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Let’s continue our retirement planning discussion. As a public employee, a large portion of your retirement income will likely be generated by your pension through the state retirement system. This income stream will be based on a formula or calculation which will likely include some combination of the years of service you attain and the salary level you will have achieved at or near retirement. To understand your specific benefits, (more…)

I love a good deal, but for some reason I have never been much of an after-Thanksgiving holiday shopper. This year, I have already seen retailers sending out “sneak peeks” or accidentally “leaking” their door buster specials to entice shoppers with sale prices, which in some cases stretch before and beyond Black Friday. So, if you have any inclination to brave the crowds, the weather, the lines, and in some cases sleep deprivation, here’s how to get the most of your Black Friday shopping. (more…)

As a reluctant writer, it’s hard to believe that I have been blogging now for an entire year. I thought for sure I would have run out of topics to discuss by now. But while we have covered quite a bit of ground, it feels like we’re just scratching the surface.

In honor of this auspicious occasion, I thought I would highlight some of my older, yet still relevant, posts. You can access all of the Money Talk blog posts through the search function, or page through them by clicking on the “Older Posts” link at the bottom left of the category page.

Here are some of my Money Talk “faves”:

• Prioritizing your financial goals
• The importance of emergency funds
• Questions to ask your financial professional
• Financial literacy for kids
• Breaking down debt
• FSAs: dependent care and medical savings
• Financial resolutions to adopt
• Retirement “match” benefits - free money!
• Retirement catch up contributions for age 50+

And remember, if there is ever a topic you would like for me to cover, please post a comment and let me know what financial planning or saving subjects you’d like to hear more about!

Unless you intend to “die at your desk”, most everyone needs to plan for when they will stop working and live off the savings they have accumulated. Planning for retirement financially means structuring a retirement income flow that will meet, or exceed, corresponding expense outflows over the duration of your planned retirement (see my post called Retirement “Surprise”). However, to accurately forecast that cash flow there are many variables such as inflation, or the increase in various living costs (especially health care), tax consequences associated with certain decisions, and preparing for the unexpected through risk management and liquidity building that also must be considered.

Since retirement planning is a big subject with many facets, my goal is to break it into more manageable pieces. (more…)

Financial Planning Week is October 4^th through the 10^th and the Certified Financial Planner Board of Standards along with other organizations is jointly sponsoring free Financial Planning Days where you can sit down with a financial professional and talk with them one-on-one on a number of financial planning topics like budgeting, getting out of debt, retirement planning, paying for college, income tax issues, and estate planning.

Sessions are being held in 20 cities throughout October and into November. You can go to the Find an Event tab on the Financial Planning Days site or look below to locate the one nearest you. There are no sales or strings attached. You’ll also be able to attend a series of 50 minute educational workshop presentations on a variety of financial planning subjects. (more…)

In honor of Life Insurance Awareness Month, I thought it was timely to talk a bit about insurance. Insurance is essentially a risk management tool. When deciding what types of “risk” to insure, you should always look first to the potential size (severity) of the possible loss and then to the probability (frequency) of that loss. If the risk is of high severity and low frequency and cannot be reduced by other means (e.g., risk of death, disability, or your house burning down) you should transfer that risk to someone else by insuring it. (more…)

When I was young, I was in awe of the ladies (and gentlemen) who would go on the Price is Right and know the “actual retail value” of all of the various grocery items that were used in the show’s games. (As a golfer with a rather weak short game, I’m just as impressed with Bob Barker sinking those long putts consistently during his “Hole in One” demonstrations). But the desire to always know the value of something came along with me into my financial life.

It’s one of my basic principles. If you know the true value of an item, like a service or product, then you’re unlikely to pay more than you should for it. This, in turn, provides you with more money to invest in your financial goals. It’s also the best way to know if you’re being offered a real discount, or just hype. (more…)

The FDIC states that a credit score is a number calculated by a credit bureau, a lender or another company to summarize each person’s financial reliability, or creditworthiness. Credit scores can be used by lenders to determine if you qualify for a particular loan or a lower credit card interest rate. What you may not realize is that your credit score may also be used to determine other important financial factors in your life such as your life insurance rates and auto insurance premiums. Credit scores can even be used by prospective employers and landlords when you apply for a job or before you sign a lease. (more…)

As the summer draws to an end, I’m getting caught up in the back-to-school excitement created by my boys. With the anticipation of starting a new grade buzzing through the house, I thought I would share with you all of the great back-to-school savings from NEA and NEA MB.

For the Classroom: In the article Finding It for Free featured in this month’s NEA Today, you can read about how communities and teachers have set up Teacher Stores with neighborhood business partners for free classroom supplies. You should also check out the School Supply section (item #7) in 10 Free Things for July and Donations from Businesses (item #9) in the 10 Free Things for June on NEA.org. (more…)