12 Ways To Bank Smarter: Simple Tips And Tricks To Increase Your Wealth

12 Ways To Bank Smarter: Simple Tips And Tricks To Increase Your Wealth

Matthew Goldberg  Bankrate   Wed, November 1, 2023

Banking can be complicated, with thousands of banks to choose from that each offer an exhaustive set of disclosures and fine print. And then there’s the rates and fees, all of which need to be considered carefully before you sign on the dotted line.  But these tips and tricks can help you bank smarter — so you can earn more money and save time.

1. Reevaluate Your Bank

The average U.S. adult has had the same checking account for about 17 years, according to a 2023 Bankrate survey. Customers often stick with the same bank if it doesn’t charge them fees or if they feel it would be a hassle to switch banks, the survey found.

“Just don’t fall asleep at the switch,” says Greg McBride, CFA, Bankrate chief financial analyst. “The marketplace is constantly changing with new offers, innovative products and features that might put more money in your pocket or make your life easier. Or both. So it pays to have your antenna up and be on the lookout for something that is a better deal or works better for your financial lifestyle.”

Take a look at the fees you’re paying and whether you can avoid them. If your bank requires a lofty minimum balance, for example, see if there are online high-yield checking accounts with lower minimums to sidestep maintenance fees. These banks also typically offer fee-free ATM withdrawals, plus large ATM networks convenient to home and work.

2. Don’t Assume Your Bank Is Giving You The Best Rate

You may feel your bank appreciates you as a customer, but that doesn’t necessarily mean it’s paying a competitive annual percentage yield (APY) on your funds.

To continue reading, please go to the original article here:

https://www.yahoo.com/finance/news/12-ways-bank-smarter-simple-202056149.html

Here’s Why Nearly Every Purchase Should Be On a Credit Card

Experts: Here’s Why Nearly Every Purchase Should Be On a Credit Card

October 4, 2023 By Heather Taylor

How do you know which purchases, whether they’re big or small, should be put on a credit card? This decision often depends on the type of purchase and how responsible the cardholder is with their credit card use. GOBankingRates asked experts to list the purchases you should put on a credit card versus those where you may need to exercise caution.

Put These Purchases on a Credit Card

Experts agreed that when used responsibly, credit cards should be the go-to form of payment for most everyday purchases as well as some larger ones.

Responsible credit card use helps you build your credit. Plus, credit cards typically come with benefits that you’d miss out on if you pay with your debit card, cash, checks or payment apps. Those benefits may include reward points, miles or cash.

Cash-back credit cards, in particular, are great everyday cards because they often have simple reward structures that allow you to rack up cash back on a wide range of purchases. For example, the cashRewards Credit Card from Navy Federal Credit Union pays 1.75% cash back on all purchases for cardholders with direct deposit. (Those who don’t sign up for direct deposit still pocket 1.50% cash back.) Plus, the card charges no annual fee, so you keep all that cash back you’re earning.

If you’re considering a cash-back card, don’t forget to check for sign-up bonuses, which give you another way to cash in. Navy Federal’s cashRewards Credit Card is currently offering $250 bonus cash back when you spend $2,500 within your first 90 days of opening an account. (Offer ends Jan. 1, 2024) For a limited time, you can also get a one-time $98 statement credit when you pay $49 or more for an annual Walmart+ membership using your cashRewards Credit Card.

Now, let’s take a closer look at the purchases you should be putting on your credit card as long as you can afford the costs.

Travel Purchases

Use a credit card for travel purchases largely out of necessity, said Freddie Huynh, who is the vice president of data optimization with Freedom Debt Relief. Most domestic airlines, hotels and rental car companies request a credit card to hold reservations or for payment. This is also true for those planning international travel.

In the event a debit card is accepted, Huynh said they may place a hold on the bank account associated with this card. This means the cardholder will be unable to access this amount of money until the company releases the hold.

Online Purchases

https://www.gobankingrates.com/money/finance/why-nearly-every-purchase-should-be-on-credit-card/?utm_term=incontent_link_6&utm_campaign=1249378&utm_source=yahoo.com&utm_content=9&utm_medium=rss

New Grocery Store Scams: Watch Out for These Money Traps at the Checkout Line

New Grocery Store Scams: Watch Out for These Money Traps at the Checkout Line

Andrew Lisa  Fri, October 27, 2023

Between shoplifting, return scams and even acts of violence, crime is on the rise at grocery stores. But now, criminals are targeting not just supermarkets, but unsuspecting shoppers who are simply there to buy food.

The next time you’re in the grocery store, stay alert, be aware of your surroundings and watch out for these scams — which often take place at or near the checkout line.

Beware of These Supermarket Scams

Law enforcement organizations are warning shoppers to be vigilant when grocery shopping. Both individuals and groups of criminals are targeting people with the following scams near the checkout line.

Distraction Theft

The Bethel Park Police Department issued a crime watch alert on Facebook about an increase in so-called distraction thefts.

The scam — which is not unique to small-town Pennsylvania — involves organized groups of thieves who target shoppers, typically women with purses open and exposed in shopping carts. One member of the group distracts the shopper and another swipes money, a wallet, credit cards or other valuables from the open bag.

BPPD received reports of three such crimes in a single weekend.

The Found Money Scam

The Elkhart, Indiana, Police Department issued its own Facebook warning about a scam similar to distraction theft — but this one targets shoppers at self-checkout.

Here, too, the scam involves multiple criminals working in tandem. One drops a $10 bill by the victim’s feet, points it out and uses the seemingly kind gesture as a cover to stand close and watch as the victim punches a pin number into the keypad.

The scammer then follows the victim to the parking lot, where a cooperating suspect approaches the victim and says the $10 bill belongs to them. While the victim is distracted, the original suspect swipes the victim’s card associated with the pin number they observed inside.

The Gift Card Scam

USA Today recently reported on a clever new scam involving gift cards, which are often placed close to the register for shoppers to grab as last-minute presents on the way out.

Criminals open gift cards, copy the information and replace them in a way that makes the packaging look undisturbed. When an unsuspecting customer buys the gift card, it’s automatically activated and the scammer spends the funds before the purchaser or card recipient ever has a chance.

https://finance.yahoo.com/news/grocery-store-scams-watch-money-140005952.html

This Easy Step Is An Essential Part Of Any Plan B

This Easy Step Is An Essential Part Of Any Plan B

Notes From The Field By Simon Black  October 26, 2023

Sigrid Paul was living in East Berlin in 1961 when she gave birth to a beautiful baby boy.  Unfortunately, though, her son was born with major health problems... and Sigrid had to seek out the best possible medical care to treat him.  This was more than fifteen years after World War II, and Germany had already been split between East and West for more than a decade.

Unsurprisingly, the capitalist West had substantially higher quality healthcare than the socialist East (which was really just a Soviet puppet state). In fact, the West had higher quality everything... and that’s why over three million East Germans defected to the West between 1945 and 1961.

By the early 1960s, the Soviet Union was desperate to stop the drain of talent and workers from East Germany. It was an embarrassment for them. So they slowly ramped up ‘people controls’ to keep the population of East Germany within its socialist utopia.

They started with more vigorous border check points, exit visas, “papers, please”, etc.

Many East Germans started to become anxious about what might come next, and whether they would continue to be able to travel to the West... including Sigrid Paul. She had been traveling to West Berlin regularly for her son’s medical care, and she was worried about being trapped.

But in June of 1961, the leader of East Germany set everyone’s mind at ease when he publicly proclaimed, "No one has the intention of erecting a wall."

East Germans were comforted. Their government made them a promise that everything would be OK, so they stopped worrying. And Sigrid took comfort that she would continue to be able to access West German medical care.

But that all changed when residents of East Berlin awoke on the morning of August 13, 1961 to find a barbed-wire fence and concrete barrier erected between East and West Berlin... not to mention armed soldiers backed by the Soviet Union.

Sigrid panicked. She and her son were instantly cut off from medical care.

Fortunately, a group of East German doctors were able to falsify certain medical records and transport the boy to the West, saving his life.

But Sigrid was not permitted to go with him. Soviet bureaucrats forced her to remain. And when she was caught planning an escape to be with her son, she was arrested and served four years in prison.

If Sigrid had taken the risk seriously, she could have simply walked across the border to the West and started a new life there... when the option was still available. But like so many others, she ignored the obvious warning signs and believed the experts who told her that everything would be OK.

As a result, she was separated from her son and lived under a totalitarian regime until it finally collapsed in 1989.

Sigrid’s story is obviously an extreme case. But at its fundamental core it is a theme that is very common among human beings.

Most people are optimists who suffer from a bad case of normalcy bias. We really want to believe that tomorrow will look very much like today. And even when there are really bad warning signs flashing, our optimism and normalcy bias cause us to ignore the risks.

That’s especially true when our leaders make expert proclamations. And we’ve certainly seen our share of those:

Ten days to stop the spread. Silicon Valley Bank is safe. The Taliban won’t retake Afghanistan. No one will touch your Social Security. The debt doesn’t matter. Deficits don’t matter. America can afford two wars.

The list goes on and on.

For example, as I mentioned earlier this week, by 2031, US tax revenue will not even cover mandatory entitlement spending (like Social Security) and annual interest payments on the national debt.

This is according to the Congressional Budget Office, i.e. a US government agency.

You can practically circle a date on your calendar for a major financial crisis: 6 years, 11 months, 26 days from now.

To think that this doesn’t pose a huge risk to prosperity and stability within the United States is beyond delusional.

Meanwhile, civil unrest already seems to ignite on the streets across the US at the slightest provocation. Crime is at ridiculous levels. Imagine what this will look like when real economic pain hits.

In the face of such obvious risks, it makes a lot of sense to have a backup plan.

And one crucial aspect of a Plan B is having another place to go, where you are entitled to live, work, and raise a family.

That’s what gaining a second residency can do for you.

Obviously no place is perfect. But having a second residency abroad means that you’ll always have another place to go... another option. And more options means more freedom, more safety, more diversification, less risk.

Generally there’s zero downside in having this benefit. And there are plenty of different ways to do it:

For example, Golden Visas are popular residency programs in European countries such as Portugal and Greece. In exchange for an investment, you get an easy residency without burdensome requirements to spend a large amount of time on the ground in the country.

In Greece, the option to invest in real estate worth at least €250,000 (which you could use personally or rent out) is still available. Portugal recently scrapped its property investment option, but you could still get its Golden Visa for as little as a €200,000 investment in a cultural heritage project.

That’s actually another reminder to act while the offer is good— the best options don’t last forever.

But if you don’t want to spend that kind of money, there are plenty of residencies available to those who can simply prove they receive a certain amount of retirement, investment, or employment income.

Mexico and Costa Rica are examples of popular options for Americans, because of their proximity to the US and relatively low criteria to qualify.

In Mexico, retirees can gain permanent residency with an income of about $6,000 per month, or by showing about $240,000 worth of investments and bank balances. Qualifying for temporary residency is easier, and only requires an income of about $3,600 per month or balances of $60,000. (That’s about double the price from a couple years ago due to the strengthening of the peso— yet another reminder to act sooner rather than later.)

Costa Rica only requires a monthly income of $1,000 for retirees and $2,500 for remote workers, or an investment totaling $150,000 in various categories including real estate, business, or even vehicles.

Then there is Panama, which offers paths to residency for retirees and through a Golden Visa.

Retirees only need an income of $1,000 a month, through a pension or Social Security, to qualify for Panama’s pensionado visa.

Or a $200,000 investment in real estate could allow nationals of “Friendly Nations Treaty” countries, including the US, Canada, and many European countries, to gain residency in Panama. (For others, the Golden Visa requires a $300,000 investment).

I had the opportunity to look at some real estate in Panama when I was there a few months ago, and let me tell you, $200,000 goes a lot further there than in the US.

Of course these are far from your only options. The point is that there are plenty of accessible ways to gain a second residency in a country of your choosing.

And that is a pretty sensible thing to do given all the risks on the horizon.

To your freedom,  Simon Black, Founder  Sovereign Man

https://www.sovereignman.com/international-diversification-strategies/this-easy-step-is-an-essential-part-of-any-plan-b-148395/

Congress Forecasts America’s Fiscal Train Wreck For 2031. Here’s How A Plan B Can Help

Congress Forecasts America’s Fiscal Train Wreck For 2031. Here’s How A Plan B Can Help

Notes From the Field By Simon Black  October 24, 2023

Yesterday I wrote a comprehensive explanation of the extreme fiscal catastrophe that the US faces thanks to the federal government’s relentless spending addiction.

I wrote, for example, that the US national debt is now $33.6 trillion… and it has increased more than HALF A TRILLION DOLLARS just so far this MONTH. Astonishing.

And it’s a pretty safe bet that the US government will continue its wild spending spree.

I’m not being pessimistic when I say that. In the last fiscal year which just ended a few weeks ago, a whopping 83% of US tax revenue was spent JUST on Social Security/Medicare, the military, and interest on the national debt.

And spending on those three programs is probably not going down.

Does anyone honestly think that a majority of politicians in Congress will slash defense spending at a time like this? Or eliminate Social Security? Or default on the national debt?

Those three spending items can’t really be cut. In all likelihood they will INCREASE.

Given all the conflict in the world, US defense spending will probably grow. Social Security spending is already scheduled to increase according to the program’s own published forecasts.

And, considering how quickly the national debt is rising-- coupled with higher interest rates-- annual interest payments will skyrocket.

This means that spending on Social Security, military, and interest, will likely increase from 83% of tax revenue, to ONE HUNDRED PERCENT of tax revenue, over the next several years.

America will have to go into debt to fund everything else in the federal government, from Veteran’s Benefits to Homeland Security.

But don’t take my word for it. Even the Congressional Budget Office (CBO), which is a government agency of the United States Congress, agrees.

The CBO’s most recent 10-year forecast shows that mandatory entitlement spending (like Social Security) plus annual interest payments on the national debt, will EXCEED all US federal tax revenue by 2031. And that doesn’t even include defense spending!

This reality is only SEVEN YEARS AWAY.

Yet if that train wreck weren’t enough, remember that Social Security’s key trust fund will also run out of money two years later in 2033, according to the program’s most recent annual report. And bailing out Social Security will cost trillions of dollars just to get started.

So, just to be clear, the government’s own projections show that they will reach the fiscal point of no return in just seven years… and then require a multi-trillion dollar bailout of Social Security two years later.

Yet as grim as that timeline may be, these government forecasts also naively assume that there will be no major war, pandemic, or national emergency in the meantime. So in reality the doomsday may be much closer.

I’m not being dramatic or sensational. Again, I’m literally citing US government forecasts.

But is this cause for panic? Absolutely not.

Now, of course there will be major consequences.

For example, a lot of politicians will tragically find themselves out of work… but there won’t be any money available to pay them unemployment benefits. The government will shrink considerably, and legions of bureaucrats will have to find productive jobs in the private sector.

People who depend on government handouts will no longer have a generous sugar daddy to take care of them. Bankrupt state governments won’t be able to rely on federal bailouts anymore and will have to start acting responsibly.

Clearly a lot of these consequences will be good.

But at the same time, it’s important to acknowledge that millions of unsuspecting people will have their lives turned upside down from the negative consequences.

Social Security is in serious trouble; 50+ million people are at risk of having their benefits slashed by 2033.

There’s also a very high likelihood that the Federal Reserve will start cutting interest rates and printing money again in order to bail out the federal government… thus creating a LOT more inflation.

Taxes will almost certainly rise. Crime could definitely increase, especially petty theft and robbery. And business conditions could be a lot more difficult; it will be harder to raise capital, harder to borrow, and harder to sell, causing a number of companies to either fail, or to never be started in the first place.

There are definitely serious, serious consequences ahead. But it’s important to keep a level head: the United States is not going to fall into the ocean and cease to exist.

Even under much more difficult conditions, the United States will still have a massive, diversified economy and extraordinary talent pool. The brilliant entrepreneurs, engineers, and professionals across America won’t suddenly become dumber just because the currency loses value, or because the Department of Commerce is eliminated.

There will always be substantial opportunity for talented, independent-minded people to become successful. And this has been the case for virtually all of human history.

Nations and empires have been going broke for thousands of years. Currencies have been debauched for just as long.

But people who understood these risks have typically been able to position themselves for success… and to mitigate the risks in their own lives.

Today this is even easier to do. And that’s really what’s at the core of having a Plan B.

The idea of a Plan B is to form a rational view of obvious risks, and then take sensible steps to reduce their impact… or even benefit from them.

For example, if Social Security forecasts running out of money by 2033, it makes sense to spend the next several years setting aside more money for retirement in the most flexible and robust structure you can establish.

Fortunately, such structures exist-- like a solo 401(k).

If it’s a near certainty that taxes will rise, there are plenty of legal ways to reduce what you owe. And you can use the tax savings to set aside more money for your retirement, which feeds back into the suggestion above.

If crime rates spike and civil disturbances become more frequent, it makes sense to consider having another place to go for you and your family to be safe. That might be somewhere overseas in a country where you enjoy visiting and your kids could pick up foreign language proficiency.

It might even be a place where you could one day become eligible to apply for a second passport, creating a lifetime of benefit and flexibility for your entire family.

If the value of the US dollar is going to decline… and the rest of the world seems likely to find a replacement as the dominant reserve currency… it makes sense to find alternative assets that can hold their value over time.

Having a Plan B isn’t about doom and gloom pessimism. It’s a completely rational way to approach the obvious problems in the world… while acknowledging that there’s still tremendous opportunity ahead.

Simon Black, Founder  Sovereign Man

https://www.sovereignman.com/international-diversification-strategies/congress-forecasts-americas-fiscal-train-wreck-for-2031-heres-how-a-plan-b-can-help-148390/     

19 Dangerous Scam Phone Numbers and Area Codes To Avoid

19 Dangerous Scam Phone Numbers and Area Codes To Avoid

By Joshua Rodriguez

Area Codes To Avoid  About Scam Numbers  Common Phone Scams

Scams are becoming more and more prevalent. They’re so common that experts have coined the term “scam economy.” Unfortunately, it’s easy to change a phone number, and scammers often do so to avoid getting caught. The good news is that scams operate in many known area codes, so you can avoid being the next victim simply by watching for known scam phone numbers.

Wouldn’t it be great to have a list of scam phone numbers handy to avoid them altogether? Keep reading to learn more.

19 Area Codes for Common Scam Phone Numbers

More than 300 area codes exist in the United States alone. The good news is that if a scammer is calling, often it will show up under common area codes. Here are 19 area codes you should never answer if you don’t know who’s on the other end.

List of Scam Phone Number Area Codes

216: Cleveland, Ohio

218: Northern Minnesota

232: Sierra Leone

268: Antigua and Barbuda

284: British Virgin Islands

332: New York City

347: New York City

469: Dallas, Texas

473: Grenada, Carriacou and Petite Martinique

649: Turks and Caicos Islands

646: Manhattan

657: La Palma, California

664: Montserrat

712: Western Iowa

767: Commonwealth of Dominica

809: Dominican Republic

829: Dominican Republic

849: Dominican Republic

876: Jamaica

What Is a Scam Phone Number or Area Code?

Scam phone numbers and area codes typically involve calls you receive from numbers you don’t recognize. Often there is no customer service you can contact or law enforcement you can involve for these calls obfuscated by distance or sheer volume. Changing a phone number is easy, so it’s challenging to catch every scam phone number out there.

However, if you get a call from a phone number or area code you don’t know, it’s likely best to avoid picking up the call and research the following before you call back:

https://www.gobankingrates.com/money/financial-planning/list-of-scammer-phone-numbers/?hyperlink_type=manual&utm_term=related_link_1&utm_campaign=1248370&utm_source=yahoo.com&utm_content=1&utm_medium=rss

Frugal Living Tips for a Balanced and Stress-Free Life

Frugal Living Tips for a Balanced and Stress-Free Life

By Denisse Garcia   Updated October 10, 2023

Frugal living is not just about saving money, it’s a way of life that encourages you to spend wisely and live well to lead a happier life. Frugal living is all about spending your money on the things that actually matter to you. Take your first steps towards frugal living with these tips in mind.

What Is Frugal Living?

Frugal living is a lifestyle of being mindful of your spending and focusing on your top financial priorities. It’s about being resourceful and avoiding waste, not being cheap or depriving yourself of what you enjoy; instead, it’s about finding ways to live a fulfilling life while spending less money.

At its core, frugal living is a lifestyle about managing your finances wisely, like a financial guru, but without the fancy jargon. Here’s the lowdown:

Mindful Spending: Frugal living begins with an awareness of where your money goes. It’s not about saying “no” to every expense but saying “yes” with purpose.

Prioritizing Your Bucks: Your money is like an army of soldiers. You want them to march into the battles that matter most. Frugal living means identifying your financial goals and directing your resources toward them. Whether it’s paying off debt, saving for a dream vacation, or investing for the future, you’re on a mission.

Resourceful Living: Have you ever heard the phrase “Use it up, wear it out, make it do, or do without”? Frugal living embodies this. It’s about being resourceful, finding creative solutions, and reusing what you have before rushing to the store.

Waste not, want not: Wasting money? Not in the frugal playbook. Whether it’s food, energy, or time, you’re all about minimizing waste. Leftovers become tomorrow’s lunch, lights are off when you leave the room, and you make every minute count.

Quality Over Quantity: Frugal living doesn’t mean settling for cheap, low-quality stuff. It’s more about getting the best value for your money. You invest in items that will last and serve you well, even if they cost a bit more upfront.

Living a Fulfilling Life: Perhaps the most important aspect of frugal living is that it’s not about deprivation. You’re still savoring life’s pleasures, but in a way that aligns with your values and financial goals. It’s enjoying that fancy coffee or night out with friends, but in moderation and without breaking the bank.

Frugal Living Benefits

Frugal living can have a positive impact on reducing stress levels. Financial stress is one of the leading causes of anxiety and depression, and living beyond your means can lead to a constant feeling of worry and fear. By living within your means and being mindful of your spending, you can have control over your finances and reduce your stress levels.

To continue reading, please go to the original article here:

https://porch.com/advice/frugal-living

Here's What 'Wealthy' Means In 2023 America, In Five Numbers

Here's What 'Wealthy' Means In 2023 America, In Five Numbers

Daniel de Visé, USA TODAY  Mon, October 23, 2023

What does it take to be wealthy in 2023? A million dollars in the bank? Two million? How about a salary in the high six figures?  In different ways, the average American family feels both wealthier and poorer now than a few years ago.

Median household wealth hit $192,900 last year, up 37% since 2019, the largest jump in the history of the Federal Reserve’s Survey of Consumer Finances.

But inflation also hit a 40-year high in 2022, and in 2023, interest rates surged to the steepest mark in 22 years, developments that left everyone’s purse feeling a bit lighter.

Many Americans still strive for that first million. Yet, thanks to inflation, an item that cost $1 million in 2019 would cost $1.2 million today.

In a recent survey of 2,000 Americans by the personal finance site LendingTree, 59% said they do not believe they will ever become wealthy.

Here, then, are five numbers that illustrate what it means to be wealthy in America today.

$2.6 Million

That lofty sum represents the net worth of the median American family in the upper 10% of income, a range that most of us would deem wealthy. The figure comes from the federal Survey of Consumer Finances, released Wednesday.

“Generally speaking, we might consider the top 10% of households by income as wealthy,” said Cristian deRitis, deputy chief economist at Moody’s Analytics.

Household wealth swelled at a record pace between 2019 and 2022. The government handed out an unprecedented series of stimulus checks. Lockdowns kept Americans at home and encouraged saving. Stocks and home values surged.

But inflation and rising interest rates have slowed the celebration.

“The market was down last year, and it still has not recovered from the peaks of late 2021, so there’s that,” said Robert Brokamp, senior retirement adviser at The Motley Fool and a certified financial planner.

$483,000

That is how much Americans believe they would need to earn in a year to be rich, according to an online survey of 2,521 adults conducted for Bankrate by YouGov on June 5-7 2023.

Sound daunting? The number is more than six times the $75,203 in average salary earned by full-time workers in 2021, as reported by the U.S. Census.

In the Bankrate survey, 72% of Americans said they feel financially insecure because of lingering inflation and rising interest rates.

Financial experts caution, though, that income doesn’t always equal wealth.

To continue reading, please go to the original article here:

https://finance.yahoo.com/news/heres-wealthy-means-2023-america-092134449.html

Don’t Mail a Check or Other Financial Docs on This Day of the Week

Don’t Mail a Check or Other Financial Docs on This Day of the Week

Angela Mae   Wed, October 18, 2023

Many people send important financial documents — such as checks, money orders and tax returns — in the mail. While this method might not be as fast as, say, emailing them, it may be more secure. This is because personal information sent via email is more vulnerable to hackers than physical ones. Emailing documents also might leave you more susceptible to identity theft or fraud.

But even mailing out documents isn’t a foolproof method of getting them where they need to be. After all, your documents and the information in them still could get lost or stolen. There also could be delays when sending them, particularly if you choose a busy time of the day or week.

The next time you decide to mail a check or other important financial documents, think twice before sending them on certain days of the week. More than that, make sure you’re using the most secure method possible to protect your information and prevent any issues from occurring.

Best Days To Mail Financial Documents: Monday Through Thursday

Even though the local post office might be open or the mail carrier could be collecting mail on other days, the best days to send financial documents is during the week. In particular, Mondays through Thursdays are likely to be your best bet if you want to ensure quicker delivery times.

“In my experience, the best days to mail financial documents are early in the week — Monday, Tuesday or Wednesday,” said Rahul Paragi, founder of NamesPilot.com. “The postal service has fewer items to process on those days, so letters and packages tend to move through the system faster.”

This holds true when sending non-financial documents as well.

Nicole Beauchamp, a senior global real estate advisor and licensed associate real estate broker at Engel & Völkers, added that she sends other types of documents during the middle of the week as well.

“I typically try to do Tuesday to Thursday when sending things,” she said.

Worst Days To Mail Financial Documents: Friday through Sunday

To continue reading, please go to the original article here:

https://news.yahoo.com/finance/news/don-t-mail-check-other-210054554.html

This Strategy Cuts the Tax Bill of American Entrepreneurs in Half

This Strategy Cuts the Tax Bill of American Entrepreneurs in Half

October 18, 2023  Notes From The Field By Simon Black

 One of the many Orwellian habits of politicians is give cute acronyms to their idiotic legislation.

The CARES Act from 2020, for example, stood for “Coronavirus Aid, Relief, and Economic Security”.

The CARES Act was one of the most destructive pieces of legislation in US history; it paid people to stay home and NOT work, which decimated the US labor market. And it also cost tax payers hundreds of billions of dollars in fraud from the “Paycheck Protection Program”.

But, hey, at least the CARES act shows that they care.

Another ridiculous acronym is the GILTI tax, which stands for Global Intangible Low-Taxed Income. It’s supposed to be pronounced “GUILTY”, which is completely absurd.

First, let me give you some background.

Most countries around the world impose RESIDENCY-based taxation, i.e. you generally only pay taxes if you live in that country. If you move away, you don’t have to pay tax there anymore.

Even high-tax countries like France don’t tax their citizens who leave France. So if a French citizen moves to Singapore or Costa Rica, he/she no longer pays most French income taxes.

The United States is almost unique in the world in that it imposes citizenship-based taxation, requiring US citizens to file and pay federal taxes… even if they move overseas.

Until recently, however, this same rule did NOT apply to US companies; for decades, US companies could ‘move’ overseas, i.e. establish foreign entities in low-tax jurisdictions around the world. And those low- or no-tax foreign entities would not owe any tax in the US.

Enormous companies like Apple, Google, and Facebook famously all took advantage of this benefit by planting their tax flags in low-tax jurisdictions like Ireland or British Virgin Islands.

Doing so saved these companies tens of billions of dollars in taxes, much to the ire of politicians who think they know how to spend everyone’s money better than we do.

So, in 2017, politicians finally changed the law. And US companies who own foreign companies in low-tax jurisdictions became subject to this new GILTI tax… because that’s precisely how the government wants you to feel about reducing your tax bill: guilty.

Of course this is ludicrous. No one should feel guilty for following the government’s own rules to legally reduce their tax bills.

After all, politicians don’t exactly spend your money responsibly, wisely, or oftentimes even ethically.

We’re always told that we should voice our discontent with government in the voting booth. But if we’re being intellectually honest, elections have rarely made things better.

If you really have a problem with the way that incompetent politicians spend your money, then a far better approach is to use their own rules to minimize the amount of money you have to pay them. Simple.

And, ironically, the “GILTI” tax actually presents an interesting strategy to reduce taxes, especially for entrepreneurs and business owners in the Land of the Free.

That’s because, instead of actually punishing or forbidding the ownership of low-tax foreign companies, GILTI inadvertently ENCOURAGED it.

In the past, a US business could set up a new company, along with a tiny office, in a place like the British Virgin Islands where the tax rate is 0%.

All of the employees were still in the US and employed by the US company. All of the work was being done in the US. But all of the revenue, and all of the profit, was being booked by the British Virgin Islands company.

The net result was that the US business, through its BVI company, paid 0% tax.

The one catch was that all the money essentially had to stay in the BVI. If the BVI company paid any of its profits back to the US business, there would be substantial tax to pay.

GILTI changed all of that.

The new rules still allow US businesses to own foreign companies. But now, whenever the foreign companies generate a profit, those foreign profits are immediately taxable in the United States.

Bizarrely, though, the foreign companies’ profits are entitled to a 50% tax discount. Since the current corporate tax rate in the US is presently 21%, this means that foreign profits are taxed at 10.5%.

Now, 10.5% is obviously a lot more than 0%.

But the key benefit of the GILTI rules is that a US business can bring in ALL of its foreign profits, immediately, at the discounted tax rate.

Once that money is in the US, it can be plowed back into the business, or invested in a variety of other asset classes, including stocks, real estate, etc.

Clearly there are a multitude of additional rules and details to understand-- I’ve only provided a very high-level overview; and anyone considering this approach should seek professional tax advice.

For example, this structure is more difficult to implement for brick-and-mortar businesses… though it is especially compelling for online-based businesses, including drop-shippers.

The larger point is to show that there are so many completely legitimate ways to save a lot of money in your annual tax bill. And that’s nothing to feel gilti about.

Simon Black, Founder   Sovereign Man

https://www.sovereignman.com/international-diversification-strategies/this-strategy-cuts-the-tax-bill-of-american-entrepreneurs-in-half-148367/

Financial Expert Warns You’re Missing Out on Wealth by Hoarding Money

Financial Expert Warns You’re Missing Out on Wealth by Hoarding Money — Here’s How

Yaёl Bizouati-Kennedy   Tue, October 17, 2023

While inflation is cooling down — standing at 3.7%  in September, according to the Oct. 12 Consumer Price Index (CPI) — it is still a far cry from the Federal Reserve’s 2% target goal. In turn, the Fed seems poised to raise rates at least once more this year — which would continue to put pressure on Americans’ wallets.

Against this backdrop, it’s no wonder that some may find the “cash is king” mantra attractive. Yet, experts warn that you could be missing out on wealth by hoarding money.

Why Does It Hinder Building Wealth?

If all of someone’s assets are held in cash, they forgo the wealth-building potential of stocks, stock mutual funds and ETFs (exchange-traded funds), as well as other equity assets, said Dr. Barbara O’Neill, CFP, AFC, CRPC, at RetireGuide.com and owner and CEO of Money Talk.

“It is simply an opportunity cost question; i.e., losing the opportunity to earn higher returns elsewhere,” she said in her statement to GOBankingRates.

O’Neill added that money grows slower in cash assets than it does in equities. In turn, this means that someone will have much less money saved when they retire if they hoard cash for 20 to 40 working years, instead of maintaining a diversified portfolio.

“Cash assets also generally lose purchasing power due to the effects of taxes and inflation. The after-tax return earned on cash assets is often less than the inflation rate, which means that savings dollars will buy less,” she added.

Taxes on Generational Wealth Just Changed: Here’s What You Should Know

https://news.yahoo.com/finance/news/3-top-stocks-gain-inflation-115800459.html