money

Where Are They Now? The Forgotten Dollar Bills (and Coins)

Philip Brewer — Wed, 03 Jan 2018 09:00:07 +0000

Anybody who buys or sells things in the U.S. knows the ordinary circulating notes and coins — even people who use their debit card most of the time. If you're at all interested in money, you probably also know that there are a bunch of notes and coins that nobody uses anymore. The whys and wherefores of this "forgotten" money makes for an interesting history. (See also: Clams, Cheese, and Bread: Why We Call Money What We Do)

Notes and coins you can use, but nobody does

There is one coin and one note that I would use all the time, if they didn't turn out to be so awkward to use at the checkout counter.

That would be the $1 coin, or Sacagawea Golden Dollar:

[Photo: United States Mint]

And the $2 bill:

[Photo: United States Bureau of Engraving and Printing]

Well, almost nobody. I actually used to use the $1 coin quite a bit, as a way to enable my soft drink habit. Because the current dollar coins have the same size, weight, and electromagnetic properties as the Susan B. Anthony dollar issued in 1979, any vending machine made in the last 40 years can accept the coin. I found it much more convenient to stick a couple of dollar coins in my pocket, instead of eight quarters.

If you're going to transact business with a person, though, trying to hand over a dollar coin is going to slow things down.

Probably even worse would be trying to use a $2 bill. They're ordinary circulating bank notes — legal tender, currently issued Federal Reserve notes. You can buy as many as you want at your local bank (although it might take a short wait while the teller visits the vault). But once again, if you use them in a checkout line, you're likely going to catch the cashier off guard. They're that rare.

Notes and coins you could use, but shouldn't

There are also some notes and coins that are rare enough to be valuable. Using them as legal tender would be a waste of money.

Large-denomination notes

There used to be $500 and $1,000 bills circulating as regular currency. They were useful for large transactions (buying a business, buying real estate, etc.) in times and places where it might take days to clear a check (or even know if it was good).

By the 1960s, those times and places had gotten pretty scarce, and there was a general sense that the main reason someone might use these sorts of high-denomination bank notes was to engage in illicit transactions — drug deals, bribes, political payoffs, and so on. In 1969, President Nixon ordered the $500 and $1,000 bills withdrawn from circulation in order to make corrupt payments harder.

However, it remains a point of pride for the U.S. Treasury that legal tender U.S. currency remain legal tender: The public can rely on money that has ever entered circulation at its face value. So you can still use a $500 or $1,000 bill if you have one. People actually do use them, mostly as a way to show off — think of putting a stack of $500 bills down at a high-stakes poker game.

You could even deposit them at the bank and get face value. But it would be a dumb idea, because they're worth more than face value as a collectible. The particular price you'd get depends on the rarity and condition of the bill, but certain rare $500 bills reportedly sell to collectors for as high as $10,000.

There used to be $5,000 and $10,000 notes, as well. There was even a $100,000 gold certificate, but it never circulated: It was issued by the U.S. Treasury to Federal Reserve Banks against gold deposited with the Treasury, and used to balance the books among the different Federal Reserve Banks.

U.S. Mint bullion coins

The U.S. Mint issues a whole series of silver, gold, and platinum coins which are legal tender.

The American Eagle one-ounce gold coin is legal tender for $50, but since the coin would cost you $1,500 or so, you wouldn't want to spend it. The gold coins come in a bunch of fractional-ounce sizes as well. There's also a one-ounce silver coin: legal tender for $1, street value about $20.

[Photo: United States Mint]

These are legal tender for a specific reason that has nothing to do with the idea that anyone might actually spend them: The purchase and sale of legal tender instruments isn't subject to sales tax. (Which is a good thing. Imagine having to pay sales tax if you changed a $20 into $5 or $1 bills at the bank!) Because of the technicality that the U.S. Mint's bullion coins have a face value, you can buy and sell them without paying the sales tax.

Notes and coins that were short-lived

There have been a few oddball notes and coins that were very short-lived. Today, these are worth far more than face value when sold as collector's items.

Hawaii overprint dollar

During World War II, there was considerable concern that Japan might invade Hawaii, and part of the concern was that doing so would give them access to the currency on the island in the hands of banks, business, and ordinary people. With those dollars, Japan would be able to buy weapons, fuel, and other war material.

The U.S. responded by withdrawing all the currency from circulation, and replacing it with currency that had the word Hawaii overprinted on both sides.

[Photo: National Numismatic Collection, National Museum of American History]

The idea was that, if there was an invasion, the U.S. could demonetize the overprinted dollars, making them worthless to the invaders, but that on the islands they could circulate normally until or unless there was an invasion.

After the war the overprint currency was replaced with ordinary notes.

Trade dollars

In the 1870s, trade between China and the West largely depended on Spanish silver dollars. This annoyed traders from many other countries, who disliked having to buy the foreign coins to pay the Chinese.

Because this happened just as a gold standard (rather than a bimetallic system based on both gold and silver) was emerging, the legal-tender status of these silver coins was in flux. Initially they were legal tender only up to $5. When the price of silver fell, making their face value more than the silver content, and the coins started flowing back into the country, Congress responded by officially demonetizing the trade dollar in 1876.

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This article is from Philip Brewer of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

4 Ways Science Says Money Affects Your Mind

Annie Mueller — Tue, 05 Sep 2017 08:30:10 +0000

How we think about money can make it easier — or more difficult — for us to handle our finances well. These studies reveal some interesting information on our money mentality, and how these thoughts can affect our day-to-day money decisions.

1. When you don't have enough money, you don't think as clearly

Without the money you need to pay your bills and meet your regular expenses, something strange happens to your brain. Because of the stress induced by financial scarcity, you can actually lose some cognitive functioning ability. That means you're less able to process information, analyze and prioritize conflicting needs, and make long-term decisions. (See also: Poverty Makes You Stupid)

In 2013 researchers conducted two different studies. One involved shoppers at a mall in New Jersey who were asked to consider a hypothetical problem, such as how to pay for a car repair. They were then given unrelated spatial and reasoning tasks to complete.

In the study, lower-income individuals performed poorly on those unrelated tasks if the cost of the car repair was high. They did better on the tasks when told the cost of the repair was lower. Higher income participants performed well, no matter what the cost of the hypothetical repairs were. The greater stress the lower income participants felt when faced with high repair costs seems to have affected their ability to perform other kinds of tasks.

In another experiment on the other side of the world, sugar cane farmers from India were asked to perform a series of tasks both before their harvest, when they were poor, and after the harvest, when they were rich. The farmers performed better at cognitive tasks after the harvest than they did before. Researchers concluded that poverty-related concerns leave less mental resources for other types of tasks.

You, most likely, are neither a New Jersey shopper nor a Tamil Nadu sugar cane farmer. However, your brain responds in the same way to financial stress. When you lack the resources to pay bills and buy groceries, or to handle a financial crisis of some sort, a huge amount of your cognitive ability is taken up in figuring out how to handle the problem. That means, of course, that you have less cognitive ability left to make decisions in other areas of your life.

Take-away

As much as possible, avoid making big decisions in any area of your life when you're under financial stress, whether it's temporary or extended. Try to give yourself more time, and get help when possible until your financial situation is resolved. Realize that the financial stress will have a direct effect on your cognitive ability, and normal tasks may seem harder. Reduce any obligations you can.

2. When you have a lot of money, you think you deserve all your advantages

You work hard for your money; so, in a sense, you deserve the advantages you gain from it. However, other advantages and the results of chance or "good luck" aren't something you earn or deserve. When you're doing well financially, however, you'll tend to give yourself credit for all the good stuff that comes your way, no matter how unrelated it is to your hard work or financial smarts.

In 2012, psychologist Paul Piff conducted an experiment on wealth's impact on ethical behavior. Stationed at the University of California, Berkeley, Piff had over 100 participants play a game of Monopoly. Anyone who's ever played Monopoly with competitive family members knows how dangerous that can be. In this situation, however, one player had almost no chance of winning; the two players were given different rules.

Player One got $2,000 at the beginning of the game, received $200 every time he passed Go, and got to roll two dice. Player Two, on the other hand, received only $1,000 at the beginning of the game, got only $100 on every trip past Go, and got to roll only one die. The mood of the game was interesting; as the players progressed, Player One, who was advantaged, became increasingly dominant and rude toward the other player, smacking pieces around the board and loudly celebrating their victory.

What does this mean for you?

It means that, if you're human (and we assume that you are), you, too, are subject to this type of mental attitude toward having plenty of money. The more financially secure you feel, the more you might assume you have the right to be financially secure. This cognitive bias could easily affect your financial future by leading you to treat your money casually and assume that everything will work out for the best.

Perhaps more chilling is the effect that this mental response can have on how you treat other people. A 2012 study by The Chronicle of Philanthropy showed that, surprisingly, lower-income households give a bigger portion of their discretionary income to charities than the wealthy do. In other words, not only can plenty of money make you think you inherently deserve all the advantages you have, it can make you think others don't deserve them … at least, not quite as much as you do.

Take-away

It's easy, and almost automatic, to feel invincible when you're in a good financial position. But this feeling of invincibility can prevent you from doing important financial planning, making prudent decisions, making wise investments, etc. You may also become less generous and less empathetic to the needs of others if you're feeling quite wealthy.

Generosity, however, is a key way to strengthen your social network and build a support structure that will be with you even through difficult times. You should never assume you'll always have the advantages of wealth, or that they're inherent to you somehow.

3. Thoughts about money ease pain and social distress

Money does matter, and we wouldn't pretend otherwise. But you know that money isn't the only thing that matters in life. You can have plenty of money, but without fulfilling work and deep relationships, you'll be missing out on what is essential for a happy life. Unfortunately, your brain is often convinced otherwise, and thinks of money as a substitute for connection and as a valid way to relieve pain.

In a 2009 study on money's impact on pain and social distress, participants were invited to a lab where they were told they would be tested for finger dexterity. One group was tasked with counting a stack of currency; the other group got to count blank pieces of paper. After they counted, some of the participants were asked to put their fingers in a bowl of hot water — 122 degrees F — and rate their level of discomfort.

The results?

The participants who had counted currency expressed much lower levels of discomfort than the participants who had counted paper. The study, combined with earlier research, points to a strange tendency we have to equate money with strength, acceptance, and social connection.

Take-away

When you have plenty of money, be aware of the tendency to focus on your wealth and ignore the other needs in your life. It's great to have things that make you feel better, and there's nothing wrong with being appreciative of your financial security. However, put effort, thought, and attention into the relationships and community that surround you — those last longer and ultimately do more for you than money ever could.

4. You think money improves the odds of getting what you want

It can be intimidating to ask other people for help. You don't want to be a burden. You don't want to inconvenience people. And you don't want others to help you out of some sense of obligation, when secretly they're fuming over the delay and effort. It's easier to ask people for help when you can offer them something in return; that way, you think, it's not so much "help" as it is a trade. And what better to trade with than cold, hard cash?

Past research has shown that people tend to underestimate their ability to get others to help them, or, in other words, to say yes to whatever is being requested. In five different studies, researchers showed that the requesters don't underestimate their ability to get others to comply as much when they're able to offer money in exchange.

In the various studies, participants were asked to make a small request of others; before they did so, they were asked to estimate the likelihood of their success. When the participants knew they could offer a monetary incentive in exchange for the request, they were much more accurate in their prediction. In other words, participants equated the ability to offer money with their own chances of success. Also interesting is that being able to offer money made participants feel more comfortable with making a request.

Take-away

You may think you have to offer value, in particular cash value, in order to get cooperation and help. However, while money is motivational, it's not the most powerful motivation by any stretch. The studies showed that monetary incentive helped the requesters more accurately assess their own ability to get help. That ability was always there; they just weren't able to accurately see it until they had cash-in-hand to offer.

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This article is from Annie Mueller of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

6 Big Ways ATMs Are Changing

Damian Davila — Mon, 17 Jul 2017 08:30:16 +0000

Now that you can pay with Facebook Messenger and selfies, it seems that you no longer have reason to ever visit your bank's ATM again. In an effort to entice consumers back to the ATM, financial institutions are making serious investments to upgrade cash dispensers in big ways. Here's what you can soon expect coming to an ATM near you.

1. Deposit checks without an envelope

There was a time when payday meant a mad rush to the nearest ATM to deposit a check so it would clear on time to make your payments. Back then, you had to properly insert your check in an envelope and fill out a deposit slip. Nowadays, more and more banks are offering no-envelope ATMs with insertion slots for checks. Equipped with modern scan technology, these new ATMs can accommodate a stack of several checks and provide instant proof of your deposit with a printout of your check on a printed receipt.

2. Get cash using your smartphone

Using the smartphone app from your bank, you may be able to get "cardless cash" from select ATMs. Here's how it works: Open the app, set up a pre-staged withdrawal to create a QR code, and scan that code at participating ATMs to collect your cash. Some bank apps generate a code instead of a QR code and you punch in that code at the ATM.

Besides saving you time, cardless cash also keeps your ATM card safe from illegally-installed skimming devices. Since your card isn't read, there's no way for somebody to get a hold of your card's number, expiration date, or security code. (See also: Credit Card Fraud and How to Avoid It)

3. Interact with an eATM — not an ATM

In a bigger push to further integrate their ATMs with smartphone apps, banks are working to redesign their cash dispensers to have the look and feel of a giant tablet. The objective is that the ATM screen looks and feels like a natural extension of your bank's smartphone app, turning the ATM into an eATM.

Some banks are currently experimenting with the near field wireless communication feature in smartphones so that customers won't need a code or QR code to get cash in the future. Imagine just holding your smartphone up to the ATM and getting instant cash. Another feature that some banks are experimenting with is the ability to allow videoconferencing with bankers, effectively expanding the range of services that customers can receive at an eATM.

4. Withdraw larger amounts without talking to a bank teller

One reason why fewer people were visiting ATMs was that they often couldn't take out enough cash to cover a major expense, such as rent or a car loan payment. Many banks took notice of this through customer feedback and are now allowing customers to withdraw larger amounts than the regular limits. For example, one bank in New York City is letting its customers withdraw up to $3,000 at ATMs located in bank branches and during branch hours. That's three times what most banks in NYC allow, and six times the regular limit in other cities.

5. Withdraw custom amounts

ATMs typically only pay out in $20 bills. But sometimes, you just need $16 to pay a friend or don't even have $20 in your account until the next paycheck comes around. In the near future, more ATMs will give customers a break and let them customize their withdrawals entirely. (See also: 5 Sales Strategies Your Bank Uses to Make Money)

6. Recycle cash deposits

Few things are as frustrating as standing in line for 20 minutes to withdraw cash to pay a bill that is due in a few hours, only to find out that the ATM is out of bills! Many banks are looking at ways to recycle cash deposits to minimize the possibility of the machine running out of bills. This feature is critical for banks promising their clients that they can customize their withdrawals.

As the ATM gets a much needed upgrade and leverages features from your smartphone, keep an eye on upcoming changes to your bank's ATMs that can help you streamline your finances — and make sure not to lose your smartphone!

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This article is from Damian Davila of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

6 Inspiring Quotes About Money From Successful Women

Emily Guy Birken — Mon, 08 May 2017 08:00:12 +0000

It's no secret that most people tend to think of finance as a boys' club. But women have been blazing trails, disrupting entrenched ideas and industries, and making serious bank for centuries. It is unfortunate that their words of wisdom have been so often overlooked.

The following quotes from female financial gurus will inspire anyone to improve their lives, their careers, and their bottom lines.

1. "Be thankful for what you have; you'll end up having more. If you concentrate on what you don't have, you will never, ever have enough." — Oprah Winfrey

At a net worth of $3.1 billion, Oprah Winfrey is one of the richest women in America — but she didn't start out that way.

Winfrey was born into poverty and raised until age six by her grandmother before bouncing back and forth between her mother and father. She suffered sexual abuse at the hands of family members, and at age 14, she had a baby who died within days.

Her early life was not characterized by abundance, and yet Winfrey still learned to be thankful for what she had, rather than what she lacked. Her sense of gratitude helped her to focus on building her career rather than feel bitter over her childhood of abuse and neglect.

Winfrey's attitude about the power of gratitude is actually borne out by scientific research. People who are thankful for what they already have are more successful, more emotionally resilient, and often even physically healthier. That's because they recognize there is no way to "have it all." Feeling grateful for what they do have makes it possible to focus on appreciating the life they live right now, while also working toward the life they want to live.

The fact that Winfrey overcame such a difficult, scarring childhood and feels grateful for the goodness in her life is part of what makes her so beloved. We can all learn to appreciate the abundance we already have while we work to build the life, career, and relationships we want.

2. "One thing I've learned is that I'm not the owner of my talent; I'm the manager of it." — Madonna

Madonna may be the original "Material Girl," but the singer, songwriter, actress, entrepreneur, and writer has parlayed her incredible talent into an estimated net worth of $560 million — meaning she never again has to wait for a man to present her with diamonds.

Madonna's description of her talent may sound surprising. If she is not the owner of her own creativity and money savvy, then who is?

As it turns out, Madonna's view of her abilities is reflective of something called the "growth mindset." Rather than viewing her talent as an innate and fixed part of herself, Madonna sees it as something that she can manage and grow. If she believed that she "owned" her talent, then it would be easy for her to rest on her laurels and assume there is nothing new she could do with her music or writing.

But as the manager of a prodigious talent, Madonna accepts the challenge of trying to push her creative boundaries and recreate herself over and over again. This mindset has allowed her to have an unparalleled career that has spanned close to four decades.

That makes it an attitude we should all try to emulate. Whatever abilities we have can always be managed and improved by refusing to see them as static, which can lead to great success.

3. "My best successes came on the heels of my failures." — Barbara Corcoran

Most people know Barbara Corcoran from her role on the show Shark Tank, but the Manhattan real estate investor, who is now worth $40 million, started off as a serially unemployed teacher and sometimes-waitress. After failing at 22 different jobs, she borrowed $1,000 from her boyfriend in 1973, and started a real estate business that she called The Corcoran Group. The boyfriend didn't last, but the business did. It grew to a $66 million company, which she sold in 2001 before embarking on her writing, speaking, consulting, and television career.

Corcoran understood throughout her series of early failures that each of those missteps did not reflect poorly on her. They were simply different options to try until she found the right fit for her career. Since she did not internalize these failures, she was able to take the lessons she learned from them and find success.

We should all take a page from Barbara Corcoran and learn to see each failure as a potential steppingstone to success. Picking yourself up after a failure may be difficult, but that is the only way you will ever succeed.

4. "Some people think luxury is the opposite of poverty. It is not. It is the opposite of vulgarity. Luxury is the opposite of status. It is the ability to make a living by being oneself. It is the freedom to refuse to live by habit. Luxury is liberty. Luxury is elegance." — Coco Chanel

The iconic creator of the Chanel brand, Coco Chanel was born to an impoverished family in France. She died in 1971 with a net worth of $100 million. Her commitment to fashion and luxury made her one of the most influential people of the 20th Century, and her fashion line is worth $19 billion to this day.

Growing up, Chanel knew the deprivations of poverty. This was part of the reason why she was so determined to enjoy luxury throughout her adult life. For Chanel, luxury was not defined by the corseted, heavy dresses that had been haute couture for many years before her own success. For Chanel, luxury in fashion had to be comfortable and true to the wearer. Trying to impress with excess was vulgar, and that was the true opposite of luxury.

By Chanel's definition, luxury is available to anyone, no matter their income. And this is an important distinction to remember as you pursue your own successes. You can easily enjoy the luxurious comfort of being yourself, even if your budget runs more Old Navy than Chanel.

5. "Money doesn't fall out of the sky. We had a business plan, an extraordinary proposal, and it was the right timing." — Sheila Johnson

Sheila Johnson is the co-founder of Black Entertainment Television and current owner of the WNBA team the Washington Mystics. Her net worth is currently estimated to be $710 million — but she wants to make sure that anyone who aspires to her kind of wealth understands what it took to get there.

Johnson is not a multi-multi millionaire by accident. In 1979, she and her husband Robert Johnson created the television channel BET in order to provide a crucial outlet for African American voices in media. They knew exactly what they could offer, and they worked hard to create an excellent proposal in order to secure the funding they needed. They were also lucky to jump on the growth of television programming in the late '70s and early '80s. BET grew to the point where the Johnsons sold the channel in 2001 for $2.4 billion.

Johnson makes it clear that there is no such thing as overnight success. You need to have a plan, you need to time things right, and you need to be able to persuade people to invest in you.

6. "Did we ever plan on being billionaires? No, but we wanted to be millionaires." — Diane Hendricks

With a net worth of $4.9 billion, Diane Hendricks is the richest self-made woman in America. She and her husband Ken Hendricks created the Wisconsin-based ABC Supply Co. in 1982, which sells roofing, windows, gutters, and siding for residential and commercial buildings.

Their success is all the more impressive considering the fact that Ken was a high school dropout and Diane only completed a high school education. The husband-and-wife team built their empire through hard work, financial savvy, and a shared vision. They both wanted to be millionaires and aimed their sights at that impressive goal.

The fact that they were both on the same page in terms of growing their business, along with their lofty goals for their finances, eventually made them billionaires. They did not shy away from wanting financial success, so they were always ready to pounce when opportunities presented themselves.

If you hope to emulate the Hendrickses, you would do well to partner with someone who shares your same goals and work ethic. Your level of success just might surprise you.

Heeding the words of wise women

The rags-to-riches stories of self-made women can offer incredible insight, hope, and inspiration to anyone who dreams of a successful life. Their words make it clear that opportunities are available to anyone, provided you have the drive, the mindset, the gratitude, and the audacity to chase your dreams.

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This article is from Emily Guy Birken of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

6 Powerful Images of Money and What They Really Mean

Damian Davila — Mon, 24 Apr 2017 09:00:06 +0000

Money talks. And not just at the cash register. Very often imagery or symbols related to money convey powerful messages about social, political, and economic issues. Let's review six powerful money images — and what they really mean.

1. Fearless Girl

A major player in the index fund world, investment firm State Street is no stranger to the issues surrounding corporate America. One particular issue that State Street deemed as critical is the need for more gender diversity in the finance sector, particularly the need for more women sitting at company boards. To raise attention to this issue, the company installed a bronze statue of a fearless girl facing the Wall Street bull statue in the financial district on March 7, 2017.

Created by artist Kristen Visbal, Fearless Girl has become such an inspiring piece of artwork that thousands of individuals are requesting New York city officials allow the statue to be on permanent display.

2. Charging Bull

While the Wall Street bull statue may be getting a bad rap as an image of status quo and unchecked power nowadays, it wasn't always like that. Originally installed in 1987, the bronze bull, with its head lowered as it's ready to charge, is a symbol of aggressive financial optimism and prosperity. From day one, the 11-foot and 7,100-pound bronze bull became a popular attraction as it gave a sense of hope to institutional and individual investors during the 1987 stock market crash.

3. Harriet Tubman on the new $20 bill

For a couple of years, the U.S. Treasury debated on whether or not to replace the face of Alexander Hamilton on the $10 bill with that of a prominent American woman. The public weighed in very passionately about the decision and, in the end, Hamilton will stay and abolitionist Harriet Tubman will become the new face of the $20 bill (sending Andrew Jackson to the back of the same banknote) in 2020. This is a major change because Tubman will become both the first woman and the first African American to grace the front of a bill, a place formerly only reserved for presidents.

4. Homeless Jesus

When seeing a homeless person collapsed on a bench on a snowy, cold day, many of us face the decision to either lend a hand or keep walking. But what if that homeless person was Jesus? That's the question that sculptor Timothy Schmalz posed with his depiction of a homeless Jesus lying on a bench. This sculpture has been received with equal amounts of praise and rejection in all of its installations around the world, including those in St. Alban's Episcopal Church in Davidson, North Carolina; the Christ Church Cathedral in Dublin; and the Vatican office in Rome.

The image is so powerful, it inspired Pope Francis to touch it and pray when presented with a miniature of it. Homeless Jesus is a reminder of Jesus' call to help marginalized members of society.

5. Scrooge McDuck's vault

Depicted in several Disney cartoons, TV shows, and comic books, Scrooge McDuck's iconic money vault has been estimated to hold between $28.8 and $31.2 billion, mostly in gold coins. More than one kid (and probably adult!) has dreamed about taking a dive in McDuck's golden pond, which only a handful of real-life billionaires could actually fill.

The character's story is an analogy of capitalism, as well as pulling yourself up by your bootstraps. As a shoeshine boy in Glasgow, Scrooge was compensated with a single American dime — worthless in Scotland at the time. Enraged, Scrooge swore he'd never be taken advantage of again, and that he'd be "sharper than the sharpies, and smarter than the smarties." Three years later, he emigrated to America to seek his fortune and amass an empire. All the while, he held onto that Number One Dime for motivation — and a reminder to never be fooled with money again.

6. Pyramid on the back of the $1 bill

While presidents, bald eagles, and other classic symbols of America are more recognizable to the average Joe on U.S. bills, the pyramid on the reverse of the $1 bill may leave more than one of us scratching our heads. However, this symbol contains key messages from the founding fathers to future generations.

According to the Federal Reserve Bank of Philadelphia, Thomas Jefferson and Benjamin Franklin advocated "an Egyptian pharaoh sitting in an open chariot with a crown on his head and a sword in his hand, passing through the divided waters of the Red Sea in pursuit of the Israelites" as the image to be part of the Great Seal of the U.S. Jefferson was so adamant about this idea that he used it as his own personal seal.

In the end, the approved final design was an unfinished pyramid, representing strength and duration. The 13-row pyramid has an "all-seeing eye" at the top, representing God watching over mankind, and the year 1776 in Roman numerals at the base. The symbolism of the pyramid is explained with two mottos in Latin: "Annuit coeptis" (providence approves our undertakings) and "Novus ordo seclorum" (a new order of the ages). This pyramid seeks to portray America as a new order favored by God.

This article is from Damian Davila of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Flashback Friday: 52 Money Mistakes You Need to Stop Making

Chrissa Hardy — Fri, 07 Apr 2017 08:30:16 +0000

Too much credit card spending. Not having an emergency fund. Waiting to save for retirement. Making a money mistake or two like these is fine early on, and is probably not the end of the world as you get older, but at a certain point, you need to clean up your finances and start making responsible money choices. Here are 52 money mistakes you need to stop making.

20 Money Mistakes Everyone Makes But No One Talks About — We all make money mistakes. We forget to budget, we underestimate tax bills sometimes, or go broke from a pricey college education. But the key to recovery is acknowledging the problem, so start talking about these rarely talked about money mistakes, and you'll be on your way to fixing them.

5 Money Mistakes to Stop Making by 50 — Being reckless with your finances close to retirement age is not a good look. So start putting those irresponsible money moves behind you so you don't reach age 50 lost in a sea of debt.

8 Savings Mistakes Even Smart People Make — You think smart people are immune to poor money choices? Nope! Intelligence helps you manage your money, but it doesn't mean you won't screw up. And there's something oddly comforting about knowing the smartest among us struggle sometimes.

5 Dumb 401(k) Mistakes Smart People Make — Ok, so you've got a 401(k). That's great! But just having one isn't enough. Make sure you aren't making these mistakes — that even smart people make — because you could be destroying your retirement.

The 7 Worst Money Mistakes Married People Make — Once you recite those vows and become a married pair, you should probably get your money in check. You're a team now, and you shouldn't avoid those tough financial conversations, or hide major purchases from each other.

Stop Making These 7 Basic Budget Mistakes — The work that goes into maintaining a budget is never done. You constantly need to adjust your goals to align with your financial needs. But please stop making these basic budget mistakes. You're only hurting yourself.

This article is from Chrissa Hardy of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Ask the Readers: What Has Been Your Biggest Money Mistake?

Ashley Jacobs — Tue, 04 Apr 2017 08:30:15 +0000

Editor's Note: Congratulations to Vickie, Courtney, and Natasha for winning this week's contest!

We make mistakes all the time — we're human, after all. The best that we can do is to recognize the mistake, learn from it, and move on. This is especially true if the mistake involves money, as money (or the lack of it) can affect so many aspects of your life.

What has been your biggest money mistake? How did you recover from the mistake? What do you think you could have done differently?

Tell us about your biggest money mistake and we'll enter you in a drawing to win a $20 Amazon Gift Card!

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Tell us about your biggest money mistake and we'll enter you in a drawing to win a $20 Amazon Gift Card!

This article is from Ashley Jacobs of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

5 Smart Ways to Save on Smartphones

Samantha Stauf — Wed, 08 Mar 2017 10:30:37 +0000

Phones and phone service plans are an almost inescapable part of modern society. Every few years, we must choose a new cell phone and a new service plan to invest in. It's a modern necessity that can take up a huge chunk of our monthly expenses.

Don't worry, there are several strategies that can help save you money on this necessity. (See also: The Smart Way to Pay for Cell Phone Service)

1. Repair the Phone You've Got

Do you have a glitchy or damaged phone? Tired of dealing with it? Don't sign up for a new phone just yet. Nearly every town has one or two smartphone repair shops that might be able to fix your phone.

The diagnostic tests to determine if the problem can be fixed are typically free. The actual repairs can run anywhere from $50 to $150 depending on the device, the problem, and the store. That's still expensive, but it might be worth it if it prevents the need to purchase another $300 to $700 phone.

2. Sell Back Old Devices

If you determine it's time for a new cell phone, don't just throw the device in the trash. Many businesses have cell phone trade-in programs.

What exactly are trade-in programs? You sell the devices that are not currently being financed by a carrier or business to the store for cash. That's cash you can use to purchase your next phone. How much money you will receive is based on the following factors:

The phone type;
The phone's ability to power on;
If the phone has cracks on the screen.

The following stores have trade-in programs: Gazelle, Amazon, uSell, Best Buy, Walmart, EcoATM, Verizon Wireless, and T-Mobile.

You might also want to check out Trade-Up programs from various cell phone carriers and stores. Trade-Up programs allow you to trade in your old phone and put the money directly toward your next phone purchase.

3. Don't Purchase Phones Directly From Cellphone Carriers

Amazon, eBay, Best Buy, and even Costco (pretty much any store other than the traditional phone carriers) can offer cheaper smartphone options. You should shop around to see if you can find new, used, or refurbished phones for a cheaper price.

If you find a phone, you should check that the phone will be compatible with the cellular provider you use. (Some smartphones are locked to only work with certain providers.)

4. Purchase an Unlocked Smartphone

Why purchase an unlocked phone? Unlocked phones have the following benefits:

They're available at a variety of stores;
They aren't tied to one particular phone provider;
They can be slightly cheaper;
They allow the use of your phone on international trips;
You're able to leave a provider and take your phone with you.

If you decide to purchase an unlocked new, refurbished, or used smartphone, you need to keep in mind that you will most likely need to either purchase or receive a SIM card from a store or the cellular provider you opt to use.

Cell phone companies have different plans for unlocked phones. These plans typically have monthly payments like more traditional phone plans. Or, you can opt to just purchase pre-paid SIM cards from stores like Amazon and Best Buy.

5. Choose the Best Plan for You

Don't just sign onto the first provider you stumble across. You should check out a wide variety of plans before signing up. Consider your usage habits. Don't automatically sign up for the cheapest plan not knowing how much data you use each month. You'll be in for budget-breaking overage charges. But don't just sign up for the unlimited plan, either, just to have a safety net from possible overage charges. The only thing worse than paying for using too much data, is paying for data you'll never use.

Plan comparison sites can help you get a general sense of how much various phone providers cost. Two sites that can help you determine which provider offers the best plans are MyRatePlan.com and WhistleOut.com.

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This article is from Samantha Stauf of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Do You Know How Dirty Your Money Is?

Paul Michael — Fri, 17 Feb 2017 11:00:13 +0000

Cash. We need it to live. But have you ever stopped to think of what it is you're touching when you hold a $20 bill, or a handful of nickels and dimes? Unless they're crisp bills straight from the mint, or freshly unwrapped quarters, the chances are, they've changed hands many, many times. Let's break it down, and discover the filthy truth of what might be lurking on the money in your wallet.

The Lifespan of Bank Notes and Coins

Coins are built to last. Right now you can find coins for sale that date back to the age of Julius Caesar. The average lifespan of a coin is around 30 years, but some can still be in circulation after 50 years or more. They change hands thousands of times, and never get cleaned.

Conversely, "paper" money is nowhere near as hardy, but as it's made up of 25% linen and 75% cotton, it's not really paper at all. It's cloth. This makes it resistant to folds (the average bill can be folded back and forth over 4,000 times before tearing), with a humble dollar bill lasting almost five years. However, because the material is also absorbent, it has the chance to pick up a multitude of germs and bacteria.

What's on Your Money?

The Dirty Money Project, in New York, has been studying our money for years. Their findings are not for the faint of heart. Each dollar bill carries roughly 3,000 types of bacteria on its surface. Common microbes found include the ones that cause acne and other skin problems. Anthrax was also detected, but fear not, it was not the weaponized variety.

The Southern Medical Journal also did one of many studies conducted on the state of our one-dollar bills. A staggering 94% of the bills they tested contained pathogenic, or potentially pathogenic, organisms. In other words, almost every one-dollar bill you touch contains a bacterium, virus, or microorganism that causes disease. Now, what kind of disease you come into contact with is a matter of blind luck.

Furthermore, the very dangerous bacteria MRSA (which can lead to the flesh-eating disease necrotizing fasciitis) was discovered on 80% of the dollar bills studied in a test by St. Petersburg College professor Shannon McQuaig.

Specifically, What Germs Are on Bank Notes?

Of the many studies done, several of which have been cited in this article, the following dangerous microorganisms were found:

Streptococcus

This isn't too much of a concern. Should you contract this, you will most likely get a sore throat, although it can cause skin infections, urinary tract infections, and even pneumonia.

E. coli

You know this one well, especially after the spread of it last year at several Chipotle locations. Although many types of it are harmless, some can be deadly. E. coli has led to anemia and kidney failure, which can lead to death. Most people who get ill from it suffer stomach cramps, vomiting, and diarrhea.

Salmonella Enterica

A major cause of food poisoning, you will usually get this by eating contaminated food. However, anyone who handles raw food or fecal matter, and then handles money, can be responsible for spreading it.

Staphylococcus Aureus

This causes the staph infections you have probably heard about. Most commonly, this is a skin infection, but it can also lead to pneumonia, food poisoning, and blood poisoning.

MRSA

A type of staphylococcus aureus that is very dangerous, because it is resistant to antibiotics and other drugs in the methicillin class.

Proteus

This is a bacterium found in the intestines of animals, and in the soil. It will most likely cause a urinary tract infection, which is easily treatable.

Your Money Is Downright Disgusting

It's filthy. It's teaming with bacteria. It's infested with germs. And it really can make you sick. If you handle money on a regular basis, it's advisable to wash your hands regularly, and use hand sanitizers as often as you can. Don't lick your fingers to count money, as that can obviously have nasty results. You should also avoid touching money and then eating food with your hands, but as that is something that happens often (restaurants, bars, food carts, football games) you should carry a pocket hand sanitizer and apply that before you eat. Also, don't put money in your mouth, not even for a bet, and don't put your hands near your mouth after touching money.

This article is from Paul Michael of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

8 World Currencies That Took a Hit in 2016

Tim Lemke — Tue, 17 Jan 2017 11:00:10 +0000

It's been a tough stretch recently for global currencies. Economic uncertainty, political shake-ups, and other world events have sent the value of currencies down sharply over the past year in many countries. Moreover, the decision of some nations to float their currency on the foreign exchange market has had troublesome results. Currencies in South America have been hit especially hard, but others in Europe and Africa haven't been immune to weakening.

Here are eight currencies that dove in 2016.

1. British Pound

Thanks, Brexit! The UK's vote to leave the European Union stunned the world and sent the pound plunging over fear of the move's impact on the British and global economy. Right now, the British pound equals about $1.23 U.S., or nearly 20% less since June, 2016. The pound was worth $1.50 right before the Brexit vote. It dropped nearly 15% immediately and kept declining before rebounding slightly at the end of 2016.

2. Mexican Peso

In the spring of 2016, one U.S. dollar was worth about 17 pesos, but the value of the Mexican currency has been tumbling ever since. The anti-immigration and anti-trade message coming from Donald Trump during the presidential campaign led to a weakening of the peso, and Trump's election in November made matters worse. The dollar/peso trade is now above 21, marking a 23% decline in value for the peso.

3. Venezuelan Bolivar

The Venezuelan economy is a mess, with massive inflation, shortages of food and medicine, and general mismanagement. This has led to a collapse of the nation's currency, with the value dropping by more than 36% in late March of last year. But accurate data from Venezuela is so hard to come by that the actual value of currency is anyone's guess.

4. Argentine Peso

Argentina's currency began falling right at the start of 2016, then rebounded in the summer before enduring a long decline since. The U.S. dollar is now worth about 16 pesos. That means the value of the peso is down about 17% since this time in 2016. This drop is largely blamed on the decision to begin floating the currency on the foreign exchange market. The move was supposed to encourage foreign investment, but that has yet to bear out, and the currency has taken a hit as a result.

5. Turkish Lira

National security fears and inflation have hammered Turkey's currency, which hit a new all-time low in early January. The currency began tumbling last spring, and is now off more than 23% since a peak in April. Interest rate hikes in the U.S. have created additional pressure; it now takes about four lira to equal a U.S. dollar.

6. Egyptian Pound

Egypt's currency tumbled in October, after the nation's government announced it would free float its currency. The Egyptian pound's 45% loss in a single day is believed to be a record. The pound had been trading at an 8:1 ratio to the U.S. dollar, but now it takes 18 pounds to make a dollar. Observers say that in the long run, a weaker currency could boost exports and tourism, but there is concern about inflation in the short term.

7. Nigerian Naira

Nigeria also free-floated its currency in 2016 in an effort to lure investment, and results were not quite as bad as in Egypt. After being pegged to the dollar for more than a year, the naira dropped 30% in a day in June. One U.S. dollar is now worth about 315 naira, compared to 199 naira before the slide. To make matters worse, a decline in the value of oil has not helped the currency for this OPEC nation.

8. Euro

General concern about the European economy has depressed the value of the currency used by more than 330 million people on the continent each day. One euro is now worth about $1.05 U.S. It had been trading above $1.15 before enduring a long, slow decline over the second half of 2016.

This article is from Tim Lemke of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Flashback Friday: 87 Frugal Ways to Make Winter Less Miserable

Chrissa Hardy — Fri, 13 Jan 2017 10:30:30 +0000

Winter is a dreary, dark time. The sun rarely shines, and you can barely wade through the white mess on the ground without getting your feet and pants soaked. But never fear. You can turn that S.A.D.-induced frown upside down. Here are 87 ways to make winter less miserable.

5 Ways to Prevent the Winter Blues from Busting Your Budget — Seasonal Affective Disorder puts you in a very vulnerable state of mind during the winter months. This can naturally lead you to making all sorts of ill-advised decisions, especially when it comes to your finances. Use these tips to keep you armed with a plan to fight those habits.

9 Frugal Winter Activities to Keep Kids Busy During Holiday Break — When the kids are home during holiday breaks or snow days, it's hard to know what to do with them to keep them busy and entertained. These activities are fun and cheap, so everybody wins.

8 Frugal Destinations for a Dreamy Winter Getaway — Wanna get out of the snow? Plan a trip to somewhere idyllic and in your mind, you'll already be there. It doesn't matter if the trip is weeks or months away. Having something to look forward to will instantly boost your mood.

5 Investments That Do Better in Winter — Sometimes, money actually can buy happiness. Especially when money turns into even more money. Put your cash in these stocks and you could have a nice little cushion by the time spring arrives.

50 Fun Things to Do When You're Stuck Inside During Winter — Life isn't so bad when you can curl up by the fire and read a book or take a nap. The weather outside might be frightful, but these indoor winter ideas are all kinds of delightful.

5 Awesome Staycations You Should Take Before Winter Ends — Before the snow melts, embrace your indoors-y side and have a nice little staycation. You'll feel bad about doing this when the weather outside is warm and beautiful, so take advantage of it now.

This article is from Chrissa Hardy of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

10 Fun Books That Will Get Your Kids Excited About Money

Ashley Eneriz — Mon, 09 Jan 2017 11:00:09 +0000

Chances are, you want your child to be financially wise, but every time you start to talk about money management or smart spending, your kid conveniently tunes out. Fun books are the perfect way to get your children thinking about money.

You don't necessarily need to force your kids to read heavy economic books. Instead, allow them to enjoy and be inspired by these books about saving, giving, and starting businesses.

1. The Berenstain Bears' Dollars and Sense by Stan and Jan Berenstain

The Berenstain Bears' Dollars and Sense helps teach kids about allowance management. The book has tear-out checks so that kids can practice writing their own. While most of the population uses debit cards and credit cards, writing checks is still something that should be learned.

2. The Berenstain Bears' Money Trouble by Stan and Jan Berenstain

The Berenstain Bears' Money Trouble features the same lovable bears as they start several businesses to earn money. Starting a business isn't easy, even when it's just a lemonade stand. This book goes through those initial obstacles in a fun way.

3. The Berenstain Bears' Piggy Bank Blessings by Stan and Jan Berenstain

The Berenstain Bears' Piggy Bank Blessings has an overall religious tone, quoting verses, but the story follows the bears as they save money for a surprise birthday present for their mom. My four-year-old enjoys this one, and I enjoy that the book shows the main characters thinking of others.

4. If You Made a Million by David M. Schwartz

Kids throw around "million" without really knowing what it represents. If You Made a Million helps children ages seven and older understand the complexity of big numbers in a fun way. While the book was published over two decades ago, it remains a classic, having won the ALA Notable Book and a Reading Rainbow Feature Selection.

5. Prices! Prices! Prices!: Why They Go Up and Down by David Adler

The well-loved author of the Cam Jansen series, David Adler, also happens to be a former math teacher. His book, Prices! Prices! Prices!: Why They Go Up and Down has such fun illustrations and tackles the concepts of supply and demand.

6. Amelia Bedelia Means Business by Herman Parish

Amelia Bedelia is a lovable and quirky character who takes everything literally. There have been many times I have laughed out loud while reading the original Amelia Bedelia series to my daughter, especially when she is told to "dress the turkey" and makes a little suit for the turkey dinner.

Amelia Bedelia Means Business is not written by the original author, but the story still follows the same theme. This one follows a young Amelia Bedelia as she tries to make money, even getting in trouble with the local police.

7. American Girl Library: A Smart Girl's Guide: Money by Nancy Holyoke and Sarah Hunt

American Girl non-fiction titles are both engaging and useful for young girls. A Smart Girl's Guide: Money is written in an engaging, magazine-type format. Topics covered are smart shopping tips, making money, and investing. The book includes fun graphics and easy-to-use quizzes.

8. The Babysitter's Club Series by Ann Martin

There might not be any set money lessons in the Babysitter's Club Series, but I remember clearly that it helped spark an entrepreneurial spirit in me during my tween years. The idea that a group of teen girls start their own babysitting club had me planning and thinking about doing that myself. While I never started a babysitting club, I still have that entrepreneurial spirit that has allowed me to creatively earn money without a 9-to-5 position. The book series has been redone as a graphic novel, so it will appeal to today's generations.

9. Rock, Brock, and the Savings Shock by Sheila Bair

Rock, Brock, and the Savings Shock follows twins whose grandpa offers them a 10-week savings plan. Every dollar they save will be matched. One twin saves his money and has over $500 after 10 weeks, while the other twin spends the money foolishly. Tons of great money lessons in here.

10. Isabel's Car Wash by Sheila Bair

From the same author as the title above, Isabel's Car Wash is about a girl who wanted a doll that cost $10. She decides to start a car washing business, but first needs money for supplies. The book follows her adventure of starting a small business so that she can buy her doll.

There are so many wonderful books out there that teach kids important money skills. Look for books that teach children the money basics in a fun way, and also look for books that features the main character acting as an entrepreneur.

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This article is from Ashley Eneriz of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Flashback Friday: 51 Ways to Organize Your Whole Life in 2017

Chrissa Hardy — Fri, 06 Jan 2017 10:30:31 +0000

There are tons of resolutions you could focus on in the new year. You can get healthier, get in better shape, and focus on your career goals. But none of those goals are truly attainable if your living space is cluttered with stuff you don't want or need. The first step to accomplishing any goal is getting organized. So why not start there? Here are 51 ways to organize your life in 2017.

12 Smart Ways to Organize Old Photos — We all have stacks of old photos somewhere. And until you sit down and decide what to do with them, that increasingly dusty stack will remain on your to-do list. Do it now! These tips are super helpful.

14 Ways to Organize a Messy Closet — I have deep respect for anyone who constantly maintains a clean closet, because… how? But that feeling of pulling out the stuff you no longer wear is such a wonderful form of freedom. Do not underestimate it.

Organized People Have These 5 Things in Their Homes — Do You? — In order to become successful at organization, you might as well learn from the pros, right? And these five items can be found in every pro-organizer's home. Are they in yours?

8 Easy Ways to Keep Your Family Organized — You can't accomplish any of your goals — organization-related or otherwise — if your entire day is packed with familial responsibilities. Get everyone else's schedules down on paper and then you'll have a much easier time organizing yours.

How to Organize Your Paperwork in Just 10 Minutes a Week — Even in the digital age, paperwork can easily pile up. And nobody wants to tackle that stack after a month of putting it off. If you do this each week, for only 10 minutes, your desk will always look clutter-free.

7 Ways a Mindfulness Journal Can Fix Your Life — For some people, getting organized starts with the right mindset. When you start using a mindfulness journal, you become so much more aware of your moods, thoughts, and priorities. Then you have more room to live a happier life. Give it a go!

This article is from Chrissa Hardy of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Flashback Friday: 76 New Year's Resolutions That'll Make 2017 Your Year

Chrissa Hardy — Fri, 30 Dec 2016 10:30:30 +0000

There's no dancing around it — 2016 has been a garbage year. Most of us are ready to enthusiastically wave goodbye to it on New Year's Eve and usher in a fresh start. And even though most resolutions are abandoned by February, if you incorporate focused, realistic goals, your chances for success are far greater. So let's give it a go when the clock strikes midnight. Here are 76 New Year's resolutions that will make 2017 your best year ever!

15 Easy to Keep New Year's Resolutions That Really Pay Off — The smartest way to make goals that will stick is to make them easy. If they're difficult and vague, you won't be motivated enough to keep them. These are all easy, focused, and will make your life so much better.

Successful New Year's Resolutions Have This One Thing in Common — Does Yours? — The secret to achieving these holiday goals is to understand why the successful ones actually work. This breaks down the one thing all successful resolutions have in common. Make sure it's part of yours, too!

4 New Year's Resolutions Your Pet Wants You to Make — Your pet lives for you. They think you're the best creature on this Earth. So why not consider what they'd want for you when making your annual list of resolutions? Seeing your dog with that goofy grin will be more than worth it.

23 Frugal Living Resolutions Anyone Can Master — Living frugally is a trend that will never go away. We could all spend less money and buy fewer things. All of these brilliantly simple resolutions incorporate the frugal mindset. A little saving can go a long way.

8 Personal Finance Resolutions Anyone Can Master — Money. We all need more of it. Living paycheck-to-paycheck is a miserable way to live. Taking these small steps to building your financial cushion will give you financial freedom, and ultimately, a better life.

25 Small New Year’s Resolutions You Can Start Today — Why wait until the ball drops? Get started on your resolutions now! These steps are all small and easy-to-make. After all, the early bird gets the worm, right?

This article is from Chrissa Hardy of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

8 Reasons Time Is Worth More Than Money

Paul Michael — Wed, 14 Dec 2016 10:00:10 +0000

Time. Most of us never seem to have enough, and we're spending a good chunk of it earning money. It stands to reason that time is money, and the more time we have, the more money we can make. But are we looking at this the wrong way? Is time the real treasure here, and are we wasting it to stockpile something far less valuable?

1. You Can't Make More Time

You can always find a way to make more money. Although it's not something we want to do, we have the option to sell possessions, work an extra shift, pick up some freelance work, or maybe even win a few bucks on a scratch ticket. But there are no chances for you to create more time. You can't add an extra hour to the day. You can't give yourself 20 extra years on this planet by investing in the "time market." Time is finite for us, as individuals. We may have 85 years to live and thrive, or we may only get 30. This is worth remembering when you are spending more time making money than you are with friends and family. Those times are precious, and fleeting. Money? There's always more of that.

2. You Can Do More With a Day Off Than With a Day's Pay

Everyone earns different amounts, but a day's pay to a rich person or a poor person is still the same, relative to his or her situation. Whether it can buy you a new Xbox or a new Ferrari, the point is that a day's pay is finite. You will be given a set amount of money that can buy a limited number of items.

But with a day off work, the world is your oyster. Well, maybe not traveling to Tahiti or scaling Mount Everest, but you really can explore all sorts of adventures that you could not do while at work. Maybe you take that time to paint that picture you've always wanted to, or begin writing a new book. You can meditate, and find some of that inner peace you've been looking for. At the end of the day, a "thing" that costs money will never compete with an experience that broadens the mind, or simply makes you happy.

3. Time Creates More Memories Than Money

Think back to the best moments in your life so far. How many of them are based on money, and how many are based on time spent with friends and family? Very rarely do we sit back and think, Oh man, the day I got that new pair of shoes was awesome! Our most treasured memories come from time spent with the people we love, and in places we adore. Yes, it certainly does take a little money to travel. Luxurious vacations are definitely something we need money for, but we also treasure those times we walked hand-in-hand with a loved one in the park, or sang karaoke with friends at a local bar. Time gives us those memories we can look back on and laugh, or cry. And while money may help, it's never the main focus.

4. You Need Time to Spend Money

You may have all the money in the world, but you only have a certain amount of time in which to spend it. Billionaires around the globe have enough money to last 100 lifetimes, and yet they only have a set number of years on this planet. Even then, the last 10-20 years are not exactly the best. Money can buy you a lot, but it cannot buy you more time, which is why time is the most valuable resource we all have. Whether you're rolling in dough, or scraping together a living, time is the great equalizer. And most rich people would gladly give up a huge chunk of money for the chance to spend a few more good years with family and friends.

5. People Close to Death Wish for More Time, Not Money

How often have you heard the story of people saying, "It went by so fast" or "If only I'd had more time" as they were living out their final days? It's something said by so many people, so often, and with good reason. But very few people say, "I wish I'd had more money" or "If only I'd been a millionaire" as they consider the lives they lived. We may have regrets, but so few are based around money and possessions. Money may provide us with some luxuries, but time gives us so much more. Ask someone with a few months to live if they'd like $10 million or 10 more years on the planet, and you know the answer you'd get back.

6. Time Brings More Happiness Than Money

A study published earlier this year asked participants what brings them greater happiness — free time, or money. Over half of the people involved in the study — some 4,600 participants — said that free time brought them more happiness, and prioritized it as such. Free time came before earning money.

The questions were not as blatantly worked as, "Do you prefer free time over money?" though. Some were asked if they would prefer an expensive apartment with a long commute over a cheaper apartment with a shorter commute. Or, if they'd want a job with long hours and a high salary, or fewer hours and less salary. It seems that more people are interested in making the most of their free time, and would rather sacrifice the fringe benefits and luxuries in favor of quality time. It is worth noting, however, that the younger people surveyed were not as swayed by time as older respondents. Clearly, when you have much more time ahead of you, you value it less than money.

7. Time Is Priceless, Money Is Not

Money is money. The value of it fluctuates from day to day, and differs across currencies and investments. But time… you cannot put a price on that. For instance, what kind of price tag would you attach to spending one hour with someone you love? How about spending the day with a friend or family member you haven't seen in 15 years? What price would you put on an experience that broadens the mind, or brings you inner peace? While it is easy to say it would cost several thousand dollars to book a vacation, what is the cost of spending a few hours on a beach thinking of nothing but the sand between your toes? No worries. No stresses. Just that moment. What's more, time is free.

8. Time, Not Money, Is a Great Healer

It takes time to gain perspective. It cannot be bought. It takes time to realize your strengths and weaknesses. It takes time to figure out who you really are, and who you want to become.

When you put time against money, it's no contest. Money helps you live your life over that time, but it's time itself that gives you the greatest benefit.

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This article is from Paul Michael of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread: