EBONY Wealth Challenge Wrap-up, Part 3

Continued…

  • Stock up – this is a tip that I am not really sure if I agree with but here it goes.  A few well-selected stocks can give your portfolio a nice boost.  Just make sure you do your research.  A legendary mutual fund manager Peter Lynch once said, “before buying a stock, do as much research as you would normally do before buying a refrigerator.”  I personally like to leave this task to professionals, e.g. buy funds vs. individual equities but researching before pulling the trigger still stands true.
  • Raise wealth builder – use technology (websites, apps) to encourage financial literacy with your kids.  Create family budgets, set savings goals and teach children how to earn money and save.  Good habits in fiduciary responsibility early on will go a long way.

These are 9 tips from the latest issue of the magazine.  Which ones are you going to follow?

EBONY Wealth Challenge Wrap-up, Part 2

Continued…

  • Develop a side hustle – explore a field related to what you already do for a living to develop supplemental cash flow, e.g. teacher giving private tutoring sessions.  Obvious downside – what you gain in discretionary income, you will lose in available free time.
  • Find extra money at home – in addition to selling unwanted furniture, clothes, etc. at one of many popular sites, take a hard look at various services you have including cable and cell phone.  Everything’s negotiable – give customer service a call and ask if there’s anything they can do to keep you as a customer.
  • Develop passive income – somewhat related to the first bullet above, this entails creating multiple revenue streams that’s truly passive, e.g. does not necessarily depend on your time such as owning a rental property.
  • Save for retirement – company pensions are gone with the dinosaurs and you should not rely on social security for retirement anymore.  Take advantage of 401K matching if available where you work.  While many personal finance experts advocate 20% savings of household income, I’d say save something every month regardless of how small.  We all have to start somewhere.

EBONY Wealth Challenge Wrap-up, Part 1

As published in the most recent issue paraphrased….

  1. Get your mind right:  Wealth begins in the mind and ends in the purse.  If you want to earn more, you must learn more.
  2. Lower your bills:  Renegotiate the terms for your car note, cable bills, utilities and cellphone bills.  Be pleasant – everything’s negotiable.
  3. Automate:  Pay your bills automatically each month by setting up electronic withdrawals to eliminate late fees, avoid credit score issues and reduce postage costs.  And even if you are late, negotiate elimination of late fees.

To be continued…

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