True! According to a recent survey by a British bank, men are better at saving money, but women are better at making investment decisions. Why? Women are more likely to splurge spontaneously, therefore have less to put away into their savings accounts. But once the money is there, women are more likely to make better investment decisions for the long term.
2. A marriage is easier if you merge financial accounts in the beginning. True or False?
False! For some couples, especially those who have bought a house and have children, pooling most or all of your accounts makes sense. But until you've had plenty of honest conversations with your partner about how you'll handle your money together, keep your accounts separate. Start with a joint account but always keep a separate account with your own money.
3. It's smarter to save money for your retirement, than invest in your kids' future education. True or False?
True! Your kids can borrow money for college, apply for scholarships, work to earn extra cash and shop for less expensive schools. There are no scholarships or loans for retirement, so put your future first. Make sure you contribute at least enough money to your retiremnt plan before diverting money to college savings.
4. The best time to buy life insurance is when you start your first full-time job. True or False?
False! Most retirees report they spend about 80% of what they did when they were working. Some, who are traveling and have picked up expensive hobbies, say its even more. It's important to keep this in mind when saving for your retirement and to be honest with yourself as to what you want to do in your golden years.
