6 years to retirement, too many expenses

By Lisa Gibbs @Money July 19, 2012: 4:18 PM ET

(Money magazine) -- Jo Ann and Mike Nahirny feel the classic sandwich-generation squeeze.

They're juggling three homes: their own and two they bought for their son, 18, and daughter, 21, to live in during college. They also supply meals and run errands for Mike's 92-year-old father, taking him twice weekly to see Mike's mom, who has Alzheimer's, in a nursing home 50 miles away.

All that, plus their jobs. The couple commute an hour each way to work: Jo Ann has a $52,000-a-year position as a high school English teacher; Mike, a retired Army reservist and financial analyst at HUD, the U.S. housing agency, now works part-time as a security guard. That leaves little time to enjoy their lakefront home.

$400,000 portfolio, too many holdings

By Carolyn Bigda @Money July 19, 2012: 1:04 PM ET






(Money magazine) -- When Susan Carson and Laura DeLallo get interested in something, they pursue it wholeheartedly.

In their twenties, each tried to hit it big in music with their own rock bands (tours and CD releases included). When they wanted steadier jobs, they dived into new fields: Carson works in trading and operations for an energy company; DeLallo, an editorial specialist at a financial services consulting firm, is pursuing her MBA.

Married in 2008, they now have financial security -- they earn $225,000 a year and have almost half a million in savings -- and a new passion: the markets. "We like to read through the news and see if we can find an upcoming trend," Carson says.

Trouble is, their enthusiasm is getting the better of them. Both have sprawling portfolios of individual stocks, exchange-traded funds, and mutual funds that are proving hard to manage -- nearly 50 separate investments in total. "I had a lot more time to pay attention to my investments a year or two ago," says DeLallo.

Moreover, they've seen the downside of market timing: In 2008, believing property values had hit bottom, they bought their house for $508,000. Today the four-bedroom is worth only about $380,000 and also needs some repairs

Young dad, $15,000 in credit card debt

By Carolyn Bigda @Money July 19, 2012: 1:02 PM ET

(Money magazine) -- Like many thirtysomethings, Carlos Rodriguez is repairing financial damage from his twenties.

The health care project administrator has $15,000 on credit cards, partly from financing a master's degree, but also from "reckless spending," he admits.

When real estate was hot, he bought a seller-financed house in Austin to use as a rental property, inheriting a property lien that's now $3,600.

And he has grownup obligations: He has an 8-year-old son from a previous relationship and pays $720 a month in child support.

The good news is that Rodriguez recently received a promotion that pushed his salary from $59,000 to $67,000. In addition, he earns $6,500 annually working as a division petty officer in the Navy Reserve. Eventually he'd like to become a chief strategy officer in his field.

3 tuition bills, only $35,000 saved

By Donna Rosato @Money July 11, 2012: 4:30 PM ET








(Money magazine) -- Raising three daughters born within a five-year span, the Fuccis knew they'd face steep tuition bills one day. But saving was tough.

The family lives in high-cost Westchester County, where their property taxes have tripled over the past decade.
For many years Stefanie worked part-time as a personal trainer. Now Kimberlee, 17, plans to go to James Madison University in Virginia this fall, where costs top $30,000 a year; high school sophomore Celine, 16, has pinned her hopes on going out of state too.

The Fuccis have already co-signed $14,000 worth of private loans to pay for 21-year-old Brittany to attend New York's Fashion Institute of Technology (she also has $14,000 in federal Stafford loans). Still, they are determined to let their kids go to their dream schools.

"Out of state goes against our plans, but it's the right fit for Kimberlee," says Stefanie

Earn $1 million by climbing the corporate ladder

 By Donna Rosato @Money July 27, 2012: 5:10 AM ET

Secure one big promotion that gives you real authority and you could be on your way to becoming a millionaire.

(MONEY Magazine) -- The path to becoming a millionaire shortens with every major step you take up the corporate hierarchy. Jump from a human resources administrator to manager, for instance, and you become eligible for greater supplemental income like bonuses and stock options.

Take another big leap up to HR director, and your overall compensation really swells -- by more than 40%. The good news: You don't have to make it all the way to the C-suite to see real benefits.

Part of a special report on How to reach $1 million this story explains how moving up the corporate ladder can put you on your way to the millionaire class.

KEY MOVE: Secure one more big promotion that gives you real authority.

Save your way to $1 million

By Donna Rosato @Money July 26, 2012: 6:29 AM ET


(Money magazine) -- Research shows that people who practice so-called burst saving are far more likely to sock away enough money for a comfortable retirement than those who don't.

According to a study by the research firm Hearts & Wallets, 64% of burst savers were able to build a nest egg equal to at least 10 times their annual pay, a common benchmark for a financially secure retirement.

They were also likelier than non-power savers to hit that goal no matter what age they started their savings regimen.

Says Laura Varas, a principal at Hearts & Wallets: "Once you've got a base of assets that really matters, it puts a tail wind at your back."

Part of a special report on How to reach $1 million, this story explains how saving aggressively for a decade can help you reach millionaire status by the time you retire.

KEY MOVE: Aim to save at least 15% of your income for a period of ten years or more.

Is my $100,000 safe in gold and cash?

 

 

By Walter Updegrave @Money July 27, 2012: 5:20 AM ET

Let's start with gold. For all the hype about gold being a safe haven, the reality is that it can lose value as easily as the stock market. If you had plowed all your money into gold last September when it was selling for just under $1,900 an ounce, for example, your $100,000 stash would only be worth a little more than $84,000 today, since gold now goes for around $1,600 an ounce.

So whatever other merits gold may have as an investment, shielding you against losses isn't one of them.