This article in USA Today is kind of discussing the $590 Million powerball lottery, but the personal finance ideas apply to any kind of life changing cash prize:http://www.usatoday.com/story/money/business/2013/06/05/florida-powerball-590-million-financial/2393317/Just remember that many of these lottery winnings also give you the choice of a 20 year annuity for the full amount or a lump sum equal to 50% of the prize. Warren Buffett’s investing plan of “Point Number 1 – don’t lose money, Point Number 2 – see Point Number 1!” applies here, regardless of the amount of the prize.For financial, accounting and tax musings,You can count on us to count for you! email bstonercpa@sbcglobal.net phone 818-317-6035 Website www.briantstonercpa.com
Americans Flopped This Personal Finance Quiz. Can You Do Better?
Well, here is a personal finance quiz for you – only 14% of respondants got all five right. See this posting from Bloomberg Businessweek by Peter Coy and see how you do:http://www.businessweek.com/articles/2013-05-31/americans-flopped-this-personal-finance-quiz-dot-can-you-do-betterNot wanting to brag, but I did get all five right (I should hope so!) and this is why I have been spouting off before about the need for basic personal finance classes being a manditory requirement in the public school system. Everyone should be able to go five for five!For financial, accounting and tax musings,You can count on us to count for you! email bstonercpa@sbcglobal.net phone 818-317-6035 Website www.briantstonercpa.com
In retirement, can more debt be wise?
Can borrowing money at low interest rates in retirement and investing in higher yielding items make sense? See this article in The Wall Street Journal Market Watch by Anya Martin:http://www.marketwatch.com/story/in-retirement-can-more-debt-be-wise-2013-05-20Some people may want to do this, but I am leary about leveraging in this way – if some disaster happens, does the house of cards come down. This is definitely a case by case basis, with it not being a good idea for most retirees.For financial, accounting and tax musings,You can count on us to count for you! email bstonercpa@sbcglobal.net phone 818-317-6035 Website www.briantstonercpa.com