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A Deeper in Debt Round Up

This week really flew by, and it’s time for another roundup. Unlike last week’s all-Suze roundup, this week we’re back to a variety of authors.

Blogger Luke Landes guest posted at Business Insider, a thoughtful article, Yes, There is Such a Thing as Saving Too Much Money. It’s as much about the journey as the destination. Saving to the point you are not happy is certainly saving too much.

New Year resolutions are behind us (you’re keeping up with yours, right?) but Financial Samurai Predictions for 2012 is a great read. 10% on the S&P would be great to see this year.

The Enemy of Debt Brad Chaffee telld us that American Consumers Dive 5.6 Billion Dollars Deeper in Credit Card Debt in One Month. Truth is, this is barely $17 for every person in the US, but it’s accumulated to a $2.5 trillion total. Now you’re talking some real money.

At Beating Broke, advice on how to Save Money by Turning Off Appliances. In a comment, I shared my own experience, an extra computer I left on, till I realized it burned $20 a month in electricity. At 15 cents per kilowatt-hour that’s what a 180W device will cost you.

At The Millionaire Nurse, Dr Dean wrote A Million Bucks? In My 401K? Ya Gotta Be Kiddin’!  No kidding, it’s possible, and takes dedication to putting away as much as you can. The company match helps, of course. Are you maxing out your 401(k) contributions? Are you at least getting the company match?

And to wrap up this week, Len Penzo dot Com’s Roth IRA and Traditional 401(k) Differences – Which Is Better? The biggest missing piece to the puzzle is the not knowing where rates will be in the future or for that matter anything else about the tax structure. This leaves us with a tough decision to make each year.

Another great week of blog reading. Stay warm.

  • Elle January 22, 2012, 10:57 am

    I checked a few sites on computer electricity usage and costs for same. I concur with Joe’s overview. A few notes:

    — Where I live, the cost of electricity was 9.1 cents per kw-hour last month. This is not a snipe at Joe or anything. More that your savings will not be the same as others’ savings.

    — Years ago I had problems with a computer that various sources said was possibly or probably a problem with the “sleep mode.” I now turn off my computer anytime I expect to be away from it an hour or more. Some argue that the temperature cycling is hard on the electronics, perhaps especially that of the motherboard. I have not seen this. In any event the electrical savings gained by turning off the computer may offset the price of a new motherboard.

    — By “turn off,” I mean I shut off the power to the power strip. My computer’s power supply hums a bit with the power to the power strip left on. I figured this was wear-and-tear that the power supply does not need.

  • Elle January 22, 2012, 11:10 am

    Bit of a nit: I think I would amend the last sentence of the second to last paragraph above to say, “After contributing to your 401(k) up to the match, deciding whether to contribute more is much tougher.”

  • JOE January 22, 2012, 1:48 pm

    9.1 cents? I take no offense, I’m envious you pay 40% less than I do! My sister in NYC? 25 cents the KWH.
    How’s this? “each 100W appliance costs $7.20 per month at a 10cent per KW rate. Once you know the power draw, just scale based on cost to give you a better idea what your cost is.”

    The 401(k) – This topic is worthy of ongoing discussion. The decision as you suggest is to contribute beyond match or not, and if not, whether to go with a Roth or Pretax traditional IRA.

  • Flexo January 30, 2012, 10:16 pm

    Thanks for the mention!

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