IT’S THE MOST wonderful time of year—for trying to figure out what gifts to give. If you’re like me, you may be wringing your hands. But some studies and a bit of psychology could help.
While searching my favorite websites for gift ideas, I came across a helpful article by psychologist Jill Suttie. She offered five suggestions.
The first is to make sure the gift is practical. I didn’t see that one coming. Practical gifts are remembered.

I’VE BEEN A WITNESS to inflation with every trip to our neighborhood H-E-B grocery store. As various articles have pointed out, inflation can disproportionately hurt retirees. Yet recently I stumbled on a piece that argued the reverse, at least for some of us. I think my wife and I fall into that lucky category, and I’m curious if other HumbleDollar readers feel the same.
We own our home free and clear, so there are no rent increases to worry about and no mortgage to pay.

IT’S BEEN A TUMULTUOUS year for diversified investors. Usually, when stocks are down, bonds are up. Not this year. The U.S. stock and bond markets have both suffered double-digit losses. That includes the Treasury bond market, widely considered to be a secure and low-risk place to invest.
A widely accepted measure of risk is a portfolio’s stock-to-bond ratio. More in stocks usually means more risk. But in 2022, whatever an investor’s stock-to-bond mix, investment results have likely been painful.

THEY SAY TIMING IS everything. That’s something I should know—because I’ve never been very good at it. The motto of Scotland’s Kerr clan is Sero Sed Serio, or Late, but in Earnest. That’s been my reputation since I was young.
In high school, my basketball game blossomed at the end of my senior year, just in time to have one good game of double-digit scoring before I graduated.

I EXPECT TO OWE some $8,000 to the IRS on April 15. On the surface, this might seem like poor tax planning. But I’d argue that it’s just the opposite.
Too often, folks are excited to get a large refund when they file their annual tax return. In response, you’ll hear financial advisors jumping in and saying, “That’s bad. You gave the IRS an interest-free loan.”
In theory, I agree. But until recently, savings accounts have been paying so little that it wasn’t worth the effort for folks to manage their tax liability that closely.

I RECENTLY WROTE about things we can do to protect our finances in the event we suffer cognitive decline. This may not be anybody’s favorite subject, but it’s an important one.
 Many of us have first-hand experience with the ravages of dementia. It can upend a carefully crafted retirement plan and necessitate costly medical care. Like many of my friends and colleagues, I’d like to know if there are things I can do to prevent or forestall the onset of mental decline.

A FRIEND ONCE explained to me his theory of lifestyle creep—and how there’s a ratchet effect. Let’s say you move to a better neighborhood. A bigger house means larger utility bills. Property taxes will be higher, the lawns bigger and the landscaping more extensive. The neighbor’s cars are nicer, and the shopping and restaurants are more upscale.
Like a socket wrench, once the one-way ratchet of lifestyle creep clicks in, it’s nearly impossible to go back.

ARE YOU TRAVELING for the holidays? There’s good news for drivers. Average retail pump prices have dropped below $3.30 a gallon, with many states seeing prices under $3. This positive development for consumers—including those off to grandma’s house this season—comes as wholesale gasoline futures fall to their lowest level in a year.
Following Russia’s invasion of Ukraine in early 2022, and just in time for the busy U.S. summer driving season, gas prices notched all-time highs near $5 per gallon.

IN A TYPICAL YEAR, the bond market doesn’t attract much interest. That’s by design. The role of bonds in a portfolio is to serve as a bulwark against the unpredictability of stocks. They’re supposed to be boring.

All that changed this year. Thanks to rising interest rates, the most common total bond market index, the Bloomberg Aggregate, has lost about 11%. To put that in perspective, this index has delivered a negative return in only three of the past 25 years.

THE HOLIDAY SEASON is upon us. Our thoughts—or mine at least—turn to family, friends, wine, decorations, gifts, wine, food, fun and wine. But before I ring in the new year, I have a few financial questions I need to resolve.
Our 2022 income hasn’t been what I expected. I earn consulting income in two ways. I’m a part-time employee of a small engineering consulting firm. In this role, I’m an hourly employee with no benefits.

LIKE A SLOW-MOTION train wreck, we’ve spent recent decades inching toward a world where we have too few workers and too many retirees dependent upon their labor. Have we finally reached the tipping point?
Consider today’s confluence of economic events: a labor shortage, sharply higher inflation, massive government budget deficits, and depressed stock and bond prices. To be sure, all this can be explained by the pandemic and what followed—excessive government stimulus, supply chain issues,

I SPENT 40 YEARS practicing criminal law, and there was always a lot to read: police reports, lab reports, probation and pre-sentence reports, motions, orders and court opinions. These were required reading and there was little time left to read for pleasure.
One of the great joys of retirement is the freedom to read a lot—and whatever I choose.
Which, in this season of reflecting on the things we’re thankful for, brings me to one of mine: public libraries.

GOOGLE THE WORD “annuity” and you’ll receive 97 million and one results. Is there anything left to be said?
Yes, I think there is.
About 11 years ago, my 89-year-old mother asked me if she should invest more money in her Knights of Columbus annuity. Unbeknownst to me, she and my father had purchased it many years earlier. It earned a guaranteed 3.5% annual interest rate, which was better than every savings account or certificate of deposit available,

FOR THE PAST 20 YEARS, I’ve bought dividend-paying stocks and then reinvested my dividends. The big appeal: I increase my wealth with minimal effort.
Starting as a dividend investor used to be tricky, but it’s now much simpler. Many discount brokerage firms have no minimum to open an account and no longer charge stock commissions. You can also purchase shares through the dividend reinvestment plans offered by the transfer agents for many companies. These plans allow shareholders to reinvest their dividends and also purchase shares in amounts as little as $50 or $100.

I WISH I HAD HEARD the term “prehab” long ago. I think it would have prevented my current physical disability.
Many people delay surgery. Why not put off a potentially long recovery period—and a big medical bill? Often, this wait-and-see approach is harmless. But not always.
A little history might be useful. A couple of years after college, I joined my dad in his cash register business. Back in 1970, cash registers were massive and heavy—150 pounds or more.