You don't have to be an expert to manage your money and prepare for life's unexpected twists and turns
If you're like most people, your New Years Resolutions have already expired. You haven't lost 10 pounds, you're not going to the gym five days a week, and when was the last time you called your mother?
Chances are, your financial goals have fallen by the wayside too. I don't want to discourage you from paying down debt, saving a downpayment for a house, or any of those big goals that you may have set for yourself at the beginning of the year. But if you sort of tuckered out on the big things (or even if you're still going strong--go you!), maybe it's time to set some more achievable goals. Here are ten things you can do in an hour or less apiece to make yourself--or your household--more financially sound.
1. Join Mint I'm an unabashed fan of the site, and not just because they do some great data-mining on their blog. (Don't worry, all at the very aggregate level). It will track and aggregate your spending for you, showing you where the money is going, and what's happening to your net worth over time. If you have sort of complicated finances--as I do, living in a two-journalist household--then it's an absolute godsend at tax and expense time. And in the last year they've added goals, allowing you to set your spending, saving, and debt-reduction goals and then track how you're doing with a thermometer. It's surprisingly motivating, and it's free.
I probably spend 20 minutes a week in Mint, categorizing our expenses and monitoring our financial position. But even if you don't put in that kind of time (and most of you don't have to keep track of which meals are tax-deductible), it's still incredibly helpful at tracking the broad outlines of your spending.
2. Get your papers together If you die, someone is going to have to clean up the financial aftermath. Make it easy on them by putting everything in one place where they can find it. Dave Ramsey calls this a "Legacy Drawer", and suggests putting in a cover letter and letters to your loved ones as well as the financial papers. But we're trying to keep this under an hour, so the notes are optional. Here's what it should contain:
A list of every financial account: loans, bank accounts, investment accounts, 401(k)s, whatever. Security experts will kill me for saying this, but I'd say this list should have the account numbers, the PINs, and the passwords.
Deeds and titles to any property you own (cars, land, etc)
Birth certificate and social security card, if you have them
Information about your will/estate plans: who has them, who the executor is
Funeral instructions (if any; mine are "cheapest coffin you can find")
A list of your major recurring expenses (so people know which bills to pay)
Start by putting this in a drawer; eventually, you should move this to a safe-deposit box, and tell whoever's likely to be taking care of your final details where to find the key. This should only take you an hour--if it takes you longer than that, well, you really needed to get these documents while you could find them anyway.
3. Buy life insurance If you're single, you don't need this unless you have a kid or someone else depending on you--your job usually offers you enough to bury you. If you're married, I think you do need a little, even if you don't have kids. Married life is usually built on the expectation of two incomes: a mortgage (or lease), the cars, all sorts of other recurring expenses. At a minimum, make sure your partner will have enough to bury you and pay off any outstanding debt--including not only mortgages and cars, but credit cards and student loans in their name alone, if you own property. You don't want to have to hassle with someone coming after their half of the house or car to pay off their unsecured debt. Obviously, if your partner is at home, or makes very little money, you're also going to want to replace some of your income.
You do not want "whole life" insurance, "return of premium" or any other product that promises you to give you some or all of your money back--all this is is a savings vehicle with bad rates of return, bundled with expensive term life insurance. Buy a simple term life policy for 20 or 30 years--long enough for you to accumulate enough assets to take care of your partner if you die. You can compare rates online or mosey down to your local insurance office, but either way, this shouldn't take you too long provided that you resist the blandishments of insurance agents who will attempt to upsell you "features" you don't need. Stand firm, buy term.
4. Cancel stupid recurring expenses Remember when you thought you'd try Stamps.com? How about that credit monitoring service you signed up for eighteen months ago? The dual subscriptions to Netflix left over from before you moved in together? For many of you, I am sad to say, your gym membership also falls into this category.
Whatever it is, if you haven't used it in three months, cancel it. Cancel it whether or not you think you should be using it. You can always rejoin the gym after you've developed a burning desire to actually go. With the hundreds of dollars you will save between now and then, you will easily be able to afford any re-initiation fees.
5. Ramp up for retirement Unless you are already at the legal maximum, increase your 401(k) contribution by 1% of your income. Unless you are already pinching pennies so hard that Abraham Lincoln is actually screaming in pain, you can afford to put an extra 1% of your pre-tax income into your 401(k). Then every time you get a raise, you increase your contribution by another 1% until you hit the legal limit ($16,500) or 15-20% of your income. Almost painless, and you'll feel a lot safer in retirement. (Of course, if you want to save faster, you can--try 2% or 3%).
6. Start Saving If you don't have an emergency fund, you need one. Here's how to do it so that you almost won't notice: set up an automatic transfer into your savings account from every paycheck. Figure out how much can you afford, but even if it's only $25, transfer it from every paycheck, and resolve not to touch that money unless it's an actual emergency. (Emergency: my car won't start. Not an emergency: I really need a break, so I'm going to the beach for a week.)
The ideal way to handle this is to have a separate account that isn't linked to your other bank accounts, and to have the transfer done as part of your auto-deposit. That way, you never see the money--and I think you'll be surprised to find that you don't much miss it. But if you don't want to go to the trouble, you can do this with your regular savings account, as long as you're resolved not to touch the money in that account for anything but an emergency: just use online banking to do a recurring transfer on the same day as your paycheck hits the account.
Over time, increase the amount that you're saving. Eventually you'll have a tidy nest egg, and because the money was never in your checking account, you won't have been tempted to spend it on incidentals.
7. Rebalance your portfolio If you already have substantial assets, it's time to make sure they're correctly structured for your priorities. Are your mutual funds allocated the way that you want them, or over time, has one grown faster than the others, leaving your portfolio lopsided (many companies now automatically rebalance, but you should check.) You should also be thinking about your portfolio's life-cycle. If you're in your fifties, you should already be transitioning some of your money to bonds.
I know what you're going to say: you'll never be able to retire at those kinds of returns. My response is a piece of wisdom that I picked up from my driving instructor: "If you left late, you're going to get there late." Trying to flout that simple equation only gets you in trouble. Just as it's a bad idea to race through red lights in the hopes of making up the lost time, it's a bad idea to leave your assets in 100% equity because you're hoping that higher returns will still let you retire in comfort at 65. Risking destitution now is just compounding your earlier planning errors.
8. Make a Will If your finances are pretty simple, you can do this in half an hour with something like Quicken Willmaker, which took Lifehacker half an hour. LegalZoom will also do it for you for a pretty modest fee. If your finances are complicated--well, okay, this won't take under an hour, and you need a lawyer. But if your finances are complicated, you really need a will. If it freaks you out too much to meditate upon your own death, pretend that you are preparing this will so you can drop out of sight and assume your new identity as Agent 007 of Her Majesty's Secret Service.
9. Fix your withholding Are you looking forward to a nice big refund from the IRS this year? Don't look so happy--that refund means that you made the government an interest-free loan for most of the year. And if you're like many freelancers, and you owe the government a hefty chunk, then you may be liable for interest and penalties.
The easy way to fix either problem is to adjust your withholding. HR can help you do this. If you're getting a big refund every year, raise your exemptions; if you're having to pay, lower them. (If they're already as low as they can get, look at what you owe this year, adjust for what you'll owe next year . . . and start making estimated payments every quarter.)
10. Shop for better deals Can you get a better interest rate on your credit cards? How about your bank accounts? You don't have to follow through, if you decide thePITA factor isn't worth it. But it's worth taking fifteen minutes on the web to find out. Also worth doing: threaten to cancel your cable. You don't have to actually do it--though with Netflix and Hulu and Amazon Prime's new subscription service, it's possibly worth it. But if you call to cancel, they'll usually offer you a better deal.
The candidates are back on the campaign trail, following the third, and final, debate on Wednesday night.
It’s Thursday, October 20—the election is now less than three weeks away. Donald Trump and Hillary Clinton are returning to the campaign trail to deliver their final pitch to voters, ahead of Election Day. We’ll bring you the latest updates from the trail, as events unfold. Also see our continuing coverage:
A gender-studies professor explains how the industry works.
Humans have been creating images of sex and genitalia for millions of years, but it is only in the past few centuries—since the 1600s, according to historians—that these representations started meeting academics’ preferred definition of pornography, which involves both the violation of taboos and the intention of arousal. The first efforts to make money off of this new endeavor could not have come long after that.
With the publication of Playboy and Hustler in the mid-20th-century, porn started going corporate, and the industry has since bloomed into an enterprise so vast that people have a hard time estimating its size. Like any other industry, porn has its shady qualities—labor abuses, content piracy, and a blemished supply chain, to name a few. But unlike nearly any other industry, these unseemly features are allowed to thrive, mostly unchecked, behind the curtain of social taboo.
Science says lasting relationships come down to—you guessed it—kindness and generosity.
Every day in June, the most popular wedding month of the year, about 13,000 American couples will say “I do,” committing to a lifelong relationship that will be full of friendship, joy, and love that will carry them forward to their final days on this earth.
Except, of course, it doesn’t work out that way for most people. The majority of marriages fail, either ending in divorce and separation or devolving into bitterness and dysfunction. Of all the people who get married, only three in ten remain in healthy, happy marriages, as psychologist Ty Tashiro points out in his book The Science of Happily Ever After, which was published earlier this year.
Social scientists first started studying marriages by observing them in action in the 1970s in response to a crisis: Married couples were divorcing at unprecedented rates. Worried about the impact these divorces would have on the children of the broken marriages, psychologists decided to cast their scientific net on couples, bringing them into the lab to observe them and determine what the ingredients of a healthy, lasting relationship were. Was each unhappy family unhappy in its own way, as Tolstoy claimed, or did the miserable marriages all share something toxic in common?
Narcissism, disagreeableness, grandiosity—a psychologist investigates how Trump’s extraordinary personality might shape his possible presidency.
In 2006, Donald Trump made plans to purchase the Menie Estate, near Aberdeen, Scotland, aiming to convert the dunes and grassland into a luxury golf resort. He and the estate’s owner, Tom Griffin, sat down to discuss the transaction at the Cock & Bull restaurant. Griffin recalls that Trump was a hard-nosed negotiator, reluctant to give in on even the tiniest details. But, as Michael D’Antonio writes in his recent biography of Trump, Never Enough, Griffin’s most vivid recollection of the evening pertains to the theatrics. It was as if the golden-haired guest sitting across the table were an actor playing a part on the London stage.
“It was Donald Trump playing Donald Trump,” Griffin observed. There was something unreal about it.
As the group sheds territory, its propaganda wing has been forced to come up with a new storyline.
On the morning of October 17, Iraqi Prime Minister Haider al-Abadi announced the launch of the operation to recapture the Iraqi city of Mosul from the Islamic State. In the hours that followed, Kurdish Peshmerga claimed to have seized no fewer than nine villages and 200 square kilometers of territory. By lunchtime on day two, the spokesman for the U.S.-led coalition went as far as to say that the offensive was “on or ahead of schedule.”
Unsurprisingly, the Islamic State’s version of events read very differently. While its official media team conceded that the group had faced a large attack near Mosul on Monday morning, that was about all its propaganda shared with the mainstream news narrative. Indeed, while the peshmerga were counting up their captured kilometers at the end of the first day, the Islamic State’s Amaq News Agency was claiming that the reports were all false, and that it had, contrary to the lies peddled by the “crusader” media, managed to “absorb the momentum” of the encroaching forces before subsequently “repelling” them.
Rarely have presidential nominees declared, without qualification, that it’s a woman’s right to choose.
Even in a presidential campaign that has become so intensely focused on gender, there was something surreal about watching Hillary Clinton’s response to a question about abortion in Wednesday night’s debate.
Here was the first woman nominated by a major party for the United States presidency, standing on the debate stage in “suffragette white,” and talking in no uncertain terms about her strong commitment to protecting a woman’s right to “make the most intimate, most difficult in many cases, decisions about her health care that one can imagine.”
Democrats are expected to support abortion rights, of course, but that support is often couched with carefully hedged language. This is an understandable impulse, given how divisive the issue of abortion remains.
The conservative thinker’s work is a reminder of how intellectually self-satisfied politicians and cable-news have become.
William F. Buckley Jr. could have made Donald Trump quiver with impotent rage. This is a guy who sent Ayn Rand postcards in liturgical Latin just to make her mad, and then bragged about it in her obituary. In part because of his trollish panache, the founder of National Review and longtime host of the television show Firing Line was a conservative mascot in life, and he has become mythologized in death. The 2016 election has made it clear that no one quite like Buckley is working in media today: Republicans are hurting for a cocksure slayer of pseudo-conservative invaders.
No wonder two Buckley retrospectives have come out this October. Open to Debate, by the Massachusetts Institute of Technology media-studies professor Heather Hendershot, examines Buckley’s tenure on Firing Line and the diverse ideologies represented on the show. A Torch Kept Lit, edited by the Fox News correspondent James Rosen, chronicles notable obituaries written by WFB, as Buckley’s fans often call him. Both indulge nostalgia in their own way, but their yearning points to something real: In American politics, and specifically in political media, quality debate has seemingly withered. The presidential election has been an 18-month-long series of lows for civil discourse, culminating in the insult-laden, nearly-impossible-to-follow presidential debates.
With two and a half weeks to go, the debate phase of the competition is at last at its end. In real time last night I did an endless tweet-storm commentary whose beginning you can find here and that wound up this way:
Most of what I thought, I said at the time. But to summarize:
1) Predictability. To my relief, most of the expert forecasts I quoted in my debate preview piece matched what actually occurred.
The match-up really did turn out to be an extreme contrast at every level—intellectual and rhetorical styles, bearing on stage, what each candidate talked about and didn’t. The things Jane Goodall foresaw about Trump’s primate-dominance moves actually took place, when he was free to roam the stage in debate #2. As his fallen rivals from the Republican primaries had predicted, Trump faced much greater challenges in these head-to-head debates than he had in the crowded-podium prelims. Back then, he could chime in with an insult whenever he wanted and otherwise just stay quiet and roll his eyes. In the head-to-head round, especially the last debate, he struggled to fill his allotted time with details on any topic and fell back on slogans from his stump speech. Also predictably, Hillary Clinton was as prepared as she could be and barely put a foot wrong.
“Imagine what would happen if we don’t stand and fight [ISIS],” he said:
If we didn’t do that, you could have allies and friends of ours fall. You could have a massive migration into Europe that destroys Europe, leads to the pure destruction of Europe, ends the European project, and everyone runs for cover and you’ve got the 1930s all over again, with nationalism and fascism and other things breaking out. Of course we have an interest in this, a huge interest in this.
Tristan Harris believes Silicon Valley is addicting us to our phones. He’s determined to make it stop.
On a recent evening in San Francisco, Tristan Harris, a former product philosopher at Google, took a name tag from a man in pajamas called “Honey Bear” and wrote down his pseudonym for the night: “Presence.”
Harris had just arrived at Unplug SF, a “digital detox experiment” held in honor of the National Day of Unplugging, and the organizers had banned real names. Also outlawed: clocks, “w-talk” (work talk), and “WMDs” (the planners’ loaded shorthand for wireless mobile devices). Harris, a slight 32-year-old with copper hair and a tidy beard, surrendered his iPhone, a device he considers so addictive that he’s called it “a slot machine in my pocket.” He keeps the background set to an image of Scrabble tiles spelling out the words face down, a reminder of the device’s optimal position.