- my iParenting
- quick clicks
- moms today articles
- moms today q&a
- community & groups
- research baby names
- prepare a birth plan
- content channels
- ip channel rss feeds
- read birth stories
- read parenting stories
- recommended books
- e-newsletters
- safety recalls
- ip diaries
- ip store
- mom of the month
- dad of the month
- editor's letter
- letters to the editor
From Our Sponsors
- e-newsletters
- Sign up to receive our free weekly e-newsletters
- award-winning products
The iParenting Media Awards program helps parents find the best products for their families.
Mind Over Money
10 Ways to Make the Most of Your Money and Your Life
3. Replace your credit cards with debit cards. "If you've had a tendency to carry debt balances month-to-month on credit cards, cut those up and instead get a VISA or MasterCard debit card, which are accepted by all merchants who take credit cards," says Tyson. "The difference is that a debit card is connected to your checking account, which prevents you from spending money that you don't have and carrying costly debt balances month-to-month."
4. First pay off consumer debt – then start saving. Don't begin a saving program until you've paid off your consumer debt. You're very unlikely to earn an investment return, after taxes, that exceeds the relatively high interest costs on credit cards and other common consumer debt. "When you can afford to set some money aside in savings, make your saving automatic by setting up a direct-deposit payroll deduction with your employer (or using automatic checking account transfers to an investment account if you're self-employed)," Tyson says. "That way, you're free to spend what's leftover, and you don't need to drive yourself and other family members crazy tracking every expenditure."
5. Consider your investment "wants." Investing is clearly more complicated than just setting your goals (when do you want to retire, how much of your kids' college costs do you desire to pay and so on) and choosing solid investments. You should also consider what you want and don't want to get from the process of investing. Is it a hobby or simply another of life's tasks, such as maintaining your home? Do you desire the intellectual challenge of picking your own stocks or would you be content with entrusting some of those decisions to others? Deciding how you feel about these considerations will shape your approach to managing your investments.