Hi, I am Allen Iversen, and I welcome you to my money and finance page. Today's economy is tough, and I want you to have all the benefits possible when making your financial decisions. I am in your corner, which is why I wrote this website. On the following pages, you will find information about financial planning, financial freedom, spending habits, spending plans, credit cards, insurance, mortgages and investments. Each page will deal with a specific topic and I will provide you with sound advice that I believe to be realistic. I am not here to sell you a pie-in-the-sky dream, I only offer advice which can be used by everyone with everyday incomes.
The first topic I discuss is your financial blueprint... the steps you need to take in order to analyze your spending habits, create a spending plan or budget, and determine your short-term and long-term goals. I categorize financial planning into three areas which are cash flow management, asset or equity building, and asset protection. All of these components directly impact how you plan for your future, as well as how you manage your day-to-day finances. Your short-term goals will change, but over the long-term, you should be able to build a framework that allows for a comfortable retirement. Everything you plan today should help tomorrow.
Next, I talk about the road to financial freedom and what that means for you. Ideally, you want to be comfortable in your later years with little to no debt. If you can make that happen early enough to enjoy retirement long before sixty, then, your financial plan will have served you well. One point that I do stress is the fact that financial freedom is not an overnight feat. It takes time and effort to be able to live comfortably and without the temptation of incurring more credit. But, you can achieve that goal if you prepare and understand where you want to go. Your financial blueprint needs to be realistic, and it needs to be concrete. It is not sufficient to say that you want to retire when you are forty-five. You need specific steps illustrating how you will get there. Your income must be allocated accordingly and you work in that direction on a daily basis.
Another area that I wanted to address was over-spending issues. This is the problem of many people who wonder why they have more month at the end of the money, instead of, more money at the end of the month. True, some people do not have the necessary income to balance rent, utilities and groceries, but we are talking about people who have the means to cover their bills, yet who manage to squander much of their salaries with little to show for their lost dollars. In this section, I divide the topic into five areas including credit card balances, cash over-spending, your reaction to bills, the effect of emotions on spending, and how debt consolidation and mortgage refinances lead us astray of our goals.
Moving on, I speak about the real need for credit cards. This is a topic where no-one seems to sit on the fence. The two sides of the debate aggressively hold their positions on whether it is a good idea to have credit cards, or whether they are an absolute nuisance. It is probably agreed by most experts that the cards themselves are not bad, it is the people that use them. Do credit card holders manage their credit responsibly and do they understand the alternatives? Do they even know that other options for paying exist?
Insurance polices are important for everyone. Whether you purchase home insurance, renters insurance, condo insurance, vehicle insurance, health and medical insurance, or life insurance, there is a reason for each and you will need all of them at some time in your life. Insurance safeguards you against financial devastation should an accident happen. It could be the theft of your car, a fire in your home, emergency surgery, regular doctors' visits for the children, or finalizing your financial affairs after your passing. Insurance coverage is a necessary component of your financial blueprint, and you ultimately need to include the premiums as part of your monthly spending plan.
Additionally, I devote a whole page to the importance of your mortgage. The monthly payment has several significances in your financial blueprint. It affects you for the larger part of your life, and it will be a determining factor in many of your decisions. Also, your mortgage loan allows you to build equity, creates security for you and your family, and provides you with at least one asset to leave your family in case of death.
Finally, I provide eight pointers to help you invest your money safely and without risk. These references are very basic elements of investing that most people disregard, as they try to make a fast buck on schemes that have no merit. Moreover, I talk about the difference between investing and simple gambling. All too often, individuals confuse long-shot gambles with investments that don't fit their specific investor's profile. If you cannot afford to lose your money, then the risk you are about to undertake is not for you.
Risky ventures with promises of high payouts are tantamount to picking a number and hoping it displays on the roulette table. True, the venture might pay off, but for someone trying to make the best of their meager salary, this form of "investment" is not recommended. Please do yourself the favor and find safe investments offered by your financial institute, the government, or long-standing corporations. Back the sure bet, if you do not have the money to risk. You won't get rich, but you won't go broke either.
In closing, I am glad that you found my site on money and finance. I have tried to find sensible and reasonable ways for you to work on your own financial plan without the help of a paid expert or counseling agency. Truly, I would rather see you start your own spending plan now to avoid any of the negative aspects that can be associated with your road to financial freedom.