And In One Moment Everything Can Change...

In the last few weeks there have been some pretty heavy issues that I've been dealing with. First, my grandmother passed away. While we become more accepting of death as we get older, it can still take us by surprise. I can thank my grandma for being one of the people that taught me the value of being frugal. She didn't have much money to raise a family with 5 kids and things were tough. After the funeral I heard many stories of my grandma taking care of not only her family, but others that were struggling as well. She was known to stretch a frugal meal to feed an extra family. The most important thing to her was family.

On the flip side, this morning I found out that my brokerage closed its doors Monday at 5:00pm. The first thing that springs to mind is the Bear Sterns fiasco and the investors that have lost millions. Luckily (or unfortunately,) my savings is no where near that. I did a bit of research and have been assured that my money is in safekeeping with the brokerage's backer. I can transfer it to a new brokerage at any time.

Tomorrow is inevitable and there is no excuse for poor planning today. The things I've learned from both of these events are:

• Make sure retirement accounts are protected with reputable companies.
• Don't be afraid to ask questions when the market is getting weird.
• Diversify! If all the eggs are in one basket there is a ton more risk. Ask the investors in Enron, PanAm, and Bear Sterns.
• Start early, but its never too late to start.
• You can always stretch a meal help someone in need.
• Resourcefulness is the basis of frugality.