The Money Class: How to Stand in Your Truth and Create the Future You Deserve

What does it take to create your New American Dream?

Suze Orman, the woman millions of Americans have turned to for financial advice, says it’s time for a serious reconsideration of the American Dream—what promise it still holds, what aspects are in need of revision, and how it must be refashioned to fit our lives so that we can once again have faith that our hard work will pay off and that a secure and hopeful future is within our reach.
 
In nine electrifying chapters, Orman delivers a master class on personal finance for this pivotal moment in time. She addresses every aspect of the American Dream—home, family, career, retirement. She teaches us that in order to create lasting security we must learn to stand in our truth. We must recognize, embrace, and be honest about what is real for us today and allow that understanding to inform the choices we make.  The New American Dream is not the things we accumulate, says Orman, but the confidence that comes from knowing that which we’ve worked so hard for cannot be taken away from us. In THE MONEY CLASS, Orman teaches us how to take control over our present—right here, right now—in order to build the future of our dreams.
 
Whether navigating the complicated mix of money and family, offering the most comprehensive retirement resource available today, or delivering a bracing dose of reality when it comes to recalibrating our expectations and our goals, Orman educates us with her signature no-nonsense approach and laser-like clarity. She empowers us to live a life of integrity and honesty that will create an enduring legacy for future generations—a New American Dream that lies in truth, security, financial freedom, and peace of mind.

1100082673
The Money Class: How to Stand in Your Truth and Create the Future You Deserve

What does it take to create your New American Dream?

Suze Orman, the woman millions of Americans have turned to for financial advice, says it’s time for a serious reconsideration of the American Dream—what promise it still holds, what aspects are in need of revision, and how it must be refashioned to fit our lives so that we can once again have faith that our hard work will pay off and that a secure and hopeful future is within our reach.
 
In nine electrifying chapters, Orman delivers a master class on personal finance for this pivotal moment in time. She addresses every aspect of the American Dream—home, family, career, retirement. She teaches us that in order to create lasting security we must learn to stand in our truth. We must recognize, embrace, and be honest about what is real for us today and allow that understanding to inform the choices we make.  The New American Dream is not the things we accumulate, says Orman, but the confidence that comes from knowing that which we’ve worked so hard for cannot be taken away from us. In THE MONEY CLASS, Orman teaches us how to take control over our present—right here, right now—in order to build the future of our dreams.
 
Whether navigating the complicated mix of money and family, offering the most comprehensive retirement resource available today, or delivering a bracing dose of reality when it comes to recalibrating our expectations and our goals, Orman educates us with her signature no-nonsense approach and laser-like clarity. She empowers us to live a life of integrity and honesty that will create an enduring legacy for future generations—a New American Dream that lies in truth, security, financial freedom, and peace of mind.

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The Money Class: How to Stand in Your Truth and Create the Future You Deserve

The Money Class: How to Stand in Your Truth and Create the Future You Deserve

by Suze Orman
The Money Class: How to Stand in Your Truth and Create the Future You Deserve

The Money Class: How to Stand in Your Truth and Create the Future You Deserve

by Suze Orman

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Overview

What does it take to create your New American Dream?

Suze Orman, the woman millions of Americans have turned to for financial advice, says it’s time for a serious reconsideration of the American Dream—what promise it still holds, what aspects are in need of revision, and how it must be refashioned to fit our lives so that we can once again have faith that our hard work will pay off and that a secure and hopeful future is within our reach.
 
In nine electrifying chapters, Orman delivers a master class on personal finance for this pivotal moment in time. She addresses every aspect of the American Dream—home, family, career, retirement. She teaches us that in order to create lasting security we must learn to stand in our truth. We must recognize, embrace, and be honest about what is real for us today and allow that understanding to inform the choices we make.  The New American Dream is not the things we accumulate, says Orman, but the confidence that comes from knowing that which we’ve worked so hard for cannot be taken away from us. In THE MONEY CLASS, Orman teaches us how to take control over our present—right here, right now—in order to build the future of our dreams.
 
Whether navigating the complicated mix of money and family, offering the most comprehensive retirement resource available today, or delivering a bracing dose of reality when it comes to recalibrating our expectations and our goals, Orman educates us with her signature no-nonsense approach and laser-like clarity. She empowers us to live a life of integrity and honesty that will create an enduring legacy for future generations—a New American Dream that lies in truth, security, financial freedom, and peace of mind.


Product Details

ISBN-13: 9780812982138
Publisher: Random House Publishing Group
Publication date: 01/10/2012
Pages: 320
Sales rank: 210,471
Product dimensions: 5.10(w) x 7.90(h) x 1.00(d)

About the Author

About The Author

Suze Orman is a two-time Emmy Award–winning television host, #1 New York Times bestselling author, magazine and online columnist, writer/producer, and one of the top motivational speakers in the world today.

Orman has written eight consecutive New York Times bestsellers and has written, co-produced, and hosted seven PBS specials based on her books. She is the seven-time Gracie Award–winning host of the Suze Orman Show, which airs on CNBC, and of the forthcoming Money Class on OWN: The Oprah Winfrey Network. She is also a contributing editor to O: The Oprah Magazine.

Twice named one of the “Time 100,” Time magazine’s list of the world’s most influential people, and named by Forbes as one of the 100 most powerful women, Orman was the recipient of the National Equality Award from the Human Rights Campaign. In 2009 she received an honorary doctor of humane letters degree from the University of Illinois at Urbana-Champaign and in 2010 she received an honorary doctor of commercial science from Bentley University.

Orman, a Certified Financial Planner™ professional, directed the Suze Orman Financial Group from 1987 to 1997, served as Vice President—Investments for Prudential Bache Securities from 1983 to 1987, and was an account executive at Merrill Lynch from 1980 to 1983. Prior to that, she worked as a waitress at the Buttercup Bakery in Berkeley, California, from 1973 to 1980.

Table of Contents

How to Enter The Classroom xv

Class 1 The New American Dream 3

Making Change

The Dreams of Tomorrow Reside in Today's Choices

The Money Class Curriculum

Class 2 Stand In Your Truth 11

Lesson 1 Finding Your Truth: A Personal Financial Accounting 13

Lesson 2 Living Truthfully: How To Stand Tall In Your Reality 15

Focus on What Is Real Today... and What You Will Need Tomorrow

Live Below Your Means but Within Your Needs

The Pleasure of Saving Is Equal to the Pleasure of Spending

Define Yourself by Who You Are, Not What You Have

Lesson 3 The Foundation Of All Truthful Living: The Power Of Cash 21

Debit Card Rules

The "Life Happens" Fund

Credit Unions: A Great Place to Save

Safety First with Your Savings

Saving for Big-Ticket Items

The Truth Will Indeed Set You Free

Class 3 Family 28

Lesson 1 How to Build Honest Family Relations 31

Opening the Lines of Communication

Lesson 2 How To Raise Young Children To Stand In The Truth 34

Your Priceless Legacy

Set the Right Tone

Imparting Good Values When It Comes to Money

Money Lessons for Children

Money Lessons for Tweens and Teens

Money Lessons for Teenagers Heading to College

How to Handle Money Gifts and Savings

The Three-Option Approach

Lesson 3 How To Create a Financially Honest College Strategy 48

Who Should Save for College

The Best Way to Save for College: 529 Plans

UGMA/UTMA

Coverdell Accounts

How to Invest Your 529 Plan

The College Talk Every Parent Must Have with a High School Freshman

Borrowing Rules for College Loans

The Risks of Private Loans for College

Stafford Loans

PLUS Loans

How to Choose the Right School

Lesson 4 How To Help Adult Children Facing Financial Challenges 64

How to Handle Student Loans That Are in Default

How and When to Help Independent Children Who Are in Financial Trouble

Lesson 5 The Conversation Every Adult Child Should Have With His Or Her Parents 69

Building Family Financial Security Under One Roof

Updating Legal Documents

When a Parent Remarries

Lesson 6 Advice For Grandparents: How to Build a Lasting Legacy 73

Follow the Parents' Lead

Pay It Forward

Give Experiences, Not Things

Class 4 Home 77

Lesson 1 The Truth About Home Values 81

A Decade of Extremes

A Home Is a Savings Account, Not a Hot Stock

Financing Is Cheap, but Not Easy

Lesson 2 When It Makes Sense To Rent 84

The Math of Rent vs. Buy

Advice for Owners Who Now Want to Rent

Lesson 3 The New Rules Of Buying a Home 87

Set a Budget That Satisfies Your Needs

Know Your Income Limits

Aim to Make a 20% Down Payment

A Special Note About FHA-Insured Loans

Special Rules for Buying Condos and Co-ops

Where to Come Up with the Down Payment

Opt for a 30-Year Fixed-Rate Mortgage

Understand the Risk of Distressed Property

Lesson 4 What To Do If You Are Underwater 98

If You Are Underwater and Cannot Afford Your Mortgage

Loan Modificaiton

Short Sale

Foreclosure

If You Are Underwater but You Can Afford the Mortgage

Lesson 5 How To Reduce Mortgage Costs 110

When It Makes Sense to Pay Off a Loan Ahead of Schedule

The New Realities of Refinancing

Refinancing Rules

Lower Your Mortgage Costs Without a Refinance

Lesson 6 The Dangers Of Home Equity Lines Of Credit 114

The Dangers of Rising Interest Rates and Falling Behind on Payments

Home Equity Loans

Lesson 7 Reverse Mortgages 116

Reverse Mortgage Basics

Lesson 8 Investing In Real Estate 119

What You Need to Know Before You Buy Investment Property

What to Do with an Investment Property That Is Underwater

Class 5 Career 122

Lesson 1 Advice For The Employed 125

Build Your Plan-for-the-Worst Fund

Live Below Today's Means

Grab Your Full Retirement Bonus

Make Your Case for a Raise and Promotion Through Your Work

How to Ask for a Raise

Change Your Attitude Before You Change Your Job

Lesson 2 Advice For The Unemployed 133

Cut Your Spending Immediately

Do Not Dip into Your Retirement Savings

Make Sure Your Credit Profile Remains Strong

Do Not Go Back to School to Avoid a Hard Job Market

Get to Work as Fast as Possible, Rather Than Holding Out for a Better Offer

How to Deal with a Steep Pay Cut

A Special Note for Stay-at-Home Moms

Lesson 3 Starting (And Running) Your Own Business 139

Launching a Business: Can You Afford It?

Where to Get the Money to Start Your Business

A Few Words About Micro Lending

Running Your Own Business

When to Expand

When to Close

Standing in Your Truth in Business

Closing Down a Business Responsibly

A Note About the Retirement Classes 153

The Money Navigator: A Special Offer for Readers of The Money Class 154

Class 6 Retirement Planning: Getting Going In Your 20S And 30S 155

Lesson 1 Time Is Your Greatest Asset 159

Getting Started Early

With Lower Returns, Savings Are More Important Than Ever

Lesson 2 Retirement Accounts Explained 161

Retirement Plans Offered by Employers

Retirement Plan Withdrawal Rules

Non-Workplace Retirement Accounts

Nondeductible IRAs

Roth IRAs

Retirement Plans for the Self-Employed

Lesson 3 How Much You Need To Save For Retirement 166

The Retirement Formula

The Best 401(k) and IRA Strategy

A Word on Vesting

Where to Open an IRA Account

Lesson 4 Investing Your Retirement Money 173

The Ups and Downs of the Stock Market

Dollar Cost Averaging

How Much to Invest in Stocks

Choosing the Best Options Within Your 401(k)

How to Build the Best 401(k) Investment Portfolio

Exchange Traded Funds

Bond Investments

Retirement Planning Mistakes to Avoid

What to Do with Your 401(k) When You Leave a Job

Class 7 Retirement Planning: Fine-Tuning It In Your 40S And 50S 190

Lesson 1 Deciding When It Makes Sense To Pay Off Your Mortgage 194

Questions to Ask Yourself

The Benefits of Paying Off Your Mortgage

How to Pay Off Your Mortgage Ahead of Schedule

Lesson 2 Have A Realistic Plan For Working Until Age 66-67 203

Your Work-Longer Game Plan

Lesson 3 Delay Your Social Security Benefit 207

Social Security Basics

Social Security Strategies

Lesson 4 Estimate Your Retirement Income: How Are You Doing? 214

Social Security Benefits

Retirement Accounts

Pensions

Lump Sum vs. Annuity

Lesson 5 Saving More, And Investing Strategies In Your 50S 223

How to Invest Smart

Making the Most of What You Have

Best Investments Outside Your 401(k)

Bond Investments

No Target Funds Allowed

Lesson 6 Plan For Long-Term Care Costs 234

When to Buy

Making the Financial Case for LTC Insurance

Health Insurance, Medicare, and Medicaid

LTC Basics

Class 8 Living In Retirement 248

Lesson 1 Home Finances: Stand In The Truth Of What Is Affordable For You 251

The Affordability Issue

Start the Discussion

Lesson 2 Coping With The High Cost Of Healthcare In Retirement 253

Rising Costs vs. Your Annual Retirement Income

Long-Term Care Premium Increases

Lesson 3 Stick To a Sustainable Withdrawal Rate 255

The Right Rate

How to Make Tax-Smart Withdrawals

Lesson 4 Avoid Long-Term Bonds And Bond Funds 259

What You Must Understand About Bonds

How to Build a Bond Ladder

Beyond Treasury Bonds: Municipal Bonds and Corporate Bonds

Lesson 5 Earn Higher Yields by Investing In Dividend-Paying ETFS And Stocks 264

The Case for Dividend-Paying ETFs and Stocks

Stock Dividend Basics

The Protection of a Stop-Loss Order

How Much to Invest

How to Choose a Dividend-Focused ETF

Tips for Owning Individual Dividend-Paying Stocks

Lesson 6 Double-Check Your Beneficiaries And Must-Have Documents 275

Life-Changing Events

Class 9 The Ultimate Lesson 277

Clearing My Own Roadblocks

The Road Ahead, Not the Rearview Mirror

The Legacy We Create

What People are Saying About This

From the Publisher

“Suze teaches readers how to transform their thinking and reimagine the American dream.”—O: The Oprah Magazine

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