The IDEA Publishing
  • HOME
  • Popular IDEAS
    • IDEAS for Your Better Business Life >
      • The Business Idea
      • The Career IDEA
      • The Money Idea
    • IDEAS for Your Better Diversions >
      • The Tech IDEA
      • The Travel IDEA
      • The Auto IDEA
      • The Outdoors IDEA
    • IDEAS for a Better Table >
      • The Food IDEA
      • IDEAS de Cocina Espanola
    • IDEAS for a Better You >
      • The Health IDEA
      • Living Well IDEAS
      • The Fitness IDEA
      • The Beauty IDEA
    • IDEAS for a Happier Home >
      • The Home Idea
      • The Entertaining Idea
      • The Parenting Idea
      • The Senior Living IDEA
      • The Pet IDEA
  • The Video Domain
    • Video IDEAS for Your Better Business Life
  • About
  • Contact
  • ads.txt
The_Money_IDEAThe Money IDEA

The Money IDEA

Ideas on How to Save and Ideas for What to Do with Your Savings!

5 financial wellness moves every family should master

5/6/2019

Comments

 
young-family-financial-planning
Financial wellness is a journey, Do you have a map?

(BPT) - If you had to grade your financial literacy, what would it be? Are you an A+ saver, investor and planner, or do you think you could do better? If you grade yourself average at best, you’re not alone.

When asked to grade their own financial literacy, more than half of Americans say they’d earn a “C” or lower, according to new data from Prudential Financial. This isn’t surprising, considering data from Prudential’s Financial Wellness Census shows less than half of Americans are on track to meet their financial goals, including planning for retirement.

“Regardless of where you are on your family’s financial wellness journey, the best way forward is through financial literacy,” says Prudential Advisors President Brad Hearn. “Researching, educating yourself and getting advice from a financial professional can help you make the best decisions based on your life stage, risk tolerance and goals.”

Hearn says each family’s situation and goals are unique, and things like life stage and personal preference will impact how they choose to prepare for their financial future. To get started, here are five financial wellness basics every family should master:

Set up an emergency fund

Life is a series of experiences, and sometimes the unexpected can hit your finances hard. Whether it’s a car breaking down, your AC unit on the fritz or even losing a job, it’s important to be prepared for emergencies. If you don’t already have an emergency fund, start saving a little each month until you reach your goal. A good rule of thumb is to have three months’ worth of expenses saved in an emergency fund. So, if your monthly expenses are $2,500, you should have $7,500 saved.

Create a budget

Saving for college? A new car? How about starting that emergency fund? Whatever your family’s financial goals are, it’s important to have a plan in place that helps you achieve those goals. Budget to manage day-to-day expenses, and include in that budget a commitment to save for bigger milestones. For tips on getting started, do some research. There’s no shortage of advice, whether you decide to go it alone or consider using the help of a professional financial advisor.

Plan for the unimaginable

If you have people who count on you for financial support or caregiving, you should have life insurance. A life insurance policy can help give your family financial peace of mind should the worst happen. There is no rule as to how much life insurance you need, but important things to consider are your annual income, mortgage debt, potential college costs for kids and other future financial obligations.

Save for retirement

According to Prudential data, of Americans who have retirement savings and debt, nearly one-quarter have more in total debt than in retirement savings (23%), while 15% of Americans say that they have no debt, but also have nothing saved for retirement. Planning for retirement is something that should start as soon as possible. If your work offers any type of matching program, make sure to take advantage. If you don’t, you’re essentially leaving free money on the table.

Seek professional advice

Retirement, life insurance and savings can be confusing. Information overload is partly to blame. According to Prudential data, two-thirds of Americans agree that the list of things they need to learn to successfully manage their finances keeps growing, not shrinking. That’s where financial literacy programs and professional financial advice can play a key role. Nearly two-thirds of Americans don’t have a financial advisor. They say they cannot afford one (42%) or don’t believe their financial situation warrants needing an advisor’s help (26%). The reality is that advice is more within reach than ever before — and it’s not just for the wealthy. A financial professional can help at various stages in life and work with you to create a strategy based on your timeline, risk tolerance and goals.

“Financial wellness isn’t always a matter of having more money,” says Hearn. “Instead, it’s a journey that takes a combination of proactive effort, dedication and professional guidance.”

Prudential Advisors is a brand name of The Prudential Insurance Company of America and its subsidiaries. Life insurance is issued by The Prudential Insurance Company of America, Newark, NJ and its affiliates.


KEYWORDS

  • advice ×
  • annuities ×
  • annuity ×
  • bank ×
  • banking ×
  • banks ×
  • college ×
  • college loans ×
  • credit ×
  • credit card ×
  • credit cards ×
  • debt ×
  • economy ×
  • education ×
  • educational ×
  • emergency ×
  • emergency fund ×
  • expenses ×
  • family finances ×
  • finance ×
  • finances ×
  • financial ×
  • financial advisor ×
  • financial institutions ×
  • financial plan ×
  • financial planning ×
  • financial strategy ×
  • hacks ×
  • income ×
  • incomes ×
  • insurance ×
  • lifehacks ×
  • life insurance ×
  • lifestyle ×
  • literacy ×
  • matching ×
  • mortgage ×
  • Prudential ×
  • research ×
  • retire ×
  • retirees ×
  • retirement ×
  • retirement account ×
  • retirement planning ×
  • risk ×
  • risk factors ×
  • risk tolerance ×
  • savings ×
  • stock market ×
  • strategy ×
  • survey ×
  • tips ×
  • tools ×
  • unexpected expenses ×
  • wages ×
  • work

RSS Feed

Comments

Rebel against rogue investing and the dark side of market forces with these 7 tips

12/15/2016

Comments

 
Picture

(BPT) - There is great unrest in the financial universe. The next disturbance in The Force is anyone's guess. Like the rebels in the forthcoming Star Wars film Rogue One, you seek a new hope. Fear not and reach for a promising investment future.

I. Look to the setting suns.

In Episode IV: A New Hope, a moisture farmer named Luke Skywalker contemplates his future as two suns set. Great challenges loom ahead. Preparations are critical. The same is true of your financial future. Do you have an emergency fund? Are you on track for retirement?

TIP: You must be looking now to see what can happen later.

II. The Force will be with you, always.

The keys to investing success lie inside you-though you shouldn't go it alone. Envision what you'll encounter. Create a strategy to meet those demands. Ask yourself:

* How much can I contribute
* In which areas?
* What does victory look like?
* When will objectives be met?

When fear for the future emerges, seek advice. In Star Wars, Jedi knights guide apprentices. All lean on master Yoda.

TIP: Navigate challenging times with an advisor or representative at your financial institution.


III. Rendezvous.


Before dangerous missions in Star Wars, the rebels convene. Strategy is detailed. Difficult questions are asked. Consensus is reached. Regarding your investment plan, perhaps it's time to re-evaluate your budget and increase monthly contributions to your portfolio.
"Schedule time on a quarterly basis to review your portfolio's performance," says Kevin Driscoll, vice president of advisory services at Navy Federal Financial Group. "It's a great idea to involve your financial advisor in this process. A second opinion can provide perspective and help you identify areas for improvement."TIP: Plans tend to impact others, so be sure to communicate and collaborate.

IV. Diversify your attack.


An effective strategy in battle employs multiple fronts. In Star Wars, missions combine air and ground tactics. Investing also incorporates "divide and conquer." Experts recommend investing in diverse assets: stocks, bonds, certificates, real estate and more.

TIP: To diversify your portfolio, invest in stocks and bonds across a variety of business sectors.


V.
Stay in formation.

Your portfolio will be tested. Be mindful. In Star Wars, Jedi are trained to draw close to each other when threatened. Remember no matter how poorly an investment is performing, history shows the market corrects with time.

"When the market dips, purchase more shares with the same dollar amount. When the market spikes, your owned shares increase in value," Driscoll explains. This investing method is called dollar-cost averaging. It lowers the average cost of shares over time.

TIP: Avoid watching the market too closely. Resist the urge to bail on an asset. Invest consistently, with the long view in mind.


VI. Don't go rogue.


In Star Wars, The Empire has built a vast portfolio of assets on Darth Vader's watch. He offers enticing rewards to bounty hunters who support his regime. Your mission in financial planning is to resist the ever-present temptation to go rogue. Don't be seduced by others' success. Don't jump when a friend asks you to invest in his can't-miss venture (unless his goals align with yours).

TIP: Record your investment plan in writing, which firms up the details. When tested, fall back on the document.

VII. The saga will have many episodes.


Despite your best intentions, some investments will succumb to the dark side of market forces. Remember investing takes patience and fortitude. Like most journeys, the story of your portfolio won't be told in a single chapter.

TIP: Avoid making an investment decision when your emotions run hot or cold.

Get started.


If there's an example in Star Wars of what not to do in investing, it's Han Solo. He didn't believe in market forces (at first). At times, he struggled to manage obstacles. As we saw in Episode VII: The Force Awakens (and as early as Episode IV: A New Hope), Han didn't take debt seriously. Collectors were after him at every turn. In Episode VI: The Empire Strikes Back, his assets were frozen. Your destiny can be simpler. You don't have to be a swash-buckling smuggler. A moisture farmer from a remote desert outpost can make sound financial decisions toward prosperity.


Comments

Face Your Financial Fears

8/31/2016

Comments

 

Retirement is supposed to be a reward for decades of hard work, but if you haven’t planned well, the milestone may be a dark cloud on your horizon. New data shows that nearly 50 percent of Americans are most afraid of outliving their income or the inability to maintain their current lifestyle, and nearly 20 percent are worried about having enough money to cover health care expenses. Take control of the uncertainty and create peace of mind when it comes to retirement with these simple steps.



Face Your Financial Fears

Take action to save for retirement

(Family Features) Retirement is supposed to be a reward for decades of hard work, but if you haven’t planned well, the milestone may be a dark cloud on your horizon. In fact, new data shows that nearly 50 percent of Americans are most afraid of outliving their income or the inability to maintain their current lifestyle, and nearly 20 percent are worried about having enough money to cover health care expenses.

The research, released by the Indexed Annuity Leadership Council (IALC), also found that despite these very real fears, Americans are failing to take action to address them. For example, a quarter of Baby Boomers, the age group closest to retirement, have less than $5,000 saved for retirement and nearly one in five Americans have no idea how much they’ve saved.

The findings indicate that Americans are afraid of the unknown when it comes to managing their money and retirement. While you can budget for leisure and travel, health care expenses and life expectancy are unpredictable.

“Americans are living longer than ever, so it’s no surprise that the No. 1 retirement fear is that they’ll run out of money in their final years,” said Jim Poolman, executive director of the IALC. “Thankfully, there are strategies and products out there that can help you create sufficient retirement income to last throughout your lifetime, which can help with this crippling fear.”

To take control of the uncertainty and create peace of mind when it comes to retirement, here are some simple steps you can follow:

Make a budget.
Those who plan for retirement are estimated to save three times more than those who don’t. Take into account that your expenses may increase during retirement, specifically for items such as health care and travel. Also, be sure to revisit your budget periodically to make adjustments for new circumstances that affect how much you need to support the retirement lifestyle you desire.

Balance is key.
Investing in a 401(k) is a great way to start a retirement portfolio, but putting all your eggs in one basket is a common mistake. One method to provide balance to your retirement portfolio is to add some more conservative, low-risk products, such as Fixed Indexed Annuities (FIAs), which protect your principal regardless of market ups and downs. According to the survey, FIAs are an attractive choice for consumers, with 45 percent of Americans surveyed interested in this type of retirement product.

Plan to adjust.
A savings strategy that makes sense today might not fit your needs in five, 10 or 20 years. Factors like market volatility, changes in your career or personal life, can impact the amount you’re able to save and how much you anticipate needing when you reach retirement age.

Monitor the balance.
While it’s not as critical to track the ups and downs of your portfolio in your younger years, the closer you are to retirement, the more important it becomes to be aware of your account values. Your level of risk should reflect your age and your retirement goals. Generally, the younger you are, the greater risk you may be able to tolerate because market cycles generally rebound losses over time. When the window of time before retirement is tighter, you may not be able to recover from a dip as easily.

Small changes count.
Even seemingly little adjustments can have a noticeable impact on your finances over time. For example, packing your own lunch and giving up an evening out with friends once weekly or monthly will allow you to direct that money to a retirement account instead. Also, be sure to pay your credit card bills on time to avoid fees that not only affect your credit rating but deplete funds that could be directed to retirement savings.

Make it automatic.
Set up scheduled transfers so you don’t forget or aren’t tempted to spend the money you planned to save. Treat your retirement account as a debt you owe and be sure to pay yourself every month. If necessary, meet with a financial advisor who can help you determine a strategy to pay down debt without sacrificing your retirement planning.

Understanding Fixed Indexed Annuities
In today’s economy, experts recommend ensuring you have a diversified retirement plan and balanced financial portfolio that includes conservative, low-risk products that are less impacted by stock market volatility.

According to the Indexed Annuity Leadership Council’s research, 45 percent of Americans are interested in retirement products, such as Fixed Indexed Annuities, that offer steady lifetime income and protect your principal even if the stock market goes down.

Find more tips and tools to guide your retirement planning at FIAinsights.org.

Photo courtesy of Getty Images

SOURCE:
Indexed Annuity Leadership Council


  • advice ×
  • annuities ×
  • bills ×
  • credit ×
  • credit cards ×
  • expenses ×
  • family ×
  • Family Features ×
  • health care ×
  • insurance ×
  • investing ×
  • investments ×
  • markets ×
  • money ×
  • personal finance ×
  • portfolio ×
  • retirement ×
  • seniors ×
  • stock market ×
  • strategy



Comments



    Archives

    January 2021
    December 2020
    September 2020
    August 2020
    June 2020
    May 2020
    March 2020
    February 2020
    January 2020
    December 2019
    November 2019
    October 2019
    September 2019
    August 2019
    July 2019
    June 2019
    May 2019
    April 2019
    March 2019
    February 2019
    January 2019
    September 2018
    August 2018
    July 2018
    June 2018
    May 2018
    April 2018
    March 2018
    February 2018
    December 2017
    November 2017
    September 2017
    August 2017
    July 2017
    June 2017
    April 2017
    March 2017
    February 2017
    January 2017
    December 2016
    November 2016
    October 2016
    September 2016
    August 2016
    July 2016
    June 2016
    May 2016
    April 2016


    Interested in Publishing on The Money Idea?
    Send your query to the Publisher today!

    Categories

    All
    1040
    1040a
    1040EZ
    1099
    401k
    401(k)
    Accident
    Accident Insurance
    Accidents
    Account Information
    Accounting
    Accounts
    Advertising
    Advice
    African-American
    African-Americans
    Age
    Aging
    Amazon
    Analysis
    Annual
    Annual Enrollment
    Annuities
    Annuity
    Antique
    Antiques
    Appraisal
    Apps
    April 15th
    Assets
    Assisted Living
    Attorney
    Auto Insurance
    Auto Loan
    Automatic Payments
    Automobile
    Autopay
    Baby
    Bank
    Banking
    Bankruptcy
    Banks
    Benefits
    Bills
    Birth
    Bonds
    Borrower
    Borrowing
    BPT
    Brandpoint
    Brandpoint Content
    Budget
    Budgeting
    Calculator
    Cancer
    Capital
    Capital Gains
    Car
    Car Accident
    Career
    Careers
    Car Insurance
    Car Loan
    Cars
    Cash
    Cash Flow
    Casinos
    CBS This Morning
    CD
    Center For Financial Services Innovation
    Certainty
    Charitable
    Charity
    Check
    Checking
    Checks
    Child
    Children
    Child Tax Credit
    Choices
    City
    Claim
    Claims
    Closing Costs
    Collateral
    Collectibles
    College
    College Loans
    Communications
    Community
    Companies
    Comparison
    Compensation
    Compound Interest
    Compunding
    Computer
    Computers
    Conflicts Of Interest
    Consumer
    Consumer Protection
    Consumers
    Consumption
    Contract
    Contributions
    Convenience
    Conversion
    Copayment
    Copayments
    Coronavirus
    Cost Of Living
    Costs
    Couples
    Court
    Coverage
    CPA
    Credit
    Credit Card
    Credit Cards
    Credit History
    Credit Report
    Credit Reports
    Credits
    Credit Score
    Credit Union
    Crime
    Criminal
    Crisis
    Critical Illness Insurance
    Cybercrime
    Cybersecurity
    Data
    Dates
    Death
    Debit Card
    Debt
    Debts
    Deductibles
    Deductions
    Deferred Compensation
    Defined Contribution
    Delivery
    Demographics
    Department Of Housing And Urban Development
    Design
    Destinations
    Diamond
    Digital
    Disability
    Disability Insurance
    Discount
    Discounts
    Distribution
    Distributions
    Diversification
    Doctor
    Doctors
    Documents
    Donations
    Down Payment
    Down-payment
    Earned Income Tax Credit
    Earnings
    EBay
    Ecommerce
    Economics
    Economy
    Education
    Educational
    EITC
    Eligibility
    Email
    Emergency
    Emergency Fund
    Emergency Plan
    Employee
    Employee Benefits
    Employer
    Energy
    Entertainment
    Environmental
    Equity
    Estate
    Estate Planning
    Estates
    Ethnic
    Ethnicity
    Exemptions
    Expenses
    Expert
    Expertise
    Experts
    Families
    Family
    Family Features
    Family Finances
    FASB
    Fashion
    Federal Government
    Federal Housing Administration
    Fees
    FHA
    Filing
    Finance
    Finances
    Financial
    Financial Advisor
    Financial Crisis
    Financial Institutions
    Financial Plan
    Financial Planning
    Financial Setbacks
    Financial Strategy
    Fixed Income
    Flood Insurance
    Fraud
    Future
    Gambling
    Gaming
    Generic Drugs
    Gifts
    Goals
    Gold
    Government
    Green
    Groceries
    Grocery
    Growth
    Guide
    Hacks
    Health
    Health Care
    Health Insurance
    Health Savings Account
    Heirs
    Higher Education
    Hobby
    Holiday
    Home
    Homebuyers
    Homebuying
    Home Equity
    Home Equity Conversion Mortgage
    Home Improvement
    Home Insurance
    Home Loan
    Homeowners
    Homeownership
    Home Ownership
    Homeowners Insurance
    Home Repairs
    Homes
    Home Security
    Home Warranty
    Hospital
    House
    Household
    Housing
    HSA
    HUD
    ID
    Identification
    Identity Theft
    Incentives
    Income
    Incomes
    Income Tax
    Income Taxes
    Individual Investor
    Information
    Injury
    Insurance
    Insurance Claim
    Insurance Company
    Insurance Policy
    Insurance Rates
    Interest
    Interest Rates
    Internal Revenue Service
    Internet
    Investing
    Investments
    IRA
    IRS
    Itemize
    Jewelry
    Job
    Job Loss
    Jobs
    Kids
    Land
    Laptop
    Law
    Lawsuit
    Lawyer
    Legal
    Lender
    Lending
    Leukemia
    Liability
    Lifehacks
    Life Insurance
    Lifestyle
    Limits
    Line Of Credit
    Literacy
    Litigation
    Loan
    Loans
    Long-term
    Long-term Care
    Loss
    Losses
    Lost Wages
    Management
    Manufactured Home
    Manufactured Homes
    Marginal
    Marketing
    Markets
    Marriage
    Matching
    Medicaid
    Medical
    Medical Bills
    Medicare
    Medium
    Mental Health
    Metro Areas
    MI
    Millennials
    Modular Homes
    Money
    Money Management
    Monthly Budget
    Monthly Payments
    Mortgage
    Mortgage Insurance
    Mortgage Loan
    Motivation
    Move
    Moving
    Myth
    Myths
    Need To Know
    Nestegg
    New Home
    News
    Nursing Homes
    Online
    Online Auction
    Online Banking
    Online Filing
    Online Shopping
    Opportunities
    Opportunity
    Origination Cost
    Parents
    Patients
    Pay
    Paycheck
    Payment
    Payments
    Penalties
    Penalty
    Pension
    Personal Bankruptcy
    Personal Finance
    Personal Finances
    Personal Privacy
    Personal Wealth
    Pets
    Phone
    Plan
    Planning
    PMI
    Policy
    Portfolio
    Premiums
    Prescription Drugs
    Prevention
    Prices
    Pricing
    Priorities
    Privacy
    Property
    Protection
    Prudential
    Psychology
    Purchasing Power
    Qualifications
    Rate Of Return
    Rates
    Real Estate
    Realtor
    Refund
    Regulation
    Relationships
    Relocation
    Rent
    Rental
    Renters
    Renting
    Resale
    Research
    Restaurants
    Retire
    Retirees
    Retirement
    Retirement Account
    Retirement Planning
    Returns
    Reverse Mortgage
    Risk
    Risk Factors
    Risk Tolerance
    Robbery
    Rollover
    Roth IRA
    Safety
    Salary
    Save
    Saving
    Savings
    Scam
    Scams
    Scholarship
    School
    Security
    Senior Care
    Senior Citizens
    Seniors
    Settlement
    Settlements
    Shipping
    Shocks
    Shopping
    Silver
    Skimming
    Smartphone
    Socially Resposible Investing
    Social Security
    Spanish
    Spend
    Spending
    Spouse
    SSDI
    State Taxes
    Stock Market
    Stocks
    Strategy
    Stress
    Style
    Suggestions
    Supply Chain
    Survey
    Sustainability
    Tax
    Tax Consequences
    Tax Credits
    Tax Deadlines
    Tax Deductions
    Taxes
    Tax Filing
    Taxpayers
    Tax Planning
    Tax Preparation
    Tax Refund
    Tax Return
    Tech
    Technology
    Teens
    Terms
    Testing
    Texting
    Theft
    TIAA
    Time
    Tip
    Tips
    Title
    Tools
    Traditions
    Transaction
    Transactions
    TransUnion
    Trend
    Trends
    Tricks
    Trucking
    Trump
    Trusts
    Unemployment
    Unemployment Insurance
    Unexpected Expenses
    UPS
    Urban
    Vacation
    Valuables
    Value
    Veterans
    Volatility
    Voluntary Benefits
    Wages
    Wall Street
    Washington
    Wealth
    Web
    Wedding Rings
    Wife
    Will
    Wills
    Wisconsin
    Withdrawl
    Withholding
    Work
    Workplace
    Worry
    Wow
    Young Adults







    Get this money content for your website with our RSS Feed below!

    RSS Feed

Proudly powered by Weebly
  • HOME
  • Popular IDEAS
    • IDEAS for Your Better Business Life >
      • The Business Idea
      • The Career IDEA
      • The Money Idea
    • IDEAS for Your Better Diversions >
      • The Tech IDEA
      • The Travel IDEA
      • The Auto IDEA
      • The Outdoors IDEA
    • IDEAS for a Better Table >
      • The Food IDEA
      • IDEAS de Cocina Espanola
    • IDEAS for a Better You >
      • The Health IDEA
      • Living Well IDEAS
      • The Fitness IDEA
      • The Beauty IDEA
    • IDEAS for a Happier Home >
      • The Home Idea
      • The Entertaining Idea
      • The Parenting Idea
      • The Senior Living IDEA
      • The Pet IDEA
  • The Video Domain
    • Video IDEAS for Your Better Business Life
  • About
  • Contact
  • ads.txt