Author Archives: Chris Tyson

Dave Ramsey’s Seven Steps to Financial Peace

Step 1 – $1,000 in an emergency fund (or $500 if you make less than $20,000 per year) Step 2 – Pay off all debt except the house utilizing the debt snowball Step 3 – Three to six months expenses … Continue reading

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Do you have an emergency fund?

If you don’t already have an emergency fund, plan NOW to start one.  First goal of your emergency fund is to have $1,000.  Find a good money market account to park the money and forget it, until an emergency comes along.  … Continue reading

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The 50/25 Rule – A Good Rule to Break

In a standard 30 year home mortgage with half (50 percent) of the payments made on the loan, the principal is only reduced by one fourth (25 percent). It takes about 23 years of payments to pay the principal down … Continue reading

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The Theory of Decreasing Responsibility

When you are younger, your need for life insurance is greater when you are just starting your family, you have young kids and a new mortgage. Death of the breadwinner would be devastating at this point since you have not … Continue reading

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The Rule of 72

The Rule of 72 will let you know approximately when your money will double.  To find out when your money will double divide your interest rate into 72.  The Rule of 72 shows you how money compounds given enough time.  … Continue reading

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Financial Independence

Begin your path to financial independence by arranging your present income: Pay yourself first Earn additional income Adjust your priorities Avoid the credit trap Realign your assets Pay Yourself First – decide on a set amount, or percentage, of your … Continue reading

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Three Savings Accounts You Need

Here is a list of three savings accounts you need. 1. Emergency Fund: It is recommended you have 3-6 months’ salary saved for emergencies which include such things as job loss, medical bill, or major household repair.  Some experts now … Continue reading

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Saving Early for Retirement

We all need to start saving early for retirement.  Here is how $28,000 equals $136,000. If you start saving for retirement early! Say from age 22 to 62, one person started saving $4,000 a year at age 22 for 7 … Continue reading

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