Personal Finance Tips, Core Philosophies, & Convictions

Personal finance philosophies

Personal Finance Tips and Core PhilosophiesIf you have read this blog for any length of time, you can most likely tell which way I lean on most personal finance tips and money related topics. Typically, I do not try to preach too much of my own personal finance tips, philosophies, or credos on Money Q&A.

But, there comes a time when I just cannot stand the poor personal finance advice that permeates throughout the internet. Like many people say, if you do not stand for something, you’ll fall for anything.

I wanted to share with you these few universal truths and personal finance tips that you can see woven throughout this website. These are a list of money and investing philosophies that lead every money decision that I typically make.

These shape my writing on this and other websites. These are convictions that you will not see waver on this site.

Personal Finance Tips, Philosophies, & Convictions

Term Life Insurance Is The Only Type You Need

Term life insurance is the only type of life insurance that you need to purchase to protect your family from the premature loss of your income should you die early. The only people who profit from whole life insurance or cash value life insurance policies are those who sell it.

Everyone else is being taken advantage of when people try to sell or promote the product to you. Whole life insurance is an expensive form of life insurance because there is a cash value or investment portion associated with the insurance policy.

The extra cost, almost five times as much in some cases, is used for the mediocre investment returns that are promised to customers. There are many other investments and better financial products on the market to help you save and invest your money instead of having to buy whole life or cash value life insurance.

Life insurance is not an investment and should not be used as such. You can do better than a life insurance company when it comes to investing your money. you can invest that difference between term life insurance and whole life insurance policy.

What would you do with an extra $100 per month? I’m sure that you can think of better uses for that money and better investments than an investment company.

Even investing in an index fund would be a better option than buying a whole life insurance policy. Those who try to tell you different are either uninformed, delusional, biased, profiteers, or all of the above.

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Property Investment Tips for First-Time Buyers

Purchasing real estate for the first time is both exciting and potentially anxiety-producing, particularly when looking at it from a property investment tips and perspective. Yet with a combination of preparation and research, you can gain the confidence you need to make a sound financial decision. Property Investment Tips for First-Time Buyers Get Educated First-timers often feel overwhelmed when it comes to purchasing property, particularly if you have no prior knowledge of the booming Australian real estate market. Our online learning center is a great place to brush up on the latest home loan news and eligibility requirements. You can also complete a beginning real estate investment course online, and search for E-books and other printed materials to expand your … Read more

Personal Finance Lessons That Should Be Taught In High School

Personal Finance Education Needed In High School

The following is a guest post from Briana Myricks who writes at her blog, How’s Married Life?

Personal Finance Education Needed In High SchoolHigh school teachers emphasize preparing for the real world, but in reality, how many of the things you learned in high school do you use today? Has The Scarlet Letter been mentioned at any time outside of a classroom?

Do you utilize your US history lessons when it’s not an election year? Besides knowing what H20 means, what elements do you remember from chemistry class?

Part of a valuable high school education should include things you will definitely experience in the real world. One subject that should be taught is personal finance, as that’s something that can be used even before a student graduates. Since personal finance education is such a broad subject, what topics specifically should be taught in high school?

Personal Finance Education Needed In High School

How to balance a checkbook: Even though checkbooks and ledgers are going a little out of style with the use of debit cards and online banking applications, students should know how to balance a checkbook. This essential step is all about knowing how much money you have, especially after making a deposit or a purchase. Once a student gets the hang of balancing a checkbook, they have a better grasp of what money management is.

How to save for an emergency fund: High school students love to live in the moment, so very few of them actually think about something happening in the future. Learning about saving for an emergency fund is very important, as it will give them a head start for saving. They should know what constitutes as an emergency, which is something even some adults have a hard time grasping.

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The Damage The Fiscal Cliff Tax Changes Will Do To Your Wallet – You’ll Lose Thousands

fiscal cliff tax changesWhat is going to happen on the 1st of January 2013 if the fiscal cliff is not resolved by Congress? How is the average taxpayer going to be affected by the fiscal cliff tax changes? The truth of the matter is that the middle class citizens of America are going to see their federal tax bills increase by thousands of dollars. There is also one critical mistake that we are all making that will make the fiscal cliff even worse for every person if we do not change our ways. I’m not talking about the things that are going on in Washington. There is a problem on Main Street in every city with the fiscal cliff as well.

The fiscal cliff refers to the President Bush era tax cuts were enacted in the early 2000s that are expected to expire this year. We have been kicking the can down the street for years and extending the expiration, but this year they are coming due unless Congress acts. Having these tax cuts expire will have a tremendous impact on every working American.

The Obama Administration has proposed eliminating $150 billion worth of tax breaks over the next ten years as part of his administration’s negotiations as a way to avert the dangerous fiscal cliff that the country faces at the first of the year. The tax cuts include deductions and tax breaks that are currently in place for fossil fuel companies, the valuation of company’s inventory levels, and changes in the tax rates on low capital-gains for some types of investments and real estate.

Here are some of the ways that you will be affected and what you can expect. There is also one critical mistake that we are all ignoring too that will have a very devastating impact on your wallet if not addressed.

Kicking The Can Down The Road

In December 2010, the United States Congress passed the Job Creation Act of 2010 which also addressed tax relief and unemployment insurance. The law also extended the Bush era tax cuts for an extra two years. It only applied patchwork solutions and exemptions to the Alternative Minimum Tax (AMT). So, can we expect Congress to continue to kick the can down the road and not pass substantial legislation to fix the problem? It is indeed a very real possibility. We could see them only fixing the fiscal cliff problem partially and passing new laws that address the problem for the next few years ago. Now is the time with the lull in the election cycle to tackle this and other hard problems that need bipartisan support.

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How to Save Money When Buying a Purebred Dog

How to save money buying a purebred dog

I have come to realize that there are many things that you must consider before buying a purebred dog. Meet the newest member of the Coleman family, Winston, in the picture to the right. After much consternation and nail-biting, my family and I finally decided to get a dog. This was a long, hard-fought battle of when and what breed to get. When is the right time to buy a dog? I don’t think there is one. I’m not sure what we were waiting for actually. I joked with a friend the other day that it was a little akin to waiting for the right time to have children. If you wait for the perfect time, you’ll never have children. … Read more