How To Crush Your Debt In 2019

With the Fed raising interest rates again before the end of the year, variable rate interest loans such as home equity lines of credit, variable rate student debt, and most importantly credit cards will be on the rise for 2019.  The mean credit card debt of U.S. households is approximately $5,700 according to the most recent data from the Survey of Consumer Finances by the U.S. Federal Reserve.  If you consider that credit cards can get into the 20% range for finance charges, this means that interest alone on credit cards could be more than $1,000 per household.  If you don’t have your hands around your debt situation, here are my five smart money moves to crush your debt here in 2019. Understand How You Got Into Debt- There are lots of reasons that we can into debt. You should be asking yourself how this situation happened in the first place. Was it because you had some unusual one-time expense ...

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5 Reasons Gen X Needs To Build Their Own Wealth

At 46 years old, the statistics would classify me as Generation X.  The media defines this generation by people who were born between 1965 and 1979, although I would say practically it is more in the line of people born from 1960 to 1980.  For those that fall within these age brackets, I think you better start planning on not receiving much of an inheritance and focusing on building your own wealth.   I don’t say this because your parent’s bumper sticker says “I’m spending my children’s inheritance”, but really because of five trends I see happening over the next twenty years that may spend it for you. Your parents have reached the age of 65– According to the Center for National Health Statistics (www.cdc.gov/nchs), men who reach the age of 65 have a normal life expectancy of 82 years old.  For women it is even better with the average female who turns the age of 65 having a normal life ...

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The Rising Cost Of A College Application

We see so much in the news today about the rising cost of college education and the crushing statistics around student debt.   These sobering figures are giving much cause for consternation around whether the cost of an elite college education is really worth the price of admission.  Just the other day, I shared with a young couple that to put their newborn through a fully funded elite private school education would require them to save almost $1,000 per month!   Although there is much debate about college education, hardly at all does anyone discuss the costs of just applying to get to that college education.   With application fees being another boon for colleges, here are some smart money moves figures you need to plan for within your family budget as your child prepares for the application process. Application Fees– With a school like Harvard that received over 35,000 applications @ $75 a pop, it represented over 2 million in application fees ...

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You Lost $24 Billion In 16 Days Mr. Government?

According to the USA Today (10/18/2013), the 16 day Government shutdown cost the economy jobs, delayed mortgages, and lost retail sales.  The numbers aren’t fully in yet, but it is purported to be at least 12 billion dollars and possibly as much as 24 billion dollars for the stalemate that took place in Washington, D.C. over the past several weeks. As a 22 year veteran financial advisor, you don’t advise someone to take out a Target store card right after they have maxed out their Sears and Nordstrom store cards.   We all know that piling up lots and lots of credit card debt is simply an unsustainable way to manage a financial budget.  What we all don’t know today is when the balloon will burst. It’s not a smart money move to lose 12 billion, let alone 24 billion, but I’ve come up with my list of things that we could have done with 24 billion. We could have handed ...

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