The New Car Purchased By Ms. Tau

However I do not think that saving for children’s education is specific, measurable, realistic, or timely. I do not think it is specific or measurable because I do not how how much money she is trying to save or by what date she is trying to save by. I do not think it is timely because according to (Siegel, 2009), Alice is currently able to budget a savings of $400 per month. If I assume that she is saving all of that to put towards a down payment of a house, which is the first portion of the goal, then she does not currently have funds to save for children’s education. That is why I do not think the second portion of her goal –saving for children’s education is not

In this negotiation, I played the role of the buyer of the car, Mazda MX – 6 from Francesco, who played the role of the seller. The task involved negotiating for the right price for the used car.

My middle adulthood plans are determined by how these plans are able to affect even later life stages but also maintain a healthy current state. In the current state of middle adulthood, I will pursue my career in the medical field; with this intention, I will have new expenses to pay such as food, shelter, and clothing for me and my family, property and other bills, health insurance, and transportation costs. Regarding future thinking, maintaining a budget and utilizing a savings account is critical to retirement plans as this will make the most out of investments and my monetary state (Jesse Campbell, 2015, p.

For Shelby and Mark, they are faced with determining what insurance policy will fit their needs now and in the future. With Shelby owning her own business, this health insurance policy will cover both her and Mark, so consideration needs to be given to the health of both individuals. The health care insurance planner sheet will allow them to review the numbers behind both policies to determine what is best for them financially, as well as in the event that one of them should suffer some type of medical crisis. This form will give them the tools to make an informed decision concerning the out of pocket costs for both HMO and a traditional policy. Additionally, should a medical crisis occur that forces either Shelby or Mark into claiming

Next, what about emergencies? Forty thousand dollars can be the cost of one emergency, but some can cost even more. With hospital bills climbing steadily they will only be more expensive in the future. If you do not have a well-paying job you will either have to rely on your kids (that you may or may not have) or rely on other people, you will bring those people down and this is all because you did not save for

As a “comprehensive major medical insurance policy,” the Dumonts’ coverage includes basic health insurance for hospital, surgical, and physician expense needs, as well as major medical expense coverage. The latter is very important to extend the basic coverage to protect the Dumonts from the financial effects of a catastrophic illness or accident. The policy has a very adequate lifetime cap of $3,000,000 per insured. The Dumonts should continually analyze the health plans from both employers to determine which offers the best overall plan. But, the annual coinsurance, stop-loss amount, and family

Wow, having $90,449.99 towards retirement would be pretty nice. Since starting this assignment I have put a lot of thought into increasing the amount I save for retirement. Yesterday I went through the receipts I found in my purse and couldn’t believe the useless items I bought throughout the week. Sometimes I put no thought into spending. We all will have to face retirement at some point and sadly most won’t be ready. Hopefully others in class put a little more thought into the future. Yes, $36,288.57 is a lot of money and can make huge difference in the way retirement is spent. I’m not a risk taker and would probably cry if I lost money. For now I’ll increase the amount I save towards my 401K and increase the amount I

Once Bruce retires, his employer will become a secondary payer, as Medicare will be the primary. His employer will continue to provide health benefits for Faith for an increased premium of $352 per month. They also have coverage for both their car and home with $300,000 liability limits. The couple does not have disability insurance and at this stage in their life they might not need it. They also do not have an umbrella insurance policy to cover all of their belongings, which I would recommend them looking into instead of just insurance for their home and

Jean Kitching, a 57-year-old divorcee lifestyle has dramatically changed as retirement looms on the horizon. She came to the Pollard Group for Financial Planning. She is willing to work until age 70 to plan for a comfortable retirement. She desires to move south from Philadelphia after retirement. The group team reviewed and organized her financial records. They noticed she had no emergency fund, living with health insurance, no will for estate planning, no 401(k) or IRA accounts, and that auto insurance was a concern of Jean’s. Although Jean as an approximate net worth is $121,293; she still owes $28,759 mortgage and a $27,273 home equity loan, as well as other debts such as $4,611 personal loan, and $1,760 owed to a friend. She shared

a house (paying off the house completely) and saving for children, along with the retiring plan

On January 1st of 2017 I interviewed my mother of her financial decisions throughout her life. She does not use credit cards anymore after filing for bankruptcy due to bit parents being laid off in 2010 during the great recession. She does not use a written budget and does not know her current net worth. She does not know her asset allocation of her investments but is set to retire in 2030. She does not own a home but did before filing for bankruptcy she currently is renting a house. The two best financial decisions she made were putting 20% of income into an IRA account and getting rid all off credit cards after filing for bankruptcy and never opening anymore credit card accounts. The two worst financial decisions she made were spending her

In order to achieve anything in life, the person needs to set goals and clear planning that allow him to reach it.in this case , Alice sat goals for herself that she aims to achieve ,which are : pay off student loan ,buy a house and save for children’s education, accumulate assets, retire ,travel around the world in a sailboat. In order to do the right steps and choices she Assessed her current situation that showed different and important aspects of her financial life including assets, debts, incomes, and expenses. her assets and debts shows her annual incomes and expenses shows how possible her goals are and whether she is making progress toward them.

The first step in creating a retirement plan to last at least 25 years is to set short term goals, understand good debt versus bad debt, and how to prioritize paying off debt to allow the additional income to be saved for retirement. Bad debt, such as personal loans, car loans, and credit card debt carry high interest rates, and do not represent a future investment; bad debt loses value over time. Good debt, or debt with a low interest rate, can be viewed as a future investment. This type of debt includes mortgages, business loans, and student loans (Von Tobel, 2014). Paying off bad debt first reduces high interest payments, which then can be applied to an overall retirement savings plan. Approximately 50% of credit card users carry a month-to-month balance, and are required to pay accrued interest charges. According to Ghilarducci, actual credit cards should stay home, in a hard to reach place to be used only in the case of an emergency. While it is critical to pay down credit cards, high interest loans, and avoid carrying a balance, it is also important to make solid financial decisions pertaining to good debt. Paying off a mortgage in 7 or 15 years will raise the current monthly payment, but will save money overall by qualifying for lower interest rates, and

This week in our assignment we find that an individual in their twenties should be prepared to save for their emergency fund and that it should be kept separate from the savings account (Kapoor, Dlabay, & Hughes, 2014). One suggestion that may help Shelby to increase her emergency fund would be to start out evaluating her monthly budget because by reviewing it frequently she may find that there are items that she can do without from time to time. If this is not a possibility, then other ways may be a little time consuming but can help her to meet her goal. Shelby should compare financial institutions, their interest rates on loans and various payment accounts. Also, she has the ability to check out the different types of saving accounts

Future value of an annuity 227 Present value of an annuity 233 Using tables for annuity problems 239 Loan repayments 244 Chapter summary 249 Multiple-choice questions 250 Short-answer questions 251