Sign up for the most free or low cost coverage you can get (life, health, dental, vision, long term care, & disability)
If you need more than the basics (life, disability, LTC), consult a financial advisor
Renter’s Insurance is cheap and worth it
Car Insurance tip: High Deductible = Low Rates; Low Deductible = High Rates. If your car has a low replacement value, go for a high deductible and save the difference into an account to buy a replacement (best value = 2 year old used car)
Renting is a temporary fix for a permanent problem. When the lease is up, what do you have to show for your money?
Buying a home is typically a larger monthly expense, but it actually costs less because you actually get something for your money (Appreciation in Value of the Home, Accumulation of Equity, Tax Write-Off)
Pay $1,000 a month in rent for 7 years. You have spent $84,000 and have zero.
Pay $1,473 a month in mortgages for 7 years on a home worth $220,000. You have spent $123,732 and could have equity of $156,995, and a tax savings of $31,689 for a profit of $80,061 while you lived there.
Assumptions: 10% down, 6% fixed 30 year mortgage, 34% combined federal & state taxes, 7% selling expenses, 6% annual appreciation