Setting Up an Investment Account for Children


Many parents provide little in the way of financial resources directly to their children other than perhaps help with college expenses or initial assets such as a car.  Others provide resources as needed, like help with rent or money for necessities, but continue to treat their offspring as a child with tight control over the financial decisions rather than as an adult who can make their own decisions provided the assets needed.  Providing little may build character and pride for those who succeed, but increases the chances of failure since what would be small events for someone with some money set aside become huge events for those without.  Doing so also increases the chance of them buying many things through loans, meaning that resources gained through work will be lost to interest.

For those parents who are able, meaning those who have lived below their means and therefore have the resources to do so, a better option is to set their children up with an investment account.  If this is started while the child is a tween or a young teenager, the child will be able to learn investing skills under the guidance of a parent, making them better ready to manage their own investing when they leave home.  If they then have a portfolio of assets when they start the adult stage of their lives, they will have a safety net when needed and also have the means to acquire needed items with less debt, meaning that more of their effort at work will go into building assets and providing necessities and less will go to interest.  This will be like making perhaps ten times as much over their working lifetimes.

The steps for setting up an account and getting your children learning about investing are as follows:

1.  Decide whether individual stocks or mutual funds are more appropriate.  Based on the age when they are starting and the consequences of bad investment, this is probably one of the best times to be investing in individual stocks.  Many investors may not want to take the time required to pick stocks or deal with the fluctuations in value, however, in which case mutual funds would be the better choice.

2.  Determine where to setup an account.  For individual stocks or ETF buying, this would be with a broker, either in person or online.  For mutual funds, an account should be setup at one of the mutual fund companies.  Because they are a minor a parent will need to be the custodian and sign things as needed.

3.  Determine how to fund the accounts.  The easiest way to fund accounts is using the gift exemption, which allows parents to give up to $14,000 each ($28,000) per couple to their children per year.  There are also ways to give more without incurring tax penalties, but these reduce the amount that will be tax-free in an inheritance.  See a CPA for more details.  Realize that if they start making money investing that they will soon need to file income tax returns.

4.  Sit down with them and choose investments.  This, or course, involves teaching them how to invest.  You want them to have some say in the selection of stocks or funds so that they learn the skills needed but not make really bad choices.  If choosing individual stocks, one method is to select a group of stocks and then allow the child to determine which of the group to purchase.  With mutual funds, the parent can specify the types of funds to purchase and then the child can select the specific funds.  For example, the parent could specify buying a large cap and a small cap growth fund.

5.  Get them involved with the paperwork and the taxes.  Part of managing their accounts is knowing how to store the needed information and prepare the taxes each year.  Show them how to save and track the cost basis for their investments, what information will be needed should an audit occur, and how to prepare and file the tax paperwork.  Even if they do not do the taxes directly, they should still study the returns and verify that the information is correct.  Note that using an accountant is often a good choice if you invest since the rules can be very complicated.

Please contact me via vtsioriginal@yahoo.com or leave a comment.

Follow me on Twitter to get news about new articles and find out what I’m investing in. @SmallIvy_SI

Disclaimer: This blog is not meant to give financial planning or tax advice.  It gives general information on investment strategy, picking stocks, and generally managing money to build wealth. It is not a solicitation to buy or sell stocks or any security. Financial planning advice should be sought from a certified financial planner, which the author is not. Tax advice should be sought from a CPA.  All investments involve risk and the reader as urged to consider risks carefully and seek the advice of experts if needed before investing.

Is an Initial Nest Egg Better than an Inheritance?


It was found from a recent Pew Research survey that about 36% of adults aged 18 to 31 were living at home with mom and dad.    This has been greatly hyped by the news, but really it isn’t as alarming as they make it out to be.  Digging deeper into the data, we see that 65% of 18-24 year-olds are living at home, but only 16% of 25-31 year olds.  Since a lot of the 18-24 year olds might be going to college or a trade school, it actually makes a lot of sense for them to live at home if they can (since the parents would typically be paying for an apartment for their adult children otherwise anyway while they were finishing school).  If more than one out of three adults were coming home from college and moving back into their old bedroom, that is more of an issue.

Looking at the longer term data as well, we see that a lot of young adults have always lived at home.  Back in 1960 32% of those aged 18-31 lived at home.  The big difference then was that those not living at home were very likely to be married (56 %) versus today (23%) where people are waiting longer to get married.  What the probably means is that a lot more young adults are going to college and then going into careers, putting off getting married until their careers get going.  No doubt the much more liberal attitude towards premarital and even recreational sex plays a role in this trend.

Still, there are certainly a lot of young people coming back home, having completed college and not found a job, or having tried to live on their own.  Others have not been able to maintain an apartment due to a job loss or their hours being cut in preparation for the roll out of Obamacare next year.  One of the biggest issues is that those  starting out have little or no emergency fund and also don’t make enough to build up an emergency fund very quickly.  Perhaps if they started out with enough money to pay for rent and food for six months to a year, they would be able to get back on their feet without coming back home to live in the spare bedroom.

Maybe instead of leaving a big inheritance for children when they are in their fifties and (hopefully) have built up plenty of money on their own, parents who have saved and invested enough to become financially independent in their forties should consider providing their children with starter money for their lives.  This could be done through gifts each year.  Currently the federal gift limit is $14,000 per year.   This means that parents could give their children up to $28,000 per year ($14,000 per parent).  (Although check with a CPA about this.  As the IRS says, this stuff is complicated.)  Start when the child is 15, and they could leave the house with over $110,000.  The investment return from such a nest egg would be something like $10,000 – $20,000 per year), meaning they would have plenty to fund a good portion of their living expenses for years if they get a modest apartment ($300 per month = $3600 per year)  and live frugally ($200/month on food = $2400 per year).

The idea here isn’t to create a trust fund baby that will live on the money for a while, eventually blow through it, and then come back in their mid-thirties looking for more.  The idea is to give them the cushion they need to get started in their careers.  By knowing they have the resources to spend a few months looking for a job, they can find a job that is right for them.  It will also help them in their lives to stay out of debt or at least limit it.  They will have the cash to buy a quality used car and avoid a car payment their whole lives.  Likewise, they’ll be able to put 20% or more down on a house, avoiding PMI.  All of this will mean the ability to keep more of their paycheck, increasing their ability to grow wealthy.

Of course, there are a lot of 18-year olds who can’t handle such a large sum of money.  They will blow it on stuff.  Some will find a boyfriend or girlfriend heavy in debt or with other issues whom they “know they can change” and give a large amount to them.  Some may even get sucked into a cult, get lost in an addiction, or just not  grow up and move on with  life because they think they can just live on the money they have.  The trick is finding out which ones can and setting up appropriate safeguards for those who can’t.  Some ideas:

1) Instead of giving away all of the money to them when they turn 18, continue giving them gifts as young adults.  There is nothing stopping you from giving them half of the money when they leave home and the giving them the other half over a few years once they graduate from college, turn 25, get their first job, or meet some other milestone.  This will force them to do the right things to succeed to get the additional money and also give you time to see how they handle the initial money you give them.

2) Instead of giving the money to them initially, set up a special account in your name, and then send them a check for a portion of the investment return for a period of time.  Show them that they can have cashflow from the money indefinitely if they just spend the interest rather than spend the principle.  This will also reduce the amount they have available to spend, making the need to get employed to add to their income apparent.  Once they are sufficiently mature, you can start giving the principle to them over a period of years.

3)  Start out early as teenagers and involve them in the planning and investing.  Rather than just investing the money and keeping it a secret from them, show them how to invest and have them help with the investment decisions.  Also, have them help with the taxes for their account each year, which will happen when the account value builds up.

Please contact me via vtsioriginal@yahoo.com or leave a comment.

Follow me on Twitter to get news about new articles and find out what I’m investing in.  @SmallIvy_SI

Disclaimer: This blog is not meant to give financial planning or tax advice.  It gives general information on investment strategy, picking stocks, and generally managing money to build wealth. It is not a solicitation to buy or sell stocks or any security. Financial planning advice should be sought from a certified financial planner, which the author is not. Tax advice should be sought from a CPA.  All investments involve risk and the reader as urged to consider risks carefully and seek the advice of experts if needed before investing.

Should We be Putting Our Children to Work During the Summers?


Really the whole school schedule has become somewhat antiquated.  In the past school ended in the summer because that was when the children were needed to help raise the crops and care for the animals and the land.  A child might also miss school in the fall if there were crops to harvest or lumber to haul.  Gathering ice in the winter might also mean a few days away from school.  Many children looked forward to going to school since it meant a little time away from their chores.

Today children come home in the summer still even though few work on the farm or even help with the maintenance of their homes and yards.  To make it even worse, there are a lot of families where two parents work outside of the home, meaning teenagers are left alone and younger kids are sent to a sitter or away to camps.  They generally play video games and watch TV and YouTube videos.  Some kids are still glad to go to school again – this time out of boredom.

Still, it would be difficult to change the system.  Children are used to long summers off.  School systems are not ready to cool a school through the summer and most busses have no air conditioners.  Teachers are also used to working only 9 months of the years.  Despite complaining about the low pay only working a 3/4ths time job provides, the truth is many choose teaching in part so that they can have some time off to be with their children and do other things besides work during the summer and winter breaks.  I doubt many would take another job to cover the summer and the breaks if one were available, not that I would blame them.

Still, it seems like children could be doing something more productive to help them get ready for life during the summers.  Obviously older teens can get a summer job, and many have – at least before the rising minimum wages and regulations made fewer jobs available.  It seems like younger children could be doing something more as well.  Maybe not for money, although running and working a pet sitting business of a yard care business could help them learn the value of work, some aspects of running a business, and some skills with money management.

There are other productive, creative things they could be doing as well, though.  Perhaps they could be writing a short story or even a novel.  Maybe they could be tinkering with some old electronics or writing computer games rather than just playing them.  Perhaps they could be doing some science experiments – using the internet to track earthquakes or asteroids, or doing some biological experiments with plants.  Perhaps they could be doing some elaborate art project.  Or maybe they could be going to the office with mom or dad and helping out with things.

Certainly childhood is a unique time and there should be a lot of time for fun and adventure before going into the working life of adulthood.  Still, surely there are a lot more substantial things to do besides watching music videos and playing video games.  Any thoughts?

Please contact me via vtsioriginal@yahoo.com or leave a comment.

Follow me on Twitter to get news about new articles and find out what I’m investing in.  @SmallIvy_SI

Disclaimer: This blog is not meant to give financial planning or tax advice.  It gives general information on investment strategy, picking stocks, and generally managing money to build wealth. It is not a solicitation to buy or sell stocks or any security. Financial planning advice should be sought from a certified financial planner, which the author is not. Tax advice should be sought from a CPA.  All investments involve risk and the reader as urged to consider risks carefully and seek the advice of experts if needed before investing.

Do Middle-Schoolers Really Need a Cell Phone?


Ok, I’m weird.  I think I am one of about a thousand people in the country who doesn’t carry a cell phone.  The main reason is that I like to “be where I am.”   When I am at work, I want to be at work without the distraction of people calling or texting about other things.  When I am home, I like to be home and not have people calling about work (ever notice that you would never call someone at home before cell phones unless it was really critical, but no one gives any thought before calling at dinner time or nine at night to talk about things that could wait for the next day since people started carrying cell phones?).  Also, I really don’t know why someone would pay for a movie and then sit there and text throughout it, or how someone could be so rude to people on stage and fellow audience members to text during a live performance.  Actually, I still think it is rude to talk on a phone (or have it ring and then spent thirty seconds seeing whose calling while your annoying ring tone plays before answering the thing) in a restaurant or to text when you are with other people.  Of course, I understand this is the norm and won’t pretend that I can change the world.  You are all addicted and need your digital fix.

My wife, on-the-other-hand, has moved on with technology and has an iPhone.   This has been fine except that it has changed her view of things.  For example, the other day when I came back from fishing she was complaining that she couldn’t call me to ask about dinner plans or something.  The thought of being out at the river enjoying nature and needing to pick up the phone and talk about dinner reinforced my desire not to have a phone.

There is another annoying trend emerging, however.  My son, who is in 6th grade, has informed me that he is the only one left in his grade who does not have a phone.  This made me wonder less about my decision to not get him a phone than to question other parents’ decisions to get their kids phones.  I mean, I’ve seen kindergarteners with their own phones.  Is this really necessary?  Does a five year old need to be reached at a moment’s notice?

There are also a lot of undesirable things that have come from putting this type of technology in the hands of kids.  We’ve seen a rise in cyber bullying largely because of the number of cell phones in the hands of middle schoolers and high school students.  These devices have allowed kids to spread gossip, take and send embarrassing photos (including nude shots of themselves that will haunt them forever in later years) and videos, and plan mean pranks on other students.  In class they are used for cheating and are generally a distraction.

Financially that extra money being spent on a cell phone may be part of the reason no one seems to have the money for college anymore or to even pay off their homes before they retire.  Growing wealthy requires you to go against the norm because the norm is broke.  This means paying cash for used cars when all of your coworkers are taking out loans to buy new cars every four years.  This means eating in a lot while everyone else is going out five nights a week and doing take-out the other two.  This means buying a smaller house that you can make a big down-ayment on and pay off in 10 years while everyone else is buying a McMansion with a bonus room and an office by taking out a forty-year loan.  It may also mean not having a cell phone, or having a cheap phone with minimal features and not giving your kids their own phones until you have enough saved that it really isn’t a significant expense anymore.

My son has confided in me a couple of times that he appreciates that I care enough about him to not get him a phone because I feel it is better for him to experience “being where he is” while he is growing up.  I don’t know if he realizes or appreciates the freedom he has since he can be with friends or out on his bike without us checking up on him.  (Given that most parents use their kid’s cell phones as a virtual leash, I’m frankly surprised so many kids still want them.)  Note, however, that he still expects a cell phone when he gets to high school.  We’ll see….

Does anyone else out there not have a cell phone?  If so, what are your reasons?  Anyone out there want to explain while anyone under 16 really needs a cell phone?

Please contact me via vtsioriginal@yahoo.com or leave a comment.

Follow me on Twitter to get news about new articles and find out what I’m investing in.  @SmallIvy_SI

Disclaimer: This blog is not meant to give financial planning or tax advice.  It gives general information on investment strategy, picking stocks, and generally managing money to build wealth. It is not a solicitation to buy or sell stocks or any security. Financial planning advice should be sought from a certified financial planner, which the author is not. Tax advice should be sought from a CPA.  All investments involve risk and the reader as urged to consider risks carefully and seek the advice of experts if needed before investing.

A Tale of Two Home Buyers. Why Waiting Matters.


In the last post I advocated saving a 20% down-payment and putting no more than 25% of your take-home pay towards your mortgage.  I also advocated using a 15 year fixed loan to reduce your interest rate and be able to pay off the house before your kids start college.   Some readers took exception to limiting the mortgage payment to 25 % of your take-home pay.  After all, the standard mortgage has been 30 years, and even in these low-interest rate times 30-year mortgages are more common than 15-year mortgages.  Raising a 20% down-payment, which is needed to avoid paying mortgage insurance each month, is also no longer the norm.  Individuals instead typically take out two mortgages (one which provides the 20% down-payment, and then a second that pays for the rest of the house), put almost nothing down, and go ahead and pay mortgage insurance.  This allows individuals who cannot come up with a down-payment to get into a house right away and start “living the dream.”

A couple of generations ago people started out in small homes or even rented an apartment for a long time before buying a home.  Many couples today, however, are looking for their first house to have everything that the home they grew up in had.  A large backyard.  Three or four bedrooms.  A bonus room.  An office.  They therefore want to jump right into a $200,000 mortgage, but certainly don’t want to wait until they can save up $40,000 for a down-payment.  Loan agencies that qualify individuals for huge loan limits certainly don’t help.

Despite this advice being out-of-the-norm, I still advocate for a 20% down payment and a mortgage no bigger than 25% of your take-home pay. The reason for this is that unless you limit your expenses you will not have money to save and invest.  To illustrate this, take the tale of two guys.  Both guys are 21 and make $50,000 per year and put away 15% for retirement.  After funding their 401K’s and paying taxes they have take-home pay of about $32,500.

The first one, Joe Average, buys a home with a mortgage of 35% of his take-home pay.  He takes out a 30-year mortgage on a $204,700 home.  His payment is $948 per month on a 3.75% fixed rate loan.  He is very normal in his choice of home but abnormal in that he does not take any equity out of his home – he just pays his payments until he pays it off at age 51.  After that, he invests his mortgage payment, getting an average return of 12%.

The second guy, Crazy Fred, opts for a home with a mortgage of no more than 25% of his take-home pay.  He therefore finds a first home for $94,700 and a mortgage payment of $677 per month on a 15-year fixed loan.  Because of the shorter term, his interest rate is 3.5%.  (Note that he could have also opted for paying rent for the first ten years and little would have changed financially, which might have been the thing to do if none of the homes for under $100,000 were in safe neighborhoods.)  He saves the extra 10% and invests, earning a return of 12% on his investments.  After ten years he takes the money he has built up through investing, sells the home he has, and uses the home equity he has built up ($57,486) and the money he has saved through investments ($95,926) and uses the money for the down-payment on a bigger home.  Not wanting to increase his mortgage payment, he takes out another 15-year loan for the same amount ($94,700), meaning that his new home is worth $248,000.  In other words, he puts $153,300 down on this new $248,000 home.

Here are the amounts Joe Average and Crazy Fred will have in investments and in home equity during their lives:

Joe Average Crazy Fred
Age Home Equity Investments Home Equity Investments
21 $0.00 $0.00 $0.00 $0.00
31 $44,805.00 $0.00 $57,486.00 $95,926.00
41 $109,959.00 $0.00 $210,898.00 $95,926.00
51 $204,700.00 $0.00 $248,000.00 $412,519.00
61 $204,700.00 $218,076.00 $248,000.00 $1,457,400.00
71 $204,700.00 $937,815.00 $248,000.00 $4,905,910.00

So, at 51 years old, when Average Joe is just paying off his $204,700 home, he only has the equity in his home.  Crazy Fred, on-the-other-hand, is paid off his $248,000 home four years earlier and has built up more than $412,000 in investments. 

In ten more years at age 61, Average Joe has built up a respectable amount in investments since he has been contributing what he used to contribute to his mortgage to investments (meaning he is not sending kids through college or anything).  Crazy Fred, however, now has more than a million and a half-dollar net worth, including $1.4 million in liquid assets that he can use to generate about a $60,000 per year income easily.  This is in addition to his retirement savings and his job.  Note that Crazy Fred continued to contribute only 10% of his pay to investments when he paid off his home, so he also had his $677 per month that he was paying for his mortgage to spend as he wanted.

By the time they reach 71 years of age, Average Joe has finally become a millionaire, but just barely (not counting his retirement savings, which also would have been a few million dollars since he was putting away 15% per year).  Crazy Fred, however, has more than $5 M just from the money he made from investing rather than buying a big house to start.

But wait, Average Joe made more in equity because he had a larger loan, right?  Assuming that the price of the two homes went up 5% per year, Average Joe would have made $2,143,377 in appreciation on the home value.  Crazy Fred would have made about $1.5 million between his two homes. So yes, Average Joe would have made more on home appreciation, but only $600,000 more.  This is nowhere near enough to make up for the $4 M difference from investments.

So, is it normal to buy a $94,000 house instead of a $200,000 house?  No.  Are there plenty of excuses to buy the larger house to start?  Of course.  But this is why most people don’t become wealthy.  Two individuals can have radically different outcomes given the same middle class incomes.  The difference is that those who become wealthy don’t settle for the excuses and do what is needed to save and invest.  Everyone else doesn’t.

Please contact me via vtsioriginal@yahoo.com or leave a comment.

Follow me on Twitter to get news about new articles and find out what I’m investing in.  @SmallIvy_SI

Disclaimer: This blog is not meant to give financial planning or tax advice.  It gives general information on investment strategy, picking stocks, and generally managing money to build wealth. It is not a solicitation to buy or sell stocks or any security. Financial planning advice should be sought from a certified financial planner, which the author is not. Tax advice should be sought from a CPA.  All investments involve risk and the reader as urged to consider risks carefully and seek the advice of experts if needed before investing.

Sympathy for the Boomers


Normally I am not a fan of the Boomers (the Baby Boomers, those born between about 1944 and 1955).  I’m sure there are a lot of great people in your generation who worked hard and did a lot of great things.  But there were also a lot of people who really messed things up.

The trouble was, in rejecting authority and not “trusting anyone over 30,” you threw out a lot of good stuff with the bad.  You threw out great art and gave us dung thrown at a canvas.  You threw out great symphonies with beautiful melodies and gave us songs where musicians beat on their instruments and “performance pieces” where the musicians just sit there.

Financially, your generation has been a train wreck.  Still scarred by the Great Depression, your parents were one of the most financially responsible generations ever.  You made more wealth than any generation before you, and yet many of you are heading into retirement still owing a mortgage on your home.  You bought pet rocks and expensive cars and remodelled your kitchens and bathrooms dozens of times, but never saved for your children’s college or your own retirement.  Maybe at 55 or so you started to get worried and saved a bit, but much too late.  (Again, this is all crass generalization and I’m sure there are exceptions.)

That said, fate has also not been kind to your generation.  First it looked like the vast expansion of the 1980’s which went well into the 1990’s would provide the stock market gains needed to salvage a good retirement despite your spendthrift ways during your youth.  Unfortunately that lead to a bubble that burst and took 50% of the stock market value with it.  For many .com companies, the damage was 90% or 100%.

Next, low-interest rates and easy credit lead to a housing bubble, with homes growing in value more that 20% per year.  Again, it looked like Boomers would be able to sell their homes and downsize.  They would then have plenty of cash for a comfortable requirement.  Again, however, the bubble burst, and many Boomers who used their equity to take vacations and remodel their kitchens found themselves underwater.

At this point, they were hit with low interest rates caused by a Federal Reserve that decided to set fund rates at zero and buy long-term debt to spur the economy.  The trouble, however, was that the very business unfriendly climate caused by unprecedented government intrusion into business affairs, a vast expansion in regulations, and a gargantuan expansion in healthcare requirements that will make coverage unaffordable for most workers, there was very little demand for loans to make use of that loose credit.  Instead, Boomers who were retiring saw their interest returns on CDs fall through the floor.

Now, Boomers have rushed into bonds to try to get some sort of return for their savings.  That has caused bond prices to soar, leading to another precarious situation.  When interest rates rise, which they will once inflation starts growing or a change in policy at the Federal Reserve takes place, Boomers will see their bond investments decimated.

Those who have saved up enough to be able to invest largely in equities — those who have enough in assets to be able to weather a decline and still have enough to meet expenses — will be able to keep enough in cash to meet obligations for several years and then sell equities when prices are up and hold when prices are down.  The rest, however, are in a very risky position, particularly with the Government’s ability to continue to pay Social Security and Medicare claims very much in question.  The next decade may not be pretty.

Please contact me via vtsioriginal@yahoo.com or leave a comment.

Follow me on Twitter to get news about new articles and find out what I’m investing in.  @SmallIvy_SI

Disclaimer: This blog is not meant to give financial planning or tax advice.  It gives general information on investment strategy, picking stocks, and generally managing money to build wealth. It is not a solicitation to buy or sell stocks or any security. Financial planning advice should be sought from a certified financial planner, which the author is not. Tax advice should be sought from a CPA.  All investments involve risk and the reader as urged to consider risks carefully and seek the advice of experts if needed before investing.

Love your Job or Leave It


I have a secret, I love my job.  I love going in on Mondays because I have the whole week ahead to try to make progress on my projects.  I get kind of sad on Fridays when I didn’t get as much done as I wanted.  It isn’t that I hate weekends, or don’t like to be around my family.  It is just that I really like what I do.

I am a rocket scientist, literally.  I think it is fun to think up things that don’t exist and then work towards building them.  I love seeing things through from a problem to be solved to something that actually flies or controls something or otherwise does something that nothing else has ever done before.  I love to look through data from a test and discover something that no one else knows.  I even like planning out projects, trying to take the big problems and break them down into little steps and little challenges that can be solved.

You may be thinking that I just love my job because it is a cool job, which is true.  But I have people around me in very similar jobs who hate their jobs.  They are always talking about Friday and can’t wait to hit the road at the end of the day.  The thing that kills me is when I give someone else a problem to solve because I just don’t have the time in the day to work on it only to have them do a lackluster job on it.  These are things that I would love to do – why wouldn’t someone jump into this with both feet?

Then again, I’ve met people who work other jobs that I would think were boring, but they are having the time of their lives doing them.  I’ve met janitors who are always smiling and whistling.  Perhaps they like having the same sort of routine each night and not having the pressure of making a lot of big decisions.  Maybe they like to be left alone and enjoy the solitude that comes from empty cubicles and darkened hallways.

The fact is, we’re all different and like different things.  Some people would love to be policemen, or air traffic controllers, or truck drivers.  Others would think it was boring or stressful.  Some people could care less about the work but love the people around them.

The fact is that we spend far too much of our time working to be doing something we truly hate.  But then again, people are only going to pay you if you are meeting some need they have, not doing something you want to do.  No one can make a living lying in a beach chair no matter how much you love doing it.  The trick is finding something you love to do that also meets a need.

It is not always even necessary to leave a job to find another you like better.  Many companies need a lot of different things done.  Often if you do a good job and simply ask you may get a chance to do something different with the same company.  Just remember to be patient but persistent.

Sometimes you have the power to make a better job for yourself without even changing positions.  Maybe you like planning but you are involved in day-to-day operations.  Maybe you can develop plans to make the day-to-day operations run smoother.

Another thing people do is to be involved with after work activities.  Someone who never moves beyond an entry line job may be in charge of a church group or a civic organization and get to shape the group exactly as they would like.

Everyone should find something they like to do.  What is your passion?

Do you love your job?  What do you love about it?

Please contact me via vtsioriginal@yahoo.com or leave a comment.

Follow me on Twitter to get news about new articles and find out what I’m investing in.  @SmallIvy_SI

Disclaimer: This blog is not meant to give financial planning or tax advice.  It gives general information on investment strategy, picking stocks, and generally managing money to build wealth. It is not a solicitation to buy or sell stocks or any security. Financial planning advice should be sought from a certified financial planner, which the author is not. Tax advice should be sought from a CPA.  All investments involve risk and the reader as urged to consider risks carefully and seek the advice of experts if needed before investing.