FINANCIaL
FIELd NOTES
Are 7.12% I-Bonds A Good Savings Fund In 2022?
One question I hear a lot is where should I put my emergency fund? Stocks are risky in the short-term and savings accounts are paying nearly 0%.
With inflation running high, one answer is potentially a good old-fashion US Government “I-bond”…
Three Fascinating Books I Read This Year
As the year comes to a close, I wanted to take a moment to thank you all for your continued support. I have received notes of thankfulness, encouragement, and feedback - I appreciate them all!
Here are three books that I found particularly informative this year…
Is Saving In a 529 Plan a Mistake?
529 plans have long been the go-to for college savings. And for good reason - all the growth is tax-free if used for qualified educational expenses. But in recent years they have come under question as parents and grandparents wonder if all that college savings is for waste.
After all, many expect the education system to have some type of reform as the cost of college has ballooned over the past 40 years…
How To Set Up Sinking Funds
One of the most difficult parts about sticking to a savings plan is that no month looks the same. It’s easy to budget for fixed expenses like your mortgage, phone bill, and subscriptions. With time, you can estimate some variable expenses like eating out and groceries.
But it is much more difficult to plan for irregular expenses like out-of-pocket health care expenses, replacing an HVAC, a big vacation, or a broken transmission…
Do Lenders Really Know How Much Home You Can Afford?
“A banker is a fellow who lends you his umbrella when the sun is shining, but wants it back the minute it begins to rain” - Mark Twain
Individuals in the process of buying a home with financing usually get a “maximum loan amount” from the bank. Some assume this is a reasonable estimate for what they can actually afford…
How We Can Interpret Data Better
My favorite read last year was Factfulness by Hans Rosling. It provides insight into how to approach data - particularly data related to hot button issues. A lot of the book can be boiled down to “ask the next question.“
For example, the other day I saw this headline - “Pasta may be good for your heart health.” I love pasta as much as the next person but I was skeptical…