Radical Finances

How to potentially double your money’s impact via lump sum debt reduction

It can be hard to visualize how paying a debt off works. There’s an interplay between principal and interest. You pay money to reduce the principal, but during that time, interest on the debt has piled up, reducing the impact of your payment and adding to the amount you owe. You might think the a … Continue reading »

Categories: Awareness, Radical Finances | Tags: , , | Leave a comment

If you’re still unsure about what method to use to pay off your debt

If you’re like most people, you’ve got some form of debt. It could be a car loan, it could be credit cards, or it could be “good debt” like student loans. No matter, it’s got to go. You need to get out of debt if you’re ever going to build any kind of wealth. Seriously. The … Continue reading »

Categories: Radical Finances | Tags: , | Leave a comment

Do you want to invest in a target date fund?

In 2006, Congress passed the Pension Protection Act. It’s a scintillating read. Among much else, it provided statutory authority for employers to enroll workers in retirement plans automatically, and also established criteria of “safe harbor investments” to protect employers from liability that comes from automatically enrolling employees. Prior to this, people weren’t automatically enrolling in … Continue reading »

Categories: Radical Finances | Tags: , | Leave a comment

Captain Obvious Reports: How not to have more credit card debt

Sometimes I like to get deep into the rabbit role with details. The post I wrote immediately before this detailed the ins and outs of rebalancing your investment portfolio. An important topic to discuss, but it’s hard not to be too wordy about it. But everyone’s busy and has a short attention span. So I’ve … Continue reading »

Categories: Radical Finances | Tags: , , | Leave a comment

Am I making a mistake by not rebalancing my portfolio?

I believe that investing is a crucial step in your plan to become financially secure. So I recommend putting as much as you can into an investment portfolio like a 401(k) at work, or (especially) a Roth IRA that you create yourself. 15% of your pay is a good round number. But allocating money is … Continue reading »

Categories: Radical Finances | Tags: , , , | Leave a comment

What to do when your account balance is different than expected

Balancing your household budget might be difficult to do, but it’s not complex. You just make sure that the money you have going out is the same amount that is coming in. (In this way, Charles Dickens’ Micawber was only half-right, though we agree in spirit.) In this way, the money you have in your bank … Continue reading »

Categories: Radical Finances | Tags: , , | Leave a comment

How I saved $600 in a year on my internet service

Ever since broadband to the home became commonplace in the 2000’s, the internet bill is one that most households can’t live without. As more and more people “cut the cord” on their cable bill, home internet service is as important as it’s ever been. While some lucky folks have direct fiber to the home via … Continue reading »

Categories: Radical Finances | Tags: , , | Leave a comment

The worrying connection between long-term care insurance and the Roth IRA

I talked last time about long-term care insurance (LTCI), and how it can be a great tool to hedge against the incredible medical costs of things like nursing home care. This is, of course, assuming that the insurers stay in business, which they don’t always do. Perhaps this is a bit of a mental leap, but … Continue reading »

Categories: Radical Finances | Tags: , , | Leave a comment

Is long-term care insurance still a going concern?

Medical costs are scary. Medical needs definitely count as emergencies, but the costs can be incredible. I always recommend a savings of at least six months of bills and expenses in your emergency fund (here’s what that means for you), but that can get eaten up in a pinch by medical costs, especially if you’re … Continue reading »

Categories: Radical Finances | Tags: , , , | Leave a comment

The problem with wanting “more”

“I wish I had more money.” I hear this at discussion groups, coaching sessions, and even just conversations with friends. I can’t help but remember that commercial from my childhood for a trade school, with Sally Struthers as spokesperson: “Do you want to make more money? Of course, we all do.” But do we really? … Continue reading »

Categories: Decisions, Radical Finances | Tags: | Leave a comment