In issue 2, Suze Orman wants you to face your money worries and to not be afraid of planning a financial future. Let’s take a look at her questions:
- My husband and I both work, but we don’t save. How do we start? The nice thing here is that Suze reminds us that you have to take saving step-by-step. It’d be wonderful to suddenly have amassed a nice fortune, but that happens a few dollars at a time. She spends the rest of the answer talking about IRAs.
- I now make more money than my friend, and things got weird between us. How do I cope? Talk to her and tell her how you feel. Besides, maybe your friend will end up making more money than you.
- I feel guilty for spending money, even though I make a good salary. This is a really interesting answer because Suze says, “Financial freedom is not about having money. You are never free until you have power over how you think and feel about your money and how you invest and spend it. If spending makes you feel guilty, you’re ultimately as powerless over your money as someone who’s way over her head in debt.” Wow. That’s a pretty powerful message. When I had a steady paycheck, I didn’t really worry about money all that much. I saved a good amount, and that helped. I did worry a bit when I had to spend on something not planned–like clothes (I don’t shop for clothes very often)–and then I’d worry a bit about not being able to save as much. Now I get a bit worried here and there, even though we’re fine. Suze here advocates for disciplined spending and using your money to “expand who you are and to connect with what you love.” It’s a really interesting idea, and I hope I can get there myself.
- My name’s not on the house title; my husband and his parents are. I’m starting to resent that. What do I do? Suze is all over this one because if something happens to the husband, the wife is out of the house and has no say in it. She gives a number of solutions to go about getting the in-laws off the title.
The takeaway box is “Four Financial Must Haves”:
- A credit card in your own name.
- A will.
- A durable power of attorney for health care.
- A Roth or traditional IRA in your own name.
I’ve got two of the four. I’ve thought about a will, but we don’t have kids or property, so there’s not much to really work out. I think I’ve got the forms for number three but need to look into that further.
