At the Motley Fool, Morgan Housel looks at 77 different reasons people are bad at managing money:
So how did you do?
We are computer science researchers at the University of Vermont and have created a website that can predict the amount of money you have in your bank account. The website consists of a simple survey with questions posted by other users. The computer has been programmed to predict your personal savings based on your survey answers and statistical data of each question.
Well, I do love quizzes! Okay and now I am 91 questions in, with 61 to go. A half hour of my life is now missing and and I have answered such questions as:
- How many hamburgers do you eat in the average week? – Do you keep a journal? – Do you have an IRA? – Do you own a car? – How many inches is your TV? – Do you prefer to write with a pencil or pen? – Are you gay? – How much student loan debt do you have?
This is the year I decided that I wanted to stop living with roommates and get my own place. This is going to be accomplished in part by looking for a better paying job, and cutting back on some of my expenses—the latter of of which I’m accomplishing by…
As part of my journey to understand this situation better, I’ve been talking to people at all levels of wealth. One major goal is to find out how professional, active money management differs from the administration of the average middle class nest egg. To that end, I recently talked with a wealth manager for a large bank. Let’s call him Tom.