TIME & MONEY:PARTNERS IN YOUR PROSPERITY
If you understand how time affects the value of your money, you can make decisions about what to invest in and what to buy, in order to enhance that value.
What can work against you over time is inflation. What can work for you is appreciation.
What works both for and against you is interest. For instance, when you’re earning interest (or dividends from bonds or preferred stock), it adds to the value of your money. But when you’re paying interest (on, say, mortgages and car loans), it can erode your money’s value.
The interest rate does make a difference: At 4% it will take almost 20 years to double your money; at 5% it will take almost 15 years; at 8% it will take just less than 10 years.
Unfortunately, the value of your money can also go down if inflation and market rates of return are rising. Here’s roughly what your $1,000 might be worth at different market rates if you just stuffed it into your mattress and then went shopping with it in a year or two:
A $1000.00 at inflation of 3.0% = $971.00, @ 6.0%= $943.00, @ 9.0%= $917.00 1st.Year
The same $1000.00 3.0% = $943.00, @ 6.0%= $890.00, @ 9.0%= $841.00 2nd.Year
So you can see what happens to currency if it does not keep moving. It is very important that you understand interest rates, compound interest, inflation, investing, and budgeting.
For further details send e-mails to kirkendohl@bellsouth.net or kirkendohl.investments@gmail.com Comments are welcomed!!!
Thursday, June 18, 2009
Monday, June 1, 2009
Power of Focus
"We've all heard that we have to learn from our mistakes, but I think it's more important to learn from successes. If you learn only from your mistakes, you are inclined to learn only errors."
Norman Vincent Peale
1898-1993, Pastor and Author
When you want to learn something you have to focus on it intensely. This is true in all aspects of your life; spiritual, physical, relational, and financial. If you focus on one thing at a time to a point of perfection or completion you will achieve it. If you want to achieve financial independence you have to focus on attaining income and concentrate on eliminating debt. This is where it gets tricky, if you focus on the negative side of your debt, then guess what- you will stay in a state of mind of being in debt. Okay, without going into a deep discussion on focus and debt here, I just want to say you should focus on getting your income up, make a plan that works automatically on eliminating your debt and focus on the success of being debt free. I would love to go into further discussion on this if you like. Comments are always welcomed and you can reach me by email as well. kirkendohl@bellsouth.net or kirkendohl.investments@gmail.com
Keep the positive attitudes, focus on the goal.
May God bless you,
Sam
Norman Vincent Peale
1898-1993, Pastor and Author
When you want to learn something you have to focus on it intensely. This is true in all aspects of your life; spiritual, physical, relational, and financial. If you focus on one thing at a time to a point of perfection or completion you will achieve it. If you want to achieve financial independence you have to focus on attaining income and concentrate on eliminating debt. This is where it gets tricky, if you focus on the negative side of your debt, then guess what- you will stay in a state of mind of being in debt. Okay, without going into a deep discussion on focus and debt here, I just want to say you should focus on getting your income up, make a plan that works automatically on eliminating your debt and focus on the success of being debt free. I would love to go into further discussion on this if you like. Comments are always welcomed and you can reach me by email as well. kirkendohl@bellsouth.net or kirkendohl.investments@gmail.com
Keep the positive attitudes, focus on the goal.
May God bless you,
Sam
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