Ideas on Personal Finance
In a prior article I had talked about why the government needs to create a recession in order to bring down inflation. I am not sure when exactly the recession will happen, but things are definitely slowing down. While the erudite readers of this blog prioritize saving before spending; the majority of Americans rely on … Read more
Habits shape our lives. But not all habits are created equal. Certain habits, known as keystone habits or cornerstone habits, trigger positive changes in other aspects of our lives. In the book “The Power of Habit”, Charles Duhigg writes that if you focus on one keystone habit, other positive habits will be easier to put … Read more
Most people are good at only a handful of things; and mediocre to utterly miserable at the rest. All our lives we are told to improve ourselves by working on our weaknesses. But when it comes to Financial Independence (FI), I have found this approach to be counterproductive. There are many ways to achieve financial … Read more
This is my last article in the ‘stock market crash’ series. Over the last year, the market has taken us on a roller coaster ride. First, it fell by 20%. Now even as everyone is forecasting a recession, the market has recouped its losses. Through all these ups and downs, it is very easy to … Read more
It has been a roller coaster start to 2023! A month ago, everyone was worried. The market was down 20% in 2022. However, over the last month, the market has surprised everyone and has steadily gone up. In fact, the market is up more than 15% from its lows of last year! Stocks have been … Read more
Happy New Year! I am glad to say goodbye to 2022. What a year it has been for savers and investors. The high inflation was bad for savers, and the market downturn was bad for investors. Almost every type of investment was down. However, 2022 did offer some useful investing lessons. Diversification does not matter, … Read more
It is common to see headlines like “Inflation hits multi-decade high” or “Unless your salary goes up 8.5%, you are losing money”. While these headlines grab attention, they may not be relevant to you. Everyone’s inflation rate is different. The overall inflation rate is 8.5%, which is the average for everyone. Your rate could be … Read more
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A few months ago, I had written that the government wanted to cause a recession in order to stop the runaway inflation. Well, now that the government has managed to start a recession, it is worth thinking about what comes next. Why recession? Recessions suck. The economy slows down, job losses increase, and people feel … Read more
This blog has been beating the drum about saving and investing for a while now. However, readers have pointed out several reasons why they do not invest. I also had doubts about investing, and I did not invest for a long time. That was a big mistake because I lost out on all those years … Read more
Twitter is a big waste of time, but occasionally you find something interesting. I recently saw a tweet with a chart from Our World In Data. It shows who people spend their time with as they age. As you can imagine, who we spend time with changes a lot throughout our lives. The chart below … Read more