Weekly Finance Tips

Archive for the ‘Personal Finances’ Category

Retirement planning is not just about finance and includes everything from re-evaluate your budget and daily routine to their health care options, including the Savings Accounts Health care (HSAs, for its acronym in English) , the long-term care and life insurance.

• Eighty percent or more of those people not yet retired and retirees expect to pay for prescription drugs and doctor visits during retirement. Twenty-nine percent even anticipate the costs associated with alternative medicine and five percent plan cosmetic surgery, a reflection of the health care preferences of consumers today.

• However, 52 percent of respondents expect to spend less than $ 300 a month in pocket costs and expenses related to health care in retirement, less than half of the $ 640 per month it expects to spend the average retiree.

It is clear that many Americans have too much to think about when it comes to planning for retirement, perhaps for that reason, 63 percent said that “people who know” are very or somewhat confused about health benefits. But it need not be so. The tool Healthy Retirement Readiness is an interactive self-assessment that helps you plan a healthy and financially stable retirement. If not yet retired or already retired, this tool will assess where in the process of retirement planning are you, offer advice according to their current level of planning and give you realistic steps forward. Along the way, will have the opportunity to read the testimony of a person who is at a similar stage of life, which will give a personal perspective on all levels of retirement planning.

In addition, like most of us are not aware of the amount of money we spend per year on medical needs, the Health Expense Calculator estimates annual health expenses, both individual and family, including medical, dental, vision and prescription drugs. Be sure to use this calculator to better understand how much money you need some to cover all medical expenses of disbursement per year.

This is the time to start planning and learn about everything related to their health benefits and financial needs for retirement. Planning today will be useful for the future. After all, your retirement goal is to live a long, happy and healthy, just as you always dreamed.

If we asked a few years ago on the street to ordinary people if they had some savings, either in the bank or at home for them to cope with unexpected expenses or to take a little whim, certainly more than half The Spanish people have responded positively to be so.

However, today, and the economic crisis (crisis that we are not one year but we suffer more), it is certain that the percentage of people who can still afford to save some money is not so much as before and According to statistics, 36% of Spanish have no savings to meet expenses or emergencies while 18% have saved enough to meet the expenses for a year.

This is what has been drawn from a study of worldwide ING Group has collected data since countries such as Spain, USA, Mexico, Netherlands, Romania, Poland, Belgium, India, Korea and Japan.

Seeing this fact is not very encouraging is that we must also take into account that the small rise in wages, when costs go up more, makes a few people may spend part of their income to a savings fund, and either the bank or at home (and if you also think that there are families where no member works even worse).

We can make a purist distinction in terminology between Capital Structure and Financial Structure.

Strictly speaking the Financial Structure includes all sources of financing, including short-term, while the Capital Structure is based solely on long-term instruments.

The problem that arises is that, in popular parlance, people referring to one or the other, but this is not entirely correct. Financiers must distinguish clearly between them.
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Based strictly on responses expressed by you, I get to detect an apparent contradiction, that if confirmed, would be giving a heavy blow to the foundations of any Financial Theory and particularly to Modern Portfolio Theory.

Let’s see:
On the one hand and given the responses of the majority, you define risk through ex-ante proposition: it is a possibility of harm. This possibility is in the future and also devoid of certainty. The definition is therefore based on the notion of uncertainty (do not know what could happen) and therefore predates the facts (ex-ante).
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1. Summary of your account and credit card must be paid in full at the end of the month to avoid paying interest and rough that does not need to be added. These interests to reach up to 50% per year and even more countries.
2. Do not follow the investment advice of neighbors or people with financial experience little or none.

3. Remember that although the furore in the media about the high cost of fuel, admitted that the $ 30 to fill the gas tank of your current vehicle with a dollar cheaper today than it costs $ 15 for 20 years as the $ 30 to win today is much easier than winning the 15 $ 20 years ago.

4. Attend and enjoy the financial talks but realize and recognize that 95% of what they say is absurd to ordinary people like us. Usually we want to sell something.

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