How to Be Generous This Christmas on Any Baby Step

How to Be Generous This Christmas on Any Baby Step

Ready or not, the Christmas season has arrived! You’re probably already hard at work on your Christmas gift shopping, goody making and good, old-fashioned celebrating. But don’t forget to add one essential to your list: giving! We’re not talking about giving to your family and friends. We know where all those gifts you’re wrapping are going. We’re talking about donations to charities and even gifts to strangers you meet on the street. Some of Dave Ramsey’s fans shared their favorite giving experiences with us, and they proved what we already knew—there’s room in every budget for generosity. Take a look and see if you agree that no matter what Baby Step you’re on, you can always spread holiday cheer through your thoughtfulness and generosity. Baby Step 1: The Tale of the Taco At a local fast-food restaurant, Natasha R. often saw the same lady sitting at the same table, wearing the same clothes each time. One day, Natasha offered to buy her lunch. Embarrassed, the lady turned her down. “I asked her if she’d eaten that day, and she said no. My eyes filled with tears and I grabbed her hand. “‘Please allow me to buy you something—anything you want,’ I said.” The lady shyly asked for two tacos. “I ordered her six tacos and a large drink,” Natasha said. Natasha is on Baby Step 1 with plans to move on to Baby Step 2 in January. But even though money is tight, she didn’t pass up the chance to show kindness to a stranger who was having an even tougher time than she was. Baby Step 2: Lifetime...
One Clear Sign You Have a Rotten 401(k)—And What to Do About It

One Clear Sign You Have a Rotten 401(k)—And What to Do About It

From DaveRamsey.com If your 401(k) is a big deal in your retirement savings strategy, you’re not alone. More than 52 million workers participate in a 401(k) plan. That adds up to $4.4 trillion in retirement assets, making 401(k)s one of the most common sources of retirement income for U.S. workers. But plans vary from employer to employer, so not every 401(k) plan is what it’s cracked up to be. The last thing you need is to throw away your retirement investing budget in a plan that’s going nowhere. Take a look at some reasons why you might consider stopping your contributions to your employer’s 401(k), then check out our suggestions for how to keep your retirement plan on track without one. No Match? No Deal All 401(k) plans come loaded with certain benefits. First, there’s the tax deferral that helps your retirement money grow faster. Then there are the automatic contributions that make regular retirement investing a breeze. On top of that, traditional 401(k) contributions lower your taxable income, allowing you to invest more without feeling the pinch in your paycheck. But the crowning glory of any 401(k) plan is the employer match. It can take many forms, but the most common is a dollar-for-dollar match on the first 6% of your salary. It’s an instant and guaranteed return on your money. Awesome, right? But without an employer match, the other benefits lose their punch. In fact, if your employer doesn’t offer a match, you’re better off to skip it (as a first step) and start by investing in a Roth IRA instead. Here’s why: Even though tax deferral...