"Aim at heaven and you will get earth thrown in. Aim at earth and you get neither."C. S. Lewis
|
Warning: fopen(stopka/index.php) [function.fopen]: failed to open stream: No such file or directory in /stopka.php on line 117
Warning: fopen(stopka/6655d922aa2c1bbb44b556c10262be35.txt) [function.fopen]: failed to open stream: No such file or directory in /stopka.php on line 117
| |
Fun with Credit Cards
For those of us who know how to use them properly, credit cards can actually be quite fun and lucrative. To those who do not know how to use them properly, I would say that you should stop reading this column right about now, or at least I would advise ...
Moneynet supports drive for ethical advertising for loan products
Almost two thirds of newspaper advertisements for loans are breaking the law - according to the UK's trading watchdog, a figure deemed "wholly unacceptable" by Richard Brown of the consumer finance website moneynet. Moneynet has been championing greater ...
The Retirement-Savings Vs. College-Savings Dilemma
Before a child is born, every parent considers (even if briefly) the cost of raising a child and to put them through college. And the question about saving money that you'll consider at some point is: how do I evaluate whether I should be saving for ...
|
|
|
| |
An avid cyclist and bike racing fan, I sit transfixed during the many hours of Tour de France coverage every July when the race rolls around. This year, during some of the less-than-scintillating early miles of the sprint stages, my mind wandered a bit, and it occurred to me that there are some interesting parallels between winning the Tour de France and winning at personal finance.
Having watched Lance Armstrong pull off the win for 7 years in a row, I’ve compiled this list of the Top 10 Ways Managing Your Money Is Just Like Riding a Bike:
1. If you take safety precautions (e.g. helmet/emergency fund), you’ll feel a whole lot more relaxed and confident on the journey.
2. The better prepared you are, the greater your chances of succeeding. It’s important to learn from the past, but you must also scout out the road ahead and evolve with the constantly changing environment.
3. Crashes happen. The actions of other participants, bystanders, and the media can sometimes distract you from your goal. If you expect the unexpected and are able to respond with a level head, you’ll be better off.
4. If you take too many unnecessary risks, you might end up out of the race, and sometimes it can take quite a while to recover.
5. But you’ll probably have to take at least some calculated risks to come out ahead. For example, you might improve your performance by using cutting edge products, e.g. ultra-light wheels for big uphill climbs or, in the financial world, Health Savings Accounts (HSAs.) But you also make some tradeoffs, e.g. less stability going downhill or, with HSAs, penalties if you withdraw the money for something besides health care.
6. There will be rainy days, and there most certainly will be ups and downs. The one who weathers the tough days the best usually comes out ahead in the end.
7. You don’t have to come out on top (“beat the market,” so to speak) every day - or any particular day, for that matter - to win the overall race, the race that really matters.
8. You can go a lot farther if the team you surround yourself with has skills, experience, a well-defined goal, and the right motivation.
9. Even if you start at a huge disadvantage, you can emerge victorious if you have the right attitude, understand the rules of the game, and persist despite setbacks.
10. A little bit of luck never hurts!
So the next time you’re in doubt as to which road to take on your personal financial journey, consider looking to the peloton for guidance and inspiration. Whether your goal is a yellow jersey on the Champs-Elysées in July or a secure retirement, there’s a surprising amount to learn from watching a bunch of bike racers circumnavigate France. Congratulations, Lance!
About the Author Sherrill J. St. Germain, MBA, is founder and principal of New Means Financial Planning of Hollis, NH. A member of the Garrett Planning Network, a national network of fee-only financial planner, she offers financial advice on an hourly, as-needed basis.
|
|
|
|
|
|
 
USA TODAY |
Money Watch: How do I make my 401(k) last after retiring?USA TODAYMoney Watch, a personal finance column that runs every Saturday, features a financial planner from the National Association of Personal Financial Advisorsanswering reader questions about saving, protecting and growing your money. To submit a question, ... |
|
Friday's Personal Finance StoriesMarketWatchWell, it's that time of year again. Getting ready for the traditional start of summer, planning a fun Memorial Day barbecue, dreaming about a summer vacation, and defending your portfolio against a 30% drop in stocks and another debt-ceiling crisis.and more » |
|
Thursday's Personal Finance StoriesMarketWatchInvestors who take minimal risk can't expect much gain, but those who don't manage risk can expect much worse, Jonathan Burton writes today in his Money Talks column. Read about risk manager Keith McCullough's strategy. Also on MarketWatch today, ...and more » |
|
