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The New MyRA Account

There is a new account that the government will be releasing soon to entice people to save more money. Its called MyRA and it obviously stands for My Retirement Account, I must say it is very catchy phrase. The government is backing it with full faith treasury bonds. Does this mean the government will take on more debt?

The New MyRA Account:

Employer must sign up for the program

You must have Direct Deposit

It will have a 191K household income limit

There is no match and you can put in up to $5500 a year.

It is not invested in the Stock Market aka No Risk

The funds will be invested in Govt. Bonds aka like TSP Plans

$25 minimum investment to start

You can contribute to a MyRA and 401K and other retirement accounts offered

If the account reaches 15K or 30 years, then it must be rolled into a Roth IRA

Expect to earn around 1-3%, with no loss to principal.

You can withdraw funds at any time with no taxes or penalties (Emergency Account)

Must wait till 59.5 to withdraw any earnings on money with no taxes or penalties at all.

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The Last Hundred Dollars

In this new series going forward, I will share what were the last things that I spent a hundred dollars on. Imagine if you had only a hundred dollars to your name, what would you spend it on? The last hundred is a way to lighten up the financial blogosphere with something unique. Yeah I could give you a bunch of boring spreadsheets showing my monthly net worth, but that’s been done a thousand times over. Also part of me is still hesitant to fully reveal my financial numbers in all its lowly glory. What will this accomplish, maybe nothing. But it sure is exciting to see what people spend money on, don’t you think.

Spring has arrived on our door step, and it’s time to shift focus towards doing more activities outdoors. Spring also brings Easter, mother’s day, father’s day, and one birthday for my family. Which means that money is sure to leave my pockets for a good cause? Now I want you to think about what new fun and exciting things you could do this spring? I feel it is not to bad to drop a few dollars on experiences for the family, so that’s why I allocate some savings for that purpose. When I say this I don’t mean going to the mall and getting some fast food at the food court while you window shop. I mean finding an outdoor photography class, or a city tour, or maybe you can visit a few popular tourist spots you have not witnessed in your area. The final point I’m trying to make is that money will be spent, but you can control if you spend it wisely or foolishly.

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Road map when in Financial Despair

Many people have a do first then learn later lifestyle when it comes to personal finance, but what if we propose learning before we take action. First off the purpose of the post is to educate and help anybody before getting into financial despair. But if you are already at that point then you might want to buckle down to change your life immediately before digging yourself in a deeper hole. Did you know that the number one reason for bankruptcy is emergency medical expenses here in the US? Another reason is loss of employment that can leave a family in financial ruin. Now I ask you, do you have a road map when in financial despair. I hope you do, but if you don’t then keep reading as I will give my best to provide you the tools you may need to overcome any financial obstacle.

See below for the roadmap when in financial despair.

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When is Enough really Enough

When enough is really enough — Time for a change

In society I have witnessed many examples to question the satiation of people. When is enough really enough? I ask this every time I come across a perfect example of people wanting more. Why the thirst is never really quenched, I often ponder. Is it an environmental issue or an individual issue based on upbringing? I am ready to give you a few examples of people who do not know the word enough or the feeling of being satisfied with what they already have in life.

When is Enough really Enough:

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The Investing Rules

Investing in today’s marketplace is extremely daunting, the plethora of choices can make for paralysis by analysis. The most experienced investor can become contrite with all the choices. Just imagine somebody without any experience in investing and how hard it may be. Because of this issue facing many not familiar with investing, I developed the investing Rules. The rules will be there for many to follow as a guideline. This is an informative post on how to begin on what might be a financially smart path for you.

The first investing rule never invest more than the employer match in 401K when in debt. If you have a budget that allows you the ability to allocate $100 dollars a month to invest in after tax brokerage accounts and another $300 towards student loan debt. Yes you will be growing your net worth month by month and reducing debt month by month. The normal way of thinking behind this scenario is that you are paying down debt to the tune of 3 times what you are investing, and you might not see a problem with this process. The behaviors you are displaying are good, but they are also not the financially smart method. Why, you may be asking?

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What’s your coffee really costing you?

The daily coffee addiction might seem like a small price to pay for being alert at work. That rush you feel is not a trick, it actually wakes people up. Before you drive up to your local Starbucks or Dunkin Donuts, think about what’s your coffee really costing you over your lifetime. I believe we all should drink coffee from wherever we prefer, even if it will cost you $4 dollars a cup. Obviously your money is for you to spend, but I want to give you some details as to the real cost behind this daily morning ritual.

The average person has two cups of coffee per day and if you multiply that by the entire 243 million 18 and over adult population, then you get a staggering 486 million cups of coffee per day. If everybody in the US went to Starbucks for their daily fix, it would be the most profitable company in the US. Now let’s discuss the facts. I will show you if you brew your cup of coffee at home and invest the difference in expenses how much you can save. In addition to the savings how much your savings will grow over a 30 year time frame invested in a US stock mutual fund?

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The Last Hundred Dollars

A new series is born today, with the premise that I now will let you in to see what were the things that I spent the last hundred dollars on. Imagine if you had only a hundred dollars to your name, what would you spend it on? The last hundred dollars is a way to lighten up the financial blogosphere with something unique. Yeah I could give you a bunch of boring spreadsheets showing my monthly net worth, but that’s been done a thousand times over. Also part of me is still hesitant to fully reveal my financial numbers in all its lowly glory. What will this accomplish, maybe nothing. But it sure is exciting to see what people spend money on, don’t you think.

This obviously will not be a 1000 word post, explaining what a Venn diagram is and how that will benefit your probable retirement. No it’s basically just a list of all the items I recently purchased that sum up to the last hundred dollars. By the way have you seen the new $100 dollar bill, it looks futuristic in every way possible. At first I thought what an un-American thing to do with all those annoying colors schemes. The dollar should forever be remembered as classic green. But then it dawned on me we are trying to out-fancy the Euro currency with some style and fashion sprucing. Now let’s jump into what crazy items add up to a big ben franklin.

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Do you have Mobile Banking?

I see it everyday people rushing everywhere and all you really see is the dust behind them. The fast pace phenomenon of America is really picking up every year in my opinion. I live in the Northeast so it is multiplied by at least 2 times in my area when compared to the rest of the country. Now the topic I want to discuss with you today is about mobile banking and if it is really worth it for us to have such luxuries. Do you have mobile banking?

Granted in ten years people might laugh at us folks because we had the gall to walk up to a teller to make a deposit in the old days. So with all the convenience we are getting with mobile banking, what price are we paying as a country? Do you have Mobile banking and is it really worth it for us?

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