Truth Test: Prudential TV Commercial on Retirement

Any financial planner will tell this is a nice amount of spending money, but as a retirement fund in the year 2054, it is no way close to being sufficient to retire on. . . . → Read More: Truth Test: Prudential TV Commercial on Retirement

Market Value vs. Inflationary Price Point

Fifteen years go by, the mortgage is paid down a little, the development is finished with homes like yours; some smaller but pretty much like yours. Your life has changed and you need to sell your home. You do some math and, based on the CPI inflation rate calculator over your 15 years, you think your house is worth $262,100. The bank shows the principal balance on your mortgage to be $125,628. . . . → Read More: Market Value vs. Inflationary Price Point

Learn, don’t Blame

This philosophy works great while the company is making money, has a great reputation and has work constantly appearing at their door. When the work starts to wane, somebody damages their reputation, or work stops coming in, the company then tends to drop this philosophy and starts to look around to “Blame” someone or something. . . . → Read More: Learn, don’t Blame

Can We Rely on the CPI Inflation Calculator?

When I was 16 years old and starting to drive my car, a gallon of regular gas where I lived was 24.9 cents. Given that, I can use the CPI Calculator to find out what I should be paying for a gallon of gas now (1965 then, 2014 now) – correct? NO! Why not? . . . → Read More: Can We Rely on the CPI Inflation Calculator?

Credit Card – Cut It or Keep It?

If you are in a situation where you will be applying for a loan to buy a house or automobile, or . . . . ., then you may want to wait to cut up the card and/or cancel the account until that loan has been approved. . . . → Read More: Credit Card – Cut It or Keep It?

What is a “Financial Nut”?

If you take your personal budget and break it down into manageable segments – those segments are called “nuts” and the sizes of those “nuts” can be managed. . . . → Read More: What is a “Financial Nut”?

Simple vs. Compound

You can now see that simple interest benefits the borrower and compound interest benefits the lender. . . . → Read More: Simple vs. Compound

Economic Indicator “PPI”

The basic definition of PPI is that it “is a weighted index of prices measured at the producer level, not the consumer level. Imports are not included.” . . . → Read More: Economic Indicator “PPI”

Consumer Price Index

The CPI is a statistical estimate constructed using the prices of a sample of representative items whose prices are collected periodically. Sub-indexes and sub-sub-indexes are computed for different categories and sub-categories of goods and services, being combined to produce the overall index with weights reflecting their shares in the total of the consumer expenditures covered by the index. . . . → Read More: Consumer Price Index

GDP and GNP

GDP is our Gross Domestic Product. GNP is our Gross National Product. . . . → Read More: GDP and GNP