How Would YOU Retire In 10 Years Round Up
|February 5, 2011||Posted by Roshawn Watson under Uncategorized|
By: Roshawn Watson
- Money Reasons wrote about getting money from your portfolio now in the form of dividends. Remember, dividend income is typically tax-advantaged income, even if it is not in the form of a 401K, 403b, Roth IRA, etc. Additionally, by receiving part of your total return in the form of a yield, you have hedged against the immediate risk of your paper assets decreasing in value. Alternatively, do you think it would be better if you invest in companies that do not pay a dividend but increase in value astronomically (i.e. Apple or growth funds)
- Krant Cents addressed taking on debt to increase a competitive advantage for a thriving business. When I hear or read about debt, I simultaneously think about risks! I think my risk tolerance has forever been warped in this capacity, which is not a bad thing, but it means approaching problems in a different manner. Thus, while I would love to grow a business as quickly as it make sense to grow, I would not want to assume risks that could threaten its viability should things go wrong. However, most millionaires are business owners, and the income earned via a business can be structured in a tax-advantaged manner. (article link below under personal finance)
- First Generation American discussed horrible experiences with being a landlord, yet subsequently mentions that she did get an extra $15,000 for the hassle that she wouldn’t ordinarily have had.The hassle factor of being a residential property landlord is clear and so are the rewards! Some try to bypass this completely by becoming a commercial landlord; however, the cost of entry and the amount of retained earnings (i.e. think emergency fund for when that expensive real estate sits empty) increases significantly in many cases. Additionally, many commercial landlords were hit pretty badly in the most recent economic downturn. A nice contract may not do much if the business tenant is going under. (article link below under personal finance)
Thought Question: How would your investment strategy change if your entire horizon for investing was 10 years? In addition to the aforementioned ideas: would you be pouring into small cap or emerging markets to get some tremendous growth? Would you become a minimalist?
Uncommon Money News and Round Up
In preparing to write my posts, I often come across noteworthy and sometimes bizarre financial and business news. Below are links to some of these sites. Enjoy!
To my readers: I am so honored by your support. Together, we are telling thousands of the importance of financial literacy. I absolutely could not do it without you: you are vital! Thank you sincerely.
Financing My Dream at Krant Cents – Would you take out a loan to expand your business?
Blending Work And Pleasure at Money Reasons – All too often, we view our jobs merely as a source of provision. Is it reasonable that they can be so much more? I know I already linked to a different story earlier, but I couldn’t resist this one!
How An Improved Economy Can and Should Affect Your Job Situation at Everyday Tips and Thoughts – here’s one that caught me off guard. Kris connects the economy with your current job situation with a twist.
4 Worries About the US Economy at DIY Investor – What are the biggest threats to the U.S. economy today?
Bad Tenants Incidents and Lesson Learned at First Generation American – Completely read with shock about the Maggot Tenant.
You Only Know What You Know at 101 Centavos – How comfortable are you with dynamic data? Under what circumstances would you embrace the new
It’s Pretty Bad When NJ Thinks It Has a Better Business Environment at The Biz Of Life – Find out which state increased taxes by 66% and whose businesses are the target of NJ’s new commercials
Entertainment Money News
Johnny Depp, Kristen Stewart Named Top-Earning Actor and Actress – Vanity Fair
Offbeat Money News
The Economist Argues That You Shouldn’t Bother with an MBA
Carnivals that I’ve participated in:
Carnival of Personal Finance #294 Control Your Cash
Round ups that linked to posts from this site
- Don at Money Reasons – MR Review Avoiding Malware Edition
- Kris at Everyday Tips and Thoughts – Link Round Up – Getting Sick of Being Sick Edition
- Andrew at 101 Centavos – Axes Hammers, and Random Links
- Lazy Man and Money – Tax Preparation Weekend and Personal Finance Links
Copyright 2012, Roshawn Watson, Pharm.D., Ph.D. All Rights Reserved.