What Good is an Advice from your Financial Planner?

 Paying for a service like financial planning should be worth every penny. How will financial planning give you a guided road to financial security? This is the topic of the article and will tell you the reason why this is worth more than any other investment tool.

Do you have any idea what exactly is the right financial planning? Every mature individual right now with a savings to spare must get one to be financially ahead for the future. Financial planning is simply a move where you are consciously guiding yourself to set some goals with your finances.

A good financial plan can save you a lot of headaches while giving you security for the future. It is some basic planning successfully customized to meet your financial needs. It should always be based on your preferences and should be time-bound as well. This gives you a clear picture of your financial goals.

You may start looking out for someone who has the basic education coupled with experience and skills to help you with your financial success. Just limit your choices with only the Certified Financial Planners. The CFP designation are the most trusted internationally and you can be assured of their strictest ethical standards. Only CFP is exactly the type of person who will give you the best financial planning.

With hiring a financial planner, you always know how they are paid. One of the ways a financial planner is paid is through commissions. One of the benefits of commission-based financial planning is that it appears to be accessible and affordable. Usually, commission-based planners do not charge a fee for the financial advice. They are expecting to earn their income from the back end when they sell the financial products to implement their recommendations.

The down side however is that you may pay later in the form of accepting a poor advice. When a commission-based financial planner earns most of his or her money as a financial salesperson, have some precautions. In this situation, the product sales have a tendency to drive the process. In most scenarios, the financial planning consultation and advices are rather a window dressing to attract clients for the business of selling their financial products.

Unfortunately, you might be offered a one-size-fits-all plan that inevitably leads to the purchase of their high-commission products. As you can see, always look for non-commission financial planners. These are planners paid with a fee for their financial advice. You are mostly assured of an objective financial plan and you get the best out of that plan. In hindsight, it is not hard to get a professional and objective financial planning.

Just do some research and try to listen to their advices first. Check their credentials. If they don't seem too inclined with a certain product, you are probably good to go. Have the best of luck to your financial future and be wise.

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Saving Money - What NOT To Do

An article about some of the pitfalls when trying to save for college and retirement.  Also some do's and don'ts about saving and what banks really do with your deposits.

The Basics: 

If there is one idea that many people in america hear repeatedly through their lives, its the concept that saving money is a pretty good idea.  From your mother to your banker, people preach to you about working hard and saving your money for your retirement.  In fact, its described as the key part of the blueprint to success in america.  This mythical description of how one's life should be lived is just that - a myth.  America is not setup for the individual to save money - America is setup for corporations to make money and for individuals to be beholden to  them through debt until they die (and possibly beyond the grave).  Ok, this seems pretty harsh but let's address some of the myths about saving money and you can make your own judgements.

 Myth #1 - "Save your money so you can go to college, get a good education and get a good job".  On the surface this sounds good, and certainly having a good job is worthwhile so saving for college seems pretty smart, right?  Well, if college is such an american ideal and the right thing to do, why is college so expensive and getting more expensive every day.  Today many young people have to borrow several thousand dollars to go to college.  If you want to get a degree for the higher paying professions (think lawyer or doctor) you probably have to borrow even more money, and spend additional years in college at one of the more expensive schools.  When a young person graduates from college they are are often saddled with debts that are in the tens of thousands (some over $100,000) before they get their first job and paycheck.  College is great, but don't think saving for college is the guarantee for financial success.  It could lead to many years of financial uncertainty (and thats IF you can get a job in this tough and competitive environment).

Myth #2 - "Open a savings account at my bank and save your money for the future".  Sure the bank will hold your money for you in a savings account and pay you interest on the money, but the rate of return at the bank is probably the worst rate of return of any place you can put your money (besides under your mattress).  Savings accounts at most banks today give you an interest rate between 1% and 2%, while inflation historically has been closer to 3% to 5% which means that your savings is not even keeping up with inflation.  In other words, the money you put into your savings account today will be worth LESS when you take it out.  To add insult to injury, the banks are collecting all of your money and using it to make a rate of return anywhere from 5% to 30% while they give you your paltry 1%.  They invest your capital and make the money you should be making while your savings are losing value against inflation.

 Myth #3 - "Get a credit card so you can save 1% - 2% or save frequent flyer miles".  These little offers that credit card corporations give you may sound like great savings ideas, but the 1 or 2 percent you save on your monthly purchases is dwarfed by the 10% to 30% you pay on interest on those purchases.  Every time you purchase something on the credit card you are not saving 1% you are actually losing between 6% and 28% (depending on the interest rate on your card).  Even if you pay off your balance in full at the end of each month, you still end up paying annual fees and other transaction fees that more than offset the minimal savings offered by the credit card company.  Besides, if you can afford to pay off your card in full at the end of every month - use cash and avoid any fees!

Myth #4 - “Get a CD and don’t touch it.  Your money will grow.”  Certificates of Deposit (CDs) are accounts offered by banks and credit unions where you place the money in an account for a period of time (3 months, 6 months, 5 years or longer) and you get a rate of return generally higher than a bank (but only a few percentage points higher).  The longer the term, the higher rate of return you get but in today’s economy it is nearly impossible to get a CD that is paying even 3% (again not enough to even cover inflation). What makes this even worse than a bank savings account is that if you withdraw your money early you will be hit with a substantial early withdrawal penalty (in some cases 6 months worth of interest earnings). Basically with a CD you are locked into a low-yielding account that will leave you with less spending power when you finally cash out than when you got in. Again, just like with the savings account, the institution giving you the CD will have made much more money reinvesting your dollars than you ever did.

Myth #5 - “Buy a house, it’s your best investment you’ll ever make.” There was a time when buying a house was a great way to build your net worth.  The house appreciated 10% or more per year and the equity you built in your home was like having a high yielding savings account that didn’t cost a penny. Well I think we know that the days of 10% or more house appreciation are over and many people in America have seen their investment DROP in value substantially. The best savings investment vehicle has turned into the biggest money pit for millions of homeowners in this country. If you were one of the unfortunate ones who spent their home equity instead of leaving it in the home you really understand why using your house as a savings vehicle is probably the cruelest joke of all. The debt incurred may last a lifetime if some drastic steps are not taken.

Myth #6 - Put your money under the mattress. Nobody will get it there." Sure, until you’re robbed! What about when you’re house burns down in the LA wildfire, or Hurricane Katrina washes all your money down the bayou. Saving money in your own house (even in a safe) is frought with disaster and when the money is lost or stolen you have no place to go to get your money back.

It should be obvious from these examples that many of the traditional ways of saving money can really be a money losing trap. Corporations and the government don’t want you to save money, they want you to give them your money so they can make profits without risking their own capital. If you really want to make money forget about saving and start thinking about earning, or putting your money to work for you. The next article in this series will explore some of the money earning options out there, and as always we will tell you what you may not know and what you need to know.

What you may not know: 

• According to the Institute for College Access and Success in 2008 over 200,000 students owed more than $40,000 in student loans.  In 1996 there were only around 20,000.
• Although they may not pay you much interest, your money is very safe in the bank.  In the 75 year existence of the FDIC (the institution that insurs your money) no customer has ever lost a penny of insured deposits.

What you need to know: 

• Banks pay the lowest interest rate of any institution you can put your money in.  The interest rate on a savings account is between 1% and 2.5% while inflation is historically around 3%.  At that rate you will lose money every year.
• Most CDs have strict and substantial penalties if you withdraw your money early (sometimes up to 6 months of your interest earned).
• In 2010 the cost to attend an average four-year university ranges from $40,000 to $120,000 for the full 4 years. 

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Overcoming The Fear of Money

Many people, it seems, have a fear of money. Does the thought of having a lot of money make you uncomfortable? Cause you anxiety? If so, it may be that you are buying into the myths about money. Myths that are simply untrue. In fact, many of the most common statements about money are often misquoted, wrong, or were made by people who did not understand money ... or had none.

Let's look at a few of the myths about money ..."Money is the root of all evil" Everybody has heard this one. Unfortunately, it's one of the most famous misquotes of all time. The original quote comes from the New Testament and the correct quote is "the LOVE of money is the root of all evil". The love of money is an obsession and thus the true quote warns of the potential corruption that can derive from a love of, or obsession with, money (or any unhealthy preoccupation).. The fact is that money itself is neither good nor evil. It is neutral. Money can be used for good or it can be used for bad. How it is used is a choice, and the choice of how to use money is in the hands of he (or she) who controls it. "Money is Power" (and Power corrupts) Money itself has no real power. For instance, if you were legally given 10 million after-tax dollars in cash, put it in a safe deposit box, never touched it and never told anyone you had it you would have no more power than you do right now. The power of money comes from the use (or misuse) of it or the perceived benefit or threat by others. The money itself does not generate any power; it has to be converted into power. And whether or not you wish to convert money into power is a choice. And if one decides to convert money into power that power may be used for good or for evil, depending on the character of the person with the money. "Money will change your life"

Let's hope so! Used wisely, money can greatly ease many of life's burdens and greatly enhance one's life. Or, if you have a weak character, choose to live in fear and worry, you can let money make you miserable. It's not the money, it's YOU. The important thing to realize is that you get to control the money, it doesn't get to control you. Want proof? Here's how much actual control you have over your money - in the extreme, you can always give all the money away - and be rid of it. Just like that. You can give it all to charity, you can throw it out the window, you can walk down the street and hand it out. You can burn it all. It's yours and you can do whatever you want with it, including give it away. Gone. You can make it all disappear if you choose to do so. That may be a stupid choice but that choice is always yours. That's the ultimate power you have over your money and it rests in your hands. Money doesn't ruin or change your life or change you or take control over your life. Unless you let it. And since you have the ultimate power to get rid of it why would you let it ruin your life? "Money can't buy you happiness" This is true - if you are not happy to begin with. However, if you reasonably well-grounded, have a good value system and a little control over yourself money won’t hurt you either. Contrary to popular wisdom, money and happiness are not mutually exclusive. In fact, money can greatly enhance the security, independence and well being of your life, your family's life and the lives of people you care about. Money can't buy you happiness but happiness can't buy you money! To sum it up, the fear of money is often based on misconceptions. The truth is that money itself is simply an inanimate thing, doesn't know or care who does what with it, has no moral or ethical value and is a necessary commodity to have in the civilized world. Money, in the hands of whoever has it, has the capacity for great good or great evil, depending on who is doing the spending. It is not money that should be judged but the character and actions of the person (or entity) who uses it. Money is nothing to fear.

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The Truth Revealed About How To Earn Money Fast

 

Though the internet is plagued with fraudulent “get rich quick schemes”, there are thankfully a couple of legitimate ways online to legally earn money fast.

The phrase “earn money fast” usually sets alarm bells ringing, and so it should, as this is often the calling card for fraudulent “get rich quick schemes” that offer instant overnight success. However, to earn money fast does not necessarily mean to get rich fast, and this is where the distinct difference comes in. Let us take a closer look at the fraudulent approaches out there and then also the real ways that one can earn money fast.

Skills and talent

Aside from a one in 13 983 816 chance of winning the national lottery, if you have bought a ticket that is, there is no quick fix to financial stress. A work from home business, just like any other legitimate job, takes time and effort to get off of the ground. It also involves skills that usually don’t appear overnight in some secret formula or recipe for success. The earn money fast phrase is a legend that is used to catch the desperate employee seeking a way out. Usually these schemes are aimed at the unskilled or unemployed or even worse, at the elderly, disabled and single moms. You should therefore be wary of companies offering you the opportunity to earn money fast with no experience or skills whatsoever. Usually some kind of skill, even basic skills are required.

Clever tricks

The fraudulent company offering you the opportunity to earn money fast will almost always include a tight deadline in the offer. It is likely that you will read that there are only fifty places left and that these are disappearing very fast. The websites or mails may even be custom fitted with countdown modules giving you and indication of how quickly the spots are being taken and that you are increasingly at risk of missing out. Don’t be fooled, these are just clever tricks and would never be employed by a legitimate business. The company offering you a real opportunity will leave the ball in your court and allow you the freedom to sign up as you please.

Testimonials

It is quite common to receive a mail or a link to a website providing details on how to earn money fast. In order to prove that the opportunity is real and fool-proof, there is usually a list of testimonials stating wealth and success. Unfortunately, there are never any details listed for the said earners and upon requesting such details you will get evasive answers regarding the protection of privacy of the past employees. Some very clever perpetuators of the quick fix, get rich quick scheme will sometimes give you a mail address to contact. This mail address will be of the “free-mail” variety and most likely be owned and managed by the crook.

Contact information

They will never give you telephone numbers or concrete answers, just promises, promises, promises, which eventually will be unfulfilled. Real offers online will have real testimonials attached to contact details that work. They will also come up time and time again on reputable websites as being real job offers and opportunities to earn money fast.

Right opportunities

Due to the nature of internet work, it is possible to earn money fast. This is to say, earn money in a short period of time. Many home based jobs are also project based. Therefore quite often, a project can be completed in a day or two and then the online client will pay you by transferring money into a reliable online money transfer account such as Paypal. Consequently, in a short period of time you have earned money that is likely much needed.

Be sure to choose opportunities that allow you to earn money fast by signing up for free. There are plenty of these on the internet and so there is absolutely no need for you to become a victim of an earn money fast scam.

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Best Ways To Earn Residual Online Income

 

Residual online income opportunities are what you need to be researching if you are looking to work once and earn money over and over again.

The Internet has revolutionized the way we earn money. There are millions of people across the globe that make a full-time living strictly by the Internet. They have jobs and careers, own small businesses and earn residual online income. It is possible to earn money simply by employing certain skills and plugging into the gold mine that is the Internet. Making money through online sources is entirely possible for the motivated income earner.

The old model of making money is quickly being replaced. No longer do you have to physically complete a task to earn money. The knowledge industry is the new fastest-growing industry, employing millions. These earners have discovered a way to earn money, even when they are not working. Residual income refers to money that is earned on a product or service over and over again. The basic idea is that you work once and get paid multiple times. The knowledge industry is the biggest supplier of residual income, with many people earning a full-time living based on residual earnings.

Best Examples of Residual Income on the Internet

Writers often earn lucrative salaries based on residual income. A skilled writer can create an article or series for a blog and sell advertising space. The writer earns money every time a reader views his content, allowing him to earn money every day without additional effort. An article that took 15 minutes to write can earn income months or years down the line.

Musicians, artists and photographers are also big residual income earners. A musician may create a song and allow users to download it for a small fee. The musician earns money every time the song is downloaded. In a sense, the artist can earn money in his sleep with residual income online.

One of the biggest examples of residual income is through affiliate marketing. Business owners give incentives to writers to promote their products and drive traffic to their sites. When a blog's reader visits an advertiser's site, the blog owner gets a small commission.

The featured products are strategically placed to be relevant to the reader, providing a value to the business owner, the webmaster and the customer. This form of marketing will allow you to earn an unlimited amount of money online with very little effort. A writer with significant web traffic can earn thousands of dollars in residual online income simply be creating a page that will get high readership.

There are many ways to earn income online, from starting a small business to creating a well-read blog or website. If you are looking to work once and earn money over and over again, research the best ways to earn residual income on the Internet.

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