Gifts Michael Jordan

If given an option between receiving a gift or an experience for a birthday present to make us happier, which should we choose?

According to a Cornell University 2010 study, spending money on experiences makes people happier than spending money on possessions. Their reasoning happens because when it comes to purchasing tangible goods, individuals usually doubt their decisions and worry over missed deals. Meanwhile in the case of an experience, theyre very subjective, causing them to be positive experiences and there’s no other basis of comparison so there exists less negative feelings over missed deals.

Aside from the study, the primary reason experiences can be better than gifts are because individuals adapt to the tangible gifts. Initially, we like them because theyre shiny and brand new. But as individuals and also as creatures of habit, we adjust. As the novelty of the gift goes away, so does the exhilaration. The attributes that were once novel, now end up being the benchmark. Next thing we all know, thoughts start coming up concerning the attributes that we wish it would have. Sure enough, the gift gets replaced with something shinier and brand spankingly newer.

After having an experience, however, the event remains within our brains. Generally, these experiences involve bonding with others and having an astounding time with these people. But it doesnt stop there. The feelings continue even following the experience. When remembering the event and retelling to friends and family, it allow us to simultaneously relive the happy moments. Also, the more the tale is retold, the stronger the memories become. With impressive experiences, there is always something thrilled to talk about with your friend or family member. “Hey, remember the time when we.” And the best of all? When we least expect to see it, objects, words or friends around us will bring about these happy memories and immediately light up our moods.

If youre still on the fence, one critical note to keep in mind is: You get to be the sum of your experiences, not the sum of your possessions. If you can, strive for a 21st birthday idea experience to generate long lasting happy moments!

It’s the merriest time of the year once again and in a few short weeks, office holiday parties will start again. Are you thinking of giving gifts for your officemates? Or is your office holding a Christmas gift exchange game? If so, let me share to you some ideas to help you make your office gift giving appropriate and less stressful.

1. If you’re holding an exchange gift game, don’t overspend. If your office has imposed a limit to the amount of money then you should stay within that limit.

2. Consider the recipient’s interests and hobbies. Nothing would make them appreciate the gift more than knowing that you went out of your way to give something that you think they would like.

3. Avoid giving gag gifts. Some people might not take it well so avoid giving such gifts in the workplace.

4. Wrap your gift. Wrapping your gift makes it more presentable and gives it an element of surprise and mystery.

5. Avoid giving food as gifts. Some people might be allergic to certain foods that you don’t know of so it’s better to be safe and not give something edible.

6. Consider giving gift certificates. This is considered to be the safest gift that you can give to anyone. You could give them a gift certificate from a popular coffee shop or a bookstore.

7. Avoid giving gifts from thrift stores and dollar stores. You don’t want the recipient to think that you’re cheap don’t you?

8. Consider giving practical and gifts that the recipient could really use such as notepads, calendars, umbrellas and stress squeeze balls.

Giving gifts to the people you work with at the office is a simple way of saying “Thank You”. You don’t have to spend a lot in buying gifts because it’s the thought that counts. Happy shopping!

Giving gifts to family and charity while you’re alive can be a boon to them – and your estate.

Estate planning isn’t just about how you want your assets distributed after you die. It’s about deciding how much you want to give away while you’re still alive. If you plan carefully – so you don’t outlive your assets – giving allows you to reduce your taxable estate and provide advance help to your beneficiaries.

There are two easy ways to give gifts without incurring the gift tax:

You may pay an unlimited amount in medical or educational expenses for another person, if you give the money directly to the institutions where the expenses were incurred. You may give up to $13,000 a year in cash or assets to as many people as you like.

Anytime you give more than $13,000 annually to any one person you must file a gift-tax return and the excess amount will be applied toward your lifetime gift-tax exclusion of $1 million.

If at any point your gifts exceed that exclusion, you will have to pay gift tax on the excess amount. There is some good news in that regard. The top tax rate on gifts is gradually declining and will fall to 35 percent by 2010.

Keep in mind, too, that gifts you give within three years of your death that exceed the lifetime gift-tax exclusion will reduce the amount of money you may leave to your heirs free of federal estate taxes, according to certified public accountant P. Jeffrey Christakos of First Union Securities in Westfield, N.J. For example, if you give away $100,000 more than your lifetime exclusion within three years of your death, your estate-tax exemption will be reduced by $100,000.

If you want to invest in a 529 college savings plan for a beneficiary, contributions are treated as gifts. You may put in as much as $65,000 in one year ($130,000 with your spouse), but that contribution will be treated as if it were being made in $13,000 installments over five years.

That means you can’t give any more money to that beneficiary tax-free during that five-year period. Should you die before the five years are up, part of the money you gave will be included in your taxable estate, specifically the $65,000 minus $13,000 for each year you were alive.

The tax consequence of making large gifts can get complicated. So if you have a large estate, consult with your financial or tax planner to see how much giving you can do without triggering a big tax bill. Charitable donations are another way to reduce your estate. By investing in charitable gift funds and community foundations, those donations can stretch beyond your death.

Charitable gift funds, which are offered by Fidelity, Vanguard and others, permit you to make a tax-deductible donation, grow your investment tax-free, and then direct a contribution – in your name – to nonprofits of your choosing whenever you like.

Community foundations are regionally based charities that take donations of as little as $5,000 in cash, stock or property. The foundations invest that money, pool the gains, and allocate grants, usually to local nonprofits. In most cases, you may either have the foundation give money to organizations you choose or ask the foundation to locate a worthy recipient for a cause you like.

You also can set up what’s known as a charitable lead trust, from which a charity receives the income and your heirs the principal; or a charitable remainder trust, in which your heirs get the income and the charity gets the principal.