Tag Archives: Assets

How Much Is Your Life Worth?

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As we enter the Easter period, many Jamaicans celebrate the important Christian holiday in which they remember the death and resurrection of Jesus Christ. It is a time for reflection on how the sacrifice that was made thousands of years ago still impacts the lives of many persons today.

Although we may not readily list it as one of the assets on our personal balance sheets, the gift of life is priceless. Despite the challenges and difficulties that may discourage us from time to time, it is indeed a rich blessing to be given another day to experience what life has in store for us.

Does income determine your value?

If you wanted to quantify the value of your life, could you put a price tag on your existence? In order to seek a financial settlement in legal cases that involve wrongful deaths, lawyers often try to calculate how much possible income has been lost from the untimely passing of an individual. Continue reading How Much Is Your Life Worth? →

What’s Your Net Worth Really Worth?

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As we strive to move up the ladder of success, one of the benchmarks that we can use to gauge our progress is our net worth. Your net worth is a measure of your financial value which is calculated by subtracting your total liabilities from the total value of your assets. In essence, it is the net value of all the things you own, less all the things you owe.

According to T Harv Eker, best-selling author of the Secrets of the Millionaire Mind, net worth is a fundamental measure of wealth. Eker reveals that persons who are determined to be rich will focus their efforts on increasing their net worth.

So if one of your money goals for this year is to build your wealth, you should be paying close attention to your net worth. Continue reading What’s Your Net Worth Really Worth? →

This Little Investor Went to the Market

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There are several things to consider if you are thinking about investing. Where do you go to purchase an investment? What are all the available options? How do you know which is the right one? When is the best time to buy or sell an investment? Whom should you trust to give you advice? Why should you even invest your money at all?

It can be initially difficult to find answers to these questions. After all, you can’t just walk into an investment superstore, browse through the aisles, read the labels on the different products, ask the store attendant some questions, select the right option and pay for it at the checkout counter.

If investing was as easy as shopping, we would probably all be very wealthy!

Continue reading This Little Investor Went to the Market →

Investing Is Not Rocket Science

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Many persons think that investments are mega money-making deals that can only be carried out by wealthy individuals such as financier Michael Lee Chin or hotelier Gordon ‘Butch’ Stewart. It’s also commonly believed that investing involves very technical and complex financial transactions that are outside of the understanding of the average person.

These mistaken notions often lead persons to become intimidated by the thought of investing, and this unfounded fear often prevents them from creating wealth with the use of solid investments. The reality is that once you have a desire to learn about investing, it is possible to find out all you need to know to become a competent and successful investor.

My personal experience offers living proof that anyone, regardless of background, education, age, or sophistication, can figure out the intricacies of investing. Just over 10 years ago I had no idea that there was even as concept called investing; in fact, I didn’t even practise the simple habit of saving my money. Continue reading Investing Is Not Rocket Science →

Eight Essential Money Principles

Money & Your Mind, , , , , , , , ,

Very often, people ask me to provide them with one piece of advice that could help them to be more successful with their money.

Over the years I have learnt that there isn’t just one method to effectively manage your finances, create wealth, or preserve your money for the future. In fact, there are several steps which, when combined, can put you on a solid financial footing.

Here are eight guidelines that can help you successfully traverse the road to financial freedom: Continue reading Eight Essential Money Principles →

Saving for Retirement in Jamaica

Retirement & Estate Planning, , , , , ,

Last week we examined the high cost of retirement and calculated the amount of savings that would be required to replace your income when you choose to stop working. Although cash is tight in today’s economy, if you delay putting aside some of your money for your retirement needs, it will only cause you more financial distress in the future.

Let’s look at some of the options which can help you to achieve your retirement nest egg targets:

Employer-Sponsored Pension Plans

Pension plans, also called superannuation funds, are retirement saving schemes which businesses voluntarily set up for their employees. Larger workplaces usually offer pension plans, whereby both the employer and the worker contribute funds to create a retirement lump sum for the employee. Staff members are required to put aside at least five per cent of their salary into retirement savings, and this figure would be matched by the employer. Continue reading Saving for Retirement in Jamaica →

Managing Money After Divorce

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After separating from her husband last year, Marilyn has been struggling to pay her bills on time and to keep track of her expenses. During the 21 years she was married, her accountant husband had taken care of all their financial transactions. “I didn’t understand the basics of managing our money,” Marilyn reveals, “I had never even read our bank statement.”

Four years ago, 46-year-old businessman Steven decided to let his ex-wife keep the family home, since she would have custody of their two young children. “I left everything with her and walked out with just my personal possessions.” Today he wonders if he made the right decision as he is finding it difficult to afford to buy another house of his own.

The dissolution of a marriage usually brings upheaval for the former partners, their family members and friends. While attention is given to the emotional and mental effects of divorce, the monetary challenges cannot be ignored as they can leave the family finances in serious disarray.

If you are dealing with divorce, here are some important considerations: Continue reading Managing Money After Divorce →

The Secrets to Wealth

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It has been said that only about one per cent of the world’s population ever achieves great wealth. No wonder the 99 per cent majority thinks that there are some hidden secrets to becoming wealthy that rich people won’t divulge!

Recently, First Global Financial Services (FGFS) revealed some of the mysteries to wealth at its Dollars and Sense Money Management seminar. Jason Dear, FGFS Equity Trading manager, explained that the act of wealth creation was not shrouded in secrecy.

Dear explained that making money came with understanding and following simple money principles.

“There are universal rules that govern wealth creation,” he clarified. “To get rich you need to learn and execute these principles.” Dear outlined his top 10 list of ‘secrets’ that could help ordinary people begin a successful journey to wealth: Continue reading The Secrets to Wealth →