If you’re doing a good job of saving up for retirement and looking at the possibility of meeting your goals sooner than later, one of the next biggest hurdles you’ll have to overcome is how to physically get your money out of your retirement accounts. For most personal accounts such as a 401(k), 403(b), or IRA, you have to wait until age 59-1/2 or get slapped with a hefty 10% penalty fee. There are special exceptions to the 401(k) and 403(b) that may allow you to access your money without penalty by age 55. But even still, what if you are able to retire even sooner than that? Fortunately, this is where a 72(t) comes in. A 72(t) is a little-known tax code within the IRS laws that allows an individual under the age of 59-1/2 to take … [Read more...] about Retire Early Using a 72(t)
Book Review: “Rework” by Jason Fried and David Heinemeier Hansson
Rework is a collection of advice from the blog “Signal vs. Noise” by the authors’ company “37signals”. In it, the authors trash almost every common corporate practice such as meetings, business plans, projections, marketing, hiring practices, etc. to the credit of their own success. Although 37signals is a small, Internet based company, their products are widely used and the blog has thousands of readers. … [Read more...] about Book Review: “Rework” by Jason Fried and David Heinemeier Hansson
Year-End Financial Checklist
The end is near! The end of the year that is … And with that, December is a good time to get you finances in order and get ready to settle with the tax man. Here are some tips to get yourself ready for another year: Set Your Budget for Next Year: Remember, a budget is simple: • Money In – Money Out > 0 = Success. The best way to do this is to create a table with 12 columns; one for each month. Start by listing your income towards the top. Then list all your bills and expenses. This strategy is usually a little more effective than just doing one generic monthly budget because it captures expenses that don’t occur every month or are seasonal (like Christmas expenses). This also lets you see how you’re doing throughout the entire year … [Read more...] about Year-End Financial Checklist
Book Review: “CA$HVERTISING” by Drew Eric Whitman
CA$HVERTISING: How to Use More than 100 Secrets of Ad-Agency Psychology to Make Big Money Selling Anything to Anyone”, author Drew Eric Whitman explores all of these questions and dozens of other advertising tricks and techniques to show you how you can do a better job of marketing. One of the central themes of CA$HVERTISING is that anyone could use the strategies presented in this book and they would be more affective than most ad agencies out there. The unfortunate fact, Whitman states, is that most advertising is garbage because it fails to appeal to our basic needs and interests. … [Read more...] about Book Review: “CA$HVERTISING” by Drew Eric Whitman
Retirement Income Planning and How Your Needs Will Change
Do you think it’s possible to save too much for retirement? That was the headline in an article from Yahoo Finance that seemed to think that you might. In it, the author was pointing the finger at the popular “80% rule” that suggests that retirement income planning is as simple as just estimating 80% of your gross (pre-tax) income. Their criticism was that some academics think this commonly accepted retirement income planning tool may inadvertently cause some people to save for far more than they need. Consequently, this would cause those people to short-change themselves in the present. … [Read more...] about Retirement Income Planning and How Your Needs Will Change
What Should Be in Your Safety Net?
You don’t think twice to lock your doors, look both ways before crossing the street, or turn off your electronics when you’re not home. So why is it that so many of us are one disaster away from a financial catastrophe? That’s where a “Safety Net” comes in. By definition, a safety net is a term used by financial planners to describe a number of different things you should have to protect your family and your finances. But a safety net should be much more than just a few extra thousand bucks you’ve got saved in case aliens take over the world. A TRUE safety net could encompass a whole lot more. Here are a few ingredients you’ll need in your Safety Net. … [Read more...] about What Should Be in Your Safety Net?
Will You Have to Work Until Age 80?
How long do you plan to work? In a very depressing recent article on CNN Money entitled “Delaying Retirement: 80 is the New 65”, it was reported that at least a quarter (1 in 4) of middle class Americans are failing to prepare for their retirements and will likely work until the age of 80. Keep in mind that the average life expectancy of a person is only 78. Here are some more sad facts that were quoted: • The respondents (ages 20 to 80) had a median savings of $25,000. However, their median retirement savings goal was $350,000. • 30% of people in their 60’s had saved less than $25,000 for retirement. • Three-fourths of middle-class Americans expect to work throughout retirement (Remember: If you work through retirement because you … [Read more...] about Will You Have to Work Until Age 80?
Book Review: “ProBlogger: Secrets for Blogging Your Way to a Six-Figure Income” by Darren Rowse and Chris Garrett
ProBlogger: Secrets for Blogging Your Way to a Six-Figure Income”. The book is a collection of tips and advice on the art and business of building a blog. It not only provides several introductory step-by-step processes for getting started and keeping your blog running, but it also provokes many questions about what type of subject you’d like to write about, how to keep things interesting, etc. … [Read more...] about Book Review: “ProBlogger: Secrets for Blogging Your Way to a Six-Figure Income” by Darren Rowse and Chris Garrett
