Personal debt problems can arise from numerous circumstances, including health crises, theft, property damage, or loss of income. These situations are beyond the debtor’s control and arise through no fault of his or her own. But in other cases, it’s our own purchasing decisions that contribute to amassing a burdensome amount of debt, and it’s entirely avoidable.
Debt and the American way of life have become synonymous. From the 1850s when the Singer sewing machine company first introduced installment loans so that more homes could purchase its revolutionary appliance, a rising standard of living and debt have gone hand in hand.
Consumer debt surpassed $14 trillion in the beginning of 2019, and it’s a trend that’s showing little signs of slowing down. Home mortgages, student loans, credit cards, payday loans, home equity loans, personal loans, car loans — it seems there’s no shortage of ways to dig yourself into a financial hole.
The end-of-the-month problem isn’t just what you’re taking in, it’s more likely what’s going out. Navigating the line between income and expense is a lot easier with a financial road map: A household budget.
A will is not a one-and-done exercise, because life doesn’t stand still. Circumstances change, and when they do, you’d best update your will or risk unintended consequences.
There are many formulas for figuring out how much money you need to retire. Almost all of them can end up being wrong for a variety of reasons.
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