I read a lot of articles about retirement that make me cringe. Most of them are about people who are not on track for a financially secure retirement. But this week I read an article that really got my blood boiling. Oddly enough, it was about a group of people who have more than enough for retirement. A recent study by the Center for Effective government and the Institute for Policy Studies found that the retirement accounts for Fortune 500 company CEOs had a combined worth of $4.9 billion — equal to the retirement account savings of 41% of all… Read More

I read a lot of articles about retirement that make me cringe. Most of them are about people who are not on track for a financially secure retirement. But this week I read an article that really got my blood boiling. Oddly enough, it was about a group of people who have more than enough for retirement. A recent study by the Center for Effective government and the Institute for Policy Studies found that the retirement accounts for Fortune 500 company CEOs had a combined worth of $4.9 billion — equal to the retirement account savings of 41% of all American households with the least retirement wealth. Don’t get me wrong. It’s not that I’m jealous. I’m disappointed that many of these CEOs have retirement plan options that they don’t offer their own employees. But even that’s not what upset me most. My problem is that these kinds of articles can discourage the “rest of us” from taking steps to secure our own retirement security. People read these articles and conclude the retirement game is rigged. It’s for CEOs and celebrities. For regular folks, a secure retirement seems like a lottery — where they aren’t allowed to buy a ticket. Read More

In the past few weeks I’ve received emails from subscribers to my premium newsletter, The Daily Paycheck, who are worried about their energy and energy-related holdings. I’ve also heard from others who are wondering if beleaguered energy securities represent a buying opportunity. Just a year ago, West Texas Intermediate (WTI) crude oil was running at about $87 a barrel. But a strong U.S. dollar and concerns about a slowing Chinese economy have pushed the price of a barrel of WTI down to about $46 dollars. #-ad_banner-#All oil exploration and production company stocks have been hit hard. Their revenues… Read More

In the past few weeks I’ve received emails from subscribers to my premium newsletter, The Daily Paycheck, who are worried about their energy and energy-related holdings. I’ve also heard from others who are wondering if beleaguered energy securities represent a buying opportunity. Just a year ago, West Texas Intermediate (WTI) crude oil was running at about $87 a barrel. But a strong U.S. dollar and concerns about a slowing Chinese economy have pushed the price of a barrel of WTI down to about $46 dollars. #-ad_banner-#All oil exploration and production company stocks have been hit hard. Their revenues are directly impacted by the price of oil. This period of lower oil prices is probably less of a problem for large multinational companies such as ConocoPhillips and Exxon Mobil, which have strong balance sheets and good credit ratings. They are likely able to ride it out. But prolonged low oil prices could be a significant problem for small oil producers — and for investors who hold their stock or bonds. With revenues dropping, oil companies are paying out a higher percentage of their operating cash flow to service their existing debt. Just take a look at this chart from… Read More

I’ll be honest… the key to earning a lasting (and growing) stream of income isn’t rocket science. I’d venture that you already know about this trick. But it’s my experience that while most investors know how to create lasting dividend income, few actually follow through to make it a reality.  There is a well-known way that you can stretch your investment — even if it starts as a single share — to where it can eventually more than provide for any needs you might have. Unfortunately, it’s my experience that not too many investors take advantage. The Secret to Lasting… Read More

I’ll be honest… the key to earning a lasting (and growing) stream of income isn’t rocket science. I’d venture that you already know about this trick. But it’s my experience that while most investors know how to create lasting dividend income, few actually follow through to make it a reality.  There is a well-known way that you can stretch your investment — even if it starts as a single share — to where it can eventually more than provide for any needs you might have. Unfortunately, it’s my experience that not too many investors take advantage. The Secret to Lasting Income So how can you make your investment — no matter how small initially — turn into something that you can actually afford to live on? Simple: Reinvest its dividends. I know. It’s not groundbreaking. But are you actually doing it? Unless you absolutely need the cash now, reinvesting is invaluable. Dividends are one of the most powerful wealth-building tools in an investor’s arsenal because of the phenomenon of compounding. By reinvesting your dividend checks (instead of cashing them), you can buy more shares, which lead to even larger dividend checks. These larger checks can then be used to… Read More