======================== THE MOTLEY FOOL ========================
                        PERSONAL  FINANCE 
                    Wednesday, October 24, 2001 
										 
rshapiro@enron.com
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IN THIS ISSUE

- ASK THE FOOL: Buy Now?
  http://www.fool.com/m.asp?i=525143 

- RETIREMENT: Ten IRA Myths
  http://www.fool.com/m.asp?i=525144 

- YOUR MONEY: Keeping Calm About Your Finances
  http://www.fool.com/m.asp?i=525145

- LBYM Tip of the Week: Nine Ways to Save Money
  http://www.fool.com/m.asp?i=525146

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SPONSORED BY: ShareBuilder
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ASK THE FOOL

That's the question on everyone's mind. We fear prices will keep 
right on dropping, or stagnate for years. So what should you do? 
Sell low and move your money into nice, safe bonds? That's been 
a popular choice lately. But there will be a turnaround. 
Probably several turnarounds, accompanied by reversals -- all of 
which will be unexpected by most folks. 

Full Answer:
http://www.fool.com/m.asp?i=525148

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RETIREMENT

TEN IRA MYTHS
IRAs have been around since 1974. Nevertheless, more than a 
quarter-century later, they continue to be misunderstood. To 
avoid needless administrative aggravation, adverse income tax 
impacts, and a loss in savings power, make sure you don't fall 
into the trap of these IRA fictions. 

Full Story:
http://www.fool.com/m.asp?i=525149

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YOUR MONEY 

KEEPING CALM ABOUT YOUR FINANCES
In this time of fear and uncertainty, it's only natural to think 
about how your financial security will be affected by recent 
events. You may be nervous about losing money on your 
investments or even keeping your job. Here's some advice to help 
you negotiate this difficult time. 

-Don't make any snap decisions. Remember that non-financial 
 events, however tragic or devastating, historically have only a 
 short-term effect on the financial markets. Don't panic and sell 
 your stocks on the basis of recent events. In fact, it may even 
 be time to buy. Before you make any big money moves, check out 
 this collection of articles to help you regain your long-term 
 perspective. 
 http://www.fool.com/m.asp?i=525150

-Bulk up your emergency savings. If you or your spouse were 
 laid off, would you have enough cash to live on for three to six 
 months? That's the usual yardstick for an emergency savings 
 fund, but you may want to adjust that figure up or down 
 depending on your responsibilities. Once you've settled on a 
 figure, start socking your money away somewhere it'll earn 
 interest, like a money market fund or a certificate of deposit. 
 You'll find more information in our Where to Stash Your Cash 
 Crash Course. 
 http://www.lnksrv.com/m.asp?i=525151

-Make sure you have enough insurance. We're not trying to worry 
 you -- there's no reason to run out and buy all kinds of extra 
 coverage. We're just suggesting that since most of us 
 procrastinate when it comes to buying insurance, now's a good 
 time to give yourself a checkup. And it can't hurt to look over 
 your will and health care coverage while you're at it. Our Crash 
 Course on Disaster-Proofing Your Finances is one good way to 
 sort out these questions. In less than an hour, we'll help you 
 work out how much insurance you need and walk you through the 
 legal paperwork that every family should have. 
 http://www.lnksrv.com/m.asp?i=525152

We know that money isn't the first thing on your mind these 
days, but we hope that these tips can help you sort out some of 
the confusion and make you feel a little more secure. 

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LIVING BELOW YOUR MEANS - TIP OF THE WEEK

NINE WAYS TO SAVE MONEY
If you're new to the whole Living Below Your Means (LBYM) thing 
-- or if you've been a little loose with your wallet lately -- 
here are nine tips worth printing out and taping to the fridge: 

1. LIVE WITHIN YOUR MEANS. A tried-and-true method that is often 
forgotten: Buy only what you can afford, and wait until you have 
the money. Avoid debt unless you can pay it promptly. Always 
save some for a rainy day. 

2. TAKE CARE OF WHAT YOU OWN. Preventive maintenance saves money 
in the long run by adding life and value to goods that you 
already own. 

3. WEAR IT OUT. When you're about to buy something, ask, "Do I 
have one of these that is still in usable condition?"

4. ANTICIPATE YOUR NEEDS. Forethought gives you the lead time to 
wait for items you need to go on sale. And if you know your 
needs, you're less likely to fool yourself into impulse buying. 

5. LOOK FOR VALUE, QUALITY, AND DURABILITY. Decide what features 
are most important and comparison shop for the best. Don't just 
buy the cheapest item available. Quality items will last longer. 

6. TRY NOT SHOPPING. Consumption isn't the cheapest way to 
socialize or remedy a bad mood. Try to shop only for necessities 
and fulfill your other needs with less costly and more rewarding 
activities. 

7. GET IT FOR LESS. To get a bargain, shop at discount stores, 
order through catalogs, phone around for the best prices, and 
try to haggle -- sometimes prices are not set in stone. 

8. BUY IT USED. Thrift stores and consignment shops are 
fashionable and affordable outlets for quality goods. If you 
truly enjoy bargain hunting, garage sales and flea markets can 
offer hours of fun and finds. 

9. DO IT YOURSELF. Can you tune your car? Sew a hem? When you're 
about to hire an expert, ask yourself: Can I do this myself? 
What would it take to learn? You can gain skills and reduce your 
bills. 

=================================================================

			
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Or, pay $8 per month for unlimited stock buys.
http://www.lnksrv.com/m.asp?i=525153
			
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