Do You Know Where Your Money Is?

So the market is crashing, George W. is being presidential for the 2nd time in his life, and people are squirreling their money away. Do you know where your money is?

What does the bad scene on wall street have to do with Joe and Jane Average? Nothing? Everything?

I will admit that I'm not a big Wall Street guru. I have a working knowledge of what the Dow Jones entails. I know that when the numbers go down that it's not a good place to be. Many people depend on the market being strong because their retirement is tied into it. Some people "play" the market and when the market goes south, the fun drops out of "play".

Are we approaching a depression/recession? Will business men and women dive from skyscraper windows? Will entire families be turned out on the streets? Will the children be forced to work in sweatshops?

In these days of financial turmoil, there is one thing to keep in mind. It's best to be careful about the few pennies you have clutched in your hands. Read the small print on contracts. Educate yourself on how to diversify your money. Remember that $100,000 is a magic number. When your mother told you not to put all your eggs in one basket, consider your money to be eggs. When your money reach that $100,000 mark, look for another basket to hold the overflow. Don't shy away from the banks, but don't think the banker is your friend. If you have what you consider a lot of money, invest in a financial advisor. And if you don't understand or trust your advisor, get a second opinion. Who cares if you hurt their feelings? There are a lot of people who once had millions who probably wished they had been a little less trusting of their advisors. They probably wished they had hurt a few feelings in order to save their fortunes.

Once again, I'm not a financial expert. I like to think that I'm an expert on commonsense.

So take your money out of your sock drawer, have faith in the economy working itself out, and educate yourself on being a smarter investor.