Sunday, March 18, 2012

Protect Your Money

Money does not grow on trees it has to be worked for, it is constantly changing hands and being traded in exchanges.  As a responsible member of society there are rules to help us keep it in our hands as long as possible and we also aim to multiply it.  Financial matters are one of the top reasons couples argue. Loving money isn't necessary but it should be respected for our own good.

The following helpful rules are ways to help the novice or expert have a healthy financial life and protect their money:

1. Be organized with your money and create a budget
2. Set out saving/investment goals and stick to them
3. Do not take financial advice from people that have no money
4. If you need a financial planner get more than one opinion
5. Do not spend more than you make
6. Use credit wisely and do not use it to buy items that you will not be able to repay immediately
7. Do not leave your money in cash form for a long period of time
8. Do not make financial decisions in haste or fear
9. Be well informed and adjust your money allocations as the environment changes
10. If interest rates are low look for higher yields (stocks)
11. If interest rates are high then safer securities can be used (bonds,CD's etc)
12. College is a good investment unless you will end up paying student loans for over 10 years
13. Do research on the career you want and the average salary
14. Do not place all your money in one type of investment learn to diversify
15. Always leave some money on the side to be able to enter opportunities because they will arise
16. Your rent should not be more than 30% of your monthly income
17. Get health insurance
18. As you begin to age consider a secondary insurance Medicare may not be enough
19. Beware the 5 year look back it can become a 10 year eventually
20. Start estate planning accordingly you do not want your loved ones to go through probate

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