This is a great article. After I was laid from two companies in one year after they shut down and moved to Mexico, I was able to live on my savings for 6 months until I found employment. I usually put aside 20% each month into my emergency savings.
I like www.elliekay.com as she provides a lot of great advice and plenty of downloads. One in particular that i like is the really fancy MS Excel worksheet that makes it so easy to track every dollar that I spend. I've been able to put away significant savings due to the discipline this free tool provides.
Also, I'd recommend a few savings accounts. For example, I have an account just to save for my real estate and car taxes, another for my future car purchase, and if I have any left over after my monthly spending and savings, I put the rest into my "Fun Bucket". Right now, I have enough to take a really nice vacation.
Okay, thanks for reading.
D. Robinson
www.careercougar.com
careercougar.wordpress.com
Daphne Robinson
of CT
@
Jun 25, 2009 19:00:35 PM
Inflation
...long term saving & investing by young people MUST consider "INFLATION" (loss of purchasing power in saved $$$).
It is rarely even mentioned by vanilla financial planners.
Now with the Federal Reserve creating Trillions of $$$ from thin air for financial bailouts ... you can be certain inflation will soon be severe and lasting.
Doug
of NY
@
Jun 20, 2009 18:15:51 PM
Letter to Young Investor
Super advice, mostly!
Sam X Renick
Author, Founder, CEO, Social Entrepreneur
The It's a Habit! Company, Inc.
Award Winning Financial Education Products & Programs Since 2001
www.itsahabit.com
www.sammyrabbitblog.com
http://twitter.com/sammysays
sam x renick
of CA
@
Jun 19, 2009 16:11:07 PM
On the "investment" part,
I'd add this: The age of "buy and hold" with stocks is pretty much over, kinda like the age of working a whole career for one company is pretty much over.
Like it or not, the investment world is inhabited by very, very sophisticated traders who constantly practice "sector rotation" to shake ordinary people in and out.
You must not "avoid" investing. But, increasingly, a good result may require more of your time and thought than used to be the case.
Muser
of NM
@
Jun 19, 2009 13:53:52 PM
I have problems with #1
First, I would concentrate on getting a good education in something you enjoy doing that will provide you with good income with potential [for growth].
While I don't disagree with the education part (or finding something you enjoy doing), the income part is what I disagree with. We all have a different idea of what a "good" income is. My mother maxed our her earnings potential in her district. Unless she gets a new job in a different district (throwing away her YEARS of seniority), she will never make more than 50K. I have friends who make that much, if not a little more. However, the tradeoff is while my mom's salary may be considered low by some, her benefits more than make up for it. She rarely pays more than 15 dollars for a prescription. My sister was in the hospital for a few days in 2004 and mom didn't owe a dime.
Quite honestly, if living in a condo instead of a house means we get awesome healthcare, it's a trade off I'm willing to make.
Kimberly Palmer, senior editor for U.S. News & World Report, writes about how to save money, avoid scams, manage debt, and be a savvy shopper. Send your personal finance questions to her for expert money advice.
Daphne Robinson of CT @ Jun 25, 2009 19:00:35 PM
Doug of NY @ Jun 20, 2009 18:15:51 PM
sam x renick of CA @ Jun 19, 2009 16:11:07 PM
Muser of NM @ Jun 19, 2009 13:53:52 PM
Veronica of NH @ Jun 19, 2009 09:56:50 AM
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