by Reginald Campbell

WHAT IS MONEY?

DEFINITION OF MONEY Money is any article or substance used as a medium of exchange, measure of wealth, or means of payment

PURPOSE OF MONEY PAY DOWN PAY OFF PAY FORWARD SAVE INVEST

UNDERSTANDING OF MONEY

HOW TO SOW YOUR MONEY

Financial Liabilities

HOW TO USE YOUR MONEY Identify your priorities vs wants Plan all of your major purchases Research your potential purchases for price, quality, and content

WHAT YOU SHOULD DO IN 20’s Obtain a college degree Begin working in your degreed field Begin contributing to a retirement fund (401k, IRA) Start a savings account Limit the amount of credit cards

WHAT YOU SHOULD DO IN 30’s Contributing more to 401k and other retirement plans Auto draft paychecks for retirement Save the max Don’t worry about market volatility Avoid taking on too much debt during your 30’s so you will have enough cash to save for retirement

WHAT YOU SHOULD DO IN 40’s Turbocharge your retirement saving during these years See a financial planner who can act as a sounding board and help keep you on track Coordinate with your spouse to save more Put any raises and bonuses toward your retirement savings Figure out how much you’ll need to maintain your lifestyle in retirement

WHAT YOU SHOULD DO IN 50’s Try to save as much as you can for the years you won’t be able to save enough Start thinking about when you will start drawing social security Reduce your expenses (downsize to save money) Get in the habit of living on a fixed income and saving the extra money The will help you get ready for managing your spending in retirement

Household Finances by Reginald Campbell