numbers to live by

NUMBERS TO LIVE BY

Lifetime Budget Planning

10-25-10 PLAN Bill Bullington

http://www.bullingtoncapital.com Spend no more than these percents of

your income on …10% Automobiles25% Housing

Spend at least this percent of your income on:10% Retirement

20 – 10 RULE ON CREDIT Vince Digirolamo

VP National City BankBank made money every year for 164 yearsBought by PNC in 2008

Credit – ability to repay Capacity – willingness to repay Collateral – second way out of the loan

Borrow less than 20% of yearly net income

Borrow less than 10% of monthly net income

BABY STEPS Dave Ramsey

http://www.daveramsey.com Small, smart steps will get you to

securityA place where your money is working for

youNot you working for your money

Be Radical In decision making, not spending

Be IntentionalOn paper, on purpose

STEPS $1000 Emergency Fund $0 of Personal Debt 3 Months of Living Expenses 10 % in a Retirement Account 15 x Annual Salary in Insurance 20/20 Down Payment/Life of the Loan 50/50 Expenses/Investments

ADDITIONAL THOUGHTS What advice is missing from these lists? Why don’t more people follow these

plans? What will keep you from budgeting

wisely?

Be HonestBe specificBe thoughtful