A Fool and His Money are Soon Parted

I couldn't agree more. I have often told my sons you can do without when you are young and strong, you CAN NOT when you are old. A year ago my husband and I opened an IRA Retirement account for both our sons for Christmas. We started them with $3000.00 each and now it's up to them to keep investing in it. Our oldest son is putting 50 dollars each month into it, it's all he can really afford for now. He also has a 401k where he works. My youngest is still in school, but will be done in a month or so and then he will get a job with is Masters Degree. He is looking at Data Analysis for a car company like General Motors or a big hospital, the starting pay is pretty darn good. He has a tiny bit of student debt which he says he can pay off in 6 months time if he gets the pay he is looking for then he will start to invest. I couldn't be happier, my mom and dad told me when I was young to do something about my retirement, and I did. My hubby and I are not rich but we are comfortable and don't worry about our bills which we can easily meet. I wish all young people would not live for the moment as much as they do and think about their retirement. I can't help them but am so very pleased my husband and I were able to put our sons on the right path.

We were never high earners like you, but I was prudent. The main thing I would say to people is to never get into debt. If you have a credit card, pay it off by direct debit every month - if you can't do that, cut up the card.

We need to save some of our money. The money we saved with my husband allows me to live in a good house in a nice neighborhood (all paid for) and I had no problems in paying for my chemotherapy when I needed it.

We found the coolest financial adviser last year - he is helping us with our goals and "putting it all together" step by step. I personally hate financial jargon as it's all confusing to me . . . but this man makes it a goal to educate people (and boy he is hilarious) so they can go in the right direction and actually make it to their financial goals. He says too many people leave themselves in the dark about money - and that's why so many get into trouble. You and your husband did very well for yourselves. You worked hard to get where you're at but you also made your money work for you with investments and such. I'm sure this also influenced your sons - and they will be successful in the long run as well! Our parents were not as savvy, so we actually didn't learn much about money from them. Their generation could work and live and be just fine no matter what - that's how it was for my parents and although they are not the wealthiest, they live comfortably. My inlaws did ok but made some bad financial choices throughout the years and got into some major debt - mother in law is walking on eggshells with her financial situation. We wished we had learned things earlier for ourselves . . . but we are "here" now, and we are at an age where things are still doable - and I'd have to say we've been doing well this past decade. So now we're teaching our kids early so they can be ahead of the game!

You are so right Dianne. The important is to start to invest money early, so it can grow little by little and you do not spend it.

Nice post. Well done both of you. I went through a messy divorce late in life which almost broke me. Things would have been better financially had that not been the case. Oh well I am broke and happy but life is good.

I didn't have that kind of opportunity but I did go to business school. It did help but I was never that clever about money, I guess I was the fool. Butt still, I'm happy even if I don't have a lot of money.

Definitely investment is the way to go, keep things ticking over nicely

Since I work for the government, I have a 457 account, which is the public version of the 401k or 403 accounts. I began investing early in my career into my 457, along with a Roth IRA and Traditional IRA. Add into that mix my lifelong pension I will receive, I should do pretty well in my retirement. I won't be rich by any means, but I should retire comfortably.

This is great advice for the young!

That's wonderful you were able to do that. I admire your education ability - able to get the degrees you did in order to have the type of careers that paid out a good salary. I didn't have the brains or the opportunity for that kind of education to command a good salary and a nice career. My life has been difficult and my finances have been in the sewer because of it. I'm not looking for pity. Right now things are going well for me, and it has been suggested that I invest what I have so I won't run into the problems I had before.

Investing early is a good idea. My hubby however likes to spend not save. So I have to plan the finances. Is this your Florida home?

Thanks for your advice... This is why I don't want to go back to be young again. :)

I am very young, and have questions about investing, so if your husband would like to make a post about investments, that would be great! I was wondering, since you're a teacher, about how to perfect study habits so I can get into my dream college. I have work ethic and ability, I just don't have the skills to effectively work in the short amount of time I have. Any advice regarding the subject would be great, since I have a long school career ahead of me. I plan to get a Masters in Business Administration :)

You and your husband are very wise. You have rightly pointed out that one should start saving and investing when s/he is young so that he could get financial security, once s/he retires from his/her job. Saving is very necessary in life, besides spending. If one does not save in time, then s/he would repent during rainy days.

Me and my husband are average earners . Now that our daughter has graduated and will soon be receiving a big allowance , we can start saving bigger and maybe investing in stocks like my cousin who retired and has gained lots of income from stock investing . Though , in our retirement years we will have our pensions too , enough to sustain us and let us live comfortably .

I had a kitchen like that at one time but the cupboards were up above the counter top which produced a wall along the ceiling line. It looked more like a wall divider with an opening than a counter island. I like this design much better.

I love hearing or reading about how people live comfortably.. I am very happy for you and your husband to have a comfortable retirement.. Very sound advice you have there especially for young people .. I wish I had a higher education like you had .. I could have done more for my self with higher education .. But I found that the harder you work, the easier life becomes .. It would be nice everyone in this world can retire comfortably ..

I am lucky to have a spouse who understood the necessity of saving for retirement long before it dawned on me. We are just shy of a decade from retirement now and are in pretty good shape. Once our youngest graduates college in 2018, we can start stashing even more away during our last 7 to 8 working years. We've emphasized to both our sons how important it is to start putting something away as soon as the enter the workplace. Son1, being an officer in the military and planning to make it a career, has already started saving to supplement his military retirement. Son2, when he can, even as a student, has begun putting away a little.

In Australia, if you have certain assets, you are ineligible for a pension. It is sometimes hard to convince the young that they need to save for the future but I think in this day and age it is vital.