Investing is still one of the best ways to grow wealth. You can earn as much as you want as an employee, but if your money isn’t invested properly, you will end up putting far less aside for retirement than the person that invests their money. The problem with investing in today’s economic climate is the risk of losses due to volatile markets. For that reason, you have to take a hard look at your investment strategies, and even if you consider yourself a high risk investor, you have to make changes in how you allocate funds in your portfolio. The biggest change will be how to figure out how much of your money you can safely invest in stocks while the economy struggles to recover from this recession. Continue Reading New Investment Strategies For Low, Medium, and High Risk Investors »
Some towns are taking note and learning how to survive a depression by using old tricks from history’s playbook. When people have no ready cash on hand, some towns are trying to stimulate commerce using some dollar alternatives that work in local areas. One of these alternatives is scrip, local currencies that can be used to trade within a select group of merchants. Another alternative that can work is a time bank. Instead of using dollars, people trade hours for different services. Each of these probably can’t uphold an economy all by themselves, however they do support additional ways to create commerce when cash is in short supply.
Continue Reading Dollar Alternatives Catching On In Some Towns »
In the panic to avoid losses in riskier investments, many investors fled into the treasury market only to find that the Barclay Treasury index on 20-plus year investments have returned -20% in 2009. When investing the stock market is seen as risky, the conventional wisdom is to go to government backed bonds. However, now that the economy is on the mend and higher yields are expected elsewhere there is a rush to sell these bonds. Continue Reading People Fleeing Treasury Investments »
Financial regulations are in the works to revamp the credit card industry. There will be limits put on late fees and interest penalties. While that’s a welcome reprieve for many credit card holders, what this actually means is that credit card issuers are going to be quite tough with their lending practices. Fewer people will receive offers, and those that do will have much different terms to contend with on the new cards. It will make other forms of financing, like payday loans, much more attractive than in the past. Continue Reading What Stiffer Credit Card Regulation Means »
Interest rates are low, and if you have enough equity to sell your property at break-even or for a profit, the homebuyer’s credit may be enticing you put your house up for sale. House market predictions show that home prices are rebounding in certain areas, and so the bottom of the housing market may be close, if not already over. If you are looking to upgrade, you will want to buy when prices are low and rates are high, but also when you have enough equity to jump to a new place. Before you do, realize that there are some restrictions and conditions you have to meet to take advantage of the homebuyer’s credit. For one, you or your spouse will have had to have lived in your existing home, as a primary residence, for five out of the last eight years. There are income limitations and some other restrictions, but for the most part, the average homeowner stands a good chance of qualifying for this one-of-a-kind offer that is unlikely to repeat itself within their lifetime. Continue Reading How Existing Homeowners Qualify For Up To $6,500 Credit »
Even with the stomach-churning twists and turns of 2008 and 2009, most people who continued contributing have recovered their original portfolio value. However, the stock market drop has made it obvious that as a vehicle for retirement, certain safeguards need to be put in place. For one, it’s important to understand your 401K investment strategy based on your age. Two, a 401K should not be the only way to invest your funds for retirement. Finally, 401Ks need to be managed by someone who understands the market, as the risks increase with a laissez-faire attitude. Continue Reading Are 401Ks Still A Good Idea? »
With the economic boom of the 80’s and 90’s, many membership cards cut their cost of membership to zero. You could get a credit card without an annual fee pretty easily. You could even obtain a free payday loan without much fuss. You could get a shopper’s card for free, too. Even though warehouse clubs continued to charged a membership fee, they were minimal. No one would have considered paying an upfront membership fee a good deal. Times have changed, and with it comes the reappearance of the annual membership fee. Along with it, though, is the possibility of obtaining higher value from your membership cards than you would without the fee attached. Continue Reading Membership Fees and Discount Privileges »
Next to housing, transportation is one of the highest expenses in our monthly budget. The cost of buying a new car can range from $20,000 to $50,000. The cost to insure that car can cost hundreds of dollars a month. Gas prices are over $2 a gallon, and can easily top $4 per gallon during the summer time, adding hundreds more per month to our expense column. Then, if the car has a mechanical problem, you can easily spend thousands to get something fixed. Yet, if you were to ask the average person if the cost of owning a car is worth it, the resounding answer would be “yes.” Cars are necessary to get back and forth to our jobs, and they represent a freedom of mobility and living that most Americans value. Instead of ditching the car, here are some ways to lessen the price of owning one. Continue Reading Car Decisions That Can Save You Money »
If there is one blessing in this awful economy it’s that everything is negotiable. Don’t expect that just because something is advertised at a certain price that a seller won’t take less or be willing to throw in some perk to get you to buy. Buyers, with ready cash, are few and far between, even though the picture is definitely getting better. For now, you still have the option to snag some great deals, if you learn the art of bargaining. This applies to areas like housing, maintenance, and even debt management. Continue Reading Everything Is Negotiable, If You Just Know How »
Credit card debt is something that many millions of consumers face on a daily basis. As the economy starts to recover, we often find ourselves in more debt due to economic hardships that had become unavoidable. We must now find a way to get out of debt and restore our financial independence. The real question is, can we afford to pay these minimum payments monthly and how will we ever get out of debt that way?
Continue Reading The DOLP Method »
