Monday, April 23, 2007

Questions to Financial Pros!

Here's a question I just posted on a very famous blog Free Money Finance. I'm sorry I dont' know how to do the fancy links so, you'll have to google that blog. It's a really really cool blog too!

I'm sure they're (the commenters and owners of the blog) all laughing at me as we speak. Ahh such is life. HaHa..
This is what I wrote:
Let's just say YOU were 40 years old and this is YOUR first time investing/saving. YOU're a ONE income household (husband works, mom stays home) --YOU have $8000/ month ($1000 a month for 8 months) to ONLY INVEST or SAVE it.

How would YOU INVEST or SAVE it? The trick is, you're NOT allowed to spend this money. You have to come up with a plan that will convince your spouse that this money will NOT dwindle down to zero but, will in fact GROW. and GROW into a really nice amount. Is this a dream or is this really possible?

And how would you go about doing it or explaining it to your "deathly afraid of ending up homeless and on the streets" spouse?

Thanks for your comments and responses :)

Hopefully you haven't laughed too hard at me!

I'm on information overload just to warn you. I forget where I read a certain person that reads all this information feels excited to do it but, just FREEZES up and does NOTHING and before you know it, they're 40 years old without a savings plan! :(

I would LOVE to find a place where we can invest without upfront fees (no loads) that will return a great return. Ok Ok I'll stop dreaming right now.

4 comments:

AnnaLiza said...

My husband was N E V E R into savings especially from stock. But, for us, my experience was getting a small job and having 5% debited from my paycheck into the company's stocks. I only net $7 per month but in one year my total "securities" had reached over six hundred dollars.

It took this proof for him to realize that you don't loose money and a few dollars can go a long way. I stopped working there in January. It's still accumulating. Perhaps sacrifice of a small night job might help?

This advice coming from someone who's not very good with making money but learned how to "save" money from youth.

Thanks for stopping by my blog!!
Good luck.

3 Things About Money said...

Hey, thanks for stopping by my blog. And wow! You saved 8000 bucks in 8 months! You are amazing...Let's see, I am so not a financial person that you shouldn't take my advice for anything...but if I were trying to prove it to my husband I would put it in a high interest savings account (because it is totally safe)like ING or others that pay 4.5% interest or more. If you go over to some of the big finanacial blogs and get a referral link, the bank will give you extra money for opening the account. Then I would spend months doing research and homework on the basics of investing. Learn more about it. The worst thing would be if you invested it and the market fell out and you lost all your money right there. Your husband would never let you take a financial risk again. And it takes time to learn about investing, so while you are, get that high interest accumulating in an insured account. I read blogs at pfblogs.org every day, and every day I learn more. Keeping a blog really helps too. I'm still a beginner and so are a lot of people so don't feel bad about needing to learn more...good luck!

Military Money said...

3 Things About Money is absolutely correct. The safest place to put it would be a high-yield savings account like ING Direct. I use ING Direct and can get you a referral link if you wish. If you deposit $250 or more you get $25 and I get $10. I would go to www.bankrate.com and check out other high-yield savings accounts though...ING Direct fell off the top 10 a long time ago.

I created a blog to help military members with their finaces and would like to know if you would like to exchange links. Thanks.

Brandon J
bjone6@gmail.com
http://moneyformilitary.blogspot.com

mOOm said...

Start with an online savings account at HSBC etc. They'll only return 5% per year, but it's safe and you can take your money out any time. Then read some basic book on personal finance like "Personal Finance for Dummies" to get an idea of what moe advanced options you have. You can't lose more than you invest ("afraid of being homeless") unless you borrow a lot and invest it in risky things and things go very badly.... will be happy to answer any questions.