Um, how scary is this? Walter Updegrave from Money Magazine is trying to help these people who have 10 years left until retirement…and no nest egg. First piece of advice? Start saving…like crazy. “If you save $500 a month for the next 10 years and earn an 8 percent annual return, for example, you’ll have a retirement kitty of more than $90,000 before taxes. If you can manage $1,000 a month, you’re talking $181,000. Neither sum is enough for living large. But both are better than going into retirement with nothing stashed away.”
This month’s column by James B. Stewart in SmartMoney magazine is about “enhanced mutual funds”; ones that have avowed to beat the market. They are index funds of their own making, rather than ones that follow a certain index. That sounds like regular old investing to me, doesn’t it? Don’t we all want to beat the market?
He says in the column about regular index funds:
“Their whole point is to be ‘average’, nothing more and nothing less” and I could not agree more.
According to the Kiplinger magazine that arrived today, there are some great stocks that have both healthy dividends and a healthy growth chart that you might want to think about investing in:
Expeditors Intl with a 5 year dividend growth rate of 34.5%.
Fastenal with an 82.1% dividend growth rate.
Harley-Davidson with a 46.5% dividend growth rate.
Johnson Controls – 12.6%
M&T Bank – 17.6%.
Praxair – 24.1%.
W.W. Grainger – 9.7% dividend growth rate.