In this book review, we cover a bestselling book on Amazon.com. The topic is about financial balance which eventually results in financial freedom, we hope at least!
This book is a fully updated and revised 4th edition, a New York Times bestseller, which was created to guide and advise young adults concerning the universe of personal finance.
We will discuss the topics which are covered in this book and dive into some of the problems which are discussed.
Particularly, in today’s world, individuals in their twentieth and thirtieth years of their life require aid in putting their finances in order. And one can’t really blame them.
This generation, also known as supposed millennials have developed and grown into what was the most terrible economic crisis known to man and are now required to make things happen in its result.
This is proven as they have the highest debt of student loans ever, have to deal with exorbitant rents and have to try to sustain a budget in what is an economy full of uncertainty. IT is time for them to get a financial life.
Since it was first written two decades ago, the best seller of Beth Kobliner has become for individuals in their 20s and 30s, a financial bible. With a matter of fact style, she has been able to teach these individuals just how to become debt free, learn the art of saving, whilst investing for their futures.
Contained in this totally updated and revised edition, Beth Kobliner, provides pristine discernments and sturdy, doable guidance directed to aid readers from a new generation develop healthy, intelligent financial habits which are sure to last for a lifetime.
Thanks to new information that portrays the every changing digital world we live in, Get a Financial Life is still an important instrument for young individuals needing to learn how to manage money.
From increasing credit scores to taking on taxes, Get a Financial Life shows those beginning their financial life just how to lower debt, evade widespread mistakes regarding money and traversing personal finance in a world that is in a constant state of flux.
1. Insuring against financial ruin
Having health insurance is important! At the moment the law requires every individual have health insurance.
More importantly, it is to shield you in the event an illness or accident arises or takes place, by ensuring you don’t go broke and bankrupt all because you need to take care of yourself medically. These reasons are why health insurance is to be thought of as the most important financial priority of an individual.
For individuals under the employ of a firm that provides health insurance for its employees, then that is a lucky individual as getting health insurance as part of a plan provided by employers is bound to be cheaper than purchasing a plan individually, as it is paid for by the employer.
The firm in question may provide more than a single kind of plan, it is important to not only consider the cost but also the coverage extent.
Another piece of information to know is just how much is to be paid as a deductible before the insurance carries the rest, the regulations for consulting specialists and what could occur in the event that a doctor not participating in the plan is consulted.
If an individual’s employment doesn’t offer insurance coverage, or an individual is self-employed, unemployed, one would have to pay for the cost of insurance oneself.
Before doing this, it is important to first see if coverage can be gotten via a family member. The federal law stipulates an individual can be covered by their parents until the age of 26, whilst some states have ages even higher.
If an individual is married, and a spouse is insured via work, it is possible to get added to that insurance policy.
If all this is unavailable, it is prudent to purchase a plan for oneself. Comparisons for plans can be done through Healthcare.gov, eHealth.com and by speaking to insurance firms. See Chapter 8 for additional insurance tips and those that need to be avoided.
2. Smart Payment of Debts
One of the wisest moves one can make financially is to get any savings made and use them to pay off any high-interest rate loans had. The simple reason is: one is able to earn more income, as paying off loans or credit cards with high-interest rates of 15% can be likened to making a guaranteed 15% on a venture. A full concept explanation can be found on page 31.
The premier stage in tackling hire interest rate debt is to lower the interest rate. This is done by calling the credit card issuer and requesting for a lower interest rate. (This often works).
The next step for an individual would be to check if they qualify for a credit card with a lower rate found on sites like CardHub.com and CreditCards.com, so as to then transfer the remainder of the balance.
For individuals that have numerous variations of debt, for example, a 15% credit card, a 12% credit card and then a 14% student loan, it is best to first pay off the loan with the largest interest rate.
A method to simplify this is to request the federal student loan issuer to extend payments for a period longer than the regular 10 years by selecting a different plan for repayment.
This will, in turn, lower the monthly payment, thereby making available extra cash, which can be used to pay off the high rate credit card. Once the 15% has been paid off, the next step would be to increase payments on the 12% credit card.
After that has been done as well, it would be prudent to increase the monthly student loan repayments back to their prior level at the very least.
What do readers say about this book?
- every person should read this book. It contains so mo much information and it is explained in a simple way.
- This book contains strategies in a rational manner, explaining how to maintain financial independence and manage financial decisions.
- Amazed how much information in this book is not known to children.
- One reader says: Wish I found this book sooner.
- This book is effective in learning because it takes practice in real world.