How To Plan Financial Steps When You are Still Young and Single

My parents taught me to earn and save money from an early age. I had a checkbook before I was 10, I was in stock market club in 5th grade and had a job as soon as was legally possible. I always balanced my checkbook, had a credit card before 18, paid it off monthly and even learned to file my own taxes. You could say I was quite financially responsible for any age. I took a risk moving across the country when I was 22 and lost my savings trying to “make it”. So when I became pregnant, I was practically starting completely over. Thankfully I already had the skills and resourcefulness to make it work. Now, with my little 3 person family, I am taking seriously all the things I could have done earlier to ensure our financial stability. Benefit from my mistake, and see if you can implement any of these now before you wish you had.

Budget Your Money

To budget your money, you first have to know what you are currently making and spending your money on. First

How To Learn Your Credit Score

Good news! Understanding your credit score is fairly easy and you can use this knowledge to help repair your score and keep it healthy.

35 percent of your score is tied to your payment history. If you haven’t had consistent payment history up until now, don’t panic. Part of the repair process starts with reaching out to creditors and bureaus to get inaccurate, misleading, and outdated information off your report forever.

If your payments are not current, get current and stay current. Creditors will often work with you to create a payment plan so you can get up to date on payments. Making payments on time should be your number one priority. It’s the easiest way to influence your credit score.

30 percent of your score is your credit utilization. Your credit utilization rate is extremely important, and you want it to be under 30 percent. What does that mean? Here’s an example.

You have three credit cards. Each card has as a $1,000 limit. Factoring in no other open credit accounts you have $3,000 in credit available to you. $900 is 30 percent of

How to Increase Self Employment Profits

Small Business Means Freedom to Produce

The US has one of the greatest (or the greatest) economic systems of the world and quite possibly historically… on this side of eternity anyways. Don’t get to carried away, though; nothing is perfect and that goes for the US economy as well. In spite of its many challenges, one of its shining gems is the ability for any US citizen to add value to others by producing goods and / or services for mutual benefit. Profit and livelihood for the producer and solutions to problems and improvement of life for the consumer. Most of us are trained to go to work for others in the form of employees instead of being exposed and trained in the other ways in which income is produced. One of the best ways to learn and train yourself in the various ways of income generation is through a basic understanding of the US tax system as administered by the Internal Revenue Service (visit US Treasury website). The following incomes types are discussed at length by the IRS:

  • Earned Income
  • Passive Income
  • Investment Income
  • Rental

The Next Financial Services

The ease of making financial transactions and financial services in general, had first been revolutionised when telegraph companies introduced wire transfers. But with the coming of new age financial services like Bitcoin and Ripple, it is the time we address the question of what the future holds for the financial services of the world.

Traditional Wire Transfers

Let us begin by first taking a look at how things have been going on for these past 150 years since wire transfers were first introduced. Transferring funds using a wire transfer method via a bank is not a single step process but a multi-step process. It is like this:

  • The sender approaches his or her bank and orders the transfer of funds to an account. Unique codes like BIC and IBAN codes are provided to the bank by the sender so that the bank knows exactly where the funds need to be transferred.
  • The sender’s bank contacts the receiver’s bank by sending a message through a security system, such as Fedwire or SWIFT, signalling it that a transfer needs to be made. The receiver’s bank receives this message, which includes settlement instructions as well, and then asks the sender’s bank to transfer the amount specified

Consider This Before Choose a Financial Planner

Unlike someone calling himself a CPA or a physician, just about anyone can call himself a “financial planner” or a “financial advisor” regardless of their educational background and professional experience. Moreover, not all of them are unbiased in their advice and not all of them always act in their clients’ best interests.

To ensure your financial planner is well-qualified in personal finances and impartial in his advice, consider the following five things:

1. Planning Credentials: Having a highly-regarded credential in financial planning, such as Certified Financial Planner (CFP) or Personal Financial Specialist (PFS), confirms that the professional you intend to work with has acquired the education and experience necessary to serve as a financial planner. CFP and PFS credentials are awarded to only those individuals who have met the certification requirements of education and experience in planning for personal finances. In addition, they have to pass the certification examinations and agree adhere to the practice standards and continuing education requirements.

2. Subject Matter Expertise: Financial planners are planning professionals, not necessarily subject matter experts. For example, a financial planner will be skilled in tax analysis and planning,but unlike a Certified Public Account (CPA) or an IRS Enrolled Agent (EA) he might not

Tips Long Term Success

Why do so many businesses fail to make profits and achieve their financial goals? The answer is simple because many business owners simply ignore one or more of the 5 keys to financial success. Many businesses are making sales but are not profitable. Learn how to fortify your business model and set your company up for success. Developing a financial business model provides a clear picture of your company’s financial history as well as your company’s financial future. Working from a financial business model will help to prepare your company to make better decisions for the company in the future. And analyzing your finances on a regular basis will provide you with the financial success you are seeking to achieve. Get ready to gain more flexibility and financial freedom in your company with the keys to success.

Key #1) Don’t Go It Alone
Mismanagement of finances is not reserved for start-up companies but for all businesses. Many business owners are able to produce and sell their products and services but are not able to manage their finances. If you are not able to determine where you have been you will not know where you are going. Accountants and bookkeepers are

All About Capital Investment

It can be quite daunting to decode the jargon of financing businesses. In most cases, because of the similarity in the objectives of the different financing solutions, many have a tendency to exchange one for the other.

To simplify these very technical terminologies, most especially when you just have ventured into business and you do not have enough knowledge about it, here are some useful information regarding a fixed capital investment, which is one of the relevant business solutions businesses, either big or small, can opt for.

Facts About Fixed Capital Investment

First, they are often used to launch or perform businesses. Over a long period of time or about 20 years, they depreciate on the accounting statements of the company.

Second, though these investments can depreciate over time, they won’t depreciate the same way. Be reminded that there are investments that lose their value faster than the others. The perfect examples of those that devalue fast are communications equipment or devices since there is a rapid turnover of technology for these. Another excellent example is the company vehicles. Within the year of purchase, the value of a brand new company vehicle can depreciate by as much as 40%.

Third, fixed capital investments won’t

Tips To Buy Car With Bad Credit

According to an article in consumers affairs;

In general, it is better to go with a bank or an auto financing lender rather than the car dealership down the street that is offering a “buy here, pay here” deal. If you do wind up with a high interest rate on your car, work on rebuilding your credit score so that you can eventually refinance.

If you suddenly find yourself without a car you might be asking, “How can I buy a car with bad credit?”, well, You DON’T! I know not having a ride can be a problem, like how do you get to work, or what if you want to go out? Well as far as getting to work goes, see if a work colleague lives near you and chip in on some gas for a ride. As far as getting out from time to time, there’s always Uber.

You want to give yourself a few months to save up some money and pay cash for a vehicle until you can get your credit to a point where you can get a 6% or less interest rate. Your choice of vehicle will be better and the total cost for the

Pros and Cons Getting a Low Rate Auto Loan

Getting a good deal for your auto loan is important. It means getting the best possible interest rate on it. A low rate is helpful in more ways than one. But, in order to get a low rate auto loan, you need to know what to do and what to avoid. The following list will assist you in leveraging the best deal.

Do the following Things to get a Low Rate Auto Loan:

· Do consider buying a Used Car

Doing your homework is always helpful as it helps you to evaluate the type of car fit for you. Deciding the type of car you want to buy can depend on various factors such as your income and your core requirement. A used car can avail you a lower rate as compared to a new car. As the purchase price of a used car is cheaper than a brand new car, the lender will be willing to reduce the interest rate on a used car. Low risk attracts a cheaper interest rate. Thus, make a conscious consideration about buying a used car as it can significantly increase your chances of obtaining a low rate auto loan.

· Do know your Credit Score

When you

How To Repair Your Credit Loan

Having a car has become a necessity in today’s fast growing world. But to obtain a car you need a good credit score. What do you do when you know that it is not as good as it should be and you find yourself in a tight spot financially? The first thought that comes to your mind is whether you will qualify for an auto loan. And, why would a lender approve loan application of an individual who has a spotty credit score? But the good news is that you can get a bad credit auto loan.

What is a Bad Credit Auto Loan?

The simplest definition is that you can get money for buying a car with a bad credit score. A credit score depends on your ‘creditworthiness’. So when you have a bad credit score, getting an auto loan becomes difficult because a lender thinks that you are unable to repay your debts. Today, owing to online services many lenders offer attractive interest rates on a bad credit auto loan providing the borrower a sigh of relief!

It’s no Picnic!

Getting an approval for a bad credit auto loan is no picnic. It means that when your credit score is not

Tips to get a Low Credit Car Loan

Many car dealerships advertise financing for buyers with bad credit or no credit at all. It is possible for those with less-than-ideal credit to get a car loan, but due diligence is required to ensure that the terms of the loan are affordable. These steps can help consumers with low credit scores find car loans that won’t break the bank.

1. Know the Score
The first step for potential car buyers who suspect they have poor credit is to find out exactly how low their scores really are. Consumers can access their credit reports and scores from both Equifax Canada and TransUnion Canada, the country’s two credit bureaus. In general, a score of 650 or above is considered a good credit risk in Canada, while below that number puts buyers in the subprime category. This often means higher interest rates.

2. Save a Down Payment
In many cases, buyers can get a lower interest rate even with bad credit by putting money down on the car. A 10% down payment is often enough to access more favorable terms. That means buyers interested in financing a $10,000 vehicle should expect to put down at least $1,000, especially if they have a credit

Guide to Start Planning for Healthcare in Retirement

Plan for the worst and hope for the best. That’s what a friend of mine used to tell me she always did. That’s how she ran her life. I’m a planner – I plan just about everything. But I do not plan for the worst and I always hope for the best. However, when it comes to feeling good about what our future holds as far as health care and retirement looks like, this would be a time to plan for the worst and hope for the best.

Health care is and will continue to be one of the biggest expenses in retirement. Yet many people nearing retirement don’t understand the risks these costs pose to their financial plan – and aren’t preparing for them. According to the 4th Annual Nationwide Retirement Institute survey, America’s workers are “terrified” of health care costs in retirement, but few are doing anything about their concerns.

Here’s just a few statistics and things to ponder:

Remember when everyone used to work at the same… department store, firm or manufacturing company for 35+ years. Back then, you were promised a pension and allowed to also keep your health care plan after leaving their employ – even for the

Why People Spend Consistently More Than They Earn

Why do so many people spend consistently more than they earn? They fall deep in debt, their quality of life plummets, they retain their cherished buys, but do not enjoy them fully. Sadly, they believe seductive lies merchants put forth while peddling goods.

For over twenty years, I have been working with mainly churched individuals, couples, and families on personal financial matters. Many were in deep debt, concomitant stress, and joyless for long periods. Some emerged debt free in different time periods, while others stayed trapped in the debt cycle. During this time, I noted specific attitudes and behaviours that led some people out of debt, and attributes that appear to keep some folks trapped.

Ten Reasons people spend consistently more than they earn

Particularly, I noted ten reasons many folks seem to spend consistently more than they earned, and so, they remained stuck in a debt cycle. However, one significant observation surprised me. Folks who chose to stick to only some of the items on the list, never had sustained success as others who followed all of them. So, it was not good enough to set a goal, do a budget, and plan for emergencies alone. Instead, folks needed to be alert

Ways to Create a Budget for Your Household

Stability in employment, maintaining good credit, and following a household budget is the key to creating long-term financial security. Good credit scores and wise spending habits will help you save more of your money through lower interest rates and less debt. The following steps will help you maximize your credit scores and create a household budget that will eliminate waste and create savings.

• Step One – Request a free copy of your credit report from annualcreditreport.com. This report includes information from the 3 main credit reporting agencies (TransUnion, Equifax, and Experian). You are legally entitled to one free credit report annually.

• Step Two – After you receive your free credit report, thoroughly review the entire credit report for any errors or discrepancies. If you find any errors, such as: late payments, collections, inaccurate balances, or any other inaccuracy you can dispute the errors with the credit bureaus. Typically, the credit agencies reporting the disputed information will investigate the account in question and require the creditor that reported the information to provide proof of the account in question. If the creditor cannot provide evidence that you owe the debt, it would be corrected on your report.

• Step Three – Before

Steps to Maximize Your Credit Card

Your credit card is an important tool when it comes to your finances. This is precisely the reason why you should try your best to make the most of its perks. You may not realize it, but there are a number of things that you can do to maximize your card’s use.

This article presents a couple of cool tips every cardholder needs to remember.

Make best use of your Billing Cycle

The way you pay your monthly bills is crucial to maximizing your card. For instance, if you settle your dues punctually and in full, then you will be able to avoid being charged with interest. This is probably the best way to use your card. This is because you are technically getting a free loan from your card provider.

Of course, there are still a couple of tricks you can do to step things up. Consider this: if you make a charge a day before your statement is closed, then that you will have around 20-25 days to settle that charge. However, making that same charge a day after the statement is closed will give you a total of at least 55 days to pay that charge. This is because that

How To Prepare Your Credit Scores In Your 20s

Age brings with it wisdom especially when it comes to taking financial decisions. A 40-year-old may be aware about more of credit repair facts and myths as compared to a 20-year-old. However, there may be instances when people may be stuck with similar credit issues irrespective of their age.

To begin with, the key to improve your credit score is – a dynamic focus. You need to seek help from a proficient credit repair specialist and then prioritize certain things as you age in order to do away with the issues that come in your credit domain.

Things to Consider in Your 20s to Improve Your Credit Score:

In your 20s, there are specific things that calls for your attention, when it is about enriching your credit health.

Attend to the five Factors:

The first step to improve your credit score is to have a clear understanding of the rules. The actual status of your credit score is determined by five factors – debt utilization, payment history, new credit, credit length, and diversification. If you were unaware of the essential factors that have an impact on your credit score, you need to work on the strategies that will help you to take care of

Tips to Get Approval for a Home Mortgage Loan

If you are planning to apply for a home loan, check out the following helpful tips to get your application approved.

Know Your Credit Score

Credit activity and credit scores will greatly affect your mortgage approval. Lenders usually require minimum amount of credit score that should be maintained so that your conventional mortgage loan request will not be denied.

Also, having derogatory credit information might hinder mortgage approval. To avoid unwanted denial of your requested loan, you should lower your debts, pay bills on time, and fix errors on credit reports.

Save Your Cash

Mortgage lenders require down payments which depend on the kind of loan. If you have the means, pay a higher down payment. This will lower your balance and alleviates your private mortgage insurance.

Down payment is not the only fee you should be worrying about. Acquiring a mortgage also involves home inspections, title searches, closing costs, application fees, credit report fees and other fees. Save up cash for these payable fees.

Stay at Your Job

Changes on your employment and/or income status will have a major effect on the mortgage process. The information you provided in your application will be the basis of your home loan approval. Giving up a job to be

How To Prepare Income Tax This Year

Over the course of the year, I’m sure you’ve noticed the ridiculous way our Congress has acted to update our tax laws. By including tax code provisions in a highway bill, a mass transit bill, and a trade package bill- plus within the Bipartisan Budget Act and the PATH (Protecting Americans from Tax Hikes) Acts. (Those last two were, indeed, logical places to regulate taxes.)

There is a chance that the lame duck Congressional session may act on some tax regulations, but given that these folks work about 1 day a week- and then complain how many lazy folks are out across the US not entering the workforce (that is the pot calling the kettle black)- I am not sanguine they will. So, unless they do- this will be the last year that mortgage insurance will be deductible and foreclosed home debt will not be a taxable situation, among a few other items that expire this calendar year.

But, I figured it would be helpful if I combined all these changes into a coherent mass (which our legislators clearly have not), so you can be prepared for the 2016 tax season. (Remember, you file your taxes for 2016 by April 2017.

Tips To Create Budget for Your Household

Stability in employment, maintaining good credit, and following a household budget is the key to creating long-term financial security. Good credit scores and wise spending habits will help you save more of your money through lower interest rates and less debt. The following steps will help you maximize your credit scores and create a household budget that will eliminate waste and create savings.

• Step One – Request a free copy of your credit report from annualcreditreport.com. This report includes information from the 3 main credit reporting agencies (TransUnion, Equifax, and Experian). You are legally entitled to one free credit report annually.

• Step Two – After you receive your free credit report, thoroughly review the entire credit report for any errors or discrepancies. If you find any errors, such as: late payments, collections, inaccurate balances, or any other inaccuracy you can dispute the errors with the credit bureaus. Typically, the credit agencies reporting the disputed information will investigate the account in question and require the creditor that reported the information to provide proof of the account in question. If the creditor cannot provide evidence that you owe the debt, it would be corrected on your report.

• Step Three – Before

Tips To Know Your Tax Liability

Every year many tax payers have no idea whether they will owe taxes or not. Often, some tax payers feel that they may owe, but have no idea how much or why? Understanding how to determine your tax liability will not only help you make better decisions about the way you treat income, but it will go a long way to ease the stress that is often experienced when it’s time to file your tax return.

Obviously, the first variable in the tax formula is gross income. This is the aggregate of all earned and unearned income from various sources throughout the year. Income is either earned or unearned. Earned income is cash or in-kind benefits people receive in exchange for work or service, including employment and self-employment. Unearned income is cash or in-kind benefits that people receive without being required to perform work or service. Depending on the type of income you receive, as well as other variables your tax outcome could vary.

Next, certain deductions are subtracted from gross income. These deductions are referred to as above the line deductions, and are used to arrive at adjusted gross income or AGI. The name comes from their paperwork placement. They