Alvin Kamara’s got his priorities straight. pic.twitter.com/9jeFLrJvqb — NFL on ESPN (@ESPNNFL) January 4, 2018 “I got my signing bonus and I put that s— in the bank and I went and got some m—–f—ing wings.” The above quote, from rookie running back Alvin Kamara, went viral on social media yesterday after being posted by The MMQB. Kamara went on…
A word of caution regarding ‘Step-Up Callable CDs’
One advantage of “step-up callable CDs” is they generally pay a higher interest rate than traditional bank CDs, which is appealing to fixed income investors. However, these products come with a wide set of unique risks. A Certificate of Deposit (CD) is a financial product commonly sold by banks that is popular among conservative investors because the deposit is protected…
Should You Pay Off Your Mortgage?
After years of dutiful payments, you find yourself in the enviable position of having enough accumulated savings or discretionary income that you could aggressively pay down—or completely pay off—your mortgage. But should you? Are there better ways to ensure your financial security? Making the best choice for you Paying down your mortgage faster—or paying it off in a lump sum—seems…
Practice owners can surpass 401(k) contribution limits with Cash Balance plans.
Professionals (doctors, dentists, lawyers, etc.) may have very high wages, but the earnings come after years of school, training, buying into a practice, and paying down student debt. Because of these factors, professionals often are unable to make meaningful retirement contributions until the middle or later parts of their careers. Professionals, who are owners in a practice, can make up…
The Rise of the Cryptocurrencies
Roughly seven years ago, Laszlo Hanyecz made a proposition on an Internet forum. Hanyecz was looking for someone to send him some pizza, so he could cure his hunger pangs. In return, he offered up 10,000 units of a little-known currency called bitcoin. Hanyecz ended up getting two Papa John’s pizzas for his bitcoin payment (which at the time was…
Hurricane deductibles and other exclusions can trigger large out-of-pocket bills for homeowners
Thousands of homeowners in Florida suffered hurricane damage this year, and many were surprised to learn their homeowner’s insurance policy contains a separate “hurricane deductible” that shifts responsibility for thousands of dollars’ worth of repairs to the homeowner. For those fortunate enough to not have had enough damage to file a claim, now would be an excellent time to review…
Seasonal and Cyclical Revenue Declines will make Realtors Save More Money.
I have previously written that home builders and contractors need to keep more money in emergency savings than most professionals do. Several realtors and real estate agents have since contacted me to point out that they also have to keep extra money in emergency savings due to seasonal and cyclical sales fluctuations. They are absolutely correct. Financial planning professionals have…
Combat Lifestyle Creep with Savings Creep.
Between a doctor and a school teacher, who would you expect to have more income left over for savings at the end of each month? In an alarming number of cases, they both have the same amount of money remaining: zero. Many individuals fall into a trap where, no matter how much their income increases, they never save a meaningful…
Preventing a Parent from Raiding Their Child’s College Savings.
Relatives and divorced parents often want to fund a child’s college savings account, but fear the money will be inappropriately spent by a manipulative or irresponsible parent. This post will discuss how to ensure the money will be used strictly for college, and how to avoid legal entanglements with the parent(s). Situations often arise where a family relation wishes to…
Self-employed Real Estate Professionals, too, can have a 401(k)
Real Estate professionals who are considered self-employed may love the flexible nature of their job, but are often envious of corporate worker’s access to a 401(k) plan. Well, there is good news. Self-employed individuals, like many Real Estate Agents and Brokers, also have the privilege of saving for retirement with a 401(k) plan. The plan is commonly called a solo-401(k)…