Skip to main content
rss feedour twitterour facebook page linkdin

Financial Happenings Blog
Tuesday, November 14 2006

This article here, referred to me by Travis Morien, director of Compass Financial Planners PTY LTD (and whose website is an outstanding resource for financial information) is well worth a read.

The article highlites, of all things, Dilbert's 9 step plan as 'a unified theory of everything financial'.  It is pretty good.  In fact, I think it is outstanding.  The author of the article calls for a nobel prize to be awarded based on the simplicity of the theory.  The unified theory is contained in the following  9 point theory - 129 words!  In Australian points 4 and 5 can become 'make additional contributions to superannuation, so they will help fund your lifestyle after age 60'.

  1. Make a will
  2. Pay off your credit cards
  3. Get term life insurance if you have a family to support
  4. Fund your 401k to the maximum
  5. Fund your IRA to the maximum
  6. Buy a house if you want to live in a house and can afford it
  7. Put six months worth of expenses in a money-market account
  8. Take whatever money is left over and invest 70% in a stock index fund and 30% in a bond fund through any discount broker and never touch it until retirement
  9. If any of this confuses you, or you have something special going on (retirement, college planning, tax issues), hire a fee-based financial planner, not one who charges a percentage of your portfolio

It really is simple!

Posted by: Scott Francis AT 10:12 pm   |  Permalink   |  Email
Request for Information 
If you have questions, or would like more information, please go to our Contact page and leave your name and contact information.