I got a funny email from Nigeria in my email this morning. The “widow” of the former dictator, Sani Abacha was offering to share $20,000,000 in a confidential transaction with DINKS finance. We got a good laugh from it, but then we thought we’d blog about some top money moves people should AVOID making!

1) DON’T GET DIVORCED.

If you get divorced, you’ll have to sell off your assets, pay lawyers fees, pay your former spouse alimony and you’ll loose out on the benefits of marriage. Divorce is one of America’s major preventers of wealth. DON’T DO IT.

2) DON’T PLAY THE LOTTERY.

Think about it, the lottery has to bring in more money then it pays out. If it did not do this, it would not be economically profitable to run them. What this means, is that lotteries are systems which guarantee that every dollar you spend can be expected to have a negative return in the long run (e.g. you will loose money). This is just dumb! Don’t play the lottery!

3) DON’T BUY USELESS STUFF.

Stuff from the Disney store, teletubbies paraphernalia or anything out of those airline skymall magazines is JUNK. Don’t buy it. The major problem with buying junk is that it actually has a negative return on your financial situation. The more stuff you buy, the more storage containers you need to buy to hold your stuff. When you finally decide to get rid of it, you may need to pay someone to take it off your hands. End result: useless stuff, no money.

Have a good one! As always feel free comment or drop us an email!

-James

MANAGE YOUR MONEY TOGETHER

Here are some simple guidelines for DINKS to build wealth:

1) Collaborate: Meet regularly to talk about money, set goals together, track and monitor them.

2) Understand and respect your partner. Take time to understand your partners values about money.

3) Watch the numbers. Get a budget, monitor your spending and track your net worth.

4) Max your retirement. Maximize contributions to your tax deferred retirement accounts.

5) Invest in stock. Stocks perform better than bonds or cash.

6) Avoid high interest debt. Credit cards and title loans are financial cancer.

7) Diversify. Don't put all your eggs in one basket.

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