There are no easy answers when dealing with aging loved ones.  There are also limitless topics we could discuss.  Here, I only address one: the need for communication.  There are so many issues that are difficult to discuss as families and loved ones age.  Old patterns of communication, old rivalries, assumptions can all get in the way.

But, even though these discussions will be hard, it is so vital to try your best to have them.  If you are young (or young-ish) and there is an aging person close to you, do you know things like:  

-  who are all of their professionals (their doctors, lawyer, broker, home health aid, etc.)
-  where do they keep important things (such as wills, lists of medications, contact numbers, keys, combinations, etc)
-  who has signing authority (on checks and invoices and other financial stuff, who can sign?)
-  what are their preferences (regarding health care, end of life care, etc.)

You can't get to all of this, and other, information all at once.  It takes time.  Maybe years.  But the sooner you and other family members can have open discussions about these types of things, the easier your lives will all be down the road.

Good luck and peace!

I went for a walk this morning on the trails near my house.  One week ago at this moment I was between miles 6 and 7.  This past week still feels so present.  For what it's worth, here's what came to me as I walked:

Spring is on the verge here where I live.  My dog sprinted the trails with joyful recklessness.  My legs still feel tired.  

But I can still walk.  My family remains whole and happy.  My kids still laugh and play and squabble and groan about the end of vacation.  I feel heartbroken.  But also I feel safe, healthy, proud, and grateful.  I don't feel anger.

How to respond to all the pain in my home town and beyond?  Generosity is what came to me.  Yes, financial generosity.  But mostly generosity of spirit.  May I be generous in meaningful ways, regardless of whether anyone knows it or recognizes me for it.

I know it's not all about me.  It is about all of us.  I believe in peace, now more than ever.

As I count my blessings, I am amazed at how many there are to count.

Thanks for reading.  

With love,

If you're one of the many folks who are still filing their taxes, don't worry... you are not alone.  I've come across several folks lately who are still filing, and who have various technical questions.  First of all, don't anyone out there beat yourself up about filing so late: there's no reason you have to file early.  In fact, the longer you wait, the more time you have to let your money work for you.  Just make sure you file, on time!  If you run out of time, file for an extension, before the deadline of Monday, April 15.

And, if you are still looking for answers to various technical questions that have come up for you (that is, assuming you are preparing your taxes yourself), that's perfectly normal too,  The US tax code is such a mess of arcane rules and incentives, there are of course people who make a living helping people and corporations understand what to do about taxes.  

But, let me offer a simple resource that you may not have thought of:  the IRS.  Many people don't want to go to the source for information. But, some time a few years ago, the IRS actually figured out that their website could be an excellent resource for us normal folks as we try to prepare our taxes.  If you go on to the IRS.gov web site, and run searches about your various questions, you'll be surprised at how much information is there.  And I find the writing on the IRS site to be very user friendly and readable (don't be afraid, you'll be able to go onto their website and they'll never know you were there...).

So, hang in there.  Pay attention to deadlines.  As you seek answers, the IRS website is an excellent resource to turn to.

Peace!

It's hard to save money.  There are so many claims on so few resources.  It can sometimes seem like it's hopeless to even try.  Not true!  Here's an approach that, over time, can work. 

Begin by opening an account that you don't have ready and easy access to. This account can be a savings account at a bank you don't often use, or an IRA or some other type of investment account.  The main thing is that it should be an account that you don't constantly tap into (like with a debit card).  If you want a tax deduction and can leave the money be for a long time, then look into an IRA.  If the tax deduction isn't so important to you, then look into a savings account. 
 
Then, begin to make deposits or contributions to this account each and every month.  The easiest way to do this is to have your bank or employer set it up so the monthly amount is electronically transferred over to the new account.  Don't transfer a huge amount at first.  Transfer just a bit, whatever you can comfortably afford.


Now, here's the trick:  every six months, ratchet up the amount of your monthly transfer by a little bit more, depending on what you can afford.  So, if you started with a monthly transfer of just $20 or $50 or $100, then in six months, ratchet that  monthly amount up to $25 or $75 or $125.  And then let it run for another six months.

After another six months, ratchet the monthly amount up again.  And then again in another six months.  Keep doing this for three years or so.

Before long, you'll find that you are saving quite a bit of money each month.  But you won't have to have a drastic adjustment process.  Over time, you'll be able to save a lot of money each month, but you won't feel the impact upon your lifestyle and expenses in such a dramatic way.

I hope this helps for you!
 

Patience.  Patience.  The stock market (as measured by the Dow) has been doing great.  But of course the job market still stinks for a lot of people.  And the housing market?  Well, depends where you are.

But, a lot of people look at the surging stock market and want to get in on the fun.  My best advice to you is to be patient and beware.  The stock market is going up for a lot of reasons: decent corporate earnings, investors moving out of bonds, poor alternatives to stocks, etc.  And most of all, the Fed's actions help make stocks attractive.

This can go on for a while longer, maybe a lot longer.  But this cannot go on forever.  Markets rise, and fall.  If you are not invested in the market right now, and you wish you had gotten in a couple of years ago, well tough.  You didn't and you can't go back.  So you have to think about what might be your best move from here.

If you have money to invest, I'm going to assume you'll use mutual funds, maybe a blend of different types of stocks (large and small and domestic and international).  And I'm going to assume you have a long term time horizon for this money you want to invest (like, 10 years or more).  

Be patient with how you move this money into your portfolio of chosen funds.  If you put everything you have into mutual funds today, what if the market tanks next month, you'll wish you'd waited, right?  

My guess is that the market will have some sort of a nasty turn at some point during this year.  It can't go up every day, every week, all year, right?  And you'd like to invest at better prices than are available right now, today.  

So, move your money into the market slowly, bit by bit, over several months.  Like, 12 or even 18 months.  Either automatically or manually, set it up so you invest a small portion of your money each month, for 18 months.  Then, if the market tanks, keep investing on the way down.  Even if the market goes down for a whole year, if you invest each month, think of the prices you'll get.  

But be patient.  And don't try to chase this market.  It's gone up a lot.  It's got momentum.  But remember, when everyone around you thinks the market is a sure thing, be very very concerned.  When it looks like there's no risk in the stock market, that's when we're near a top, and people are going to be taught another lesson about the risks involved in investing.

Good luck, ask questions, be skeptical.  And, peace!

If you're one of the many many people out there who has debt in a lot of different forms (a credit card or two, student loans, car loan, home equity line, etc.), when's the last time you added up the balances?  I bet not recently.  Take a moment, collect info about all of your debts.  Gather bills, statements, go online, whatever.  And add up the balances of all that you owe.  This number is probably bigger than you think.

I suggest this not to depress you but to inform.   Reality sucks sometimes, right?  But that doesn't mean you shouldn't face it.  When money is concerned, debt especially, it's so vital to live in the real world.  It's too too easy to just stick your head in the sand and ignore it all.  And that won't end well.

Figure out the total amount you owe.  Face it.  Reckon with it.  Start thinking of a plan for what you're gonna do about it.  Over time, you can get out of debt.  You can.  If you make a plan and follow it.  It might take a while, might take years.  But if you get there, you will be damn proud of yourself.  

Please do this.  Care for yourself.  None of your lenders will.

Good luck and peace!

I had a conversation with someone the other day who had what I think is a pretty common misperception about store loyalty cards.  You know those cards, right?  You're about to buy something from some department store or other big box retailer and they give you a 10% discount if you sign up for their card.  Sounds like a great program, right?  Sign up and you save all sorts of money.

Of course you know they are trying to get you to shop more at that store.  But what a lot of people don't seem to understand is that those cards are debt, just like a credit card.  Every time you use it, you are increasing your overall debt load.  Problem is, sometimes when people carry very small balances on these different cards, they don't think of them as important.  Or at least not as important as say their Amex or MasterCard.  But you need to pay these off just as regularly as any other debt.  If you don't pay these cards, even if it's only a few bucks a month, they go into default and you trash your credit score.

Many of you probably already know this.  But I know for a fact that some of you don't.  Your best bet?  Get rid of all these cards over time by paying them off.  Look through prior blog posts here for strategies to pay down debt.

Good luck, and peace!

Sometimes dealing with banks or other financial institutions can drive you completely crazy.  They can seem so insensitive, judgmental, inflexible, byzantine, etc.  Here are two things to keep in mind if you have to deal with a bank:  one, they are servants of their bureaucracies; and two, you have choices.  Let's think about each of these.


One, if you are stuck in a process that seems absurd, don't despair - the process IS absurd.  There are so many regulations and policies that banks need to follow as they deal with customers.  These policies are usually the result of some regulation put in place after some horrible misdeed by some wildly dishonest person or in response to some drastic market convulsion.  Every time there's a crisis, politicians bellow in front of cameras about how they will fix things.  Then they go back to their offices and listen to lobbyists bellow about God knows what.  Then they go to battle with their counterparts in congress.  And what comes out is some bizarre patch on the problem that then is layered atop other previous patches.  Then bank regulators periodically audit banks to make sure they are following all of the rules.   Seem like a stupid process?  Well it is.  And this doesn't even begin to include the internal policies that each bank puts on their own employees.  


Two, you have choice.  Now, all banks have to deal with similar policies.  But that of course doesn't mean that all banks are alike.  If you don't like the way you are being treated at some bank, it might be the fault of the individual you are meeting with (maybe they are having an off day... maybe they only have off days).  Or it might be the fault of the specific bank (some banks have corrupt or morally bankrupt corporate cultures).  Whatever the cause, if you don't like 'em, leave 'em.  Go to another bank.  That's what competition is for - use it to your advantage.


So, in conclusion, banks follow processes that are kind of like the animal designed by committee, and many banks or bank employees aren't worth your time.  If your needs aren't being met, walk.
And finally, make them explain their process to you.  You should be able to find someone to work with who can acknowledge that the process stinks and can explain what steps need to be taken and why.

Good luck and peace!