How You Can Lose Your $1,400 Stimulus Check By Filing Taxes Early
.How You Can Lose Your $1,400 Stimulus Check By Filing Taxes Early
Sigrid Forberg Mon, February 22, 2021,
It often pays to file your taxes promptly (hello, early refund), but this year some taxpayers may want to wait a bit — to get more cash in the third round of COVID stimulus checks.
Though many Americans stand to receive a higher payment by submitting their 2020 return quickly, that's not true for everyone. Your 2020 taxes might, in fact, keep you from receiving the full $1,400 in the new go-round — or prevent you from getting any stimulus check this time.
If you're counting on pocketing the maximum amount, so you can use the money to invest, build up your emergency savings or pay down debt, here’s why you may want to put your taxes on hold.
5 Major Money Mistakes To Avoid Once You Turn 60
.5 Major Money Mistakes To Avoid Once You Turn 60
Laura Woods Sun, February 21, 2021
You’ve been working hard your entire adult life and you’re finally nearing retirement. The prospect of having more time to relax and enjoy yourself is exciting, but you’ll need money to do that.
As you wrap up your peak earning years and prepare to step away from the workforce, it’s important to make smart money moves that will protect your nest egg. All it takes is one poor financial choice to throw a wrench in your plans — and financial stability — so take the time to make informed decisions.
When faced with a large amount of cash, it can be tempting to share it with loved ones — i.e., your children — or indulge yourself with luxury items. However, this money needs to last your entire retirement, which could span decades. Here’s a look at common financial blunders you don’t want to make as you get older if you want to avoid a major financial setback.
Wealth Preservation Strategies Of The Rich
.Wealth Preservation Strategies Of The Rich
By The Investor
Protecting your wealth for the future
You and I are advised to put our money into simple portfolios and to invest in shares for the long-term for our retirement. But once the preservation of wealth becomes more important than growing it, other strategies come into play. The preservation of wealth for the super-rich usually entails:
Wide diversification at the expense of higher returns - Reduced volatility - A focus on real assets such as property and gold - Investment in illiquid and unlisted securities and companies - Paranoia over taxes
In fact, I doubt there’s a rich person in the world getting by with an index tracker, a savings account, and a wodge of Government bonds.
The Really Obvious Thing We All Forget When Borrowing Money
.The Really Obvious Thing We All Forget When Borrowing Money
by THE INVESTOR
Have you ever wondered who you’re borrowing money from when you go into debt? If you think you’re being given money by a bank or credit card company, think again. In this piece I’ll explain in one sentence who is really lending you money when you borrow. The rest of the article will explain why it costs you more than you might think to take it.
Borrow now, and have less later
Loans, mortgages and credit cards are mechanisms through which you can borrow money. They don’t give you a penny to spend. So where does the money come from? When you borrow money, you’re borrowing from your future self. Loans and credit cards turn the impossible into reality, taking money you’ll have in the future and giving it to you today. It’s an almost magical process that clouds where the borrowed money comes from, and what it actually costs.
Coping With The Guilt Of Losing Money
.Coping With The Guilt Of Losing Money
By The Investor
I accept it’s normal to feel frustrated, angry, or even downright stupid when you lose money on your investments.
But what about guilt?
My portfolio’s fall from its peak value in summer 2007 to a low in October 2008 represents a big loss for a 30-something private investor like me: at least a couple of years of after-tax income in cash terms. More importantly, the losses meant I had fewer options in October 2008 than the year before. I’d originally begun investing to build up a house-buying war chest for when the over-valued housing market corrected itself.
After several years waiting, house prices were finally falling, but my investments had fallen further. It was my sister who put it simplest and best, when I explained to her my fate:
“Ah, I see. If only you’d sold all your investments and put the money into a savings account! Now you’d have even more money, and you could buy a cheaper house.”
My sister was a 100% right.
How People Learn to Become Resilient
.How People Learn to Become Resilient
By Maria Konnikova February 11, 2016
Perception is key to resilience Do you conceptualize an event as traumatic or as a chance to learn and grow
What Matters Is The Intensity And The Duration Of The Stressor
Norman Garmezy, a developmental psychologist and clinician at the University of Minnesota, met thousands of children in his four decades of research. But one boy in particular stuck with him. He was nine years old, with an alcoholic mother and an absent father. Each day, he would arrive at school with the exact same sandwich: two slices of bread with nothing in between. At home, there was no other food available, and no one to make any.
Even so, Garmezy would later recall, the boy wanted to make sure that “no one would feel pity for him and no one would know the ineptitude of his mother.” Each day, without fail, he would walk in with a smile on his face and a “bread sandwich” tucked into his bag.
The boy with the bread sandwich was part of a special group of children. He belonged to a cohort of kids—the first of many—whom Garmezy would go on to identify as succeeding, even excelling, despite incredibly difficult circumstances.
What Is A Wealth Advisor And Are They Worth It?
.What Is A Wealth Advisor And Are They Worth It?
Ideally, it’s safe to say that a majority of people would love to have a personal fortune that may require working with a wealth advisor. And if you have reached a point in your life where you need help with your assets and wealth, then you have reached a status that many others dream about! But having a massive net worth and more money can come with even more responsibilities you might be unsure about. Even if you know finances and investing quite well, you should consider an expert to help you maintain your fortune.
That’s where a wealth advisor can be your trusted financial partner. Their goal is to ensure your needs are met and that you are set up successfully for now and the future.
But what do wealth advisors do exactly? What should you look for if you need one?
This Free Gift From The Government Is Going To Expire In A Few Years
.This Free Gift From The Government Is Going To Expire In A Few Years
Notes From The Field By Simon Black
February 18, 2021 Miami, Florida
In the early first century AD, in the final years of his reign, the Roman emperor Augustus imposed a new tax on his subjects called the vicesima hereditatium. In Latin this means literally “twentieth of inheritance”, and in effect it was a 5% tax (i.e. 1/20th) on money and property that was inherited after someone died.
Augustus exempted close relatives from paying the tax-- so someone’s children, for example, didn’t have to pay. But everyone else had to fork over a piece of the action to the Roman state. Subsequent Roman emperors modified the law; Trajan, a second century AD emperor, created a ‘floor’ for the tax, so that anyone who inherited below a minimum amount wouldn’t have to pay.
And, as you can imagine, the tax rate rose over time.
36 Things That Are Worth the Money
.36 Things That Are Worth the Money
These are the products and experiences worth splurging on.
By Jaime Catmull November 4, 2020 Savings Accounts 101
It’s always tempting to look for the best deal, but some things are simply worth splurging on — even if you’re on a budget. As you decide when to spend and when to save, consider where quality matters to you and which experiences are on your to-do list. I spoke to financial experts and business leaders to get insight into their thoughts on the best ways to spend money. Some of these recommendations — like international travel — might not be realistic now, in the middle of a pandemic, but they’re still worth keeping in mind for the future. These are the purchases experts say you won’t regret.
Hiring a Virtual Assistant
Anthony Clervi, managing partner at Una, said investing in a virtual assistant can be “invaluable.” Hiring an efficient assistant to take care of administrative tasks enables you to focus more on the aspects of your work that need your attention and could help shave hours off your workweek. Virtual assistants typically cost an average of about $16 an hour, according to PayScale.
Americans’ Biggest Financial Regrets
.Americans’ Biggest Financial Regrets
Laura Woods Last updated: Feb. 16, 2021
The old saying often rings true — hindsight is 2020. Everyone makes mistakes, and many of these blunders involve money. Many financial decisions seem like a good idea in the moment, but a few weeks, months or even years later, you realize they weren’t the best choice. A 2019 survey conducted by Policy Genius highlights Americans’ biggest financial regrets of the decade. If you’ve ever made a major purchase you regret or opted to spend money when you should’ve been saving — admit it, you have — you’re not alone.
The good news is, financial mishaps can be corrected. If you’re willing to make meaningful changes, you can get yourself out of an uncomfortable financial situation. This might involve making tough sacrifices and/or working extra hours, but it’ll be worth it in the end.
Here’s a look at the top financial regrets, along with advice to help make the problem a thing of the past.
25 Things You Should Never Do With Your Money
.25 Things You Should Never Do With Your Money
Roger Wohlner August 28, 2020·
There is possibly an endless list of things you shouldn’t do with your money. But from bad habits to decisions based on wishful thinking, some of the bigger missteps can really cost you. To find out the biggest money mistakes you should avoid, GOBankingRates asked financial experts for their best advice.
Never Cash Your Paycheck Right Away
If you cash your paycheck right away, you might burn through it too quickly. “You will most certainly spend it all if you cash your paycheck rather than have your employer directly deposit it into your bank account,” said Barbara Friedberg, a personal finance consultant. “Even better is to automatically transfer a percent of your paycheck into a retirement investment account and direct-deposit the remainder into a bank account.”
One advantage of having a workplace retirement plan, such as a 401(k), is that money is automatically deducted from your pay and invested. You don’t see it, so you won’t spend it. You can use a budgeting template to get the most mileage out of your paycheck.