Barbara O’Neill, Extension Specialist in Financial Resource Management
Rutgers Cooperative Extension
October 2016
Seven Side Effects of Saving and Investing
An important result of saving and investing is having a sum of money available to use for emergencies or to fund future financial goals such as a vacation, new car, or retirement. With savings also comes peace of mind in knowing that you’re not on the “financial edge” with little or no money in reseve to handle negative life …
Barbara O’Neill, Extension Specialist in Financial Resource Management
Rutgers Cooperative Extension
October 2016
Seven Side Effects of Saving and Investing
An important result of saving and investing is having a sum of money available to use for emergencies or to fund future financial goals such as a vacation, new car, or retirement. With savings also comes peace of mind in knowing that you’re not on the “financial edge” with little or no money in reseve to handle negative life …
Jerry Buchko, MA, AFC®, is a Counselor, Coach, & Tutor of Personal Finance who is pursuing a private practice serving clients using video conferencing and other online collaboration spaces. Prior to entering private practice, he worked for almost 14 years in the employee assistance field, providing financial counseling to clients from a diverse range of life circumstances and experiences, including military service members and their families. Jerry has a B.A. in psychology, an M.A. in counseling psychology, and is an …
Barbara O’Neill, Extension Specialist in Financial Resource Management
Rutgers Cooperative Extension
November 2016
Diversification and Dollar-Cost Averaging: The Basics
Two time-tested investment strategies are diversification and dollar-cost averaging. Diversification means spreading your money among different types of investments (e.g., stocks, bonds, and cash equivalent assets such as CDs and money market funds) to reduce the risk of loss from a decline in any one investment.
There are a number of ways to diversify investments. Below are six frequently used …
Barbara O’Neill, Extension Specialist in Financial Resource Management
Rutgers Cooperative Extension
Eight Tips to Avoid Money Squabbles
June is a month when many weddings occur. Unfortunately, many marriages eventually end in divorce (see http://magazine.foxnews.com/love/whats-divorce-rate for a thorough discussion of the U.S. divorce rate). Money and lack of communication about money-related issues (e.g., spending, use of credit, and investing) are said to be among the leading causes of disagreement among spouses which can lead to subsequent uncoupling.
Want to avoid …
Barbara O’Neill, Extension Specialist in Financial Resource Management
Rutgers Cooperative Extension
December 2016
Building Wealth: Strategies That Work
Most investors want to grow wealthy over time and have a comfortable lifestyle in later life. Investing can help get them there. Most people do not become wealthy from their earnings alone but, rather, by investing a portion of their income and letting it grow for several decades.
The goal of investing is to set aside money today with the goal …
Barbara O’Neill, Extension Specialist in Financial Resource Management
Rutgers Cooperative Extension
Asset Allocation Basics
Asset allocation is the process of diversifying an investment portfolio among different categories of securities called asset classes. For example, 50% stock, 30% bonds, 10% real estate investments, and 10% cash equivalent assets (e.g., money market funds and certificates of deposit). The goal of asset allocation is to lower investment risk by reducing portfolio volatility. In other words, investors hope that losses in one asset …
Perry, V. G. (2008), Is Ignorance Bliss? Consumer Accuracy in Judgments about Credit Ratings, The Journal of Consumer Affairs, 42(2), Summer, 189-205.
Brief Description: This study examines the accuracy of consumers’ self-assessments of their credit ratings. Findings suggest that approximately 32 percent of consumers overestimate their credit ratings while only 4 percent underestimate them. Those who overestimate their credit ratings are less knowledgeable about financial matters, are more likely to have acquired their financial knowledge from difficult past experiences, …
Barbara O’Neill, Extension Specialist in Financial Resource Management
Rutgers Cooperative Extension
Smart Charitable Gifting Strategies
You’ve worked hard for your money and invested it wisely by following time-tested practices such as diversification and dollar-cost averaging. At some point, you may decide that you want to “share the wealth” with others by making charitable gifts. Large donations to charities often take place during the final months of each year so donors can receive income tax deductions if they are able …
Scott, R. H., Jr. (2010). Credit Card Ownership Among American High School Seniors: 1997-2008. Journal of Family and Economic Issues, 31, 151-160.
Brief Description: High school is when many students get their first credit cards. Jump$tart for Financial Literacy has tested the personal financial knowledge of high school students from across the U.S. since 1997. Using data from the Jump$tart surveys, this study compared the characteristics of various groups of high school students with and without credit cards. Students with …
