You would never jump into a game and wager thousands of dollars without first knowing the rules. And yet, every year many parents do just that as they embark on the process of seeking financial aid for college costs. The truth is if more parents understood how the information on the Free Application for Federal Student Aid (FAFSA) is analyzed, they would take steps to place themselves in the most favorable light. Strategic positioning can really pay off if you know how the game is played. Read on...
Math that All Kids Will Love
Do you want to get your child’s attention and encourage them to save money? A little basic math will show them how they might become millionaires – if they start investing early. Consider this hypothetical example: A teenager has a part-time job and puts $2,000 of her earnings into a Roth IRA every year starting at age 16 and ending at age 20. Then, she leaves that $8,000 total investment to compound for 47 years at an average rate of 10.7%. Even though no additional money is added to the Read on...
10 Steps to Financial Strength
With the day-to-day pressures you face, it's easy to let your financial life go unattended -- especially if there's money left over at the end of the month. Yet, if you pay just a little more attention to your savings and spending habits, and get clear and specific about your goals, you will find yourself in a position of financial strength. Here are some quick steps you can take that are easy to implement and will get you results fast: Get Organized. An organized household spends less Read on...
Allowance: Your Kids’ First Money Lesson
One of the most important things you can teach your kids is how to handle money because this skill -- and not earning power -- will determine their financial success. Allowance is one way to create many teachable moments. There are many schools of thought on how to approach allowance: give $1 for every year of age or pay a "competitive" wage; use it as payment for chores, or keep it separate from chores. Well here's a way to make your life easier, limit whining, and give your kids the power Read on...