What do most of us do with our tax return?

Well, first we must understand where we stand and how others spend their money similarly or differently than us. Below, you will find different income brackets. Find the one in which you fit, and once you find it, scroll down to keep reading:

People with an annual income of $19,000 or less:

Spends approximately the most on housing (45%), food (19%), transportation (17%), health (8%), entertainment (5%) and pension and insurance (2%).

People with an annual income of $19,000 – $36,000:

Spends approximately the most on housing (64-34%), transportation (27-14%), food (24-12%), health (14-7%), entertainment (9-5%) and pension and insurance (9-5%)

People with an annual income of $36,000 – $59,000:

Spends approximately the most on housing (42-25%), transportation (21-13%), food (16-10%), pension and insurance (10-6%), health (9-6%) and entertainment (6-4%).

People with an annual income of $59,000 – $94,000:

Spends approximately the most on housing (31-20%), transportation (17-11%), food (13-8%), pension and insurance (11-7%), health (7-4%) and entertainment (5-3%).

People with an annual income of $94,000 or more:

Spends approximately the most on housing (31%), transportation (16%), pension and insurance (16%), food (12%), health (6%) and entertainment (5%).

http://money.cnn.com/interactive/news/economy/us-spending/

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Ever Wonder How To Value A Stock?

How to value a stock:
Remember, feel free to check our website and blog:

We can start by following great advice from one of the greatest investors of all time. Warren Buffett says you should value a stock the same way you would value an entire business. There are investors who rely on price over earnings ratios, earnings per share, or BETA, which measures risk. In reality, a business is only as good as the amount of cash it generates. Cash is king.

By calculating the net worth of a company at a certain point in time, you should be able to estimate, with a margin of error, the future cash flows that a business will have. These figures will structure the value of the business at hand. Again, you have to consider that your valuation cannot be certain but only a rough estimate; hence, in the words of Ben Graham, you need a margin of safety.

But why aren’t revenue or earnings alone a key factor?

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