WOMEN AND FAMILY: Budgetary Responsibility by Brad Weisman
We unfortunately live in a world where money seems to control all too many things, however with that comes responsibility. As kid’s all we want is the things we “want” vs. “need”. As a parent, I have deep concerns about my kids understanding the importance of using money wisely. This does not mean to not indulge, however it is important to leverage your income these days. The world has changed and we all are now confronted with expenses that never existed. As a result, what we have today for disposable income no longer travels as far as it once did. 57% of people in the US have less than $1000.00 dollars in savings. Even more scary, 37% of the people in this country do not even have a savings account. To top off these unpleasant statistics is 50% of divorces are directly related to money issues. This just reinforces the importance of being fiscally responsible. People in general continue to build debt, however this is a problem that can be overcome with preparation.
One thing young (and older) people fail to do when they first start receiving a pay check is think about retirement. Retirement? Seems like that is something you don’t have to think about until you see the sunset in the horizon. Well, the reality is social security may not exist and starting an IRA will always be an option. It is in fact never too early to start an IRA. The longevity of living has gone up resulting in people needing more money for retirement.
Aside from retirement, it is so critical to understand “needs” vs. “wants”. It is so simple to itemize a list of expenses you incur (bills, rent, etc.) Once you understand fixed expenses it is always great to map those expenses up against your monthly income. Understanding what is coming in and what needs to go out sets the foundation for a healthy budget.
Along with fixed expenses build a wish list of things you want. This can be incentive to put way for the things you want……new car……new furniture etc. When one earns a pay check it is never an invitation to spend it, but rather an opportunity to be responsible. We have entered a world with a variety of online resources that can help itemize your expenses. As a result, we can now visualize what it is that we have each month and obtain information in real time. Technology has finally made it possible for us to have no excuses to track personal financials. The earlier we become financially responsible the faster we can begin to look at that beautiful word “retirement”. However, with retirement comes searching for what is going to make the back 9 of your life fulfilling.
Please note: That any suggestions are based on personal experiences and knowledge garnered from self-education. Neither Menofvalue.com or Brad Weisman offer any guarantees or are responsible for the consequences for any advice taken.