Personal Finance 87

Myth: Buy everything in bulk

Think bigger is always better? You might want to think again. Check the unit prices before you buy: Items like cereal or frozen foods are sometimes cheaper in smaller quantities, according to Natasha Rachel Smith. Plus, you could waste a lot of food (and money!) if you don’t finish items before they spoil. To get the most bang for your buck, stick to healthy pantry staples or frozen goods that you often use, and make sure you can eat everything before it goes bad.

Popular among procrastinators

Managing your money can seem like a full-time job sometimes. Unfortunately, far too many of us aren’t doing very well at completing essential money tasks that should be on everyone’s to-do list. In fact, 7 in 10 Americans postpone making major financial decisions, according to research by Principal Financial Group and behavioral economist Dan Goldstein.

The research found 56% of Americans haven’t made any major financial decisions over the course of the past three years, which owes largely to the fact that less than a third of us report feeling confident enough to make important choices with their money.

So which financial decisions are Americans putting off, exactly?Let’s look at some of the top money matters Americans procrastinate on – and get some helpful advice on tackling these issues so you can take control over your finances.

Does money make you happy? The short answer is no. Researchers say the correlation between income and happiness is only modest, so there are clearly other factors at play. However, there is a relationship between how you spend money and happiness. If you know how to put your dollars to good use, you can boost your mood — regardless of how much money you’re making.

HAVING A SAVINGS GOAL IS A GREAT MOTIVATOR

Maryann Akinboyewa, a 24-year-old public relations manager for the Penny Hoarder, started a spending freeze that she hopes will allow her to pay off her student loans. Beginning New Year’s Day, she set a strict budget for herself and vowed to stick with it for 12 months.

She sets aside enough money to pay for necessities, such as utilities, rent, groceries, and student loans. She reserves a small portion for miscellaneous expenses and allows herself $50 a month to pay for meals out. Whatever is left over gets socked away in savings. ‘If it’s not in the budget, I don’t spend money on it,’ she says. Her commitment to the freeze has paid off. In just three months, she has saved a little over $2,000.

Buying used items is one of the top ways to consistently save money. However, not every used item is a good value. In fact, sometimes buying secondhand could endanger your or your family’s well-being, or end up costing you more in the long run.

Some things really are better the second time around. In fact, many used items can be every bit as good as those purchased new. Plus, buying used is almost guaranteed to save you cash.

So, without further ado, following is our list of the top 10 things you should never buy new.

Today, 1% of the U.S. population controls nearly 40% of its wealth. This level of inequality is not the first time wealth has been so unevenly distributed in the United States. During the gilded age, just one Rockefeller or one Vanderbilt controlled wealth equal to a large fraction of the nation’s total GDP.

John D. Rockefeller, the wealthiest man in American history, is estimated to have been worth over one-quarter of a trillion dollars, inflation-adjusted, when he died — which is in a different class than America’s wealthiest today. Jeff Bezos, Bill Gates, and Warren buffet are each worth less than half what Rockefeller was worth.

Rockefeller, who was born and raised in upstate New York, helped shape both the city and the broader state’s history — as did his family. Rockefeller Center is only one small example of the impact Rockefeller had on New York state — those two names are forever linked. This is but one of many examples of the nation’s extremely wealthy becoming a significant part of an area’s identity.

A more recent example is Warren Buffett, who was born and raised in Omaha, Nebraska. Buffett continues to live there in a modest home, and he is an active philanthropist in his state.

While not every state in the country served as the childhood home for one of the nation’s extremely wealthy, every state has borne at least one person or family worth hundreds of millions of dollars.

Not all of these richest people are still alive, and many moved out of state never to return. Still, these states can claim they contributed to the start of at least one of America’s financial elite. Reviewing estimates from a variety of sources and adjusting for inflation, 24/7 Wall St. identified the richest person of all time in every state.

A 2017 GOBankingRates survey revealed that more than half of Americans splurge on guilty pleasures. If you frequent the bars on weekends, eat fast food or smoke cigarettes, you’re probably one of these people who drops a lot of dough on expenses that can drain your bank account.

TREAT YOURSELF

While an incredible number of birthday perks revolve around free food, there are plenty of companies out there that will actually give you discounts and gifts on practically everything else on your special day. Company loyalty programs often offer celebratory perks to their members or their children, and in return, require them to at least sign up for a card, club, or newsletter to earn those benefits. Here are 50 ways you can get some birthday freebies for you and your loved ones, from car washes, to beauty samples, and rounds of golf.

Warren Buffett is one of the richest people in the world because he saved and invested – and didn’t follow get rich quick schemes.
Wealth is attainable to everyone with good financial habits, and you may already be on the right path.
Spending less money than you earn, saving for retirement, and investing money are simple ways to become wealthy.
Owning bitcoin won’t guarantee future wealth – but the right saving and investing strategies will.

At least according to Warren Buffett, who considers cryptocurrency a get-rich-quick scheme. Though chances are slim you’ll end up with the multi-billion-dollar fortune Buffett has, there are sensible ways to build wealth without betting on a bubble.

It’s hard to put a number on “wealth” because it’s personal and it depends on many factors, including where you live. Generally, having wealth means not having to worry about being able to pay your bills and knowing a comfortable retirement at a decent age is feasible.

These 11 indicators are easy to follow and will help you build wealth – whatever that means to you. Even better, a lot of these tips go hand-in-hand and require little work or maintenance.

If you are already following this advice, congratulations! You are on the road to being wealthy.