Alan’s Financial Tips – Ask Yourself

We saw a 50% or greater drop in equities as we did in 2008, at my age, could I absorb that loss??  Negative returns are painful. And the ugly mathematical reality is that gains and losses are nonsymmetrical.       For example, a loss of 14.08% requires a gain of 16.39% to break even.   A loss of 20% requires a subsequent …

Alan’s Financial Tips – Warnings for Excessive Debt

Rule 20 Total consumer non collateral debt should not exceed 20% of net monthly income. Rule 28 Total collateral debt should not exceed 28% of net monthly income. Rule 36 Total debt should not exceed 36% of net monthly income. There is a high incident of default when debt exceeds any of these limits, and most always when debt exceeds …

Alan’s Financial Tips – Trusts

Advantages of Trusts What is a trust? A trust is a legal entity that is created for the purpose of transferring property to a trustee for the benefit of a third person (beneficiary). The trustee manages the property for the beneficiary according to the terms specified in the trust document. Why you might consider discussing trusts with your attorney : …

Alan’s Financial Tips – Compound Interest

Those who do not plan, plan to fail. The first person to live to 150 is alive today. There is no such thing as a free lunch.  (Milton Friedman) Compound interest is the most powerful force in the universe.  (Albert Einstein) A $10,000 investment compounded at 7% would grow to:   $20,000 after 10 years $40,000 after 20 years $80,000 …

ALL ABOUT SHARKS

By Brendan D’Silva (Brendan is seven years old and a shark lover) Did you know that coconut trees kill more people than sharks? Sharks only kill 10 people a year, and people kill 10,000 sharks a year! Sharks get confused. They think we are seals. Here is an example: When you are lying on a surfboard, they think we are …

BETTY’S TECHNOLOGY TIPS – BATTERY MANAGEMENT!

By Betty Greenspan We’ve all been there, it’s 8 am and you’re having a meeting in a half hour. The battery on your smartphone is in the red.  Forgot to charge the phone last night!? Surely you don’t have enough time to charge your device without being late? Wrong! Before you connect your phone to the charger, close any open …