Money as important as health for millionnaires

Millionaire investors say maintaining their health is as important as maintaining their current financial position, according to new research by online investor center Millionaire Corner. But they spend much more time managing their investments than their health.

Six out of 10 Millionaire investors, with $1 million up to $5 million in net worth not including their primary residence, cite their health as a top personal concern while 62% worry about maintaining their current financial position. Health concerns edge out financial concerns for Ultra High Net Worth (UHNW) investors, who have $5 million to $25 million in net worth, with 56% concerned about their health compared to 55% concerned about maintaining their financial position.

Yet, while 53% of Millionaire investors and 62% of UHNW investors are actively involved in the day-to-day management of their investments, far fewer are exercising more, trying to keep their weight down or eating healthier foods than five years ago. Just 9% of Millionaire investors and 7% of UHNW investors are eating more healthy food than five years ago. More have worked on overcoming a bad habit, such quitting smoking or consuming too much caffeine, in the past five years: 24% of Millionaire investors and 30% of UHNW investors.

More insights on this topic form Millionaire Corner include:

Gold bars, glass eyes and Star Wars: Bizarre reasons for loans revealed

Finance customers show a loan just isn’t for a new car

A UK-based loans website has revealed ten of the strangest reasons it has received from customers requesting finance.

According to, a web portal which offers access to forty loan companies, not everybody who asks for a loan need money to pay for a new car or to cover other debts.

Explanations given include funding an investment in gold bullion, a new tattoo, and paying bail stress that for various reasons not all of these loans requests were approved.

“Some of the reasons for loans are funny, touching and sometimes shocking,” said Graeme Wingate Customer Service Director , “but as a responsible company our priority is making sure that customers are directed to an appropriate financial solution, and sometimes another loan is not what they need.”

Top ten strange reasons for requesting a loan:

  •             A gold bar
  •             Gender re-alignment surgery
  •             A collection of antique glass eyes
  •             To fund production of home-made rocket
  •             Pay a taxidermist to stuff a pet
  •             To open wallet and impress a new girlfriend
  •             Buy the latest Star Wars memorabilia as a future investment
  •             To pay bankruptcy court fees
  •             A new tattoo
  •             To loan to a friend at a higher interest rate

“Some of the explanations we get never cease to amaze us,” said Graeme , “Just when we thought we’ve heard it all, along comes Glass Eye Man or the Star Wars enthusiast.

“But however funny some reasons may be, you’ve got to worry about their priorities, as most of the loan requests we deal with are for more down-to-earth needs such as household bills and car loans.”

Most popular reasons for requesting a loan:

  •             Rent or Mortgage arrears
  •             Bills
  •             Credit card debt
  •             Car loan
  •             Significant household purchase

“Like any other loan request, we make sure all our customers either get the right deal at the right price or are pointed toward the appropriate advice to deal with their financial situation”, said Graeme.

For the full list of strange loan request resasons please visit

More Brits save in a ‘coin jar’ than in a bank or building society

There is £1.3 billion ‘under the mattress’ that people have not put in savings accounts.


  • ·         The average UK coin jar holds £38.35
  • ·         9 per cent of the nation’s coin jars hold over £100
  • ·         45 per cent of Brits think it is a good way to save
  • ·         11 per cent are saving up for something specific
  • ·         13 per cent say it is an alternative to low interest rate accounts

More Brits regularly save cash in a coin jar than in a bank or building society savings account, according to new research released today.  Over 10 million more people stash their cash in a coin jar or other container at home than make monthly savings into a bank or building society account.


The survey, commissioned by comparison site, found that 33 million UK adults (69 per cent) have coin jar savings, while only 21 million (44 per cent) currently put money away each month in a bank or building society savings account.*

And it is young adults who are the most likely to swerve the traditional savings account for DIY savings at home, with over three quarters of 18 to 24 year olds ‘fessing up to using a coin jar.


The survey revealed that the nation’s coin jars are jam packed with an estimated £1.3bn of spare change, with the average pot containing £38.35**.  Most jars contain coins of a small denomination (coppers, 5p, 10p, 20p coins) while 40 per cent of jars contain 50p coins, 31 per cent £1 coins and over a quarter (26 per cent) £2 coins.  Nine per cent of ‘coin jars’ currently hold over £100.

Nearly half (49 per cent) of those who save coins at home do so because they don’t like carrying spare change around, while 45 per cent think that it is a good way to save. Twenty three per cent use the money saved to treat themselves, and 11 per cent save up their coins for something specific.  However, 13 per cent use a coin jar because they think it is a waste of time putting money into a savings account due to current low interest rates.


Jeremy Cryer from commented: “Coin jars are clearly a convenient way of storing nuisance loose change from pockets or purses, but for many people they are also a way of saving small amounts of cash.  Our survey shows that they are being used as an alternative to traditional easy access savings accounts to save significant amounts of cash, often for a specific purpose.


“While many of us have probably emptied out coppers into a jar instead of carrying them around there are a lot of people saving up £1 and £2 coins at home as well as £10 and £20 notes.  Indeed, nearly 10 per cent of coin jars in our survey have over £100 in them.”

Twelve Things That Will Likely Be More Expensive in 2013


Whether it be a gradual price increase due to supply and demand, or a noticeable spike in costs as a result of a change in inventory, here are12 things that will cost more in 2013.



12 Things That Will Be More Expensive in 2013


1.       Cars The Obama administration issued new standards that require automakers improve fuel efficiency, and the cost of upgraded engines alone is driving up prices.
2.       Groceries Meat, poultry, and dairy prices are all expected to rise thanks to this summer’s drought.


3.       Grain Cereal and bakery product prices will rise too, as a result of the 2012 drought and lower wheat yields.
4.       Health Care Premiums Employers will face higher premiums and the increased cost will be passed along to employees.
5.       High-End TVs & Home Theater Systems While there will always be budget home entertainment options, high-end TV and audio manufacturers are incorporating premium features which will drive up cost.
6.       Computers As tablets continue to gain momentum in the consumer electronics realm, computers are returning to their original function as work-related machines — albeit more powerful and expensive.
For the remaining 7 – 12



Thanks to and this article.

Social Capital – the ‘human side of wealth’: It’s not just about the money

Family structures are complex and dynamic by nature. Andrew Law, CEO of the Bahamas-based International Protector Group (IPG), discusses how new ground breaking legislation, the Bahamas Executive Entity (BEE) Act can simplify the complexities in wealth management structures and enable families to manage lasting client relationships across generations.

Recent research by the Family Office Exchange (FOX) revealed that ultra-high-net-worth individuals rank qualitative issues such as family legacy, family relationships and family dynamics that are related to the business and a family’s reputation, among their top concerns. And while most professional trust advisers are skilled and comfortable in dealing with the immediate family circumstances and aims at the outset of the trust relationships, they can over time find increasing difficulties in reconciling financial and fiduciary decisions with the changing family dynamics.

The changing nature of families can see conflicts emerge from marriages and divorce that many advisers find difficult to reconcile. In addition, many families now insist their children have prenuptial agreements when they marry, agreements that need careful handling in a diplomatic but open and professional way. Add to this that many families today face the problem of their various members living around the world in different countries and the issue of managing the human side of wealth starts to become an issue in itself.

A new option only just now available is the Bahamas Executive Entity (BEE) that can give the trust settlor increased control and provide trustees with important input from the family on an on-going basis. The BEE is unique and ground breaking. It is a new piece of legislation that has been designed specifically to resolve complex governance issues in fiduciary and wealth management structures and is especially useful when those involved in trusts face a greater likelihood of family disputes or litigation. The BEE can hold the role, responsibility and powers over certain functions through a legal entity rather than by individuals.

Complex structures mean challenges in operation, ownership and control 
Often first-generation entrepreneurs find it difficult to relinquish control, fearing that their children might be unable to run the family business and so private trust companies (PTCs) have served traditionally as a useful starting point for introducing heirs to the diverse range of the family’s interests and investments. However, they must have a shareholder, usually either a purpose trust or a foundation and most offshore financial centres with purpose trust legislation have imposed restrictions on who can act as trustee. In addition, they have introduced the concept of an “authorised applicant,” or enforcer whose duty is to see to the proper administration of the trust by the trustees.

This can provide anxieties and difficulties for both sides. In the short term, settlors wishing to retain some level of control can find themselves placing their trust, literally, in professional trustees and thereby effectively eliminating any control they may have over a PTC, as the professional trustees can remove its directors.

In the longer term, when faced with decisions arising both from the increasing complexity of the family’s finances and from the evolving dynamics of the family relationships, professional trustees can find it difficult to ensure they adequately take into account the true intentions of the settlor when making their decisions. The problems become increasingly acute as trusts reach their third generation.

Family problems can also cause conflict between the beneficiaries and the trustees, or when the trustees are based in a remote jurisdiction, too far away to be involved closely in complex family matters. For these reasons, family members can often become reluctant to take on a role acting in their personal capacity within a PTC.

Bahamas Executive Entity eases complexities in wealth management with greater transparency
The new Bahamas Executive Entity (BEE) which came into force earlier this year, can give the settlor increased control and provide trustees with important input from the family on an on-going basis. This unique piece of legislation helps resolve complex governance issues and is proving to be particularly attractive to those involved with trusts, either professionally or personally. The BEE can hold the role, responsibility and powers over certain functions through a legal entity rather than by individuals.

International Protector Group (IPG) has already secured a series of significant BEE contracts within the five months since we announced our BEE service with client trusts across a spread of geographical locations including the US, Latin America and the UK.

A BEE is similar to a foundation in that it is entirely standalone in nature with no shareholders. However, there are no beneficiaries either, but it is a legal entity in its own right and is tax exempt with only a nominal registration and annual fees to pay. Establishing a BEE as shareholder of a PTC for instance, allows the settlor to appoint trusted advisors to the BEE council and ensures that the family can maintain a voice in the on-going administration of the trusts in a very cost effective way.

Social capital is just as important to manage as the actual wealth itself. The complicated nature of families and family dynamics have a real impact on the complexities in wealth management structures and add to the challenges involved in managing trusts and foundations. The BEE can be used to remove unnecessary layers of ownership and administration within these structures, easing their inherent complexities and providing greater transparency. It also facilitates the application of best practice and family and corporate governance principles in order to protect against both internal and external conflicts.

Crucially, the new BEE legislation allows the settlor to maintain influence over the entire structure and for the family to maintain that control over the following generations.

How Rich People Think

report released this week from the Pew Research Center says the middle class is falling backwards in income and wealth, and has lost a lot of its faith in the future.


Steve Siebold, author of the book How Rich People Think, who went from being broke to becoming a multi-millionaire, says what the middle class doesn’t realize is that now is the best time in America to acquire wealth – and he predicts more self-made millionaires will emerge in the next five years than in any other time in history.


Here’s how Siebold debunks the report:


  • ·         The masses are looking at money from a fear and scarcity point of view and hoarding their money in these tough times.  The rich get richer because they see a world of problems right now, and they know that problems equal opportunity. It’s about thinking outside the box and coming up with the solutions to the many problems and you’ll be rewarded nicely.


  • ·         The majority of people right now are worrying about what they’ll do if they lose their jobs, get sick or exceed their budget, and they’re buying into the news of a possible new recession next year.  Instead of worrying about running out of money, start thinking how to make more of it.  World-class performers are finding problems that are profitable to solve.  They know that just because a solution hasn’t been discovered yet doesn’t mean it doesn’t exist.


  • ·         Many psychologists recommend in the current economy that most people set their financial expectations low so they’re never disappointed.  This is borderline criminal advice.  The millionaires who will emerge shortly know no one ever strikes it rich without setting their financial expectations high and getting excited.


  • ·         World-class thinkers have the guts to be optimistic right now in these shaky times and reject the middle-class cynicism that plagues the masses. It’s not comfortable for a millionaire in the making to forge ahead when everyone around him or her is negative, cynical and unsupportive, yet the great ones push forward and are rewarded with riches for the rest of their lives.


Siebold believes it’s not about intelligence, IQ or highest level of education completed.  He says start looking at money in terms of freedom, possibility, opportunity and abundance.  He says money flows like water to great ideas; the key is turning on the faucet.


Getting Confidence in Investing

Investor confidence has been going downhill since the commencing of the recession in 2008.  A recent SmartMoney article recently told the story of three men who became full-time day traders after becoming unemployed.  It is popular belief that the life of a day trader is volatile much like the markets that they’re trading in.  Some people even believe that these traders are unsuccessful and are not only gambling away their money but their livelihoods.  Dr. Woody, Online Trading Academy instructor and psychology professor, says this is usually only true for the untrained/uneducated trader and investor who allow their emotions to rule their actions in the financial markets.

How can traders and investors master the mental game?

1.      Check your ego at the door, so you don’t let your emotions rule your market moves.

2.      Make a plan and stick to it, just like mapping out a road trip, stick to your plan so you don’t drive off course.

3.      Look at supply and demand and forget the buy & hold mentality, it doesn’t work for the current volatile markets.

4.      Track your daily market moves in a journal to help improve your next trades and investments.

5.      Get educated!  It doesn’t have to be at Online Trading Academy but the better trained and educated the investor the more successful they’ll be.


If you want to learn about investing, visit

Housing: Rent or Buy?

According to news sources last month, the share of empty U.S. homes for rent fell to its lowest level in a decade during the second quarter. The residential rental vacancy rate declined to 8.6 percent from 8.8 percent in the January-March period, according to the Commerce Department. The second-quarter reading was the lowest since 2002.

With a poor economy, now new cuts in federal assistance for affordable housing and record foreclosures – demand for rental housing units are on the rise and landlords are now more than ever imposing higher standards — such as better credit scores and more cash down to secure a rental agreement. Does renting make more sense than homeownership?  What are the tax advantages of either option? What are some of the steps consumers can take to secure rental housing in a tight market?


Tip One: Look at the overall cost vs. benefit argument.

In the short run, renting can make more financial sense than buying, in terms of how much shelter you can afford for a given price.

But the long-range view is different. Over time, rents tend to rise. On the other hand, if you have a fixed-rate mortgage the monthly payment of principal and interest stays the same. This relatively stable cost, combined with price appreciation, is what makes homeownership financially attractive in the long run.

Until the “long run” arrives, however, you may have to make some sacrifices as a homeowner.

You may have to put up with less space if you have to pay more to own a small home than to rent a larger one. To find a house you can afford, you might have to move to a location farther from your job and favorite haunts; that means extra travel cost and possibly two cars when one used to suffice.

Tip Two: Consider the power of leverage:

Buying a home offers you the opportunity to magnify the purchasing power of your money through leverage.

Normally, you buy property with some of your own funds plus a long-term mortgage. That use of borrowed money enables you to profit from price increases on property you haven’t yet paid for.

Using maximum leverage — with a very small down payment and very large mortgage — isn’t prudent or advantageous for everyone, but most first-time buyers will need all they can get just to open the door.

Tip Three: Consider appreciation of your investment:

If your home is worth more when you sell it than when you bought it, that’s appreciation. You can use the profit as a springboard to a better home. Or you can tap the equity (what your home would sell for minus what you owe on the mortgage) to pay college tuition, to buy a vacation hideaway, or turn it into a source of retirement funds.

Tip Four: Consider tax breaks:

Homeowners benefit from the tax deductibility of mortgage interest and property taxes and can keep up gains when they sell.

Tip Five: Consider risk in the decline in value:

The value of your home is not guaranteed to go up, and it could go down. The leverage that is so alluring when real estate values are on the rise can act to magnify losses as well as gains.

Tip Six: Consider risk of lost opportunity:

You lose, too, if you invest in a home that money could have been invested elsewhere for a better return. If alternative investments — such as stocks or bonds — are rising in value faster than homes in your area, you might do better, in the short run, as a renter/investor rather than a homeowner.

Tip Seven: Consider risk of maintenance cost of the home:

Homes cost money to maintain. You have to be prepared to pay for routine maintenance and for the inevitable replacement of big-ticket items.

Tip Eight: Consider risk of reduced flexibility:

Homeowners have less freedom of movement; it’s not easy to pack up and move for a change of scenery or a new job. Real estate is not a liquid asset. You can lose if you have to sell in a hurry — because of a divorce or job loss, for example. And a hefty mortgage payment may make it hard to maintain savings and investment programs for retirement, vacations and other things.

If after weighing all of this you’re still intent on buying a house, then it’s time to take a close look at your finances.

Consider additional research:

Check out the California Society of CPAs’ free Web site on this and other personal finance topics. This Web site can be accessed at: Check out the “Dollar & Sense Program.”


For more information check out the property articles on Magical Penny.

The True Cost of Car Ownership

The True Cost of Car Ownership

Office Supply Savings

Perhaps the only benefit of the recession is that it’s given more people the impetus to become their own bosses. If your inner entrepreneur has come out of the closet, you’ve likely found it takes a major investment of cash.

Even if venture capitalists have got your back, it pays to cut back in on the small things, so you can focus financially on higher priorities. Office supplies are one expenditure on which you can easily save money. Read on for nine tips to reduce the impact on your business budget.

1. Printers
When shopping for a printer, consider all-in-one devices to avoid the additional cost of scanners, fax machines and memory-card readers. If you’re not sure where to start, check out the “Top 10 Best Printers” from PC Magazine and be sure to comparison shop both online and offline. Keep in mind that you may be able to do without a printer entirely since emails, documents and even airline tickets can now be accessed digitally via a tablet or smartphone.

2. Ink Cartridges
Though the price of the printer you found may be reasonable, the ink cartridges for that device may offset the initial savings. The average markup is a whopping 1,000 to 2,000 percent! The most important rule for saving on ink is to avoid your local office supply store and shop online. The upcoming launch of will help you navigate ink prices and deals, saving you up to 90 percent over store prices on brands like HP, Canon, Xerox and many more. You may also consider generic brands sold for a considerable discount from stores like Staples.

3. Dollar-store Buys
Avoid the big boys and head to your local dollar store for small basics like pens, pencils, memo pads, envelopes, etc. This is also a great place to find thank you notes and gift wrap that will give your marketing a personal touch. Stay away from batteries, electronics, power strips and extension cords, however, since these cheaply-made products may actually damage your other equipment.

4. Warehouse Stores
You can save big time with bulk purchases of paper and other supplies at warehouse stores. Keep in mind that these cost-cutting caverns also offer good prices on shredders, office chairs, desks and other furniture, so scope out the deals when furnishing your office.

5. Marketing Supplies
Paper products like stationery and business cards can eat into your pocketbook, but they’re an absolute necessity. Use e-retailers like VistaPrint for seriously inexpensive versions of these branded supplies. They also offer savings on things like personalized magnets, invitations and more.

6. Membership
Membership has its privileges, including office supply stores that have clubs promising benefits and savings on a variety of products and services. Sign up to receive monthly specials and coupons delivered direct to your inbox or mailbox.

7. Build Your Own
Office furniture, especially desks, can be wildly expensive. I found that great deals on quality pieces from stores like Ikea which sell desks, book shelves and cabinets. The catch for the low price is that you have to build it yourself. Not handy? Recruit a neighbor or friend to help out in exchange for lunch.

8. Buy Used
Check Craigslist, your local Goodwill store or simply hit garage sales for great prices on used equipment, furniture, file cabinets and more. You can also find great deals at, which sells preowned, quality desks, chairs, and conference tables. If necessary, you can always upgrade later when the business really takes off.

9. Online Alternatives
When it comes to software and Internet services, there are tons of options available for writing, editing, file backup, group meetings, video conferencing and so on. Look for free alternatives like Polkast, which allows users to share files among several devices — like laptops, tablets and smartphones — so important documents are always accessible. Skype is another free service for voice or video calls among friends, family and business partners. Finally, CutePDF converts documents into PDF files for no cost.


Andrea Woroch is a nationally-recognized consumer and money-saving expert who helps consumers live on less without radically changing their lifestyles. From smart spending tips to personal finance advice, Andrea transforms everyday consumers into savvy shoppers. She has been featured among top news outlets such as Good Morning America, NBC’s Today, MSNBC, New York Times, Kiplinger Personal Finance, CNNMoney and many more. You can follow her on Twitter for daily savings advice and tips.