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?Women drivers.? Most of us have probably heard that phrase grunted from a man in our lives, whether a friend, family member, coworker, or complete stranger. And, most women have probably been somewhat aggravated by the negative connotation. But, did you know that women?s car insurance is generally cheaper than men?s car insurance? It?s true, and as sexist as it may sound, it?s actually not. There are a plethora of statistical facts that tend to cause car insurance companies to offer lower rates to women drivers than to men drivers, and none of those reasons include the idea that women drivers can?t drive!

Car insurance companies have researched data over a number of years, and the findings support the idea that, as a whole, women drivers aren?t involved in as many accidents as men drivers, and the motor vehicle-related accidents that women drivers are involved in often don?t cause as much damage as motor vehicle-related accidents men drivers are involved in. Women drivers also don?t commit as many motor vehicle-related crimes as men drivers. As if all that weren?t enough, women drivers are also more likely to pass their driver licensing exams on the first try than men drivers.

Because of these statistics, car insurance companies are Read more…

You may recall that following the 9/11 attacks, the stock market closed for several days. It re-opened on 9/17 with the Dow down 7%.

That was it for one couple I know, Mary and Frank. The attack on the country, coupled with the attack on their personal finances, was too much. They were worried terrorism would sink our economy and stock market like the Titanic, so they sold all their market investments.

Was it the right move?

Nope. In less than two months, the situation changed drastically: Within 53 days, the market recovered all it had lost. And by the end of the year, the market was 12% higher than it had been when Mary and Frank had bailed out. Now their greatest problem was not having a strategy to get back in. In their uncertainty and confusion, they became paralyzed by fear of making the wrong move again.

You?re well aware that September 2001 was not the first time the U.S. weathered catastrophe that directly impacted investors. Among other events, we?ve been through a depression, World War II, the Cuban missile crisis and an assassinated president.

Yet the stock market has continued to thrive.

Despite market resilience, a lot of people lost a lot of money. It might be tempting to think that if investors had been more informed about what was happening geopolitically, they could have headed off personal financial devastation. But that?s a sucker punch. Now that we can be acutely aware of every twist and turn in the world, does it make sense to invest based on international political and military posturing? Not if you want to make money.

Here?s another example. Shell-shocked, Janice met with her financial advisor in March of 2003. She?d seen the market tank through the horrific bear market from 2000 through 2002. She?d read sordid tales of corporate theft that cost investors billions and, in many cases, their retirement. She was worried by accounting scandals. And, of course, there was this problem in Iraq.

Janice was convinced that any one of these events could mean disaster for her investments. In her mind, all of these things happening at the same time meant certain financial catastrophe. Demoralized, Janice sold all her holdings. And from an emotional standpoint, you couldn?t blame her.

But from March of 2003 through the end of 2003 the Dow rose 32%. Janice missed out completely.

Our market has survived everything thrown at it. Unfortunately, we?ll most likely always have a crisis to overcome. The current terrorist problem could be with us for many years, and that?s certainly a human tragedy. However, no one can revoke the business cycle. There will always be companies that make great products and high profits. Those companies will expand, and the value of Read more…

Maggie and Sam called my office last week, and I could hear the desperation in their voices. They?ve lost more than $1 million in the stock market since 2000 by ?investing conservatively.? Their broker assures them that buying high-quality mutual funds and holding onto them through rough markets will grow their money safely. Yet they can plainly see it isn?t working. In fact, they?ve watched a serious decline for a while now, and they?re starting to panic.

Their problem is not earning money to fund their retirement dreams. Both Maggie and Sam are smart and successful: She is a heart surgeon and he is a well-heeled attorney. Yet they?ve lost a fortune, and they can see that no matter how much they earn, it can?t possibly offset the damage done by listening to the advice of their broker, so they?ve turned to me to stop the bleeding.

These two aren?t the only intelligent, affluent investors I?ve met who are frustrated and frightened by their investment results, and 2000 wasn?t the only bear market investors had to face. Based on 60 years of evidence, a bear market ravages investors every 3.3 years, and the average loss is 27%. That?s enough to scare anyone. According to AARP, 35% of all retirees go back to work after they retire. Could it be because the market cracks and scrambles their nest eggs?

I?m reminded of my Uncle Jim, who wouldn?t listen to me and retired in 1999 with $700,000. His plan was to create income from his retirement package and to live happily ever after. Interest rates were too low for Jim, so he decided to invest in growth mutual funds to create the income he wanted. By the end of 2002, his $700,000 had dropped to less than $400,000 thanks to an inhospitable market. His savings had lost 43% of its value. Then, instead of $700,000 working for him, he had $400,000 working for him. That meant less income–a lot less income. Faced with this disturbing reality, Jim sold his beautiful home to buy a small condo and had to go back to work. Jim didn?t have 70 years to ?think long-term? as his broker and other financial ?experts? suggested he should. Jim needed that income today.

What can Jim, Sam, Maggie and everyone else do to protect themselves from catastrophic loss in the future? Since we know that a crash comes every 3.3 years on average and the typical loss is over 27%, it is critical for investors to invest only when the risks of doing so are relatively low.

Of course whenever you invest in the stock market you take on risk. However, we know that certain times are riskier than others. Just as you check the weather forecast before you embark Read more…

Although the advances in technology makes plastic surgery accessible to loads of people, the cost of certain complex procedures is still on the higher side for some people. Thankfully, plastic surgery financing renders such procedures affordable to those who might otherwise renounce the option of surgery due to high expense. Since cosmetic surgery is not covered by health insurance schemes, financing is the only way to cut down the cost of certain expensive procedures.

Several financing options are available to patients. Patients may either opt for easy installment schemes offered by the surgeon or may acquire credit from outside sources. However, it is imperative that the patient puts in a diligent effort to conduct preliminary research, in order to find the best possible financing plan. Plastic surgery financing is available irrespective of complexity and length of the procedure. However, the monthly installment may vary, depending on the total cost of the procedure and time required to repay the loan. Moreover, it?s always nice to have a good credit rating, since that aids heavily in acquiring the much needed loan for the surgery.

It might be the case that you won?t have to fish around for a credit source. Most reputed surgeons have liaisons with plastic surgery financing firms, which make the loan application and approval process a cinch. However, it is advisable to explore all possible options Read more…

Loans are the single most common source of funding, whether for purchasing a home, financing a business, paying off debt, or financing a college education. Before approaching a lender to see if you qualify for a loan, whether your credit scores are ideal or very poor, it’s a good idea to understand as much as you can about the factors that a lender will take into consideration when evaluating your situation and your position as a borrower. Qualifying for a loan can be much easier when you have and understand all of these factors.

To qualify for a loan, a bank or other lender will examine a few key points about you.

1. Ability to repay the loan.

First and foremost, when qualifying for a loan, a lender needs to be reassured that you have the ability to repay the money that is borrowed, and that you are trustworthy enough to make your payments. Lenders want to see your cash flow and if possible, a secondary resource, such as collateral. Your credit scores help them determine if you’ve paid off credit cards and other loans. Lenders check your credit scores to see if you’ve made your payments on time, and to see if you’ve defaulted any creditors. If you’re applying for a business loan, lenders like to see a business that’s been in existence for a long time, and that it’s been profitable for a long time. Qualifying for a personal loan or a mortgage is much the same. If you have a credit history that shows that you’ve paid your other bills, and you have a steady flow of income coming into your budget, chances are good that the loan will be approved. If your credit is questionable, however, it may be of benefit to seek a lender specializing in loans for individuals with poor credit.

2. Credit history.

As mentioned, the first thing that a lender will do to determine if an individual, couple, or business can qualify for a loan is to pull their credit report, usually from Experian, Equifax, Transunion, or another smaller credit bureau. Therefore, before you approach a lender, or even start preparing to request a loan and see if you qualify for a loan, make sure your credit scores are as high as possible. Get a copy of your credit report from each of these three credit bureaus. Review each item on the report carefully, and report any errors that you find. For example, if you’ve gone through a divorce and a loan was placed in your spouse’s name, request that that item be removed from your report to not reflect the current history of that particular loan. Watch for items that may not be yours, too. Identity theft and identity errors are common, and it’s important to protect your credit and remove anything that simply does not belong on your report. Once a dispute is filed, the creditor has 30 days to respond to the credit bureau. If no response is received, the item must be removed from your credit report, and your credit scores will increase. Check your name, social security number, and address at the top of each report to make sure they are correct. Contact each individual credit bureau Read more…

In a nation consumed with wealth-building, it?s easy to forget that earning money is only half the financial security battle. Equally important is protecting our hard-won financial security with a well-designed estate plan. For women, the importance of planning is paramount, because most often women must cope when loved ones become disabled or die.

A recent study by Penn State University found that wives were three times more likely to have to cope with a mate?s illness or injury. The study also revealed that few husbands had prepared the kind of estate planning documents that would have eased their wives? burdens.
For example, a Living Will and a Health Care Power of Attorney give wives the legal clout to act on their husbands? behalf in the event of an emergency.

Without these tools, wives must endure the process of living probate, also known as a guardianship proceeding, in which a husband may be declared incompetent, and a probate judge decides who should be responsible for his personal care and financial affairs. While the wife is often granted this role, there are no guarantees that she will prevail. Judges have wide discretion over whom they may appoint, and the judge may deem that an outsider or professional guardian may be better suited to the task.

According to the U.S. Census Bureau, widows over the age of 65 outnumber widowers by five to one. And when women lose their husbands, they are often thrust into poverty. But if you think impovershed widowhood is something only the elderly experience, think again. The average age at which a wife becomes a widow is just 56. Estate planning can?t do anything to mitigate the loss of a loved one. But it can help ensure that the surviving spouse is financially protected.
When a husband dies without a plan, his estate is adminstered by a probate court. Death probate is a costly, time-consuming and public process that may add months, or even years, to a widow’s emotional stress.

Ask most married individuals whom they want to inherit their worldly goods, and they will usually say their spouse should receive the lion?s share. Unfortunately, most states use a rigid formula for distributing the deceased?s assets. In many states, the surviving spouse receives half, with children receiving an equal share. The result could be that grown children who are financially independent could receive assets that their parent needs more.

When Americans fail to plan, the government rejoices. That?s because taxpayers are losing opportunities to reduce or completely avoid estate taxes. Today, each taxpayer is entitled to pass assets worth up to $625,000 estate tax-free. With proper planning, a married couple can protect from taxes assets worth $1.25 million. Assets over that amount, however, will be taxed from 37 to 55 percent. Say that a husband and wife have a $1.25 million estate. But as a result of poor estate planning, they shelter only $625,000. About Read more…

This edition of the Motivation

The looming hardship that will be faced by many of the baby boomers once they retire could well affect women a lot harder than men. The likelihood of the government being able to afford any sort of reasonable amount of pension is very slim, simply because of the magnitude of the number of people who will be retirees, compared to the working population. The Australian government has realised this, and that is why they introduced the compulsory employer paid superannuation scheme and are even now beginning to give financial incentives to Self-funded retirees. They are also now encouraging people to work well beyond the 65 year barrier.

Most people have never sat down and even considered the ramifications of why the compulsory super was introduced and for many of us it is a matter of too little too late. Even for the young women in our society ? who have a full working life ahead of them, they still cannot rest assured of a comfortable retirement.

Why is this? It is because that unfortunately even with contributions at the current level of less than 10%, someone on an average wage who works continually for 30 years, is still going to find themselves trying to survive on an income equivalent to less than $20,000,00 per annum in today?s dollars.

You will notice that I said continually working for 30 years. This is another reason why women are particularly disadvantaged, firstly because they often have to take up to ten years leave from the workforce to raise children, secondly because women in general earn less than their male counterparts and thirdly because an enormous proportion of the women in Australia, will never have received any previous superannuation contributions, prior to the compulsory superannuation being introduced, and will therefore not have had contributions made over their entire working life so far, giving them even less to fall back on by the time they retire.

Many women may previously not have thought of lack of superannuation contributions as being a problem, as their husbands may have been contributing to super since they first began work. Unfortunately though with the high number of divorces in this country, it is unwise to rely on the fact that your partner?s superannuation will be there for you in your retirement years and even if a large proportion is awarded in a settlement ? that it will be sufficient to sustain a comfortable retirement for any length of time.

All of these factors are why women now more than ever, need to begin taking action to build up a source of ongoing income, that will grow to such an extent, as to be able to provide a secure and happy future for themselves and their children.

It needs to be a source of income that is unrelated to physical work?that is an income that is generated from income producing assets ? Read more…

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Russ Miles is author of the novel, For Sale By Owners:FSBO. A ?Seasoned Real Estate NAR? Broker,? disabled by Multiple Sclerosis, he writes books

What do you worry about most when it comes to your finances and debt or your credit card repayments? It seems that men and women have different outlooks and think differently about their finances. A survey was carried out to see whether men and women thought differently or the same about their finances.

Women tend to look at their current levels of debt while men tend to look to the future and are more likely to plan ahead when it comes to their finances. Women worry more about how they are going to pay off all their current credit card bills, store cards and loans along with their mortgage, shopping and living expenses with three quarters of women doing so, meanwhile less than 50% of men worry about the same thing. Only 13% of men know what their current debt levels are.

While men are laid back about their current debt levels they are better prepared for the future. Men are better at investing their money with half of all men investing in an ISA while only 35% of women are doing the same. Only five out of ten of women have a savings account with men in the lead with six out of every ten. Three quarters of men are paying into a pension for when they retire while only half of women are preparing for their retirement.

The only things that were found to be very little difference in when it came to our finances was the fact that both men and women have little knowledge of credit reports and how they work, although we think we do. Three quarters of men and women said they new what Read more…