“Penny Wise Pound Foolish” | My mother’s continuous chanting of the phrase, “Penny wise, pound foolish” as a child, reintroduced itself in memory as I spoke to an elderly woman in my neighborhood this afternoon. She recently turned 85 and just retired at age 83. As we spoke it became clear that she retired at that age by choice. I smile at the thought that she spoke with so much joy and youthful vigor, while expressing her weekly need to service her community 5 days a week. She did so by volunteering at our local hospital and offering her services at countless not-for-profit organizations as as a member.
Looking into her eyes I saw my own, it was just a few decades or so ahead, six decades to be exact. I’ve always had the desire to be aware of my financial needs and wants. My mother always talks about two extremes--business & medicine. Mostly about her work as a Physician and business because she herself owns her own corporation. I had beat her to owning a corporation first !
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Well, she always used to chorus a popular phrase to me as a child and that was, "Penny wise, Pound Foolish". I understood the value of the
penny before I knew the value of a dollar. I grew up from humble beginnings and those "brownies" are what opened my
first bank account. I collected them under sofas, shoes, pavements,
you name it! . My first account statement had a balance of
76.00 USD and I owe it to all the pennies I collected at
age 10. I will never forget what it was like carrying my big container of pennies to our local bank in Philadelphia---
so classic.
Reaching financial fitness is knowing the value of a penny and not necessarily a dollar. A dire economy may be the best time to understand your personal wealth,market, and need for financial growthI have been alright with a
FICO of 736 but it could always be better, and it changes from time to time. I am venturing off in a new phase in my life.It is the same phase that my girl pals are going through--ADULT LIFE. We are all 20 somethings and I have to say that I have a great group of friends who aim to become financially
secure. The older woman who I met retired at 83, which is not the typical age for one to retire these days. However, everyone's goals are different.
My goal is to learn a great deal about investing in my future to ensure that my parents,brothers,future children,& perhaps husband are all financially secure and fit. That only comes with learning the market and understanding the basics of investing and what it all has to offer. I KNOW, I KNOW, I KNOW-- The economy is pretty shaky and it leaves a bad aftertaste in the mouths of all recent college graduates to even think about the word,
Investment. Truth be told it is the best time to learn!
There is a reason why the "ideal" investment porfolio for a retiree has 50% of assets being secured in stocks Amongst all the multicolored eggs you have from stocks,bonds,alternative investments,& CASH vechile--stocks have the highest
long term growth. This calculation is currently having several financial advisers scratching their heads-- because it has left many clients saddened due to the economic crash. However, a recession will not last forever. People should not give up entirely on stocks. Many young investors are not and I am certain with more research I will be apart of these great group of people.
According to a recent article by Latoya Smith of Black Enterprise magazine, "The Young and The Restless",Smith has found that over 52% of young investors are trusting that the market will start to pick up a little towards the end of the year. We are the group who see the bargains in shares and wish to capitalize on them because we won't see retirement for another forty or so years--according to smith. For Example: TAKE GOOGLE:
- GOOGLE in 2004 -- share -- 100USD
- GOOGLE in 2007 -- share -- 715USD
- GOOGLE recently -- share -- 356USD
Who banked fast? A young investor! Like most young investors he is confident that the companies that they invest in will bounce back. Smith spoke of Erika Smith, a young 20 something who is investing in cheap energy stocks and is equally
confident because of the fact that the Obama Administration has placed a lot of focus on "green" energy. Start investing or learning the value of a penny before a dollar! Investing starts first with developing a good budget plan and having a savings account. It also starts with knowing the value of a penny before a dollar!
Please don't be penny wise-pound foolish:)
My favorite magazines that I own are:
The Network Journal, Entrepreneur,Black Enterprise, my mom's old JAMA :),Essence, and now SMART MONEY!
If you need any free websites that can help you further, email me at:
model@amandaebokosia.com
Save for tomorrow, Live for the future.
Labels: $$$, invest, investments, life, life application, money, stock
