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Don’t Let Bottle Service Bust Your Budget

You’re making good money, and it’s easy to want to blow that whole paycheck. But we’ll show you a simple rule that will allow you to live large and get your financial house in order too.

If you went into finance for the love of pulling 15-hour days, more power to you. But if working in anticipation of that fateful day in February when your bonus hits your bank account, let’s just say that you aren’t alone.

When your monthly paycheck arrives, you might get stars in your eyes. You forget about that massive student loan and nagging credit card bills. Suddenly bottle service every weekend seems like a great idea. Who doesn’t love those sparklers? If you’re not careful, those morning hangovers could have a lasting effect on your bank balance. Here’s a quick crash course in how to divide up your earnings like a boss—ahem, managing director so that you can still afford the life you want without busting your budget.

Let’s discuss some general guidelines, which make up what we like to call the 50/20/30 Rule:

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  • 04 Oct 2012 at 4:25 PM

Thursday Night Football: The Quants’ View (Week 5)

At numberFire.com, we use contextual, efficiency-based metrics and similarity algorithms to predict sports player and team performance. Just like you (or someone you know) spend your days digging for the real drivers of a stock or fixed income product so you can make the best investment decisions, we dig for the most descriptive player and team information in figuring out who to start in fantasy lineups and which bets to take. We provide that fantasy and handicapping advice to you at numberFire.com.

Division… rivalry?

Division battles are supposed to be close contests, right? I guess the Pony Express got lost between St. Louis and Phoenix. In their last 11 games against the Rams, dating back to December 2006, the Cardinals have won 10 times. That’s not surprising; the Rams have had some horrendous teams (the starting QB for Rams in the week 16, 2009 game was Keith Null). What is surprising, though, is how the Cardinals have dominated the Spread. The Cardinals have won Against the Spread in 73% of those meetings, including both games last season. And two of the three times they didn’t cover (Week 11, 2009 and Week 5, 2007), they won but missed the cover by one point. Read more »

Many of our readers get highlights from Dealbreaker in their inboxes every day. Our Dealbreaker Newsletter spotlights our top content from the day, so you’ll never miss the story that everyone is talking about.

But did you know that the Newsletter could get you drunk? It can! Sign up for the newsletter now, and you’ll be entered to win two free tickets to Eater’s “Meat & Moonshine” event, taking place here in New York at Hill Country on August 13th.

The event has been described as “a boozy summer hoe-down party.” Tickets sell for $120 each, but Dealbreaker can be entered to win two of them just by signing up. Good luck!

Smarter Student Loans

A Social Finance Revolution

The SoFi founders met at the Stanford Graduate School of Business (GSB) at a time of historically low interest rates. But when they looked at the options for funding their education, the choices weren’t great. With student loan interest rates so high and U.S. student debt exceeding $1 trillion, it was clear that there had to be a better way. Read more »

Do you want to read Dealbreaker all day every day? Do you work at an institution that made the terrible decision to restrict access to the site (looking at you Bank of America!) and/or prefer to do your viewing via iPhone or iPad? Then do yourself a favor and download the new Dealbreaker app here today. (Android users can also get in on the fun.)

With the economic recovery stalling and continuing crises in Europe, U.S. equity investors are understandably nervous about the prospect for stocks. Halfway through 2012, the S&P 500 index is up 7.5%, but volatility remains high, with the market moving up or down by more than 1% twenty-eight times so far this year as the market seems to be driven more by news out of Europe than by companies’ fundamental earnings prospects.

All this noise may obscure a surprising fact: U.S. corporate profits, as a percentage of the economy, are at an all-time high. The market, though, may not be giving companies much credit for those robust margins: despite positive returns on stocks this year, and continuing fund flows into equities, the S&P 500 trades at just under 14x trailing-12-month earnings, well below the 10-year average of almost 17x. This suggests an expectation that current robust profit margins cannot continue; indeed, analysts at Goldman Sachs calculated an implied EPS growth rate for the S&P of negative 12.6% over the next five years.

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The extraordinary crises in the world economy over the last several years have led to an equally extraordinary monetary response from the Federal Reserve. Some six trillion dollars have been created since 2008 by the world’s major central banks to cushion financial markets and ease deflationary pressures. The Fed has more than tripled the size of its balance sheet since the crisis began, holding short-term interest rates near zero since the end of 2008 and embarking on several rounds of “quantitative easing” in an effort to push down longer-term rates and stimulate economic activity. Read more »

With the proliferation of smart phones and tablets in the financial community, there are now more ways than ever to access Dealbreaker content beyond your desktop browser. For those of you unable to access Dealbreaker through your work computer, you can easily access Dealbreaker.com through the web browser on any mobile device. Dealbreaker stories are available on the Flipboard, Google Currents, and Pulse readers, and we will be launching on more mobile readers shortly. Dealbreaker is also accessible through Bloomberg using the command NH BLG_DEALBREAKER <go>.

If you have not yet accessed Dealbreaker through your mobile browser, please give it a try now. We also encourage you to download the readers in the Apple App Store or Android Marketplace to access Dealbreaker through a mobile reader. And if you for a firm that blocks Dealbreaker, please email us.

Every day from Oct. 3-Oct. 31, New York steakhouse Smith & Wollensky is literally changing the name of their restaurant to the last name of a randomly chosen guest who pledges to make Smith & Wollensky their exclusive steakhouse. And when we say, “the name of their restaurant, ” we mean on everything: the awning, the the signs, the napkins, even the knives. All you have to do is go to their website, take their pledge, and book a table and you too could see your name alongside the famous Wollensky.

O’Doyle & Wollensky? Chang & Wollensky? It could happen.

Every day from Oct. 3-Oct. 31, New York steakhouse Smith & Wollensky is literally changing the name of their restaurant to the last name of a randomly chosen guest who pledges to make Smith & Wollensky their exclusive steakhouse. And when we say, “the name of their restaurant, ” we mean on everything: the awning, the the signs, the napkins, even the knives. All you have to do is go to their website, take their pledge, and book a table and you too could see your name alongside the famous Wollensky.

O’Doyle & Wollensky? Chang & Wollensky? It could happen.

Every day from Oct. 3-Oct. 31, New York steakhouse Smith & Wollensky is literally changing the name of their restaurant to the last name of a randomly chosen guest who pledges to make Smith & Wollensky their exclusive steakhouse. And when we say, “the name of their restaurant, ” we mean on everything: the awning, the the signs, the napkins, even the knives. All you have to do is go to their website, take their pledge, and book a table and you too could see your name alongside the famous Wollensky.

O’Doyle & Wollensky? Chang & Wollensky? It could happen.

Every day from Oct. 3-Oct. 31, New York steakhouse Smith & Wollensky is literally changing the name of their restaurant to the last name of a randomly chosen guest who pledges to make Smith & Wollensky their exclusive steakhouse. And when we say, “the name of their restaurant, ” we mean on everything: the awning, the the signs, the napkins, even the knives. All you have to do is go to their website, take their pledge, and book a table and you too could see your name alongside the famous Wollensky.

O’Doyle & Wollensky? Chang & Wollensky? It could happen.