ARE YOU 20-SOMETHING AND STILL LIVING WITH MOM AND DAD?

#millennials #StillLivingAtHome #adults
OK, you’re 20-something, with no job, perhaps a college degree.
Let’s presume you don’t want to be living at home, but you don’t believe you can afford not to.
If you PREFER to live with your parents, that may be a discussion for another time.
Peter Dunn, an author, speaker, radio host and personal finance expert, tells young people to “knock it off,” as the headline reads, and stop laying their financial problems on their parents. He discussed this in a March 29, 2016, column in USA Today.
Dunn says that every late-night pizza, every beer and every other good-time splurge in college contributed to the young person’s financial dilemma.
“Your parents (speaking directly to the young folks) want to cut you off, but are afraid to,” Dunn writes. “It’s not good enough to stop asking for money. You must tell them you don’t need their money anymore.”
Admittedly, the problem is not as simple as it appears. Kids go to college expecting to come out with some kind of job. But, as the last few years have taught us, not only is that not guaranteed, it’s becoming more unlikely in certain fields.
On top of not having a job, the kids may have mountains of college debt lurking in their lives.
Certainly, if you are in college now, you need to be aware that you might not have a job when you get out. The earlier you plan for it, by, say, watching your spending while in school or getting work experience in some area that might employ you when you get out, the better off you will be.
It’s great to love your parents. It’s great for your parents to love you. The greatest love you can show your parents, perhaps, is not to burden their lives. They are trying to save for retirement. Every dollar they give you is one they cannot put to that cause.
As a young person, you can lament that your parents probably had it better than you as far as the job market goes. Or, you can buck up and find ways to support yourself in the current climate.
Believe it or not, there are many ways out there to do that that don’t necessarily involve manual labor. For one of the best, visit www.bign.com/pbilodeau. You may have to look outside your comfort zone for a solution, but the possibilities are out there.
Let’s look at this from a social perspective. Do you really want to bring a date back to your place with your mom and dad there? Do you really want to confine your personal space to one room? Do you really just want to hang out at home the rest of your life?
A life is certainly worth working for, even if that work may not be exactly what you want to do. You can also find a solution (job) that is temporary, while you think about how you are going to use all those skills and all that knowledge you paid so dearly for. Chances are, you WILL find a use for it, but it may or may not make you a living.
“I’ve come to the conclusion that asking 18-year-olds to commit to tens of thousands of dollars of debt, without a job, income or assets, is among the stupidest things modern society does,” Dunn writes.
We hear that you can only get a good job with a good education. But some of those “good” jobs don’t pay much. If you are going to commit to a college education, have a plan. Know what you are going to do with it as you proceed. Also, beforehand, do the math. Decide whether the education is worth the debt. There’ no shame in deciding that college is NOT for you, or just not worth the financial sacrifice.
Whatever you do, give mom and dad a break. Come home to visit, even frequently. But make your home somewhere out of theirs.
Peter

HOW MUCH HOUSE SHOULD YOU BUY?

#housing #RealEstate #OverHoused
Buying a house is never easy, unless you are, say, an investor paying cash.
Most homebuyers need a mortgage, and getting qualified for one is a process.
Peter Dunn, a financial planner, says many people are “over-housed.” It’s a concept of paying too much money for housing, in relation to one’s income. In some areas, housing prices are over the top, and one cannot help paying too much for a house.
But some over-housing is self-inflicted, Dunn says. He wrote about over-housing in a column in the Jan. 18, 2016, edition of USA Today.
He cites the example of Mark and Jennifer, a Midwestern couple in their mid-40s, who decided 11 years ago to build their “family home.”
Mark and Jennifer knew they were pushing the limit of what they could afford, but the bank approved them for a loan. That gave them reassurance, Dunn writes.
“Things spiraled out of control from there,” Dunn quotes Jennifer.
When housing bubbles burst, it’s the over-housed folks who get slammed first. Are you over-housed? Here are Dunn’s pitfalls: if you’ve dumped everything into a house, and have no emergency fund, you could be in trouble. There are also the realities of increased utility costs, home maintenance, homeowners insurance, property taxes etc. If you didn’t budget for those increases, you could be in trouble.
Mark and Jennifer’s home was 2,000 square feet bigger than their previous home. Their utility costs were much higher and, after two homeowners insurance claims, their premiums went through the roof, Dunn writes. Their tax assessment was based on the value of the land alone. When the structure was added, their tax bill tripled, Dunn writes.
Worse yet, the couple hasn’t saved a dime for the future, Dunn writes. If you’ve given up vacations, new clothes and dining out to live in your new home, you are probably OK, Dunn writes. If you’ve given up your current and future stability, you’re in trouble, he says.
Dunn’s rule of thumb: don’t let the bank tell you how much house you can afford. Being house-rich and cash-poor is not a good situation, especially if housing values plummet, as they did in 2008. Your house is a significant investment, but don’t rely on the equity in it to secure your future. You need to be saving and investing regularly.
The folks who have a comfortable retirement are those who lived BELOW their means, and socked money away. If you buy or build a house, make sure your mortgage payment and other expenses leave a portion of your paycheck left over to save and invest.
Taking vacations and dining out occasionally are nice, too, but saving and investing for retirement are a priority.
Of course, there are ways to earn extra money so you can live in that dream house. For one of the best, visit www.bign.com/pbilodeau. You’ll see stories of people who bought their dream home, but not until they had the money – often the cash – to do it.
Remember, too, that homeownership is not for everyone. Though the American Dream may dictate that one owns his own home, give some thought to the life you want to lead before deciding to buy or build. That house could own you, in more ways than one.
In short, do the math before buying or building a home. Make sure the house doesn’t eat too much of your net worth. If you tap out your emergency fund for that down payment, it could come back to bite you.
Just because you think you CAN swing it, doesn’t mean that you SHOULD.
Peter

WILL A FINANCIAL EMERGENCY KILL YOU?

#FinancialEmergency #savings #spending
Fewer than 38 percent of Americans have at least $1,000 in savings.
Say what?
Peter Dunn quotes that statistic in a column he wrote for USA Today, published Jan. 26, 2016.
A car repair, a refrigerator breakdown etc., can drain that $1,000 just like that. When you need a car to get to work, or a refrigerator to keep your food from spoiling, one, more or less, has to find the money to take care of these.
Dunn suggests making a plan. First, determine whether immediate spending changes or income changes will take care of your financial emergency. Second, grab the money from savings, if available. Third, borrow the money for the emergency, while concurrently creating a plan t pay off the debt in a specific period. Fourth, pay off the debt in that time.
“If you don’t leverage your emergency to create stability, you’re going to find yourself in deeper and deeper trouble,” Dunn writes.
Let’s get to basics. If you really only have $1,000 in savings, there are much bigger issues here, especially if you are older than, say, 18. You have to start planning not just for emergencies, but for your retirement years.
You don’t make that much money, you say? Well, then, start with looking at what you are spending, and whether your spending is necessary. Buying a cup of coffee on your way to work? Buying lunch at work? It might be better to make your own coffee and buy an insulated container to take it to work. It might be better to make your lunch at home and bring it to work.
You don’t have the extra time in your day to do that, you say? Then, look at how you spend your time. Perhaps getting up 15 minutes earlier in the morning to make your coffee, or making your lunch the night before as you sit in front of the TV may leverage your time better.
Look at other spending habits. For example, how much do you spend on “entertainment?” That can include dining out, movies, even digital services. As a start, look at your cell phone, television and Internet packages. Are there ways to trim back those costs in a way you can live with? Maybe get rid of your premium TV package.
Want a pet? Remember, pets are expensive. They need food, perhaps medicine, as well as your time and attention. Time is money. Are you prepared for that?
You should be able to save a portion of every paycheck, no matter how small. Regular savings, multiplied by time, augmented by wise investment, equals financial security in your later years. If you start saving $5 every week at age 20, and never touch that money, it will amaze you how much you would have at age 40. Then, at 40, check out the amount you’ve saved and continue not to touch it until, say, age 60, all the while continuing to put a regular amount from every paycheck into that fund.
Of course, getting back to Dunn’s point, you also need money for financial emergencies. Remember, if you are young, that you can’t lean on your parents or other family members forever.
Perhaps you might look at ways to earn extra income in a way that doesn’t interfere with what you are doing now. There are many such vehicles out there. For one of the best, visit www.bign.com/pbilodeau. You may get a two-fer: a lesson on saving money and a way to earn more money.
Most of all, you need to make saving an absolute priority. What you sacrifice today will pay off tomorrow. One never knows what tomorrow brings. One never knows when you might be forced to retire, or forced to look elsewhere for a job. What you save today may save your life later.
Peter

DIFFER WITH YOUR SPOUSE ABOUT HOW TO RETIRE?

#retirement #retirementconflicts #retirementlifestyle
Most of the talk today is about whether a person, or couple, has enough money to retire.
That determination for a couple may ride on what they would like to do in retirement.
USA Today writer Nanci Hellmich discusses why couples should talk about each’s visions of retirement prior to retiring. She took on the subject in a June 26, 2015, article in The Tennessean newspaper of Nashville.
“Couples don’t always have the same dreams for retirement,” Hellmich writes. “It usually takes some negotiating to come to terms with what they’re going to do.”
Hellmich’s article illustrates the point: He imagines summers fly-fishing in a cold mountain lake and winters by the fire reading his favorite books. She envisions summers playing with the grandchildren in their back yard and winters volunteering for her favorite charities.
If we take it further, let’s presume they don’t have a place near a cold mountain lake. They would have to buy or rent one. Let’s also presume that their grandchildren already live near them. To satisfy her, they merely need to stay home – probably a less expensive alternative.
“For lack of a better word, couples need to do some horse trading… You really have to negotiate in good faith,” Hellmich quotes Pepper Schwartz, AARP’s love and relationship expert.
Hellmich’s article gives some talking points for couples: create a list of characteristics for retirement that each spouse wants; talk to family and friends who would have an interest in your decision. If your kids want to have you around, presumably not as just a free baby sitter, you have to talk about it with them. If you don’t live near your children, and they want you to move closer, you have to think about that, too.
Other talking points the article cites include prudently pruning your retirement dream list. Figure out areas in which you can compromise. If the man is a golfer, for example, and wants to play a lot, and the woman is not, make sure, before you move to that golf resort that you vacation there first. Perhaps the non-golfer will be miserable in a golfer’s paradise. The article points out that couples should carve time to listen to each other, and tell each other, after some discussion and compromise, how much one appreciates the other’s give and take.
Of course, it would be best all around if money were no object. He could fish or golf, she could volunteer for charities and hang with the grandkids. There are many ways out there to secure a good retirement income, one in which compromise may not be necessary. For one of the best, visit www.bign.com/pbilodeau.
If you are young, it’s never too early to talk about these things. If you are able, take some types of vacations you might not otherwise take to see how you like them. Your doctors will probably tell you that staying active will be very important as you get older. Just lying on the beach with a book or tablet may not be as nice at 60 as it is at, say, 25. Besides, it may not be the best thing to do for your skin.
Don’t make retirement life a reason to fight. If you love your spouse, this is an issue that likely can be worked out with good, heartfelt conversation. Then again, if you are single, you have the ability to do whatever you want, wherever you want, in retirement. Make sure you have sufficient pennies put away, or coming in, to make whatever you want to happen, happen.
Peter

MORE JOBS, LESS SECURITY

#jobs #security #parttimejobs
The United States is gaining jobs, but more of them are part time, pay less than the ones lost and employees haven’t had raises in years.
Sure, McDonald’s, Wal-Mart and other companies have announced employee raises with great fanfare recently, but many of those who work there can’t make a decent living on what they earn.
Associated Press reporters Josh Boak and Christopher S. Rugaber tackled this issue in an article published June 14, 2015 in the Tennessean newspaper in Nashville. In that same Tennessean edition, Paul Davidson of USA Today said many who are working part time are doing so reluctantly.
If you grew up in the 1950s or 1960s, you are at or near retirement. Hopefully, you retired, or will retire, on your own terms. Many have not. If you are currently in your 20s, looking for steady work, perhaps you are cobbling together an income, however inadequate, with one or more part-time jobs. If you are doing that, what are the prospects of you getting the full-time job you need? Are you still living at home with Mom and Dad, and don’t really want to, but can’t afford not to?
The Associated Press article quotes Lena Allison, 54, of Los Angeles. She lost her job as a kindergarten teacher and has worked temporary jobs since. “More people may be working jobs, but they’re like these serial part-time jobs,” the article quotes her.
The AP reporters also point out that hiring has surged in the health care, retail, construction and hospitality and leisure industries. Rick Rieder, a Black Rock investment officer quoted in the AP article, says the country is beginning to see the start of broad-based wage growth. That opinion would surprise many Americans, the reporters say.
But here’s what could trigger wage growth: lower productivity. In the first three months of 2015, productivity dropped 3.1 percent after a 2.3 percent drop in the fourth quarter of 2014, the AP reporters say. Productivity had expanded 2.1 percent annually, on average, since 2000, they add. Companies have been slow to invest in equipment and other assets that might make their workers produce more. Therefore, hiring more workers in the short run could combat that, the AP reporters say.
Still, most workers are collecting no benefits or vacation time with their jobs.
Let’s face it. For most people who have lost jobs in the last few years, the ones they’ve gotten to replace them, if they’ve been so lucky, pay less than the jobs they lost. For those fortunate enough to survive the downsizings, most are working harder and probably haven’t had a raise in quite some time. Fortunately for those employers, these employees probably have no better place to go.
What’s an employee to do in these situations? First, if you have a job you like that pays well, don’t let it go. But, don’t presume it will always be there. Most people are one reorganization, or one bad manager, away from an untenable employment situation. Look for a Plan B that can help you make an extra income while you work, so, if the worst case happens, you can leave your job with a smile.
If you are in need of something to relieve an immediate income problem, the same solution could apply. There are lots of great ways to make extra income outside the traditional employment arena. For one of the best, visit www.bign.com/pbilodeau.
Don’t let the numbers fool you. Things may appear to be getting better as far as economic numbers go, but little has trickled down to the average person. With very few ways to get meaningful help from this situation, decide today to help yourself. Save more. Spend less. Look for a Plan B. Don’t waste energy complaining about what is. Use that energy to look for, and find, what can be.
Peter

RETIREMENT PROSPECTS DON’T HAVE TO BE GLOOMY

#retirement #SocialSecurity #employment
It’s been said many times, in many ways: many of us don’t see how we can retire.
Perhaps we haven’t been able to save enough. Perhaps we won’t be getting the pension we were promised. Perhaps we believe Social Security will be tapped out before we can tap in. Or, perhaps we’ve been put to the curb by our employers at middle age, can’t find a comparable job and have to “retire” before we want to.
Robert Powell, editor of Retirement Weekly, discussed some of these issues in a USA Today column, published June 1, 2015.
Powell talks about postponing retirement until age 70. That’s fine, if you like your job and are able to do it. Bob Schieffer, the longtime newsman with CBS, had recently retired at age 78. But, most employers won’t exercise that much patience. Once an employee hits middle age, he or she usually begins to get messages about “early retirement.” For many employers, a middle-age worker, particularly one who has been with the company a good number of years, is taking a lot out of the company in salary and benefits. If that position is vital to the company, then it can be more economically filled with a younger, less senior person, who may bring some new energy to the company.
Now, if you are able to extend your employment, there are great benefits to waiting until age 70 to collect Social Security. Powell says your benefits could go up by 76 percent by waiting. Basically, delaying Social Security should be a no-brainer for anyone who doesn’t need the money in retirement. It’s a whole different matter if you NEED the Social Security money to survive.
Powell also talks about the longevity risk. Will you outlive your money? One way to avoid the longevity risk, assuming you’ve been able to save some money, is to only tap the dividends, interest and other earnings your money generates, without dipping into your principal. Certainly, people are living longer and the longevity risk is real. If you are already middle age, your parents and grandparents would envy the longer average lifespan you now have. If you are young, presume your average lifespan will increase further. Start saving whatever you can TODAY, and don’t touch it until you retire.
Again, this is easier said than done when you don’t earn enough at your job, your employer doesn’t offer retirement benefits of any sort etc. Take this hint: live within or below your means. If you aren’t making much, look at what you spend your money on. Buy what you can afford, when you can afford it.
If you are married, postpone having children until you are financially ready to care for them. If you are single, look to share a household with friends to lighten individual expenses.
Powell also talks about home equity. There are some famous people out there touting reverse mortgages, which are a fine solution for the property-rich, cash-poor retiree. Perhaps it’s best to consider this option a last resort. Some of the ads say you retain “complete ownership” of your home as you draw cash from the equity. Your name is on the deed still, you are responsible for all the maintenance of the home, but the lender owns whatever chunk of equity it has turned into cash for you. If that doesn’t matter to you, then check out the reverse mortgage option as a last resort.
One thing Powell doesn’t mention is the idea of re-inventing oneself. If necessity is the mother of invention, then retirement, for some, is the mother of re-invention. There are multiple ways out there to make an income, perhaps even a great income, without having a job, pension or other source of funds. For one of the best, visit www.bign.com/pbilodeau. You have to be willing, perhaps, to re-invent yourself. Or, you have to be looking for a way to cut spending and earn more money. But a retirement solution could be waiting for you, if you are willing to look at it.
The retirement picture doesn’t have to be gloomy, particularly if you are young. But it does take some thought, perhaps some habit changes or courage to re-invent. It’s OK to be afraid, but sometimes we have take action while afraid. That action, gradually or quickly, can ally our fear.
Peter

THE DISAPPEARING AMERICAN DREAM, PART 2: RETIREMENT PREPARATION ISN’T WHAT IT USED TO BE

#‎AmericanDream‬, ‪#‎disappearingAmericanDream‬, ‪#‎economicgrowthrates #retirementplanning
Retirement planning is complicated for Americans of all ages.
So says Jeff Reeves, editor of InvestorPlace.com, who wrote a column for USA Today. It was published in the May 10,2015, edition of The Tennessean newspaper of Nashville.
The Employee Benefit Research Institute, in a 2014 survey, found that only 64 percent of Americans have saved any money for retirement to supplement Social Security benefits. It says that roughly six of 10 Americans have less than $25,000 saved for retirement, according to Reeves’ article.
Certainly, if you are young – say, in your 20s and 30s – retirement is a long way off. Or, so you think. Time travels with break-neck speed, and 30 years can go by very quickly. It’s never too early to save, even if it’s only, say, $5 a week. That may be one visit to Starbucks that you would be sacrificing.
Your parents and grandparents probably were diligent savers. Perhaps they were disciplined and never touched their retirement money.
In their day, perhaps, jobs didn’t disappear more quickly than cake at a child’s birthday party.
If you are young, you face a daunting task of keeping a good job for as long as you want it. If you are older, say, in your 40s and 50s, perhaps you had a good job for a long time, and it’s now gone.
All this complicates saving for retirement, so that task requires extra discipline, perhaps more than your parents or grandparents had.
Despite all the gloom-and-doom reports, Social Security is likely to survive. Benefits could be reduced a bit, but it should survive. The question to ask yourself is, what kind of lifestyle will I have on Social Security alone? Even if you add in a pension, should you be fortunate enough to have one, it’s still not going to be that much. If you are a careful, disciplined person, you would have spent your whole life watching every dollar. Your retirement years should be enjoyable, not ones of deprivation.
Well, one does not have to rely on a job, pensions etc., to have a good retirement. One does not have to engage in risky, unsafe investments to get a decent return.
But, to achieve that, one has to be motivated to want to change his situation, rather than accept it and complain about it.
If you are that type of person, visit www.bign.com/pbilodeau. Check out how many people from all different backgrounds, education levels and skills are not only securing their retirement, but helping others do the same.
Many of us do not want to take handouts, but want to get what was promised to us. Promises can, and often are, broken. That’s why motivated people look outside what they are used to and find a new way to prosperity.
Now, if you are indeed young, you can save your way to prosperity. Reeves quotes John Sweeney of Fidelity Investments as saying, “we are seeing many examples of people who have $1 million in a 401(k) because they started early, they diligently contributed and kept to it.”
That’s more difficult to do as jobs come and go, and jobs, if they are replaced, are often replaced with ones paying and providing less.
But the discipline you will acquire if you diligently save and not touch those savings until later years, and put those savings in the hands of a trusted financial adviser that won’t gobble up too much in fees, you can secure potentially great retirement.
The new Voya ads talk about “orange money,” that one must put away for retirement and not spend. Designate your own “orange money,” or whatever color you deem it, so you won’t have to scrape together an old age of deprivation.
Peter

BE AN INVESTOR MORE THAN A CONSUMER

#retirement #investments #saving
Investing for retirement need not be scary.
It also need not be impossible, no matter your income, age or situation.
Also, a secure retirement happens because of actions YOU take, not what someone else promises to give you.
Nanci Hellmich discussed investing for retirement, based on Tony Robbins book “Money: Master the Game; 7 Simple Steps to Financial Freedom,” in an article published Dec. 10, 2014, in USA Today.
Before getting to Robbins’ seven steps, let’s examine your plans for retirement. Do you believe you have to work until you die? Are you saving regularly out of each paycheck? Did you get so financially hammered during the Great Recession that your retirement is doomed? Did you lose your job in the Great Recession, forcing a premature retirement?
Let’s presume you are still working, even if you are working in a job that underpays you – that’s a growing trend these days. Find an amount, it doesn’t have to be much, that you can take out of each paycheck and put away. You have to look at it occasionally to monitor how your investment is doing, but don’t withdraw it until you retire.
If you are forced to retire before you want to, or are financially able to, try not to eat into that fund too quickly. It’s OK to use the dividends, interest etc., for income, but try to hold onto your principal as long as you can.
Robbins’ first two steps, Hellmich’s article says, is to become an investor rather than a consumer and to know what you are invested in. The former is a mindset. When money gets into your hands, you have to first think about paying yourself, before you think about what you will buy. The latter may require some good advice from someone you trust who will look out for your interests before his own.
Robbins third and fourth steps involve taking action. Don’t be afraid to start a retirement fund because you believe you’ll never have enough money in it to retire. If you are young, calculate what you think you’ll need to retire comfortably, and save accordingly. Then, evaluate your asset allocation, which is a big term for knowing how your money is invested. You may take more risk as a young investor, and perhaps change that allocation to more income-producing vehicles later in life, Hellmich quotes Robbins.
Again, the latter may require some help, but you can help yourself by figuring out ways you can save your money.
The last three Robbins tips again involve your thought process. You have to create a lifetime income plan, and believe you can be among the wealthy. Once you get there, enjoy the sacrifices you have made. “Start where you are, and you’ll begin to find out that there’s more than enough wealth for you,” Hellmich quotes Robbins.
If you are still a child, develop that savings and investment mindset early. If you have change in your pocket at the end of the day, put it in a jar. When the jar is full, take the coins to your local bank and put them in your own savings account. Don’t touch the money until at least when you go to college, or go to work after high school.
As an adult, you will already have the right mindset, and can get more sophisticated about saving and investing for retirement.
Lastly, you may be older, approaching retirement, fearful you don’t have enough money. There are many ways out there to solve this problem. For one of the best, visit www.bign.com/pbilodeau. Check it out with friends in the same situation.
Then, all of you can watch your retirement accounts blossom.

Peter

CHEAPER GASOLINE PUMPS ALL OF US UP

#cheapoil #OPEC #gasprices

The elements of an improving economy may not be obvious to everyone.
But the shrinking price of gasoline certainly is.
In fact, gasoline is as cheap as it has been in many years.
Why is it so cheap and how long are these prices expected to last?
On Thanksgiving Day 2014, OPEC (the Organization of Petroleum Exporting Countries) decided not to cut crude oil production to raise prices.
On top of that, the United States, Canada and other regions are producing more oil, according to an article by Rick Jervis for USA Today. His article appeared in the Tennessean newspaper in Nashville Nov. 23, 2014, prior to the OPEC meeting on Thanksgiving.
Jervis’ article pointed out that while OPEC could still influence the oil market, it doesn’t have as much clout as it did years ago. In fact, a decision by OPEC – whatever that was – would have made the front page of every U.S. newspaper years ago. On Friday, newspapers ran the story but most ran it on the inside, or on the front of the business section.
Sure, we are loving paying less at the pump. It’s real money going back into our pockets. Still, the oil industry doesn’t like these low prices. OPEC was between a rock and a hard spot. If it cut production to raise prices, it would encourage more oil exploration in the United States and elsewhere. Getting oil out of the shale and tar sands of North Dakota and Texas, though it has been a blessing for us consumers, is still more expensive than getting it out of the deserts of the Middle East.
The lower prices are discouraging more exploration here and, as Jervis’ article pointed out, OPEC was keenly aware of that. The oil industry is not in business to give us cheap gasoline, though that has been the result of alternative oil sourcing.
Another big bonus for the United States is that it is not so reliant on countries who may not like us much. Though any new skirmish in the Middle East could send oil prices soaring again, it would also encourage more exploration here.
Also, we are using less oil and gasoline here. Vehicles are more fuel efficient. Many vehicles are only partially fueled by gasoline. Some vehicles are not fueled at all by gasoline. Less demand keeps prices down.
And, as The New York Times recently reported, alternative fuels, such as wind and solar power, are becoming nearly as cost-effective as coal and natural gas. That will trend well toward keeping oil and gasoline prices down.
In the last several years, many of us have been hurt by a troubled economy. We’ve been hurt so badly that we don’t see what’s good about today’s economy.
What should we do? First, put the money you are saving at the gas pump into a savings vehicle. It will take you a while to see financial recovery that way, but it would be a start.
Second, if you truly aren’t feeling the good economy, check out the many other ways there are to make money outside of a job. For one of the best, visit www.bign.com/pbilodeau. You’ll find average people making above-average incomes, and helping others do the same.
Just because you can’t see everything happening in the economy doesn’t mean they aren’t happening. The gasoline prices are obvious to all of us. The rising stock market may not be obvious to all.
The lesson for all of us is to be optimistic about the future. Don’t let the naysayers tell you we are heading for hell in a hand basket. The future looks bright. And, you can make your own future bright by taking action you may never have thought of taking. Go for it! You won’t know what there is to gain until you look for it.
Peter

WE MAY LONG TO BE KIDS AGAIN, BUT …

#kidstructure
We think of childhood as a simple time –fancy free, no worries, necessities provided without effort.
But Vicki Abeles sees childhood differently.
She produced a 2009 video titled, “Race to Nowhere,” that told stories of students who were burned out and overworked by the pressure-cooker education culture. She featured her son, Zak, in the video and in her column on the subject, published Sept. 26, 2014, in USA Today.
In decades past, the philosophy was that a busy child stayed out of trouble. Many education systems stressed rigor, lots of homework, even busy work to keep kids’ minds on one thing: school.
That evolved a bit, as kids got into sports, music, drama, debate and other excellent extracurricular activities. It was thought then that those things helped balance a student’s life.
Today, as we see our education system documented as hardly the best in the world, we have created kids that are overworked, overstressed and still not achieving what they should.
“In some places across the country, the frantic pace of modern life has even trickled down to kindergarten, where students are already bringing home piles of homework,” Abeles writes.
She says young people nationwide suffer from alarming rates of anxiety, sleep loss and depression. She quotes a survey by the American Psychological Association that one in four teens reported feeling extreme levels of stress during the school year.
Teens may not seem stressed to you. Of course, there are normal stresses for teens, including boy-girl relationships, having to look good to your peers, wearing the “right” clothes etc. But, if you have or know a teenager, does his or her stress level seem abnormal? If the teen is open to talking to you frankly, ask him or her about it.
We need an education system that makes kids not just learn, but WANT to learn. Just as we adults need a work-life balance, kids need a school-life balance. Sure, school is their job. But it should not be their life.
They should be able to easily mix academic demands, extracurricular activities and free time to hang with friends, date (if they are old enough) or just do what they want. After all, they are only kids once.
Sometimes, kids find their life calling by having the freedom to do what they want.
They should certainly learn that some structure is important. We can’t raise children to believe that they can ALWAYS do what they want, no matter what. A job requires some commitment to structure that the employer requires. Higher education requires some structure to get a degree.
But making kids a slave to structure at an early age will probably hurt them more than help them. It might cause them to develop mental, even physical injuries that could stay with them for life. What kind of waste of potential would that be?
While students need to learn some structure, they also should learn that there are ways to make a life that may not require the structure we are teaching them. It may require a different, more enjoyable kind of structure. For a look at one such lifestyle, visit www.bign.com/pbilodeau.
If you are over a certain age, you learned the importance of structure in life. As a teen, you may have even rebelled at such structure. More than likely, you got over your rebellion and got “structured” again. Abeles believes today’s kids are over-structured. If you have a teen, or know one, you might want to cut them some slack.
Instead of making sure every minute of the day, and night, is tied up with some activity, give them some time to be them. You may be pleasantly surprised at not only how they use that time, but also how it could make them much better adults.
Peter