Goof-Proof Personal Finance

209 Pages·2003·1.05 MB·English

by  LearningExpress Editors

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goof-proof
P E R S O N A L F I N A N C E
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PERSONAL
FINANCE
Felice Pr imeau Devine
®
N E W Y O R K
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Copyright © 2004 LearningExpress, LLC.
All rights reserved under International and Pan-American Copyright Conven-
tions. Published in the United States by LearningExpress, LLC, New York.
Library of Congress Cataloging-in-Publication Data:
Devine, Felice Primeau.
Goof-proof personal finance / Felice Primeau Devine.—1st ed.
p. cm.
ISBN 1-57685-502-3
1. Finance, Personal. I. Title.
HG179.D4947 2003
332.024—dc22
2003021918
Printed in the United States of America
9 8 7 6 5 4 3 2 1
First Edition
ISBN 1-57685-502-3
For more information or to place an order, contact LearningExpress at:
55 Broadway
8th Floor
New York, NY 10006
Or visit us at:
www.learnatest.com
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A B O U T T H E A U T H O R
Felice Primeau Devine has worked in publishing for more than
ten years as an editor, publicist, and brand director. She has
authored four other books in the Goof-Proof Series: Goof-Proof
Grammar, Goof-Proof Spelling, Goof-Proof Interviews, and Goof-
Proof Resumes and Cover Letters. She is also the author of U.S.
Citizenship: A Step-by-Step Guide, and Pharmacy Technician
Career Starter, and the coauthor of Cosmetology Career Starter,
2nd edition. She lives in Albany, New York.
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C O N T E N T S
Introduction xi
SECTION ONE
The Goof-Up—Spending Before You Think 1
Rule #1 Get Organized 2
Rule #2 Budget to Build Better Spending
and Saving Habits 5
Rule #3 Save First—Spend Second 10
Rule #4 Be Smart about Spending 12
Rule #5 Managing Bills 14
Rule #6 Controlling Debt 16
Rule #7 Your Last Line of Defense: Filing for Bankruptcy 20
Rule #8 Staying Out of Debt 23
Rule #9 Securing Loans 25
Rule #10 Checking Account Do’s and Don’ts 27
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viii goof-proof P E R S O N A L F I N A N C E
SECTION TWO
The Goof-Up—Breaking the Bank for the Big Day 33
Rule #11 When You Are Planning a Wedding,
Money Matters 35
Rule #12 Save Money Wherever You Can 41
Rule #13 Get Your Financial Documents in Order 45
SECTION THREE
The Goof-Up—Letting the American Dream
Become a Nightmare 49
Rule #14 Decide If Homeownership Is Right for You 50
Rule #15 Save for the Home You Want and Can Afford 53
Rule #16 Finding the Right Home 56
Rule #17 Become a Mortgage Master 60
Rule #18 Understanding Not-So-Hidden Costs 65
Rule #19 The Mortgage Application 67
SECTION FOUR
The Goof-Up—Forgetting to Find the
Money Available to Attend College 71
Rule #20 Find Out about the Qualified Tuition
Program and Start Saving 73
Rule #21 Plan to Get Money 76
Rule #22 Learn How to Find Money 79
Rule #23 Access the Millions of Dollars Available
in Student (and Parent) Loans 84
Rule #24 Apply for Financial Aid and Establish
Financial Need 89
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Contents ix
SECTION FIVE
The Goof-Up—Not Saving Smartly for
Your Retirement Years 93
Rule #25 Understand the Different Kinds of
Retirement Savings Plans 95
Rule #26 Learn about IRAs 97
Rule #27 Learn about Roth IRAs 99
Rule #28 Learn about SIMPLE-IRAs 102
Rule #29 Contribute to Your Workplace 401(k) Plan
as Soon as You Are Eligible 104
Rule #30 Contribute to Your 403(b) Plan
as Soon as You Are Eligible 107
Rule #31 Don’t Underestimate the Benefits of
an Employer Match—No Matter
How Little You Earn 108
Rule #32 Always Contribute to Your Company’s
Retirement Plan 115
SECTION SIX
The Goof-Up—Not Investing Your Money Wisely 119
Rule #33 Understand the Different Types of Investments 121
Rule #34 Start with the Basics 123
Rule #35 Rely on a Trustworthy Broker or
Financial Planner 125
Rule #36 An Informed Investor Is a Savvy Investor 128
Rule #37 Know Your Risk Threshold 131
Rule #38 Learn about Cash Equivalent Options 135
Rule #39 Don’t Be Afraid of the Stock Market 138
Rule #40 Know the Difference between Stocks
and Bonds 141
Rule #41 Find Out Why You Should Invest
in Mutual Funds 143
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