage, talking with a Reverse Mortgage lender immediately may work to your advantage.

Get Matched to Prescreened Licensed Reverse Mortgage Lenders Now.

Estimate Your Current Reverse Mortgage Loan Amount.

Reverse Mortgages Can Benefit Retirees, Both Wealthy and Not

A recent published article on The Wall Street Journal has explained the nature of reverse mortgage and how it can benefit seniors who are in need of money and those are well off. Some of the benefits are covering expenses for home modifications, repairs, medical expenses or home care, having a reliable credit line and lowering tax bills. To read the full article, please click “Reverse Mortgages Can Benefit Retirees, Both Wealthy and Not”.




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