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4 habits of ALL successful relationships

When life feels stressful or when we’re experiencing conflict in a relationship, it’s tempting to isolate ourselves, physically and emotionally. But doing so is often harmful, cutting us off from the social interaction that’s so important for our emotional health.

This video talks about the importance of understanding relationship hurdles and how to handle them. Dr. Andrea and Jon Taylor-Cummings share their observations about the four fundamental habits that all successful relationships exhibit. When we have healthy relationships, we can be more engaged with our family and friends, perform better at work, and improve our overall well-being.

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Source:   4 habits of ALL successful relationships, TEDx Talks, 2019.

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The 7-step plan to getting out of debt

It’s said that a journey of a thousand miles begins with a single step. The same is true for getting out of debt. By breaking up the challenge into seven doable steps, you’ll gradually take back control of your money and put your debt behind you.

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Step 1 – Save $1,000 for your starter emergency fund

In this first step, your goal is to save $1,000 as quickly as possible. Your emergency fund will cover those unexpected life events you can’t plan for. You don’t want to dig a deeper hole while you’re trying to work your way out of debt.

 

Step 2 – Pay off all debt (except the house) using the debt snowball

Next, it’s time to pay off the cars, the credit cards and the student loans. Start by listing all of your debts except for your mortgage. Put them in order from smallest to largest balance, regardless of interest rate. Pay minimum payments on everything but the smallest one. Attack that debt with a vengeance. Once it’s gone, put that payment toward the second-smallest debt, making minimum payments on the rest. That’s why it’s called the debt snowball. Use it to knock out your debts one by one.

 

Step 3 – Save 3 to 6 months of expenses in a fully funded emergency fund

You’ve paid off your debt! Don’t slow down now. Take that money you were throwing at your debt and build a fully funded emergency fund that covers 3 to 6 months of your expenses. This will protect you against life’s bigger surprises, like your car breaking down, without slipping back into debt.

 

Step 4 – Invest 15% of your household income in retirement

It’s time to get serious about retirement — no matter your age. Take 15% of your gross household income and start investing it into your retirement. Start with Costco’s 401(k) plan — 1165(e) in Puerto Rico — and invest up to the full employer match.

 

Step 5 – Save for your children’s college fund

By this step, you’ve paid off all debts (except the house) and started saving for retirement. Next, it’s time to save for your children’s college expenses. Experts recommend 529 college savings plans or ESAs (Education Savings Accounts).

 

Step 6 – Pay off your home early

Now bring it all home. Your mortgage is the only thing between you and complete freedom from debt. Any extra money you can put toward your mortgage could save you tens of thousands of dollars in interest.

 

Step 7 – Build your nest egg

You know what people with no debt can do? Anything they want. That’s why the last step is the most fun. Keep building your nest egg and be generous, whether that means leaving something for your kids or giving to a cause that’s important to you.

Source:  Ramsey Solutions, 7 Baby Steps, 2019.

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Save and spend your health dollars wisely

Understanding how you’re spending your money and using your benefits can help you spend more wisely. For example, when you use doctors and dentists who are in network, you’ll pay lower out-of-pocket costs. Another way to save is by going to the right place for care. The emergency room (ER) is where you should go for conditions that can permanently impair or endanger your life. Using the ER for non-life-threatening issues can be expensive. When possible, try and visit an urgent care center which is often three times less expensive than a trip to the ER.

In addition, if you are a Mainland or Hawaii employee, creating a Health Care Reimbursement Account (HCRA) or a Dependent Care Assistance Plan (DCAP) through PayFlex® will let you set aside pretax dollars for health and dependent care expenses. This means you’ll save money on those expenses because you’ll be paying with pretax dollars. During Annual Enrollment, you can sign up to contribute up to $2,750 pretax to an HCRA — $550 of which can roll over into the next calendar year if needed. You can also contribute up to $5,000 pretax to a DCAP. Watch the video below to learn more about how an HCRA can help with eligible health care expenses like copays, medication, braces or glasses.

Lastly, all employees have access to financial tips and tools through SmartDollar®. This online personal finance program can help you understand what you spend, plan a budget, get out of debt and save for emergencies.

 

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Source: Payflex, 2018

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A 3-step guide to eating healthy all week long

It’s easy to do. We head into the week intending to sit down to healthy meals each day. But when life gets busy, the intention is often replaced by less nutritious foods, like takeout. Planning ahead — and shopping accordingly — can help you stick to your commitment to eat well.

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1. Make a plan

Create a menu for the week, and explore cookbooks and online sites like SuperHealthyKids.com or CleanPlates.com for new and healthy recipes. And, keep menu favorites on repeat: If everyone loves oatmeal topped with dried fruit for breakfast, serve it several times a week.

2. Stock up on the 5 food groups

A well-stocked pantry and freezer will help you stay on track with your healthy mealplanning goals. Keep the following basics on hand:

  • Vegetables: Keep a variety of canned tomatoes in stock for soups, sauces and casseroles. And frozen veggies are a great source of vitamins.
  • Fruit: Dried fruits make delicious, high-fiber additions to hot cereals, salads and school lunches. Also keep frozen berries on hand to add nutrition to a morning smoothie.
  • Milk and dairy products: Dried milk is a great back-up item to have on stock, while boxed milk makes a great lunch-box item. Evaporated milk can also be substituted for liquid milk in most recipes.
  • Protein foods: Stock up on a variety of canned or dried lentils and beans, and toss them in salads, soups, stews and other dishes. Canned tuna and sardines are a quick way to add nutrition and flavor to meals. And frozen lean meats, poultry and nuts store well in the freezer.
  • Grains: Keep a stash of oatmeal and other whole-grain cereals in the pantry, as well as a variety of rice and pasta. These are great for making quick and filling family meals.

3. Keep a running grocery list

Compile the ingredients you need for the meals you plan to make for the week. Consider trying a grocery-shopping app, such as AnyList or Mealtime, to help you plan. Many of these apps even include information on where to get the best deals on food prices and offer menu-planning options.


Takeout tips: Meal-delivery services or takeout can be a convenient alternative to cooking when you need a night off. Here are a few tips to help you make healthful choices from an online menu, where nutrition facts aren’t always listed:

  • Limit foods described as crispy, battered and breaded, as well as creamy and cheesy, which often can mean they’re higher in fat or calories. More healthful options might use terms like baked, grilled, roasted and steamed.
  • Substitute water, low-fat milk, or unsweetened coffee or tea for sugar-sweetened beverages, which are high in calories and have little nutritional value.
  • Ask for sauces and dressing on the side to help control how much actually goes on your food.
  • Instead of eating out of the containers, plate your food for a more appropriate portion size. Save the remainder of the meal for later.

For more information on healthy eating and takeout, check out this article.

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ER or urgent care?

Know where to go for what’s ailing you

Whether you suddenly have stomach pain, or your child is hurt in a skateboard fall, few things are as stressful as a health event that requires immediate care. Do you go to the ER? Head to an urgent care center or a walk-in clinic? Knowing where to go — quickly — can mean better outcomes, both in terms of health and treatment costs. This short video can help you make the best choice in the moment.

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Sources:

Walk-in clinic vs urgent care vs ER video. Aetna, 2019.

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Immediate care checklist

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Get the care you need, fast

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Maximizing investments for your retirement

The length of time you have before retirement — your investment “time horizon’’ — is an important consideration when determining your asset allocation strategy, or the mix of stocks, bonds and money market/stable value investments you select.

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All of these investment vehicles are available in your Costco 401(k) retirement plan from T. Rowe Price, whether you choose to create your own portfolio or select a pre-assembled portfolio, such as a target date fund or asset allocation fund.

Your goals, financial circumstances and risk tolerance level may change as you go from entering the workforce to retirement and beyond.

Finding a balance, decade by decade

Your 20s and 30s: Now’s the time to start saving and investing through your workplace retirement plan. And the sooner you enroll and start saving, the better. Here’s why: When you invest through the plan, any earnings are put right back into your account. The longer your money stays invested, the more it can potentially earn through compounding.

Because retirement is several decades away, consider a higher allocation to stocks. Your investments should have time to ride out any ups and downs in the market.

Your 40s: Even if you’re just getting started, you still have 20 to 25 years to build up your savings. So make the most of these years.

Historically, stocks provide better long-term growth potential when compared with bonds and money market/stable value investments.

Your 50s and over: As retirement approaches, you may want to consider cutting down on stock allocations, which are more vulnerable to ups and downs in the market.

Before passing up too much growth potential, though, remember inflation and the power it could have to erode your money. Consider keeping a portion of your portfolio in stocks to help stay ahead of inflation over the 20 to 30 years you may need your nest egg to last.

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Investing terms 101

Don’t know your money market funds from your mutual funds? We’ve got you covered. Start your financial education with this handy glossary of investment terms. (Pro tip: Bookmark this page so you can refer back to it later!)

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Bonds and bond funds
These are also known as fixed-income securities, because the income they pay is fixed when the bond is sold. Bonds and bond funds invest in corporate or government debt obligations.

Commodities
These are physical commodities, such as an agricultural product (grains) or a natural resource (gold). A futures contract is an agreement to purchase or sell a commodity for delivery in the future.

Index funds
These funds invest in a particular stock market index, such as the S&P 500 or the Russell 2000. An index fund is managed passively and mirrors the performance of the designated stock or bond index.

Market-linked certificates of deposit (or structured CDs)
Returns are linked to the future performance of a market index, and may include stocks, bonds, foreign currency or other assets. These are designed for a long-term commitment (up to 20 years).

Money market funds
These are mutual funds that invest in short-term bonds. They usually pay better interest rates than a savings account but not as much as a certificate of deposit (CD).

Mutual funds
These invest in a variety of securities, which may include stocks, bonds, and money market securities. Costs and objectives vary.

Roth IRA
This is a personal savings plan for retirement where earnings that remain in the account are not taxed. Investments may include a variety of securities. Contributions are not tax deductible.

Stocks
Stocks represent a share of a company. As the company’s value rises or falls, so does the value of the stock. All Costco employees are eligible for the employee stock purchase plan, which allows you to purchase Costco stock through payroll deductions and eliminates brokerage fees through our partner, UBS Financial Services Inc.

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Decrease your stress to improve your heart health

Our mental health has a significant impact on our physical health. Chronic stress can be especially hard on our bodies and can lead to substantial health issues.

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If you are someone who experiences stress frequently, you could be at risk for:

Heart disease

Daily stress can lead to heart attacks. Those with Type A personalities have an extremely high risk of developing abnormal heart rhythms. And even the normal stress of everyday life can negatively affect people already prone to heart disease.

Stroke

People who are highly stressed, or even moderately stressed on a regular basis, have a significantly increased risk of having a fatal stroke.

High blood pressure

Stress hormones cause an immediate rise in blood pressure. While this may not create problems for everyone, chronic stress and hypertension is a deadly combination.

Lowered immunity

Stress hormones compromise a body’s immune system, making it more susceptible to the flu, colds and other infectious diseases.

Here’s the good news

There are steps you can take to decrease your stress and improve your heart health. Take control of your stress — and calm your body and mind — through:

  • Breathing techniques: Breathing slowly and deeply automatically relaxes the body.
  • Yoga: Slower exercises, such as yoga, help connect breath, movement and body control.
  • Meditation: Find a quiet place to be alone, wherever you are, and try to clear your mind. Get started with our guided meditation.
  • Stretching: Take time to stretch whenever you find yourself in a tense position.
  • Walking: Walk around the building instead of taking a coffee break. Or get up 15 minutes early and walk around the block before you leave for work.
  • Sleeping: Make sure you get just a little more sleep than you think you need during times of high stress. If you need help falling asleep, try taking non-habit-forming sleep aids like melatonin, unwinding with apps like Calm and Headspace, or listening to relaxing audiobooks. Download Costco’s free audiobook app for discounts on some of your favorite reads.
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Why managing your time is so important

Time is a special resource because it takes time to accomplish anything. The way you manage time, like the way you manage your money, energy and other resources, plays a large part in determining what you can accomplish and the satisfaction you receive from everything you do.

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Some say time is the most valuable of all resources, because it is limited. Others think time is endless — that they can always complete tasks at another time. Most busy people have to plan carefully to meet all of their time demands. Jobs, schools and other commitments require you to be on time, even though you might prefer a more relaxed schedule.

Time itself is not the real problem: The key is how you use your time.

Think about time

Time is unique. It’s the only resource every person has in equal amounts: Everyone has 24 hours a day.

Time is perishable

You can’t really save time. You can “use it or lose it.” A problem with time as a resource is that you can’t borrow minutes from one day and use them the next day. Although time cannot be saved, you can use your time effectively through careful planning and action.

Time is a measure

When time is discussed, many people think first of the clock. Most developed countries tend to be a clock- and calendar-centered societies. Being on time for work, school and appointments, and for payments such as rent and bills, is a necessity for almost everyone today. In other cultures, time may be measured by the sun and the seasons.

Time has a monetary value

You’ve probably heard the saying, “Time is money.’’ It takes time to earn money. It takes time to develop new resources. It takes time to get the most for your shopping money. Sometimes you choose whether to “buy time’’ in the form of convenience foods or household repairs.

Time has other values

People look for “quality time’’ to spend with children and other family members. Everyone needs time for rest, leisure and personal renewal, as well as for friends, neighbors and the community. 

Time to get started 

Ready to take control of your time? Here are a few helpful time management tricks: 

  • Dedicate a particular time/day of the week to a particular chore. For example, do the household laundry on Thursday evening, so more of the weekend can be dedicated to relaxing. 
  • Help kids learn to manage their own time (and learn to navigate between activities) by setting a time limit for things like online gaming. Having them manage their own time will give you back some time, too! 
  • List out your weekly errands, and try to address them in one fell swoop on a day off.  
  • Big projects (like cleaning out the garage) are more doable when they’re broken up into blocks of time. Reward yourself after each effort. 
  • Compile your to-do list in priority order to ensure the most important tasks get accomplished first.