Every week I run into a few articles that I feel are especially valuable, so each Monday I plan to share some of the best with you, my readers. I hope you find them helpful.
This week’s favorites include lump sum contributions for college savings accounts, saving for college vs. saving for retirement, the crucial importance of passive income on retirement, dollar cost averaging vs market timing, and how should a woman buy a car.
Happy reading!
A 529 savings account for college is the same type of program as the RESP (Registered Education Savings Plan) in Canada. The Loonie Doctor looks at the effect of making that contribution as a lump sum in RESTs For Rich Kids With a Lump Sum. If you are thinking about a lump sum option for your kids or grand kids, read this article for some good background information.
As long as we are talking about saving for college, Should You Create a College Fund or Focus on Your Own Retirement was a good discussion by Money Q&A. We didn’t save money in a college fund, we paid off our house instead. Then when the kids went to college, the old house payment covered the cost. Getting your kids through college without borrowing should not take precedence on your own future. Do you agree?
If you are tired of saving for the future thinking you need all your income to come from your savings accounts, here is another prospective. Four Pillar Freedom discusses Why I’m No Longer Trying to Save Enough Money to Never Work Again. I have done the same thing. My passive income from real estate far outpaced the income I could generate from saving money. Check out these results.
Debt Free Doctor walks us through Dollar Cost Averaging vs. Market Timing: Which Is Best? I think we have all learned that trying to time the market doesn’t work, but usually we learn it the hard way. Read this and save yourself some trouble.
Women are traditionally thought to be a car salesman’s dream client. Well not this woman. B.C.Krygowski tells us how she did it in How to Get a Good Price on a Vehicle (Without a Male Accompanying You). She is a tough cookie. Next time I buy a car, I should hire her to do it for me.
I hope you enjoy these articles as well as I did. I look forward to updating you again next week with a few more articles I found especially interesting.
Thanks for including me in this weeks favorites! It’s always fun to read your collections.
Hi Dr. Fawcett,
Thanks for the mention. Having a lump sum for college saving for their family is a great position for someone to be in. I also think that flexibility is largely possible for those that have their put their financial houses in order via building the right career, trashing debt, and living a great life (but within their means) as espoused here.
Thanks,
LD