Retiring Early, FOMO Savings, and Worst Money Habits

How to Invest $50K: 10 Proven Strategies                                                                                                                                                                                                                                                                                                                                                                                                                 April 16, 2024 | [Read Online]( Good afternoon. It's Monday, April. 15 and we're covering how the fear of missing out shapes your savings, worst money habits, mastering the art of home buying in California, and much more. First time reading? [Sign up here](. Stock Market Update Market Performance: April 15, 2024. U.S. stock futures were marginally lower Tuesday morning after a losing day for the major benchmarks. Dow Jones Industrial Average futures inched lower by 51 points, or 0.13%. S&P 500 futures and Nasdaq 100 futures were down 0.1% and 0.04%. Wall Street is coming off a choppy day for the major benchmarks. The 30-stock Dow dropped 248 points, or 0.65%, in its sixth straight losing day. The blue-chip index erased most of its 2024 gains, a major reversal considering that just weeks ago it approached the key 40,000 level. The S&P 500 lost 1.2%, while the Nasdaq Composite tumbled 1.79%. [Those losses follow a rise in yields that had investors shrugging off strong earnings]( from Goldman Sachs , as well as hot retail sales data. The 10-year Treasury yield topped 4.6%, its highest level since November. Financial Maverick Insights The Fear of Missing Out: How It Shapes Your Savings You’ve likely seen the term floating around social media in memes and reels — FOMO is something many are intimately familiar with whenever someone posts photos of their latest luxury vacation, their late-night get togethers or their 5 star restaurant meals. To put it simply, FOMO, or fear of missing out, is a psychological phenomenon that creeps in when we worry about others having more fun than us. On top of just feeling plain bad, according to experts, it can also significantly impact your personal finances. [Here’s how it shapes your savings habits and how you can combat its negative effects.]( Keeping Up With Peers Costs You Big “The desire to keep up with peers can lead to excessive spending on experiences, gadgets or lifestyle upgrades, often driven by the need to emulate the perceived success and satisfaction of others,” Dr. Feldman explained. He said this can divert funds from savings or investments, potentially compromising your financial security and future goals. FOMO Leads to Overspending “As someone deeply immersed in guiding individuals through their financial journeys, I’ve witnessed firsthand the profound impact of the FOMO on people’s saving habits,” said Alyssa Huff, real estate expert and owner of Sell House As Is. “It’s like this constant tug-of-war between the desire to enjoy life now and the need to secure our financial future.” “Picture this: You’re scrolling through social media, and suddenly, you see your friends traveling to exotic destinations or splurging on the latest gadgets,” she explained. “It’s natural to feel a twinge of envy and a sense of urgency to join in. But what many don’t realize is that behind those flashy posts lies a complex emotional battle.” Huff explained that FOMO is about comparing yourself to your own dreams and aspirations as much as it is comparing yourself to others. Combat FOMO By Taking a More Mindful Approach to Money “But here’s the thing, acknowledging FOMO is the first step towards regaining control over our financial lives,” said Huff. She said that by understanding the emotional triggers behind our spending habits and adopting a more mindful approach to money, we can make intentional decisions that align with our long term goals and values. “It’s about finding that balance between living in the moment and planning for the future, without letting FOMO dictate our financial decisions.” Boomers Confess Their Worst Money Habits The financial habits people develop during childhood and in their young adult years often follow them throughout the course of their lives. This is true of any generation, including boomers — that is, anyone born between 1946 and 1964. While some money-related habits are good, others aren’t. GOBankingRates conducted a financial literacy survey and spoke with several people in the boomer generation about their worst money habits. [These are boomers’ worst money habits and some key survey results.]( Overreliance on Credit Cards and Living Beyond Their Means Like many people, boomers struggle with an overreliance on credit cards and living beyond their means. These are habits that can develop in childhood or in early adulthood. Around a quarter of boomers learned to live beyond their means in childhood as well. And while fewer individuals picked up this habit in young adulthood, it was still fairly prevalent amongst older boomers. In fact, 21% of respondents said this was their worst money habit. “One of the worst money habits common among Boomers is living beyond their means,” said Loretta Kilday, a spokesperson at Debt Consolidation Care. Not Creating a Budget Creating a household budget is important to understanding one’s personal finances and working toward long-term financial goals and stability. But it’s not something everyone learns to do. According to the survey, around 28% of boomers weren’t taught the importance of having a budget during their childhood. This percentage barely drops in young adulthood with 26% of respondents saying that was still a weak point for them. Not Investing Investing is one of the best ways to build long-term wealth, but many people either don’t know how to get started or are afraid of the level of risk involved. For boomers, more than a quarter of them said one of their worst money habits was not investing or learning to invest from an early age. Between a quarter and a third of boomers said they still weren’t investing even after reaching adulthood. Not Building an Emergency Fund An emergency fund is a separate amount of money meant for emergencies — like medical bills or an unexpected layoff at work. It’s meant to provide a financial buffer against these unplanned expenses so that the individual or family doesn’t have to stress about something happening. One of the worst money habits boomers confessed to having is not building an emergency fund. Real Estate News I'm a Realtor. NAR settlement may not be as good for home buyers and sellers as they think. Even though most sellers think they should be celebrating, the new Realtor commission rules probably won't affect them much once the dust settles. Robbie Lamattina’s Secrets to Success: Real Estate Expert Releases New Article on Mastering the Art of Home Buying in California Robbie Lamattina Real Estate, a dynamic real estate company led by entrepreneur and industry expert Robbie LaMattina, is pleased to announce the launch of a new article to help families and individuals master the art of home buying in California by sharing his secrets to success. How much more affordable is Baltimore’s housing market than DC’s? - WTOP News Like the D.C. region’s housing market, Baltimore, Maryland’s housing market remains strong. But data shows Charm City is considerably more affordable. Personal Finance Tips 1099-K IRS Tax Delay: What Last Minute Filers Who Use PayPal and Venmo Need to Know This IRS reporting change was delayed. But you'll still need to report your self-employment income. I Retired Early: Here’s My Monthly Budget You may have heard about the early retirement movement making waves with stories of dedicated savers who have been able to escape the traditional workforce much earlier than 65. You may have even... How to Invest $50K: 10 Proven Strategies If you have $50,000 to invest, you have plenty of options, from low-risk CDs and Treasurys to alternative investments with higher risks and potential rewards. Alternative Investing Cryptocurrency is making lots of noise, literally The peace and quiet of rural Bono, Arkansas, has been shattered by a loud and incessant mechanical buzzing sound created by a bitcoin mine. Investors are growing increasingly wary of AI After years of easy money, the AI industry is facing a reckoning. A new report from Stanford’s Institute for Human-Centered Artificial Intelligence (HAI), which studies AI trends, found that global investment in AI fell for the second year in a row in 2023. Microsoft, Apple, Google moves show AI is remains Big Tech's game Big AI is just going to keep getting bigger: that's the takeaway from this week's onslaught of AI news — and it's barely Wednesday. Are you growing increasingly wary of AI? [Yes]( [No]( Reach Over 100,000 Financial Mavericks Advertise with Financial Maverick to get your brand in front of the Financial Gurus in the world. The Mavericks are high-income and highly knowledge people who are always looking for an interesting product or tool. [Get In Touch]( Share Financial Maverick Calling all Financial Mavericks! To help out a family and friend in need by sharing this newsletter. Tell you what if you ever wanted to be a Hero, Financial Guru, or a Nice Person this is your time! [Share the newsletter]( DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. 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