Sunday, November 28, 2010

Want To Live Healthy?

One of the key aspect of becoming wealthy is to maintain your body and stay healthy. There are various ways of living a healthy lifestyle. If you can avoid all the medical costs to incur in your life you will soon be on your way to creating wealth. I found some of the tips that I do my best to follow on a regular basis. I have collected the information from one of the best selling book, The Optimal Health Revolution by Dr. Duke Johnson M.D.

  •  Eat more vegetables and fruits. 
  •  Eat more whole grains.
  •  Watch your calorie content.
  •  Wear sunscreen of SPF 30 and don't go near a tanning bed.
  •  Eat carbs with low GI index.
  •  Take supplements.
  •  Exercise faith.
  •  Don't eat high fructose corn syrup.
  •  Get enough rest.
  •  Use only canola and extra-virgin olive oil.
  •  Eat organic foods.
  •  Take omega-3.
  •  Don't eat processed foods, including fast foods and snacks.
  •  Exercise.
  •  Don't eat dark meats like beef, pork and processed meats.
  •  Don't take trans fats, saturated fat and omega-6 oils.

Things to avoid on a diet

Egg yolks, cheese, beef, pork, whole milk, cream, bacon, hot dogs, sausage and pepperoni, catfish.

Biscuits and cake mixes, cinnamon rolls, regular chips, doughnuts, flavored popcorn, pastries and coockies.

Avoid foods that say: deep fried, fried, smoked and Alfredo.

High fructose corn syrups, excessive salt and sugar, enriched wheat, multigrain  (eat only whole grains), artificial sweeteners (take only splenda or sucralose).

Don't use plastic on microwave and never store food on plastic containers.

Thursday, November 25, 2010

Should You Lease A Car?

USA is about cars. We buy more cars here than anybody in the world. It is not uncommon for a house to have two cars where public transportation is not readily available. There are only three ways you can buy a car: finance, lease or pay cash. Yes, paying cash for a luxury used vehicle is the best option. But everyone doesn't have the ability to pay cash for a car. I am going to discuss why you should lease a car.
Before I discuss that you need to understand leasing and financing are completely two different way of owning a car. Depending upon your choice, how long you intend to keep a car, how much you want to pay on a monthly basis are factors on determining if you should lease or finance a car. I am going to discuss if you should lease a car.
Yes, you should lease a car. There are various advantages to it. 

New Car More Often

You get to drive a new car every two to four years depending upon the length of your lease. It is a advantage to you since you get to drive a car with warranty and never worry about major maintenance bills.

Lower Monthly Payments
You pay much lower monthly payments for the same car and same length of the term in compare to if you were actually financing the care. Since you only pay for the depreciation costs plus interest which equals to 30 percent to 60 percent less when you lease a car.

Lower Taxes
Since you pay for only a small portion of a car which you lease for the length of your term, you pay less taxes in oppose to financing a car where you pay taxes on full amount of the car.

Gap Insurance Included
When you lease a car, Gap Insurance is automatically included. It pays your balance if you owe more on your car than it is actually worth in case your car is stolen or totaled on an accident. Gap Insurance are not included when you finance a vehicle. Even though they cost less than four hundred dollars to purchase separately it is worth considering.

Removes Headache of Selling 
You simply turn your car back instead of trying to sell the car and getting worried about it. It is getting easier with companies like CarMax and Texas Auto Direct to sell a car. But they don't pay as much you would like for your car. Instead leasing just takes away that headache.

Flexibility to Buy
You have the flexibility to buy the car if you would like to own longer than the length of your term. It gives you the option to decide if you want decide with the same car or get a new one. 

You should lease the car ONLY IF
  • Don't drive more than 15000 miles per year. You can purchase additional miles but you end up paying more.
  • Want to drive a new car every two to four years.
  • You have excellent credit. It is more easier to finance a car than leasing.
  • You like making car payments on a regular basis in oppose to paying a car off and driving it longer.
  • You don't mind the maintenance costs after the warranty expires.

Tuesday, November 23, 2010

Say No To Gold

Gold price is growing through the roof right now. People have already started to regret for not buying gold. Many believe gold is the safest investment with huge potentials. The increasing prices of gold does give an impression that it is a good investment.
But I would like to go over to point out why gold is a terrible investment. And if you are considering purchasing gold, just save your money. And if you have already bought, get rid of it as fast as you can. Gold is perfect as jewelry, of course  after diamond, but terrible as investment.
And why do I say that?
There are obvious reasons for it. I will quote Dave Ramsey, author of best selling book, The Total Money Makeover, who explained it very clearly on his radio show why gold is a terrible investment. There can't be any better explanation. He is right on point about it. I thank him for sharing with all of us.
My principle for investing in something is it needs to have a good long track record of a good steady rate of return without a ton of volatility. Gold as an investment, when you study its track record, sucks. It has made all of the returns it has made in the last seven and a half years. As soon as the economy stabilizes, the fear in the air will subside, and as soon as the fear subsides, gold is going to plummet. It's going to be at half of what it is right now in about 20 minutes. One hundred percent of the returns gold has generated in the past seven years are fear- based. It's people that are afraid the economy is going to collapse or they're speculating on people who are afraid the economy is going to collapse. That's what's driving gold's price up. It has nothing to do with the fact that gold is worth more.

Juxtapose that with something like stock in Home Depot or stock in Apple. It is worth more because the company has made more. There's an actual mathematical return and a reason for the stock to have gone up in value. That's what drove the stock. When stuff is driven to artificial lows or highs by fear or greed, that is called a bubble, and the bubble will always burst. You can't buy things based on fear or greed and call that an investment. At best, it's speculation; at worst, it's gambling.
As a matter of fact, I've become more and more sure every day that I'm not putting any money in gold. Now, had you put money in gold seven years ago, you would have made a fabulous rate of return to today. But had you put money in barrels of oil a few years ago, you would have made a fabulous return and then lost it all. If something's all in the news, you're too late to invest in it.
You need to do investing in things that are calm, steady and predictable. Gold is a precious metal; it has no intrinsic value. It shoots up based on fear or greed, and it will fall the same way. If you put money in it today, in five years, you will regret having done that.