Financial Excellence

27 Jul Money Myths: The Truth About the Cost of Retirement

Myth: My expenses will go down when I retire so I don't need to save as much for retirement. Truth: With inflation, taxes and medical bills, your expenses will go up when you retire so you need to be prepared! Quite a few financial planners out there recommend a future nest egg value that will produce 80% of your current income when you draw a percentage of the dividends and earnings out of the account each month. The assumption is that your expenses will decrease by 20% when you retire and you will need less income to continue with the same standard of living. This means when you reach retirement age, you will have your debts paid off (including your house) and your dependents are gone, with your health remaining good and your taxes decreasing because you're pulling the income out of a tax-deferred retirement account, pension, or social security. Now, if you follow the L.I.F.E. Ladder and start early enough, you indeed should be debt free by retirement age and have fewer expenses in terms of debt. But the sad fact is, not very many of us actually follow those steps and we end up facing retirement with a huge drop in income but no drop in expenses. Actually, 43% of Americans have less than $10,000 saved for retirement. 27% have less than $1,000 saved. This is a problem.
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21 Jul 017 Financial Excellence: Things You Should Avoid Buying New

    Living In Financial Excellence Episode 17: Things to avoid buying new, July 21, 2010. There are just some things you are better off buying used, and we cover them today. Most of us make excuses to buy things new instead of used but we poke some holes in those excuses in this episode. Buying used in many cases provides you with like new or near new items at a fraction of the cost of buying new, plus you don't take the hit on depreciation as the item loses value. Show notes: - Special thanks to Brad Dassey of affordableradiovoiceover.com who created some professional intro and outro liners for a very low price. He did a super job and we recommend him to anyone who needs some professional recording done. - During a seminar at a weekend retreat at Camp LuWiSoMo, Matt was asked about nerds and free spirits in a marriage.
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20 Jul Paying Yourself First: How to Make it Work Part 2

[caption id="attachment_2906" align="alignleft" width="150" caption="Pay yourself first"][/caption] In part one of this two part article I talked about the theoretical part of paying yourself first. Planning our the month's income and expenses to spend every dollar on paper before the month begins, making sure you allocate...

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14 Jul 016 Financial Excellence – Saying No so Later you can Say Yes

  Living In Financial Excellence Living In Financial Excellence Episode 16: Saying "No" so later you can say "Yes" July 14, 2010. Janelle returns to the studio to talk about how we've sacrificed over the years in order to win with money. It all starts with one liberating word: "NO." But in our society, you're not allowed to say no to anything. We disagree, and we share in today's show the things we've learned to say no to. Show notes: - Mailbag - Lisa asks how to budget for those "Magic Months" when you get an extra paycheck. Bill asks a similar question about how to budget when you get paid weekly. - It's hard to avoid bank offers for more debt but it can be done and we're living proof! - It's a little taboo these days, but you can (and should) say no to your kids every once in a while instead of letting their wants dictate your spending and ruin your budget.
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13 Jul Paying Yourself First: How to Make it Work Part 1

[caption id="attachment_2906" align="alignleft" width="150" caption="Pay yourself first"]Paying yourself first[/caption] There are hundreds, if not thousands of financial gurus out there, all spewing the same advice: live on less than you make, pay down debt, avoid credit, invest early and often, etc. It begins to sound like a broken record with them all saying the same stuff. But what I've begun to see is that many Americans are tuning the broken record out. The reason: too much noise and not enough valuable content. Everybody is saying what you should do but nobody is saying how to do it. A prime example is the concept of paying yourself first. That phrase (or dare I say buzzword) has been uttered so many times over the last 20 years that people have become sick of hearing it. And whenever I mention paying yourself first in a coaching session with my clients, their eyes start rolling and their faces show an unmistakable look of disgust. When I press the issue I find that they have heard the term so much that they've tuned it out because they don't really know how to pay themselves first and actually make it work in real life.
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07 Jul 015 Financial Excellence – Payday Loans Exposed by Industry Insider

  Living In Financial Excellence Living In Financial Excellence Episode 15: Payday Loans Exposed by Industry Insider . July 7, 2010. Most of us know that Payday Loan companies are taking advantage of unknowing consumers on a daily basis. But today we've got former payday loan store manager Matt Kadlec in the studio to tell us just how far these companies will go to profit from desperate, hurting people. Show notes: - Matt Kadlec's story - Why he became store manager at the payday loan store, and why he quickly left. - Matt reveals how the company he worked for routinely broke the law so they could make higher profits. - Matt experienced the lack of training for employees in this industry. Everyone in the Payday industry is a bill collector by default. Trouble is, the company didn't explain that when they hired Matt as the store manager.
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