JW’s Financial Coaching Podcast Lesson #73-Fathers, lead the way

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  • Inspired by last weekend being Father’s day weekend
  • Challenge/Encouragement to all the Dads listening
  • Take the lead in your families finances
  • Best way your children will learn is from you
  • Still applies to you even if you aren’t a dad

With last week being Father’s Day, today’s lessons is achallenge/encouragement/motivation on Father’s taking the lead on our families finances. Yes, schools need to teach our children about how money works in our schools. But the best teach on finances isn’t in your child’s school. It is the people who live in their homes.

Today’s lesson is full of ways to take the lead in your families finances either with your spouse or teaching your child about money. Don’t worry if you don’t have to be perfect to take the lead. We’ve all made mistakes with finances.

Even if you aren’t a father the principal of taking the lead in your families finances still applies.

Enjoyed this lesson? If so please consider taking five minutes to leave a review of the show either in Stitcher SmartRadio, or iTunes. For a step by step video of how that works, please watch this video on how to leave a review in iTunes.

You can subscribe to future podcasts through FeedburnerStitcher SmartRadioiTunes, or by downloading the iPhone app. Or you may listen to the podcast on the JW’s Financial Coaching Facebook Fan page.

If you have any comments, questions, or ideas for future shows you can send them to me and I will integrate them into a future show. There are two ways to get in touch with me: 1.) Email me at JWFinancialcoaching@gmail.com - Please put “podcast” in the subject line and keep your questions brief so they are readable on air. 2.) Simply fill out the form on the contact page. Please fill out your name, email, and your question/comment/suggestion and we will read it on air.

You can find prior editions of the podcast at the podcast archive page.

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Friday Financial Tidbit-Do I need to be debt free before purchasing a home?

Often in conversation with young adults and newlywed couples the topic of buying a house is mentioned. I understand and know why; buying a home is an exciting thing, not to mention the constant reminders from friends and co-workers that renting is a waste of money or our families asking us “When are you buying a home?” as soon as you get back from the Honeymoon. But in those conversations the question inevitably gets asked, do I need to be debt free first before buying a home?

In technical terms the answer is no; banks loan money all the time to individuals and couples who have student loans, credit card debt, car loans, and so on. Obviously there is a maximum to how much one can have, but having debt in and of itself does not preclude you from getting a mortgage. While it is possible to buy a home while still in debt, is it necessarily wise?

While I know people do it all the time and probably more people buy a home while still in debt than those who don’t, I can’t say I recommend it. I’ve been a homeowner for almost 8 years now and while I know owning a home is enjoyable, I also know that it can be a money drain. As things break in the home, you make updates, or you have things replaced it can be a big strain on your finances. While you have payments to your other debts coming out of your bank account it can be a challenge to build up savings to do the work on your home and instead we turn to even more debt or short change ourselves in retirement funding and other savings.

Now I know that might bring some of you to ask, what about my situation? You and your spouse might have $50,000 combined in student loan debt, you’re fresh out of college, and it is going to take YEARS to pay off your student loan, let alone save up enough money for a down payment. Well that may or may not be true; it might not take YEARS to pay off your debt, it might just feel like years. You just have house fever so you are being dramatic about it. Instead if you cut back, earn some extra money here and there, are serious about dumping your debt, and have a plan to knock it out as soon as possible, you will get there a lot sooner than you think.

But even if it is true that it will take you awhile to knock off your debt, my advice is still the same. Buying a house while still in debt is not the way to go. Going my route might take longer to get a house than your friends and you will probably continue to get teased by your family and get tired of answering the question, why are you still renting? But it is the best and safest way to own your home and it will ensure that you own the home and the home doesn’t own you.

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JW’s Financial Coaching Podcast Lesson #72-What I learned about money while being on hiatus

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  • Good to be back after three months off
  • What I learned about money while on hiatus
  • The importance of having strong financial influences in your life
  • How life events impact your finances
  • My interview with Deacon Bradley

Credit: Getty Images

It’s good to be back back doing a lesson this week. I took a partial planned, partial unplanned three month break. But today I’m back and share what I’ve learned about money the past few months. Also I share how you can catch my appearance on episode one of my friend Deacon Bradley‘s new podcast. Deacon had me on to share how I’ve overcome fear in my life. We didn’t really talk about money but I still had a blast sharing my story.

Enjoyed this lesson? If so please consider taking five minutes to leave a review of the show either in Stitcher SmartRadio, or iTunes. For a step by step video of how that works, please watch this video on how to leave a review in iTunes.

You can subscribe to future podcasts through FeedburnerStitcher SmartRadioiTunes, or by downloading the iPhone app. Or you may listen to the podcast on the JW’s Financial Coaching Facebook Fan page.

If you have any comments, questions, or ideas for future shows you can send them to me and I will integrate them into a future show. There are two ways to get in touch with me: 1.) Email me at JWFinancialcoaching@gmail.com - Please put “podcast” in the subject line and keep your questions brief so they are readable on air. 2.) Simply fill out the form on the contact page. Please fill out your name, email, and your question/comment/suggestion and we will read it on air.

You can find prior editions of the podcast at the podcast archive page.

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JW’s Financial Coaching Podcast Lesson #71-”The Disease of More”

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  • How the “Disease of More” applies to our finances
  • Why we think we’ll be content with “just a little bit more”
  • Is it wrong to want more?
  • The fine line between being content and achievement
  • Why an emergency fund is more about comfort and not about the math

“Success is often the first step toward disaster.”

Hall of Fame NBA coach Pat Riley wrote that in his book Showtime. He coined it the “Disease of More.” It came from what he observed from his teams after they won the NBA championship. The year after winning the title it was a natural tendency for the players to stop focusing on what it took to win the championship. Instead they focused on individual fame, scoring more points individually, and making more money.

The concept of the “Disease of More” applies to our finances as well. It can happen whenever we make a purchase, no matter how big or small. We are content with it for a while, but eventually we want something newer, nicer, or bigger and we tell ourselves that once we get whatever it is we desire we’ll be happy. But it doesn’t work like that because someone will always have a nicer home, car, kitchen, newest gadget, etc., than the one we have.

When we fall victim to the “Disease of More” we become obsessed with whatever we desire and it is all we can think about. That object then becomes our idol, an idol that we can never satisfy.

Does this make it wrong to want more? Not necessarily. Working hard and saving up to buy something isn’t necessarily bad in and of itself. Having a want can be a good thing. But your self-worth should not be wrapped up in whether or not you get it. If it is then ultimately you will never be fulfilled because you will always want more and more.

The “Disease of More” is similar to the lifestyle inflation trap in some ways, but in other ways it is completely different. The “Disease of More” is an all out, endless effort to accumulate and achieve more and more. It is very dangerous for not only your finances but your spiritual state as well. Ultimately you will never find peace and contentment until you are first appreciative of what you have.

Enjoyed this lesson? If so please consider taking five minutes to leave a review of the show either in Stitcher SmartRadio, or iTunes. For a step by step video of how that works, please watch this video on how to leave a review in iTunes.

You can subscribe to future podcasts through FeedburnerStitcher SmartRadioiTunes, or by downloading the iPhone app. Or you may listen to the podcast on the JW’s Financial Coaching Facebook Fan page.

If you have any comments, questions, or ideas for future shows you can send them to me and I will integrate them into a future show. There are two ways to get in touch with me: 1.) Email me at JWFinancialcoaching@gmail.com - Please put “podcast” in the subject line and keep your questions brief so they are readable on air. 2.) Simply fill out the form on the contact page. Please fill out your name, email, and your question/comment/suggestion and we will read it on air.

You can find prior editions of the podcast at the podcast archive page.

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JW’s Financial Coaching Podcast Lesson #70-What to do before you consider filing for bankruptcy

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  • Bankruptcy should be considered as a last resort, not as a first
  • If you do decide to file make it a sound decision instead of an emotional one
  • The ramifications of filing bankruptcy are more than just getting your debt cleared
  • What bankruptcy won’t do for your finances
  • What happens when you write a bad check to the Girl Scouts

Talking about bankruptcy is not something I enjoy doing. It is also something I hope you are not going through. However I field calls and emails all the time from people who feel like they are stuck and their only way out is to file. To me bankruptcy is like divorce; there are good people who go through divorce but is isn’t something I suggest people go through.

But with that being said, I’m not angry or disappointed if you do end up filing for bankruptcy protection. However I recommend filing only as a last resort, after you have tried everything else first. On today’s lesson we cover three things to do before filing for bankruptcy.

  1. Assess your finances-When you are getting hounded by creditors and you don’t know how you are going to come up with this month’s rent payment, it can be hard to sit down and spend some time with your finances. You might feel like, “what’s the point?” and the stress will want to make you not check your mailbox for fear of getting more bills. It is an emotional situation and you can feel like you just want to give up. But put the emotional energy into knowing your financial situation better. It will help determine if you are truly bankrupt. I have found a lot of times that bad financial situations are a result of just being disorganized. Finding out what your income and expenses are each month might allow you to see that there are other alternatives to bankruptcy.
  2. Don’t pay your creditors-Hear me out on this one. I’m not saying stiff your creditors when you have the money to pay them. What I am saying is to sit down and make sure that you take care of your four walls. After that, if you have money left over, you can then pay your other bills. But if you don’t have anymore left over then you can’t and won’t pay anyone else. If you have a difficult time not paying your bills on purpose, what do you think will happen when you file bankruptcy? But by focusing on your needs first, you gain back some control of your financial life. Once you regain control then you can go back and save some money and settle later with your creditors. That way you can hold your head high that you tried your best, your creditors got some money, and you are able to have your life back.
  3. Ponder the ramifications of filing-Filing for bankruptcy might seem like the easy thing to do in the short term but there are long term financial consequences to declaring bankruptcy. Other things you need to think about include what will I do for a car if I am giving up the car in bankruptcy? What happens to my house? What assets will they seize? If you can’t pay your bills due to no income, bankruptcy does not create an income. How are you going to pay for your basic necessities? Also student loans, which are a major cause of financial strain, are not allowed to be bankrupt. How will you pay them? Don’t file for bankruptcy out of emotion. Consider all your options and be at peace with your decision.

In addition to today’s lesson I’ve done other shows on bankruptcy including:

Finally we also discuss what happens when you bounce a check with the Girl Scouts. Bad things happen. Seriously though, a man paid for his Girl Scout cookies via a check last year and after his check bounced, they sent it to collections. How much did they sue him for? $740! How does $42 go to $740 in one year? It’s called debt collector math and it stinks. I explain why I feel the lawsuit will ultimately get dropped.

Enjoyed this lesson? If so please consider taking five minutes to leave a review of the show either in Stitcher SmartRadio, or iTunes. For a step by step video of how that works, please watch this video on how to leave a review in iTunes.

You can subscribe to future podcasts through FeedburnerStitcher SmartRadioiTunes, or by downloading the iPhone app. Or you may listen to the podcast on the JW’s Financial Coaching Facebook Fan page.

If you have any comments, questions, or ideas for future shows you can send them to me and I will integrate them into a future show. There are two ways to get in touch with me: 1.) Email me at JWFinancialcoaching@gmail.com - Please put “podcast” in the subject line and keep your questions brief so they are readable on air. 2.) Simply fill out the form on the contact page. Please fill out your name, email, and your question/comment/suggestion and we will read it on air.

You can find prior editions of the podcast at the podcast archive page.

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Friday Financial Tidbit-Tips on saving on Diapers and Wipes

In the past 2 and a half years I’ve changed my fair share of diapers. So many in fact that I feel like I’ve gotten pretty good at it if I do say so myself. It’s especially amazing considering that I might have changed a grand total of five diapers prior to that. Changing all those diapers has taught me a lot of things, including realizing that diapers and wipes aren’t cheap. But it also has allowed me to learn a few tricks when it comes to lowering the cost of diapers and wipes. Continue reading

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JW’s Financial Coaching Podcast Lesson #69-Invest for retirement or pay off the mortgage

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Highlights of today’s show:

  • What to do after your consumer debt is gone: save for retirement or pay extra on the mortgage
  • Pros and Cons of investing for retirement
  • Pros and Cons of paying extra on the mortgage
  • Why my wife and I currently do both
  • What I have been reading lately Continue reading
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Friday Financial Tidbit-Stop Reading and Start Doing

Yes, you read the title of this blog right. I want you to stop reading this right now and start doing that one financial thing that you have been intending to do but never get around to doing. You’ve listened to the podcast, read the blog posts, and even subscribed to the newsletter. Knowing what we need to do is not the problem, it’s the starting that is the problem. Continue reading

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JW’s Financial Coaching Podcast Lesson #68-Tip on how to reduce your taxes

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Highlights of today’s show:

  • Advertisers know what to do with your tax refund
  • The three basic things to know about the tax systems
  • Ways to lower your taxable income
  • Tax credits you might qualify for
  • Why I think the tax system is too complex Continue reading
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Friday Financial Tibit-You can lead a horse to water

“You can lead a horse to water, but you can’t make it drink” ~ English Proverb

Credit: Mark Ewbie

So we talk to them about money or share materials that we’ve read or podcasts we’ve listened to on money. We also give them advice on the dangers of credit card usage, how to budget, and how much money they could have if they stopped eating lunch out everyday. Continue reading

Posted in Financial Discipline, Friday Financial Tidbit | Tagged | Leave a comment