Category: Saving

Calculating Your Personal Savings Rate

In the last post I identified the personal savings rate as the most important measurement in personal finance (What is the Most Important Measurement in Personal Finance?)  In this post I will teach you how to calculate your personal savings rate and how to interpret the results. Historical Perspective Americans are notoriously poor savers.  The…

Personal Savings Rate is the Most Important Measurement in Personal Finance

“Save” – the sum of all financial planning wisdom in one word.  –Phil DeMuth, author and investment advisor Moneyball I recently finished reading the excellent book Moneyball, by Michael Lewis.  The book tells the story of how the Oakland A’s, with a payroll well less than half of baseball’s glamour teams such as the New York…