ORDAN E. GOODMAN This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is sold with the understanding that the publisher is not engaged in rendering legal, accounting, or other professional service. If legal advice or other expert assistance is required, the services of a competent professional person should be sought. Vice President and Publisher: Cynthia A. Zigmund Senior Managing Editor: Jack Kiburz Interior Design: The Publishing Services Group Cover Design: Design Alliance, Inc. Cover Photo: . Doug Finley 2000 .1995, 1998, 2001 by Amherst Enterprises, Ltd. Published by Dearborn Trade, a Kaplan Professional Company All rights reserved. The text of this publication, or any part thereof, nike air max shop may not be reproduced in any manner whatsoever without written permission from the publisher. Printed in the United States of America 01 02 03 10987654321 Library of Congress Cataloging-in-Publication Data Goodman, Jordan Elliot. Everyone’s money book / Jordan E. Goodman. — 3rd ed. p. cm. Includes bibliographical references and index. ISBN 0-79 nike air max 95 31-4224-5 1. Finance, Personal. 2. Investments. I. Title. [HG179.G675 2001] 332.024—dc nike air max 360 21 2001017088 Dearborn Trade books are available at special quantity discounts to use as premiums and sales promotions, o nike air max trainers r for use in corporate training programs. For more information, please call the Special Sales Manager at 800-621-9621, ext. 4514, or write to Dearborn Trade, 155 North Wacker Drive, Chicago, IL 60606-1719. Dedication To my wife, Suzanne, whose unwavering support throughout months of unrelenting work made this book possible, and my son, Jason, who also helped his daddy complete “The Money Book” even though it was hard for him to understand why Daddy was unavailable to p nike air max 90 infrared lay with him for so long. Acknowledgments Everyone’s Money Book would not have been possible without the generous contributions and extremely hard work of many talented people. Foremost among these contributors are the staff of Dearborn Trade, who exhibited incredible team spirit and professionalism in making this book a reality. Vice President and Publisher Cynthia Zigmund recognized the need to revise and update what has become a classic work in the field of personal finance, adding not only the latest resources but also the many sections on how to maximize the use of your computer to improve your personal financial management. Senior Managing Editor Jack Kiburz skillfully guided this edition through the process from original manuscript to final published work. Many other people at Dearborn were enormously important in making the concept of Everyone’s Money Book a reality. Robert Kyle, f nike air max 90 current ormer chairman of the board, and Anita Constant, former senior vice president, provided unwavering support for all phases of the first edition. Former president Dennis Blitz was equally supportive of the revised and updated version. Paul Mallon, sales director, enthusiastically gave the book his full backing. Todd S nike air max turbulence anders of the Publishing Services Group produced many well-designed renderings, which will help you understand complex concepts more clearly. Judy Quinnert in manufacturing coordinated the timely printing and binding of the book. Art Director Lucy Jenkins contributed her invaluable assistance with the color and design of the dust jacket. The staff of the dotted i worked without complaint to typeset this b nike air max usa ook under extremely tight deadlines and displayed enormous flexibility in meeting our schedules. I also appreciate the efforts of Senior Editorial Assistant Sandra Thomas and indexer Sharon Johnson. This third edition would not have been possible without the enormous dedication, intelligence, and hard work of Austin Lynas, who worked for months updating all of the resources of the book. In particular, he researched thousands of Web sites to help identify the sites that would be most useful and reliable for you to use. ACKNOWLEDGMENTS I thank Money magazine Managing Editor Frank Lalli, Assistant Managing Editor Frank B. Merrick, and Associate Publisher Betsy Martin for their support and encouragement of this project, including their willingness to allow me to take a leave of absence to work on the book. I also offer my heartfelt gratitude to the many people who reviewed every word of Everyone’s Money Book for accuracy and style. Elliot R. Goodman, professor emeritus of political science at Brown University, and Norma B. Goodman, an astute investor, meticulously reviewed the entire book and sug nike air max 360 gested hundreds of helpful improvements. As my parents, their contribution extended far beyond the call of parental duty. Each of the individual chapters was also reviewed by a highly esteemed expert in the relevant field, often an author of a Dearborn book on the subject: . Loretta Nolan, a certified financial planner and president of Nolan Associates in Greenwich, Connecticut, who skillfully offered suggestions on Chapter 1, “Giving Yourself a Financial Checkup.” . Mark Skousen, editor of the investment newsletter, Forecasts & Strategies, author of Scrooge Investing, and coauthor of High Finance on a Low Budget, thoroughly reviewed Chapter 2 on cash instruments. . Gene Walden, author of The 100 Best Stocks to Own in cheap nike air max 90 America, scrutinized Chapter 3 on stocks. . Stephen Littauer, author of How to Buy Mutual Funds the Smart Way, checked Chapter 4 on mutual funds for accuracy. . Gerald Krefetz, author of the Making the Most of Your Money Series, offered several helpful comments on Chapter 5 about bonds. . William F. Eng, the author and international lecturer of technical analysis and market psychology books, including Options: Trading Strategies That Work, Trading Rules, and many other books, reviewed Chapter 6 on futures and options. . Bart Sotnick and Steven R. Malin, staff directors of press and community relations for the New York Federal Reserve Bank, who graciously shared their expertise on Treasury securities and other cash instruments. . David E. Carlson, manager of the Department of Financial and Sales Practice Compliance at the Ch nike usa online icago Board Options Exchange, who reviewed Chapter 6 on Futures and Options. . John H. Lutley, president of the Gold Institute in Washington, D.C., checked the accuracy of the gold section in Chapter 7, and Steve Bobbitt, media relations director of the American Numismatic Association, checked the accuracy of the section on numismatic coins. Aran Murphy of the Platinum Guild International checked the section on Platinum and provided the graph show ACKNOWLEDGMENTS ing the movement of platinum and gold prices over the long term. David J. Maloney, a profession nike air max turbulence al appraiser and author of Maloney’s Antiques & Collectibles Resource Directory, provided invaluable guidance on the collectibles section in Chapter 7. . Peter G. Miller, author of The Common-Sense Mortgage and several other