Last week, I was asked to speak at an event in Buckhead called “Living on Purpose and with a Vision.” My topic was “How to Win with Money.” In my Atlanta workers’ compensation law practice, I work with clients to resolve their legal issues, of course, but we also work to resolve financial issues that living on a reduced income can bring.
Below, I will provide the outline for the hour-long speech, as I believe it will provide some helpful points to consider when working to live below (or at least within) your means after an injury at work. I teach many of these principles in myAtlanta financial coaching practice, too.
1. Plan for your long-term financial future.
– time is your best friend (tax-deferred saving)
– the cost of being short-sided: yanking your money early means you lose nearly half
– never borrow from a company-sponsored retirement plan
— cost of paying back your loan v. gains in the market
— due when you leave
2. Manage your money (instead of the other way around).
– 7 steps to financial freedom
– basic budgeting: on paper, on purpose
– delaying gratification (saving for big purchases and avoiding credit)
– car payments = the bane of the middle class existence
–tax benefits of buying used in GA
– your home is not your piggy bank
3. Lenders (like wild animals) are not your friend.
– credit cards are guaranteed long term bondage
– high interest that enslaves for years and years
– plastic means we spend more
– get the right kind of mortgage and don’t buy ’til you’re debt-free
4. Get a will and have some insurance.
– life insurance if you have dependents
– don’t let the government distribute your stuff when you die
– you don’t need STD (assuming an emergency fund) but do need LTD
– health insurance is critical (new law re: COBRA premiums, HSAs, etc.)
– you don’t need redundant insurance (cancer, accidental death and dismemberment, etc.)
“You Have More Than You Think” – Motley Fool (David and Tom Gardner)
“The Millionaire Next Door” – Dr Thomas Stanley
“Rich Dad, Poor Dad” – Robert Kiyosaki
“The Total Money Makeover” – Dave Ramsey
“Think and Grow Rich” – Napoleon Hill