You can learn a lot from fiction, often because it imitates real life. This is the idea behind Practical Money Skills for Life’s new comic, which is aimed at teaching children about managing personal finances and the importance of saving. Rocket’s Powerful Plan is an attempt to make children financial superheroes all whilst defeating the evil Collector and Robo-Pests.
Patience appears to decrease as we age, having potential dangerous effects on financial planning in retirement. A study of implied discount rates showed that the elderly are an impatient bunch and are less willing to delay gratification. This makes sense if a person does not have very long to live but can also help explain why some run out of savings in retirement.
Credit card woes
Never had a credit card until I was 47 but when I became unemployed, I managed to rack up debts of more than $5000, opines this Guardian columnist. The lifeline of a credit card helped him save his 17-year-old cat and prevented financial ruin but his story tells us that this perk of grownup life is best when only used as a safety measure.