If you are a regular reader, you know I talk a lot about saving money. A lot! “Save, invest, repeat, save, invest, repeat” is one of my mantras. It is also the key to reaching financial independence. Another of my mantras is “Capture those dollars”, so much so that clients KNOW what I’m going to say when they share news such as getting a raise. One client recently emailed: “You make me laugh with your wonderful enthusiasm about all things savings.” But I came across two items recently that made me wonder if I should talk a bit more about spending. The first was a post from Mike Piper, one of my favorite bloggers, reviewing the book “My Money Journey, How 30 …
Spending
Can money buy happiness? Maybe.
Can money buy happiness?The answer is complicated – certainly money is important, there is no denying that.But does it make us happy? My colleagues and I have all worked with wealthy clients who are miserable. We also have clients of modest means who are not only happy but spread that happiness to everyone they come in contact with – including their advisor!Psychologists have have probed the relationship between money and happiness and have come up with some useful insights.Experiences make us happier than things.Spending money on others often makes us happier than spending it on ourselves.It is the season of giving and many of us are spending money on gifts. I recently discovered a way …
Help Those in Need this Year and Get a (Small) Tax Break
This isn’t exactly news, but it’s been a tough year. In the midst of a pandemic and economic crisis, many have lost income. Some have lost loved ones. Non-profits such as food banks are having difficulty keeping up with demand. Perhaps you have been more fortunate and have donated money to charity this year. Good news, Congress added a new tax break for charitable contributions this year as part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Since Tax Reform took effect in 2018, fewer taxpayers are getting deductions for their charitable donations. Charitable contributions are deducted when a taxpayer itemizes deductions. After Tax Reform, …
What Can We Learn From Abigail Adams About Personal Finance?
Abigail Adams was ahead of her time in many ways.She married John Adams the future 2nd president in 1764. During the early years of their marriage, John was frequently away. At a time when women rarely handled business affairs, Abigail tended the family business, a farm in Quincy, MA (where I live) during his many absences.She hired help, traded livestock, supervised the planting and harvesting, and oversaw construction. She kept track of all the finances, all while personally educating their five children. Writing from the Continental Congress John acknowledged his wife's skill with the joking compliment he had received word that their farm never looked better and was likely to …
Just Because you have a Coupon Doesn’t Mean you Should Go Shopping – and Other Useful Money Rules
When I tell people I am a financial advisor, they sometimes ask the inevitable question: “Do you have any hot stock tips?” The GI doctor about to do my screening colonoscopy asked me this while I was lying in the fetal position. Awkward! No, I do not have any stock tips – hot or cold. But I do have some important advice about achieving financial independence. It’s just five words. Are you ready? Recently a client brought me a book highlighting this advice. She was at an event and the AARP was giving free books to members. She knew I would like it, so she got one for me! I have the best clients. Thanks Anne M.! Money Rules – The Simple Path to Lifelong Security by Jean …
