Man three has reached average annual gains of close to half his annual salary earned by selling his time. In 20 years he will have invested $200,800. But his investment account value will likely be over half a million dollars, depending on if the market is in an up or down phase at the 20 year mark. It is also important to note that man three after 20 years earns more income and increase in value in his investments on average every year than he does working his job ..read more

There was a time when I felt that if I had the ability to help someone I had an obligation to do so. I took it upon myself, as a responsible person, to help whenever needed. This worked modestly living out in the backwoods of Nowhere, Wisconsin. In the real world, my ideology is a recipe for disaster. Many people share my former belief system. They (we) think we have to do everything we have the ability to do to help others. It is a worthy mindset, if not misplaced. If a child is drowning in a pool and you can save the child, of course you should do so. But that isn’t what we are talking about ..read more

We see stupidity while driving. People discussing religion or politics also get labeled as stupid if we don’t agree with them. In personal finance we have the so-called “smart money” crowd. The phrase usually applies to high net worth investors and institutions. Somehow these people are considered “smart” by default. It can also mean everyone outside the “smart crowd” is stupid. The mistake made is that smart money is more intelligent (less stupid?) than people not considered so smart. History is filled with instances where this is not true. Rather than define “smart”, we need to define what i ..read more

There is a good reason why you have less money than you want. For several years now I have worked with a local woman, consulting on taxes, work, debt, and money. For all of that time she complained loudly about how unfair it was that other people made so much more than she did. The complaints were relentless. And, of course, she has money problems. To be fair, her family income was below the national average and even the local average when we first met. She was bringing in okay money. Nothing to blow you away, but enough to live if you paid any attention at all to your finances. She has no min ..read more

What is the first thing you do when you get a promotion? Or only a raise? What about special events? What is your first order of business when planning for holidays, a wedding, engagement, graduation…? For many people a special event calls for spending money. A raise means you are required to buy a round. A home purchase requires a housewarming party. Holidays, weddings, and many other special events require gift giving, often times in two directions. The knee jerk response is to spend money. Sometimes very large amounts of money. Big events like weddings can be a major haul for the retailers ..read more

Is there a secret to having financial wealth, to being rich? Is the secret to wealth complicated? And most important, is the secret something I can use to make myself rich? The good news is that there are only two real ways to build financial wealth. Both are easy to apply. There is a third way to become rich that builds wealth fast and creates a much bigger pile. We’ll save the super-charged wealth building secret for last. If you read social media or the news feeds, you would think having money is some complex,10,000 step process only the lucky and gifted can conquer. It gets people to click ..read more

The home is often the largest hard asset people own. The right time to sell your home requires you to consideration several factors. Job relocation, retirement, or divorce are reasons to sell your home. Unfortunately, these home sales are often forced upon you. The second reason to sell your home is more strategic. Moving to a larger home or downsizing does not force your hand. You can plan the transition, maximizing your financial benefit, while keeping your taxes at the lowest level allowed by law. Regardless if you are forced to sell your home or are planning a lifestyle change, there are s ..read more

It is hard to believe that just over 100 years ago in the United States — the Land of the Free — women did not have the right to vote. That right was not granted by the Constitution until 1920 when the 19th Amendment was finally ratified by Tennessee on August 18th, the 36th state to do so, surpassing the required two-thirds necessary to add an amendment to the Constitution. Ratification was certified on August 26, 1920, giving women the legal right to vote nationally. It seems like women enjoyed suffrage forever. We take it for granted these days. But that is not the historical truth.  A ..read more

I am of the firm belief you can learn something from every situation, from every event you attend. With this in mind, I decided, after years of avoidance, it was time again to check out what happens behind the closed doors of the free dinner invitations. The older you get the more of these invitations you get. (They put you on a list.) The first one that arrived in the mail was for the traditional investment seminar, followed the next day by an invitation to a health treatment and another for funeral planning. Mrs. Accountant and I pinched our noses and signed up for all three. In each seminar ..read more

Five years ago I started a project where I would publish a special page on this blog listing The 100 “Best” Books for a Financial Education. This project is nearing completion. At the time I felt a few months max would be needed to compile the list. However, prior read books needed another read and the more I read the more books I discovered should get a review for inclusion. As the finish line approaches I see over 450 books on my list. Every book was read at least once. Notes were taken, highlighted text reviewed, and books were re-read. This has been a daunting task, considering I realized ..read more