Oh, the wise words of Kanye West. Just kidding 😉 All this marriage and money talk brings up the obvious – what about pre-nuptial agreements? My wife and I discussed it only briefly, and we don’t have one.

This may surprise people, but I think that a prenup should be legally required for every married couple, just like you have to choose beneficiaries for your IRA. That way nobody is the bad guy/girl for bringing it up and everyone can have an open discussion about money before getting hitched. At the very least, every couple should be taught what will happen without a prenup, as this can vary widely among states. Maybe a good one will even make having separate accounts pointless? I have no idea, not being a lawyer. If you have a prenup, what did you put in it?

An e-mailer asked a question that opened up a very interesting discussion for my wife and me. It was “I know you are married, but is the Net Worth for you only or for both?” My initial internal response was “Duh, of course it was for both of us. We are married, how could it be any other way?” But in reading NYC Money’s post about splitting the money in marriage, my eyes were opened. Check out this comment (not by NYC):

My wife and I also maintain seperate accounts. In fact, when she needs money she applies for a loan with me. I then charge her the appropriate interest rate and make sure she pays on time (late charges make a nice side income)… I see marriage as a business venture with my wife being the most important client. It?s cold but why mix love and money?

What?
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Although I blog about everything money, I want to make perfectly clear that the amount of entries I devote to a particular topic does not directly correlate with its importance. For example, out of 20 posts I may talk about easy ways to make $100 or the latest savings account rates for 15 of them. Maybe only 1 or 2 talk about saving for retirement. Why? Because saving for retirement is dead simple for me:

1) I save money regularly, and put it in tax-deferred accounts.
2) I buy an auto-pilot retirement fund – Vanguard’s VTIVX.

It takes hardly any time at all, but that is the most important thing I am doing for my future. The rest is just gravy. Obviously, I love gravy! 😉

I just finished watching the end of the Winter Olympics on my TiVo, and I was struck by something. These athletes are inspiring not because they can go fast on snow, but because they did not focus on the fact that they were too short or too skinny, that practicing every day is really hard, or that not enough people watch their sport. They achieve excellence because they know what they want and they are not afraid to work for it.

Right now there seems to be a trend towards books like ‘Strapped: Why America’s 20- and 30-Somethings Can’t Get Ahead‘ and ‘Generation Debt‘, about how young people have it so rough – what with credit card companies throwing money at us, high education costs, and soaring housing prices. No wonder we’re in debt. My response? Don’t Be A Victim! Yes, Social Security is gonna suck big time for us. Education is expensive, but it’s up to you to make it worth it. I can’t afford a house either, so guess what? I’m saving up for one.
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Wow, I am really impressed with the great quality and variety of submissions for this Reverse Carnival of Money Mistakes. Everything from everyday expenses to complete lifestyle overhauls is covered, and I’m sure everyone reading it can relate to at least some of the money bloopers listed below. This is truly an entertaining way to learn from others. I love reading about personal experiences. A hearty Thanks to everyone who contributed! Also thanks to those who have spread the word about this Carnival, and thanks in advance for those that will.

I’ve shared some excerpts, but be sure to check out the links for the entire story. To celebrate the end of Valentine’s Day (Let’s just say I may need to buy another saute pan after ‘reducing’ my soy ginger sauce to… charcoal), I’ve chosen a pink motif:

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Banks have a great gig. Most pay you puny interest, and then turn around and lend it to credit card holders at 15-30% APR. A new start-up, Prosper.com, aims to shrink this gap by allowing individuals to lend directly to each other. As a lender, you get to see the credit rating of a potential borrower and well as the reputation of the ‘group’ they are affiliated with, and decide at what rate you would be willing to loan out your money. Read more at the New York Times and BusinessWeek .

This has been done before in the UK, at a site called Zopa.com. Their model is a bit different in that your loan amount is spread across at least 50 borrowers, up to a maximum of ?200 per borrower. Although you can choose to only fund part of a loan at Prosper, I would think a 50-way split would give you much better protection against the total loss of your money. Still, this is very innovative, and I definitely will write more about it later. Thanks to commenter micah for the heads up.

Ok, I give in to the peer pressure. Cap started it, and now everyone’s sharing what’s in their wallet, so here I go… To start, my wallet is a Coach black leather bi-fold, a nice gift from someone with better taste than me.

I have my trifecta of credit cards:

» Citi Dividend Platinum Select MasterCard

» MBNA/Fidelity Investments 529 College Rewards Card

» Starwood Preferred Guest American Express Card
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After I revealed some of my previous money mistakes, I noticed so did Hazzard and Madame X. Is it bad that I enjoyed reading them? So I’ve decided to hold a Reverse Carnival, where instead of submitting financial tips, everyone submits their own money screwups. Buy Enron at the peak? Bet your net worth on black and lost? Let’s share in the misery. Non-bloggers welcome, just submit them here by next Tuesday. Spread the word – money bloggers reveal bonehead moments!

• Carnival of Debt Reduction #21 – Free Money Finance
• Carnival of the Capitalists #122 – AnyLetter
• Carnival of Personal Finance #34 – Financial Reference
• Carnival of Investing #8 – Wealth Junkie

HSBC Direct finally updated their front page, confirming that their 4.80% APY rate hike is indeed only until 4/30. Capital One 360 must be thrilled. The HSBC rate is higher than their 0.75% APY, applies to all deposits instead of just new ones, and lasts 15 days longer.

The Wall Street Journal also reports on these recent rate hikes in their (temporarily free) article ‘Banks Dangle High Teaser Rates’. Via FW.

JLP of AllThingsFinancial has begun his 24 Days to Better Finances series. Nice and organized, just the way I like it.

• Carnival of Personal Finance #33
• Carnival of Investing #7
• Carnival of the Capitalists #121
• Festival of Frugality #8