US Finance World

Many of us want to enjoy a comfortable retirement. We think about what we can do, and we save up, doing our best to build up our nest eggs so that we can do what we want in retirement (or semi-retirement, as the case may be). However, while you are think about your comfortable retirement, you might actually be missing some of the items that put your retirement at risk. Here are 5 things that could be putting your dreams of a comfortable retirement at risk:

1. Inadequate Savings

Many of us are putting something away for retirement. But is it enough? Many of us have an unrealistic view of how quickly our money will grow, and by how much. While the most important thing is to get started with retirement saving, if you are still only putting in $50 a month after you have a better job and a company match, you are doing your retirement a disservice.

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Students could be facing mounting debt worries as a result of changes to the way in which they are expected to pay for course-related items.

Head of policy at the University and College Union Paul Cottrell observed that undergraduates now fork out for things which previously would have been included.

The cost of field trips and work-based visits were highlighted and such expenses could add to the financial pressure being faced.

“[It] tends to be compounded further by the difficulty of students trying to get part-time work these days because of the recession; the competition for jobs is higher,” said Mr Cottrell, suggesting many struggle to meet living costs as a result.

His comments came after Sainsbury’s Finance identified increases in the cost of education that could be contributing to the debt problems of those graduating, with over £13 million worth of loans taken out to fund university and college last year.

Market volatility has many investors checking out of stocks, but analysts say the technology sector is a good place to stay for now.

Tech stocks lost ground with the rest of the market in a broad drubbing on Monday, June 7. Apple lost 1.4%, even as Steve Jobs unveiled the latest version of the iPhone. However, Apple‘s (AAPL) shares still closed up 19% for the year that day. The S&P 500 had fallen 5.7% over the same period.

The broader stock averages have suffered amid turmoil in Europe, slower-than-expected job growth in the U.S., and fear of a double-dip recession. Yet consumers have purchased more than two million iPads during the two months the devices have been on the market, and analysts say they are ready to upgrade to the new iPhone.

Technology stocks have held up well throughout the recession, and they helped lead the comeback in last fall: Techs were among the first companies to show fresh top-line growth, or profit they weren’t achieving through severe cost cuts alone.

So are they still a good bet?

Who’s Talking: Collin Gillis, technology analyst, BGC Financial

The Gist: Investors are curbing their risk and moving away from stocks in general, and the U.S. doll

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You see that chip on your shoulder?

Yeah, that one. The one your boss gave you when he belittled you in front of your peers. The chip you got in Jr. High when that 8th grader threw you in the shower and just laughed.

You can use that. I know I am.

I have some pretty large chips on my shoulder. I feel I have to prove myself as not a failure after all the mistakes I made in my early 20’s. And even before my financial mistakes, I made some general life mistakes that were just dumb.

I don’t think it’s unhealthy to have a drive to “prove” yourself.

For me….it’s completely personal.

No one is harder on me, than me.

I want to prove that:

• I can payback my mother completely (down to around 90K now!) and show those people who said some pretty nasty things about me that they were wrong
• I can run a successful business
• I can be a loving, caring, healthy partner to my future wife
• I can achieve goals that I set

I feel like I lost nearly 5 years of my life because of my trading addiction.

Things are going better now. I still follow t

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People are being advised to put any spare money into paying off debt.

Kevin Mountford, head of savings at moneysupermarket.com, believes putting extra cash into reducing the amount that is owed is the “rational and sensible thing to do”.

He said: “It pays to pay off debt, or – if your mortgage allows it – offset your mortgage.”

This is because savings accounts are offering a poor return due to low interest rates.

The comments come after research from unbiased.co.uk indicated debt levels are now lower than at the end of 2009.

Brits are currently borrowing just over £6 billion, compared to the £14 billion last year.

Howev

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AT & T announced last week that it was doing away with its unlimited data plans in lieu of cheaper entry points for data.  The move was widely perceived to improve network quality and will most likely be the first of many similar announcements by other cellphone carriers. Smart Phones can use up to 7 times more data than conventional cell phones which places a great deal of stress on a network. If you have ever been in a large urban center down the eastern seaboard of the U.S., you will understand first-hand the effects of lots of Smart Phone usage during peak hours; call dropping is a regular occurrence.

For those who invest in telecommunication company stocks, it is difficult to tell what the effects will be. Unlimited data plans are revenue capping while a move to lower entry points on data may entice a new group of customers but with potentially lower margins- call it a passive aggressive race to the bottom.

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Debt management plans that incur fees can often save consumers money in the long run compared to free alternatives, according to ClearDebt.

Andrew Smith, marketing director at the company, argued fee-charging debt management firms offer significantly better value for debtors, as he responded to a report by Which? suggesting free services would be a better choice.

Such organisations give free advice up to the point of taking out a plan or an Individual Voluntary Arrangement, so fees are not paid until the client begins paying off their debt.

And Mr Smith added that charities often simply give “a DIY debt management plan and no help at all with making distributions to creditors”.

In addition, he pointed out that around three-quarters of people choose to go with a company that charges for the service, this proportion having risen from 50 per cent in recent years.

The report by Which? als

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People struggling with debt could be at a greater risk of suffering psychological problems, a new survey has shown.

The research carried out by the Nottingham School of Economics revealed depression and other mental illnesses are likely to increase as millions of people continue to worry over their finances.

Professor Richard Disney, who carried out the study with Dr Sarah Bridges, said there was “undoubtedly” an increased risk of debt issues due to the credit crunch.

He added: “In such circumstances it’s no surprise that the incidence of mental health problems and psychological stress has also increased.”

The research included information from the Families and Children Survey, which questions around 8,000 people every year.

It showed that in 2005, 13 per cent of people who admitted to debt problems – and 17 per cent of those with financial stress – also reported mental health and psychological concerns.

Debt

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