I had some pretty high expectations going into this book. It rocketed to the top of the best seller list within days of its release and all the buzz surrounding it prepared me for a read that was going to change my life and make me rethink everything. Unfortunately, the only thing it made me rethink was my purchase of the book.

Let’s start with the good things first. The primary audience is those who are looking to break free of the corporate rat race and live their own lives according to their own rules. On the surface, the book promises to help them make it happen. However, it reads more like an inspirational Chicken Soup for the Overworked Soul. While it does offer some very good tips on how to start working less and making more money, it’s pretty much inspirational reading only. If you’re looking for hard hitting and proven methods of making more money right now, you’ll undoubtedly be disappointed.

While it is important to inspire people, it’s dangerous to fill their heads with notions that success is easy and that reading this book is going to make it happen. If you read it with the intent of getting started on your own, then great. But don’t look to this book as the end all and be all of how make tons of money. It serves its job as an inspirational text, but when it comes down to delivering the goods, it definitely falls short.

If you’re already established and making money on your own, then this book will serve as a good way to maybe rethink some new techniques, but you really won’t learn much. The author seems to be using this book as yet another income stream and for that he should be commended, but then again, it really doesn’t deliver on its promises.

While there is nothing wrong with writing a book to help people make more money, this certainly should not be used as the definitive bible. It serves a purpose mainly as inspirational, but you can get inspiration for a lot less money than this book costs. If it makes you take a chance and get out there on your own, terrific. However, you’re going to need a lot more help to be successful than this book can offer.

Overall, it was a pretty quick read that did cover some very good points. However, it fell down when it came to using debt in a smart way to make more money. It is a proven fact that leveraging your debt and managing it correctly is a way to create alternative income. I would have liked to have seen more coverage of this and a lot less pep talk.

Bottom line, if you’re looking for a tome that will shout rah rah at you, look no further. If you’re looking for factual advice you can turn around and start using right now, there are better books out there.

Originally posted 2008-11-14 04:26:01. Republished by Blog Post Promoter

• WSJ Complete Personal Finance Guidebook By Jeff Opdyke When it comes to a trusted source for financial news and information, it’s hard to beat the Wall Street Journal. They have introduced a line of guidebooks on many financial topics, but for this review we’ll be taking a look at their Personal Finance guidebook. While it may be a......
• Organize Your Personal Finances in No Time by Debbie Stanley If nothing else, the state of the economy has shown that millions of people don’t have a good grasp of how to manage their personal finances. There are hundreds of books written every year on the subject and yet, this concept still seems to elude many. Some books are either......
• Customizing a Budget It is a good idea for you to put together your own unique budget work sheet when it comes to getting started in setting up a budget for your household. Make sure that the categories and the information that you use to plug in your budget information pertains to your......
• What You May Not Know About Personal Finance Unless you’ve taken some courses on handling finances, there is a chance that you may not be aware of a few of the key points about budgeting, managing your money and planning for the future. While a lot rests on common sense, there are a few techniques that everyone can......
• Are Your Finances a Wreck? As the housing crisis worsens and the economy looks increasingly weak, most Americans are facing the reality that their finances are in a bit of a wreck. Chronic overspending, a lack of savings and too much bad debt has left many in a financial condition that they would prefer not......

• People Postcards Collectibles
• Headboard Reading Lamps Home Lighting
• Reading Lamps Home Lighting

One of the hardest things for many of us to do is to manage our finances properly. It can be hard if you’ve had no training and you’re used to just spending freely, whenever you want. There are thousands of people out there that can’t balance their checkbooks let alone plan for their future, but there is no shame in that. You just need to take that first step towards learning about how to start managing your finances and getting ready for the future.

For some, this may just not be possible, and again, there is no shame in that. If you simply cannot make sense of your money, you will need to get some help before you get into trouble. An accountant can really make a difference if you’re struggling and they usually do not cost that much money. You’ll actually be saving money in the long term and you’ll be able to spend less time worrying about your money.

But for most of us, it’s important to learn how to do this on our own. Unless you are incredibly bad at math, there is no reason that you cannot manage your finances. It’s really just basic addition and subtraction and anyone can do it. It takes a little bit of focus and you may need to learn a few terms along the way. However, you’re investing in your future when you learn how to manage your finances and it will pay off.

Let’s start off with basic financial planning. A lot of people hear that term and simply turn off. However, it’s actually pretty easy. Here’s an example - You need to ask yourself, how much money do I want to have saved five years from now. Now, divide that number by five. This is how much money you’re going to need to put aside every year to meet that goal.

If your goal isn’t reasonable, you may need to fine-tune it a little bit to bring it line with your income. Now, you’ll need to take that yearly figure and divide it by twelve. This is the amount you’ll need to put aside every single month. Set up an interest bearing savings account and make that deposit every single month. You may need to discipline yourself for the first few months, but it will get easier. If you find that your finances are a little tight, try revisiting a few of your expenses to free up some cash.

Lastly, it is important to understand how debt works. There is bad debt – which most of us are in, and then there is good debt. A simple formula to tell the difference is:

Bad debt = money spent on consumables and things that will never give you a return

Good debt = money spent on something that will create new income streams or pay off in the future.

By using good debt, you can reach your savings goals a lot faster and it won’t be so difficult.

Photo Credits: 1

Originally posted 2008-11-16 17:22:41. Republished by Blog Post Promoter

• Planning your Budget One of the greatest ways that you can get a handle on your finances and overcome your debt to build wealth is to build a personal budget. There is no single one size fits all answer to budgeting because everyone has unique needs and circumstances when it comes to generating......
• Learning Basic Money Management Skills Whether economics is your idea of a great way to fight insomnia, or you just didn’t get the benefit of learning about money management early on, it is never to late to learn the basic skills of proper money management. We highly recommend taking a brief course on finance if......
• How to Pick a Financial Advisor If you are getting serious about investing or managing your personal finances, it may be time to think about hiring a financial advisor. Before you take that step however, there are a few things to think about. It is vital to make sure that you are working with someone that......
• WSJ Complete Personal Finance Guidebook By Jeff Opdyke When it comes to a trusted source for financial news and information, it’s hard to beat the Wall Street Journal. They have introduced a line of guidebooks on many financial topics, but for this review we’ll be taking a look at their Personal Finance guidebook. While it may be a......
• Recession Not Through With Us Yet While it may seem that the nation's economy is taking a turn for the better and strides toward the positive are being made, the recession times we have been experiencing are not exactly over. With so many people starting to regain confidence in their personal finances again with just the......

The government only represents approximately 30 percent of our retirement income allotment. The companies that we work for and their retirement pension plan is only going to amount to another 30 percent or so, and most people do not even have these types of retirement plans. In other words, it is absolutely up to us to figure out how to invest wisely both on a short term and long term basis in order to make up for the shortfall in order to live comfortably following retirement without having to give up some basic freedoms during retirement age. Here are some of the fixed term investment types that are available to most consumers, with most lasting between 1 and 5 years in length.

1 - Term Deposit -

- The rate of return on term deposits tends to be higher than with most saving accounts. Some institutions may even allow for the funds to be withdrawn before the point of maturity if you are willing to sacrifice some of the accrued interest.

- The interest rate is guaranteed, and tends to be significantly higher than what is offered by savings accounts.

- Term deposits usually have a term of a year or less.

- Minimum deposits are most likely required.

- Term deposits are guaranteed by the Deposit Insurance Corporation (DIC) for certain amounts, but this is different from one country to the next.

2 - Guaranteed Investment Certificate -

- Guaranteed Investment Certificates have terms that range from 1 to 5 years.

- The Interest rate for GICs is guaranteed.

- The money in these certificates is usually locked in until the point of maturity.

- Some financial institutions may offer a higher rate if a minimum deposit amount is made.

3 - Treasury Bill -

- This is a short term promissory note that is issued by the federal government and called a T-bill or treasury bill.

- The usual denominations used for T-bills is $1,000, $5,000, $25,000, $100,000 and $1,000,000, and terms last as long as 365 days.

- Treasury bills are always sold at discounted rates.

- Investors can sell these treasury bills before maturity at a price that will be determined by the current interest rates.

- Investors can also buy older issues of these bills from investment dealers, who now make treasury bills available to small investors at $1,000 with $1,000 increments.

4 - Mortgage Backed Security -

- These mortgage backed securities are large pools of residential mortgages that institutions sell when offering mortgage options for home buyers.

- Each pool of mortgage has a unique maturity date an interest rate.

- There are two different types of mortgage backed securities, those which are pre-payable and those which are non pre-payable. Those which are pre-payable mean the mortgages permit home buyers to pre pay in order to pay their mortgages off more quickly.

- Every month, an investor for mortgage backed securities receives an income proportion of the principal as well as the interest for the mortgage.

Photo Credits: 1

Originally posted 2009-03-16 05:36:42. Republished by Blog Post Promoter

• Sunday Money Madness - Happy New Year! Happy New Year Everybody! Let's kick off the first of this year's roundup with a bang! Credit and Debt No Debt Does Not Mean Good Credit says Credit Karma. All Financial Matters posts Bureaus Roll Out New Credit Score Formula for 2009. Finance for a Freelance Life asks Got Gift......
• WSJ Complete Personal Finance Guidebook By Jeff Opdyke When it comes to a trusted source for financial news and information, it’s hard to beat the Wall Street Journal. They have introduced a line of guidebooks on many financial topics, but for this review we’ll be taking a look at their Personal Finance guidebook. While it may be a......
• Customizing a Budget It is a good idea for you to put together your own unique budget work sheet when it comes to getting started in setting up a budget for your household. Make sure that the categories and the information that you use to plug in your budget information pertains to your......
• Why Certificates of Deposit Are A Good Idea Today's article is written by guest blogger Jim of Bargaineering. If you've saved up a few dollars and aren't sure if you should put them in the stock market or stick them in your mattress, let me give you another suggestion: put your funds into a certificate of deposit (CD).......
• Introduction to Mortgages pt 3 of 5 This is part three in a five part series on what you need to know about mortgages before you buy a home. The housing market is an interesting beast, because it comes and goes, rises and falls, allows some people to flourish and brings others to ruins. If you want......

• SPF 25 and Higher Sunscreen Sun Care Skin Care Store

When you see the word debt, undoubtedly the first thing that pops into your mind is a credit car bill or a car payment. For many, debt means a mortgage or other high dollar expenditures. However, there are two main forms of debt and they are very different from one another. You cannot paint them with the same brush since they are fundamentally different at their various cores. In order to better understand debt, let’s take a look at these types and discover how debt can actually be good for you, when managed properly.

Bad Debt – This is the kind of debt that most of us are familiar with. You start out in life with a boat load of student loans, and most likely a few credit cars. Pretty soon you’ve got a car payment and later a house payment. You’ve got all of these expenditures weighing on you and they add up very quickly. The interest payments make it hard to get ahead and before you know it, you may be in well over your head. At this point, most people strive to get out of debt anyway possible and start researching opportunities to consolidate their debts to make it easier to pay them all of.

This is referred to as bad debt because it works against you. The only exception would be a mortgage, since this is actually something that is going towards building your future. Bad debt is the kind of debt that results from overspending on things you really don’t need – things that can never provide you with any sort of return. Spend too much on these frivolous items and you’ve got quite a problem on your hands.

Good Debt – This is a completely kind of debt. Good debt is commonly referred to as leverage. This refers to the fact that you are going into debt in order to make more money for yourself in the future. Case in point, let’s say that you have the opportunity to invest in a new business. This business is forecast to produce $250k a year for the next ten years. It will cost you $25k to get in to the opportunity, but you don’t have that kind of cash just lying around.

You can get a loan for that $25k and turn it around to the tune of 10 times your original investment. This is good debt – the kind of debt that works for you. By using your debt to leverage multiple streams of income, you can have even greater results. The key is figuring out the kind of returns you want to get and how far you’re willing to leverage that debt.

In the right hands and with the right techniques, debt is a very powerful tool that can help you make more money, not less. When handled incorrectly, debt is nothing more than an albatross that will bog you down financially. Good debt is something that will free you from financial worries.

Photo Credits: 1

Originally posted 2008-11-16 05:04:38. Republished by Blog Post Promoter

• Debt Consolidation Tips If you're swimming in a sea of debt and trying to figure out how to keep your head above the water, one of the easiest ways is to consolidate. However, the actual process of consolidation can be confusing and it is all too easy to make mistakes that will end......
• Present Value and Future Value - Understanding the Difference In macroeconomics, two important financial structures are the present value and future value. Below is a discussion describing the two structures, and how they differ from one another. Present versus future value is analogous to the concept that today's dollar will be worth more in the future. This concept is......
• How Much Debt is Too Much? The average American is currently carrying at least some form of debt, even if it is small. We live in a society where overspending is common and credit card debt has become a right of passage. In many cases, you need to be in debt in order to start building......
• Things to Have Removed from your Credit Report pt 2 Continued from part 1. 3 - Charge Offs. When you do not pay off a credit card account or a loan account for a period of three to six months, your creditors are generally going to assume that your account is non collectible, or that it is in default. When......
• What You Need to Know Before Going Into Debt Let’s face it, if you want to get ahead in today’s world, you’re going to need to go into debt, at least a little. The key is managing your debt properly and avoiding common traps. Not all debt is bad, even if we have been trained to think that it......

• One of a Kind Artist Bears Dolls Bears
• Military Payment Paper Money US Coins Paper Money

I have a passion for personal finance... I can't get enough...  I read about it, I think about it, and now I write about it.

Why does the Internet need another personal finance blog? 

All personal finance blogs that I have read vilify debt, demonize it even... While such a stance is important for those unfortunate individuals laden with debt without the cash flow to pay it off, in my opinion, the propagation of this "truth" is the single biggest travesty to occur to the middle and lower classes since the time of feudalism.  What ever happened to the American Dream?  It is being buried in the avalanche of the debt snowball.

The American Dream isn't about scrimping and saving every penny like a frugal miser to pay your debt (unless it makes you happy.)  It is about Life, Love, and the pursuit of happiness.

Life -- Enjoyment of and a passion for are my expectations for my experiences...

Love -- Money can't buy you love. But having money will give you the free time to purse love and romance and passion... See Life.

Pursuit of Happiness -- See Life and Love.

I'll be the first to admit that I am an American consumer.  I have a house, a vacation house, 2 nice cars, a boat, a gym membership, I graduated from a first tier Ivy League institution, I belong to a secret society, I belong to one of the most exclusive country clubs, and hopefully one day at least partial ownership of a personal jet (dare I even dream my very own island?).  That I have used other peoples money for leverage in my pursuit of happiness does not make me a bad person.

To me the American Dream is all about leverage.  Money, income, cash flow, interpersonal connections, and even debt are but resources to be leveraged to create monetary wealth.   Monetary wealth brings freedom of time and freedom of movement.

In the end, even the wealth is a resource to be leveraged.  One personal finance writer I happen to agree with is LazyMan...  He often talks about multiple income streams and alternative income.  Not only should you diversify your assets, but you also need to diversify your income.  The classic networth equation is that net worth equals assets plus income minus expenses.  I actually think that balanced and diversified wealth comes from a 5 part equation, networth equals appreciable assets plus income producing assets plus income producing debt plus asset producing debt minus cost of living minus debt maintenance.

The nuance of this equation is that if one is taking on debt to maintain a cost of living then one is clearly living outside of their means... For these individuals and families, Dave Ramsey and the debt snowball might be important...  If on the other hand you are producing long term net worth gains with your debt then you are living the American Dream.

Ask yourself did the Rockefellers or Carnegie or JP Morgan or Vanderbilt or the Kennedys or the Donald achieve wealth without debt?

Which brings me to the travesty of the debt snowball.  I mentioned above your cost of living must be below your income, but there are two ways to achieve balance.  Cost reduction and the Debt Snowball is clearly one path, but that path also has a limited ability to produce wealth.  The way to wealth is through increasing your income, not limiting your expenses.  The path to stability is diversification of your income, not eating only Top Ramen.  The way to get Rich is to leverage Credit Debt and Loans to build a diversified portfolio of income producing assets, not slave away paying interest on your groceries to a large conglomerate bank.

Good luck on your personal journey and I hope you enjoy my blog.

Originally posted 2008-11-14 16:27:20. Republished by Blog Post Promoter

• Sunday Money Madness - Happy New Year! Happy New Year Everybody! Let's kick off the first of this year's roundup with a bang! Credit and Debt No Debt Does Not Mean Good Credit says Credit Karma. All Financial Matters posts Bureaus Roll Out New Credit Score Formula for 2009. Finance for a Freelance Life asks Got Gift......
• The Truth About Dividends When most of us hear the word dividends, we think about the easy life, of lying around on the beach while earning an insane amount of money. The cold hard truth is a lot less pretty. Dividends can pay, but unless you've got a lot of money invested, your returns......
• It's Time for Some Personal Budget Planning Tips Personal budget planning is an important part of keeping a handle on your finances. Because there is so much turmoil in today's economy, maintaining a healthy personal budget is more vital than ever. Crafting a personal budget begins with determining how money comes in, and how money goes out, but......
• Review - The 4 Hour Work Week by Timothy Ferriss I had some pretty high expectations going into this book. It rocketed to the top of the best seller list within days of its release and all the buzz surrounding it prepared me for a read that was going to change my life and make me rethink everything. Unfortunately,......
• RCDL Roundup - On the First Day of Xmas My True Love Gave to Me... lots of link love. Banking, Credit, and Debt Credit Karma asks Is a Credit Union Right For You? NCN posts Up, Up, And Away - Check Your Credit Card Statement! Cash Money Life blogs Two Financial Goals - Less Debt, More Income. Guest Post:......

• Path Lighting Outdoor Lighting Yard, Garden Outdoor Living
• Tokens Love Exonumia Coins Paper Money