some, this money information will come as welcome as rain after a drought;
for others, you’ll say, “Well, I already knew all this” and my
response to you is, “then why haven’t you blogged about it and
helped out the rest of us?” grin
I’ve been working on “the book” and thought I’d blog about money.
Money is part of “the book”, in fact, a major part of “the
book” because you work hard for your money and there are two things
that are very true about your money…(1) you want to keep as much
of it as you can and (2) you want it to work for you. Money that’s
not working is money that doesn’t have much value other than face
value. It’s possible for your money to go to work…every single day
and, at the end of a few years or decades, you’ll have a tidy packet
to aid in retirement, help with college expenses, start the grands on
a nice nest egg, etc.
of a parent’s primary jobs is teaching your children about money.
If you weren’t taught about money, the learning curve is going to be
difficult but not impossible so better get started.
your money to work means making it earn compound interest. Compound
interest means not only does your initial principal work for
you, so does the interest. In essence, you’ve got a double whammy
going on which means more money in your account.
current principal – initial buy-in
monthly addition = $300 per year
years to grow
interest 2 times a year
you add start with more principal and/or add more than $25 each month
your figure will grow accordingly. Research the company you’re interested in and then plug in the numbers to see how much money you’ll save and earn.
how do you buy stock? A lot of people think you need a stock broker
or an on-line account. Neither is true. If you have a utility service in your name, you can call them and ask, “Do you have a stock
buy-in program?” If they say, “Yes” then you ask, “What does
it cost to buy-in? Do I buy-in monthly or yearly?” Then, almost the
most important question, “Do you have a Dividend Reinvestment
Dividend Reinvestment Program, commonly referred to as a DRIP, means all interest made on your money, will be used to make
more money…for them and for you. You never opt to receive a dividend check; you always let dividends roll over and purchase either more partial or full shares of stock.
Virginia, it’s Dominion Resources, an electric company, and in
Florida it’s Southern Electric. Other stock-buy in companies include EXXON, and there are more companies listed at List of DRIP Companies, Direct Investing and Online DRIP Database. A visit to any of these sites will give you companies that allow you to directly purchase stock and enroll in their DRIP program.
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