Part I: Identify All The Lazy Dollars In Your Financial Life

Question

Part I Identify All The Lazy Dollars In Your Financial Life Identif Part I: Identify all the lazy dollars in your financial life. Identify source, amount and what action might be indicated. Part II. Develop a personal and household savings plan. What savings strategies will you use to improve your financial situation? Explain why you chose each strategy instead of others that you did not choose. How much will you save each month? How much interest will you earn and how much will you have saved in 5 years, 10 years, and 20 years? Criteria: The requirements below must be met for your paper to be accepted and graded: Write a minimum of 400 words (approximately 2 pages) using Microsoft Word. Attempt APA style, see example below. Use font size 12 and 1-inch margins. Include cover page and reference page. At least 60% of your paper must be original content/writing. No more than 40% of your content/information may come from references. Use at least two references from outside the course material, preferably from EBSCOhost. Textbook, lectures, and other materials in the course may be used, but are not counted toward the two reference requirement. Reference material (data, dates, graphs, quotes, paraphrased words, values, etc.) must be identified in the paper and listed on a reference page. Reference material (data, dates, graphs, quotes, paraphrased words, values, etc.) must come from sources such as scholarly journals found in EBSCOhost, online newspapers such as The Wall Street Journal, government websites, etc. Sources such as Wikis, Yahoo Answers, eHow, etc. are not acceptable.

Dr. Jack HW Helper · Accepted Answer

Introduction Financial literacy directly influences an individual's ability to manage personal wealth effectively. A significant aspect of financial management involves identifying "lazy dollars," which are funds that remain unutilized or inefficiently allocated, thereby hindering wealth accumulation. Developing a personalized savings strategy that targets these lazy dollars can markedly enhance financial stability and growth. This paper focuses on identifying such funds in my financial life, proposing actionable strategies for savings, and projecting their impact over time. Part I: Identifying Lazy Dollars in My Financial Life The concept of lazy dollars refers to money lying dormant within financial accounts or expenses that could be redirected towards wealth-building efforts. In my financial life, several sources of laziness are apparent. Firstly, subscription services such as streaming platforms, gym memberships, and cloud storage are recurring payments that often go underutilized or are canceled but left active, incurring charges without providing value. For example, I have subscriptions to three different streaming services, costing about $45 monthly, with some services rarely used. Secondly, credit card balances are a significant source of lazy dollars, especially when high-interest debt consumes income that could otherwise be invested or saved. My credit card debt amounts to $3,500, accruing interest at approximately 19% annually. This high-interest debt exemplifies funds that could be redirected towards savings or investments. Thirdly, unnecessary or inefficient spending, such as impulse buys for non-essential goods, also constitutes lazy dollars. For instance, dining out or online shopping occasionally result in expenditures that do not contribute to financial goals. Regarding the action, cancelling or pausing unused subscriptions, prioritizing debt repayment, and establishing disciplined spending habits can reclaim these lazy dollars. For example, halting

Part I: Identify All The Lazy Dollars In Your Financial Life

Part I Identify All The Lazy Dollars In Your Financial Life Identif

Paper For Above instruction

Introduction

Part I: Identifying Lazy Dollars in My Financial Life

Part II: Developing a Personal and Household Savings Plan

Conclusion

References