Thursday, February 8, 2007
Frustrating to hear what some people do with their money
So, I was helping a guy at work the other day with his income taxes. He was going to pay someone $85 to do them, so I asked if he had a lot of investments and such that might make it more difficult, he said no, not even a savings account. So he brought in everything we needed to do his taxes online via the IRS website, he qualifies for the free file offered. Anyway, start to finish it took me 11 minutes because all he had was a W-2, nothing else needed in order to do his taxes!!! I was shocked! Here is a guy who is 33, single with a 5 year old daughter, he smokes 4 packs of cigarettes a day, eats every meal out and doesn't put a dime into the company Simple IRA in which they match the 1st 3% of your salary. He grossed $51,000 last year, rents an apartment with a roommate and has nothing to show for his hard work. I am now working on getting him to at least contribute the 3% that the company will match into the Simple IRA, that would at least be a start and would double his money without really noticing a hit. What do you think? I know it isn't really any of my business what co-workers do with their money, but I hate to see someone doing nothing like this. He over contributes every year so that he gets a hefty return and the rest of his money he leaves in his checking account, currenlty holding over $12,000 in there!! Yikes! Just think how much interest he could be earning if he had a good portion of that in an ING account! Anyway, that is my rant for the day! Tell me what you think, I look forward to your thoughts.