Friday, April 27, 2012

help a neighbor and make money

By helping a neighbor you can make some money too.  Ask your neighbors if there is something you can do to help them.  You provide a service that they will pay you for ... mow the lawn, take out their trash, wash their dog.  Agree to when you will provide the service and how much they will pay you.  Everyone wins!

Wednesday, April 25, 2012

Credit scores are vital to your financial health

A credit score is a number that helps lenders and others predict how likely you are to make your credit payments on time.  Each score is based on the information in your credit report.  It's important because your score determines if you can get credit and how much you will pay for that credit.  Learn more at getting credit.

Tuesday, April 24, 2012

The Rule of 72 is Cool

When people invest money, they do it so they can make money. That’s called "getting a return on your investment.” Sometimes they want to know how long it will take to double their investment. To do this, we use the Rule of 72.

Take 72 and divide it by the amount of return on your investment. That is the number of years it will take to double your original investment.

For example: Ten year-old Keanu buys a bond for $10,000 and earns 6%. 72 divided by 6 = 12. So every 12 years, Keanu’s money doubles. When he is 22, he will have $20,000.

What if Keanu leaves that money alone until he retires at 60 years old? His money will double 4 times by then and he will have $160,000.

Let’s say Keanu used that original $10,000 and bought a stock that earns 12% return (72 divided by 12 = 6) he will have $20,000 in 6 years when he is 16. If he leaves that money alone until he retires, it will double 8 times and he will have over $2.5 million when he is 60 years old.

The Rule of 72 is based on a principle called “compound interest” (return), which is sometimes called “The 8th Wonder of the World”! In other words its really cool.

Here’s something VERY important to remember. Just because things happened in the past, doesn’t guarantee they’ll happen in the future. So we use historical return rates as an example. It doesn’t mean that if you invest in the stock market today, that you will receive 12% return on your investment every year. Also, when investing in stocks it is possible to lose money, so that the value of the stock could be less than the original investment.
So my message is ... start learning about how to invest your money wisely now.

Monday, April 23, 2012

Look out for coupons and sales

Look out for coupons and sales before you buy.  You might want the item right away but make the smart buy and purchase while its on sale or with a coupon.  Another great way to save money!  Every penny counts.

Friday, April 20, 2012

Physically Fit counts too

Being physically fit counts too.  Less money spent on medical expenses means you'll have more money to save, invest, donate or spend the way you want to.  In honor of Earth Day, walk or bike to your destination.

Wednesday, April 18, 2012

plant a tree as a symbol of growth

In honor of Earth Day, plant a tree in your yard as a symbol of growth.  Knowing how to save, invest, donate and spend your money helps stimulate growth.  Check out the videos on this blog to learn more.

Tuesday, April 17, 2012

save by turning off the water while you brush

Turn off the water while you brush your teeth.  You'll help conserve water and save money by reducing the family water bill.

Monday, April 16, 2012

recycle and save

Recycle and save!  Being resourceful is a great way to save money.  Collect your bottles and cans and take them to your local recycling center.  You'll help save the planet and get some money back too.

Friday, April 13, 2012

What do you do with your money?

What do you do with your money?  Write down your answer then watch the videos right here on this site to start thinking about how to save, invest, donate and spend money.  Just scroll to the right and down a bit.

Wednesday, April 11, 2012

Know your ABCs

On to C:  Charity:  generous actions or donations to aid the poor, ill, or helpless: to devote one's life to charity.

Tuesday, April 10, 2012

Know your ABCs

Moving on to B:  Bank n. 1) an officially chartered institution empowered to receive deposits, make loans, and provide checking and savings account services, all at a profit.

Monday, April 9, 2012

Know your ABCs

You can learn about money by starting with your ABCs.  First up ... A:  Asset - Anything owned that has monetary value.


Friday, April 6, 2012

Needs versus Wants

It's a great time of year to think about what you need versus what you want - write out a list.  Use the list as a way to start planning for saving. investing, donating and spending your money.  Talk about the list during your family gatherings.  Everyone can share their ideas.

Wednesday, April 4, 2012

get to know this Principal

Principal - In a security, the principal is the amount of money that is invested, excluding earnings. In a debt instrument such as a bond, it is the face amount.  See more financial terms in the glossary.

Monday, April 2, 2012

April is Youth Financial Literacy Month

A whole month dedicated just to you!  Learning how to save, invest, donate and spend money.  It's Youth Financial Literacy Month.  Start by watching the video's right here on this site.  Scroll down a bit and to the right.