Preview

Personal Finance

Powerful Essays
Open Document
Open Document
3713 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Personal Finance
Personal Finance
Chris Cannard, Van Trinh, Jommel Esteybar,
Edward Sy, Cricket Williams, Trey Vogel
San Jose State University
Abstract
Many people assume that handling personal finances is straightforward and can be done with little to no preparation. This paper delves into the many different aspects of personal finance. It discusses the tools that we are learning in class and explains how these tools that can be used to save for retirement. It offers tips to improve your financial standing both now and in the future. And finally, it compares these tips with advice offered by an expert, Suze Orman. Everyone needs to learn how to properly prepare their finances to reach their goals. While doing so can be easy and rewarding, neglecting to do so can have a substantial negative impact on your future well-being.

Financial Decisions
The financial decisions that you make today will either assist or haunt you for many years to come. You need to treat your financial decisions as if you are running a business and remove your personal feelings from the decisions so that you can make clear, concise, and rational financial decisions. By using the tools that you have learned in your textbook thus far, you should be able to leverage the proper financial institution in meeting your investment goals. You should be able to construct a simplified Income Statement for proper financial analysis. You can use this information to create an Income to Debt ratio, which significantly impacts your credit score. You can calculate a true interest rate prior to making any long-term purchases. You should understand how long–term debts are amortized and how your payments effect the principal owed on these debts. And finally, you should understand the Time Value of Money so that you can properly assess the opportunities that you are confronted with (Brigham, 2007).
Critical to making any financial decision is separating the emotional side of a decision from the factual segment of the



References: Anonymous. (2010a). Advantages to a 401k plan. 401K-Center. Retrieved from http://www.401k-center.com/401k-advantages.html Anonymous Anonymous. (2010c). Roth ira rules. RothIRA.com. Retrieved from http://www.rothira.com/learn/rules.php Anonymous Brigham, & Houston. (2007). Funamentals of Financial Management (Concise 5 e). Mason, Ohio: South-Western division of Thomson Learning. Department of Treasury Department of Treasury. (2010a). Iras. IRS.gov. Retrieved from http://www.irs.gov/publications/p590/ch02.html Department of Treasury Department of Treasury. (2010c). Faqs about iras. IRA.gov. Retrieved from http://www.ira.com/faq/faq-02.htm Hansen, S.W Orman, S. (2008). Suze orman 's 10 tips for a fresh financial start. Oprah.com. Retrieved from http://www.oprah.com/money/Suze-Ormans-10-Tips-for-a-Fresh-Financial-Start/1 Pritchard, J

You May Also Find These Documents Helpful

  • Satisfactory Essays

    Titman, S., Keown, A. J., & Martin, J. D. (2014). Financial management: Principles and applications (12th ed.). Upper Saddle River, NJ: Pearson/Prentice Hall.…

    • 753 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Keown, A. J., Martin, J. D., Petty, J. W., & Scott, D. F. (2005). Financial management:…

    • 2183 Words
    • 9 Pages
    Better Essays
  • Satisfactory Essays

    Fin370 Syllabus

    • 1622 Words
    • 9 Pages

    Keown, A. J., Martin, J. D., Petty, J. W., & Scott, D. F. (2005). Financial management: Principles and applications (10th ed.). Upper Saddle River, NJ: Pearson/Prentice Hall.…

    • 1622 Words
    • 9 Pages
    Satisfactory Essays
  • Powerful Essays

    FI 311 Syllabus

    • 2684 Words
    • 11 Pages

    All questions regarding academic issues (questions on homework, class notes, etc.) should first be addressed by the undergraduate assistants (UA’s) in the Help Room and then with either the course coordinator or Professor Booth. Please use your MSU email account for all correspondence.…

    • 2684 Words
    • 11 Pages
    Powerful Essays
  • Good Essays

    Finannce

    • 3050 Words
    • 18 Pages

    The Department of Finance is committed to excellence in both research and teaching and has…

    • 3050 Words
    • 18 Pages
    Good Essays
  • Satisfactory Essays

    Personal Finance

    • 250 Words
    • 2 Pages

    1. A health department estimates that 8 vials of malaria serum will treat 100 people. At this rate, how many vials are required to treat 175 people? Write your answer as a complete sentence.…

    • 250 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    personal finance

    • 409 Words
    • 2 Pages

    A federal government act that allows employees who lose their health insurance to continue participating in the insurance plan for a specific amount of time.…

    • 409 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Personal Finance

    • 299 Words
    • 2 Pages

    1. What is a market economy? (0.5 points) regulated by the interactions between producers and consumers in the market…

    • 299 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Personal Finance

    • 291 Words
    • 1 Page

    Choose a country with a weak economy based on what you have learned about economic factors and indicators. Develop a plan or a proposal to strengthen that country by listing three factors that may need to be addressed.…

    • 291 Words
    • 1 Page
    Satisfactory Essays
  • Good Essays

    Financial Planning

    • 695 Words
    • 3 Pages

    Two things that will affect your personal beliefs and opinions about financial planning are stepping back and looking at where you are in…

    • 695 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Personal Finance

    • 1291 Words
    • 6 Pages

    2. Think of a real or made up but realistic example of a speculative risk that you or someone you know may face, and then answer the questions below.…

    • 1291 Words
    • 6 Pages
    Satisfactory Essays
  • Good Essays

    Personal Finance

    • 1272 Words
    • 6 Pages

    1. Describe one short-term goal that you have and at least one thing you will need to do in order to accomplish that goal. (2-4 sentences. 1.0 points)…

    • 1272 Words
    • 6 Pages
    Good Essays
  • Good Essays

    Money management and financial planning is an aspect of life that everyone encounters. Despite one’s income or financial status, every adult and child has a concept of money and how to manage finances. Learning effective tips for financial success is very important to ensure future prosperity. For students especially, it is vital to be exposed to money management advice to learn and adopt good spending and saving practices early in life.…

    • 644 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    `slides

    • 1746 Words
    • 7 Pages

    Behavioral Finance - WS 12/13 Lehrstuhl für BWL, insb. Finanzierung Prof. Dr. Thomas Langer Universitätsstraße 14 - 16 48143 Münster Tel. (02 51) 83 - 220 33 Behavioral Finance lecture #1 - Oct. 08, 2012 0 What is behavioral finance? Assume you need some liquidity and think about selling some stocks from your portfolio.…

    • 1746 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    The 10 simple principles that do not require knowledge of finance to understand. However, while it is not necessary to understand finance in order to understand these principles, it is necessary to understand these principles in order to understand finance. Keep in mind that although these principles may at first appear simple or even trivial, they will provide the driving force behind all that follows. These principles will weave together concepts and techniques presented in this text, thereby allowing us to focus on the logic underlying the practice of financial management. In order to make the learning process easier for you as a student, we will keep returning to these principles throughout the book in the form of "Back to the Principles" boxes-tying the material together and letting you son the "forest from the trees."…

    • 4738 Words
    • 12 Pages
    Powerful Essays