7 Ways to Develop Financial Trust in Your Relationship

7 Ways to Develop Financial Trust in Your Relationship

If you find that you're constantly fighting about money or hiding how you spend money from your partner, it may be time to rethink your relationship goals and values. Fighting about money can create tension in a relationship and make it challenging to accomplish future goals. When one spouse gets frustrated with the other, it can seem like you're on an island all on your own, trying to resolve a difficult situation. How can couples develop and build financial trust in their relationship?

From creating a long-term goal to paying bills on time, here are several tips for developing financial trust in your relationship.

Seven Key Couples can Create Financial Trust

Share a Joint Credit Card

Establish Clear Boundaries

Have Regular, Transparent, and Productive Discussions

Be Open and Honest About Financial Situations

Time + Planning = Trusting Financial Relationship

Pay Bills on Time

Discuss Finances Before Marriage

Share a Joint Credit Card

Opening a joint credit card is a great way to build and develop financial trust. Being transparent and on the same page when it comes to handling money is a crucial aspect in any relationship.

This allows couples to develop a line of credit that'll benefit future investments if both parties maintain a good credit score. It also helps couples define their combined budget, savings, and expenses more than having completely separate finances.

- Gigi Ji, Head of Brand and Business Development, KOKOLU

Establish Clear Boundaries

Couples can develop and build financial trust in their relationship by establishing clear boundaries. In other words, couples need to define what's theirs and what's not clearly. This can help them avoid unnecessary conflicts and misunderstandings and prevent any nasty surprises when one partner wants to spend money on something they've already agreed not to do.

It's also important for couples to address any financial disagreements as soon as possible so they don't fester and become bigger problems later on. When couples ignore their financial disagreements, it can lead to resentment and even result in divorce. Therefore, I believe couples who can talk about their money issues openly and honestly are much more likely to find a solution that works for both parties.

- Tiffany Homan, COO, Texas Divorce Laws

Have Regular, Transparent, and Productive Discussions

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

https://www.harriscashcoach.com/post/7-ways-to-develop-financial-trust-in-your-relationship?fbclid=IwAR2n1HJnL5Bh_R2jMZNHOU06ddMY8ZG5bKwWwxVhSmhawzLmYu0iZroF8o0

Top 9 Financial Resolutions for the New Year (2023)

Top 9 Financial Resolutions for the New Year (2023)

New Year New Me with resolutions written on a notepad on a coffee table with a laptop, pencil, and plant.With each new year comes the perfect opportunity to reflect on the progress of your financial life and create actionable goals for the 12 months ahead. While most people focus on saving more money and paying down debt, others place importance on shifting behaviors around money management and increasing their income in an attempt to improve one’s financial circumstances.

Millions of Americans will create a New Year’s resolution in 2023, but only a fraction of them will succeed in achieving their goals. It’s discouraging to resort to half-measures or outright failure for weeks or months at a time, prompting most people to abandon their resolution altogether.

One solution is to set attainable financial goals that take small steps in the right direction rather than unlikely giant leaps. If you’re planning to make the new year your best one yet, check out our top financial New Year’s resolutions to get you started with a bang.

Top 9 Financial New Year’s Resolutions

1. Boost Your Credit Score

One of the most powerful financial moves you can make in the new year is checking your credit history reports and improving your scores. You can view your reports for free with the three major credit bureaus, Equifax, Experian, and TransUnion, once every 12 months through AnnualCreditReport.com.

Checking your credit reports and credit scores gives you the information you need to make changes, if necessary, and identify any errors that need to be corrected. With a clean credit report and good credit score, you will have access to more affordable credit now and in the future.

This can save you hundreds to thousands of dollars if you are thinking about taking on some form of financing in the new year.

2. Evaluate Your Debt

Another smart resolution for the upcoming year is taking a close look at your current debt. Having consumer debt, including credit card balances, personal loans, student loans, or a mortgage isn’t necessarily a bad thing. However, interest accruals on these debt balances can add up to a significant amount over time. You could also be potentially hurting your credit score.

Look at what you owe and the interest rate on each debt, then determine what might be available for extra payments. When paying extra is not a feasible option to reduce your debt load, consider alternatives such as a debt consolidation loan or debt relief program for additional assistance.

3. Work on Your Budget

Another important financial resolution that will add money to your wallet is committing to working on your budget. Figuring out what money is coming in and where it’s going every month can be an enlightening process.

If you’re noticing that you don’t have as much as you’d like to set aside for retirement, investments, or savings, looking at your budget can reveal where you may be able to cut back or reallocate some of your spending.

Budgeting doesn’t have to be difficult, though. There are a handful of money management apps, websites, and desktop software programs to make the process a breeze.

4. Increase Your Savings Amount

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

https://www.aprfinder.com/financial-resolutions?fbclid=IwAR0NZJYKkjEHalFQl0gV-t-U2oRQvvqX3RWAi38ZRAfRfDwdOUq6U7Uc4hs 

The Quiet Disappearance Of The Safe Deposit Box

The Quiet Disappearance Of The Safe Deposit Box

Michael Waters  December 2, 2022 Very Informative & Interesting

Once revered as the safest way to store physical valuables, safe deposit boxes are now being phased out by major banks. The move is already starting to backfire.

In the opening sequence of The Bourne Identity, a young Matt Damon wakes up with no idea who he is. All he has is a code — the account number for a safe deposit box in Switzerland.

At the bank, an attendant leads him into an elaborate steel vault, where he’s presented with a safe deposit box. Inside are the first clues to his identity: a gun, a watch, stacks of cash, and a series of passports under different nationalities, including one bearing the name “Jason Bourne.”

Over the years, safe deposit boxes have become iconic — a staple not only of the banking industry but also of heist movies and spy flicks. Inside Man, The Dark Knight, Casino, and The Da Vinci Code all feature pivotal safe deposit box scenes.

In Hollywood, safe deposit boxes are so prominent, in fact, that it’s easy to miss the seismic changes racking the industry: In the wake of the 2008 financial crisis, big banks have quietly abandoned the safe-deposit business.

Both HSBC and Barclays have shuttered their safe-deposit services in many countries, and Capital One joined them in 2016. Most recently, this past September, JPMorgan Chase announced it was phasing out its safe deposit boxes, too. In the coming decade, other major banks seem likely to join them.

What went so wrong?

The Rise Of The Safe Deposit Box

The Civil War was just days away when a New York businessman named Francis Jenks stumbled on an idea that would change the face of the banking industry.

In March 1861, while on a trip to England, Jenks — the moneyed son of a Harvard professor — began to wonder what he was supposed to do with his valuables while he was out of town.

He decided to create a company that would store items for New York’s “fashionable inhabitants,” who wanted to, say, decamp to Europe for the summer.

Rather than worry about burglaries, Jenks suggested that the urban elite store their books, wills, jewelry, tea sets, and silver with him.

He opened a massive, marble building in lower Manhattan, complete with a thick steel vault. Inside, he offered 500 safe deposit boxes to customers.

To ensure the safety of the boxes, Jenks required two keys to unlock a box: one key for the customer and one key for his employees. Guards armed with muskets stood in front of the building at 146 Broadway through the night.

He called it the Safe Deposit Company of New York.

It was the first company of its kind — and as the Civil War broke out, demand soared. Bold-faced names like the Vanderbilts, the Guggenheims, the Roosevelts, and more began storing their valuables with Jenks. Hetty Green, the millionaire businesswoman, maintained a private vault so big that it could fit a desk inside of it.

It was such a success that copycat safe deposit box companies began proliferating across the US, with names like the Mercantile Safe Deposit Company and the Lincoln Safe Deposit Company.

While the first safe-deposit companies were stand-alone organizations, dedicated solely to safekeeping, major banks soon got involved. By the early 20th century, nearly every bank in America had a safe-deposit arm.

The Tricky Economics Of Safe Deposit Boxes

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

https://thehustle.co/the-quiet-disappearance-of-the-safe-deposit-box/

Why Is Inflation So High? Plus How Your Wallet Can Survive

Why Is Inflation So High? Plus How Your Wallet Can Survive

December 21, 2022 by Josh Dudick

In the past few months, Americans have seen a sharp increase in the price of many essential goods and services. With salaries staying the same, this inflationary trend has frustrated many people, leaving them concerned about the future.  The latest consumer price index (CPI) reports a 7.7% increase in inflation over the last year (a 40-year high). This inflation data shows that the average American family spends more each month to cover basic living expenses.

Which begs the question – why is inflation so high?

While there is no single factor that can fully explain this trend, there are a few key drivers that have contributed. Here are some of the culprits.

Too Much Money in The System

The COVID-19 pandemic necessitated a prolonged lockdown, keeping people inside their homes and businesses closed. While this helped curb the spread of the virus, it led to an overabundance of funds in the system.

People spent less, but cash was in surplus, driving inflation. America’s economic stimulus package was an additional influx of funds into the economy, further contributing to inflation. According to the Federal Reserve, Americans had extra savings of $2.3 trillion from 2020 to mid-2021 – that’s a lot.

All these got reinforced by shortages of everything from food to other household items, so people had less to buy. In the end, people started spending on whatever was left and, by so doing, bumping up the prices of these items.

Supply and Demand Imbalances

When there is more demand for a good than available supply, the price goes up. People are willing to pay more for goods when they are insufficient, racking up inflation figures.

At the height of the pandemic, when spending dropped and savings increased, the demand for goods and services decreased. But now that we have emerged from this crisis, people are more willing to spend, increasing demand.

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

https://investedwallet.com/why-is-inflation-so-high-plus-how-your-wallet-can-survive/ 

Ancient Rivers of Money

Ancient Rivers of Money

By Venkatesh Rao

This entry is part 1 of 14 in the series Psychohistory

Sometimes a single phrase will pop into my head and illuminate a murky idea for me. This happened a few days ago. The phrase was “ancient rivers of money” and suddenly it helped me understand the idea of inertia as it applies to business in a deeper way. Inertia in business comes from predictable cash flows. That’s not a particularly original thought, but you get to new insights once you start thinking about the age of a cash flow.  We think of cash-flow as a very present-moment kind of idea. It is money going in and out right now. But actually, major cash flow patterns are the oldest part of any business.

It is the very stability of the cash flow that allows a business to form around it. In fact, most cash flows are older than the businesses that grow around them. They emerge from older cash flows.

When you buy a sandwich at Subway, the few dollars that change hands are part of a very ancient river of money indeed. Through countless small and large course changes, the same river of money that once allowed some ancient Egyptian to buy some bread from his neighbor now allows you to buy a sandwich.

Buyers and sellers alike see markets as an illegible and turbulent churn of transaction opportunities. But really, they are landscapes carved out by great, ancient rivers of money and their tributaries. These rivers change course rarely. Cash flows are also among the most basic financial ideas. Only businesses make profits, but governments and non-profits form around cash flows too.

These ancient rivers carve out both a spatial and temporal landscape. Spatially, the flow metaphor suggests old, dried-up river beds, gorges and ravines, flood plains, ox-bow lakes, watersheds, and of course, the rivers themselves. This plays well with the idea of “segment.”

But markets also have a temporal dimension, based on which river of money you are talking about, and how long ago it last changed course.

If you think of markets that way, things look very different. Some rivers of money are very old and very stable. You can at most fight to displace others from prime positions along the banks. Others are new and unstable and may change course frequently, creating and destroying fortunes through their vagaries. Others may be maturing, with dams being built to stabilize them. People have always bought food and clothes. They are only now beginning to buy iPads. They are starting to not buy CDs.

Generalizing, you can even think of an average “age” of the market as a whole.  An interesting question to ask is whether early adopters as a group should be considered as living in a future market, or whether the mainstream should be thought of as living in the past. I prefer the latter model.

Organizations are like riverbank communities.

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

https://www.ribbonfarm.com/2010/11/05/ancient-rivers-of-money/

Inflation 2023: How To Prepare Before It’s Too Late

Inflation 2023: How To Prepare Before It’s Too Late

Casey Bond   Monday, December 26, 2022

Inflation has been one of the most pressing money issues plaguing the globe this year. In the U.S., inflation was 7.7% for the 12 months ended October 2022. It’s put a major strain on household finances, and Americans are wondering if relief is in sight.

“Generally speaking, the health of the U.S. economy is strong, but is undergoing a transition from pandemic conditions to post-pandemic conditions,” said Keith Sultemeier, president and CEO at Kinecta Federal Credit Union.

That transition probably won’t happen quickly, however, and while inflation will eventually slow, we can likely expect higher-than-usual levels well into 2023.

So what can you do to prepare your finances for more inflation next year? Consider these tips.

Get Serious About Budgeting

With inflation hitting the cost of everyday essentials the hardest, it’s important to review your household spending habits. “This can greatly help you in getting a complete picture of your financial habits and where adjustments may be made in order to maintain sufficient savings,” Sultemeier said.

For example, if you regularly exceed your food budget, you may want to look into bulk buying and meal planning to cut costs. If it’s gas for your car that’s straining your finances, investigate public transportation options. Remember, these changes can be temporary until inflation reaches ideal levels.

Avoid Emotional Money Decisions

The Federal Reserve has been in charge of keeping inflation in check. So as inflation has continued to hit record numbers, it has instituted a number of hikes to its target interest rate. Aside from making it much more expensive to borrow money, these rate hikes tend to cause the market to jump.

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

https://finance.yahoo.com/news/prepare-now-more-possible-inflation-130028809.html

You Don’t Need Advice From An Economist

You Don’t Need Advice From An Economist

Posted by TEBI on December 14, 2022

A common misapprehension about investing and personal finance is that, to be really successful at it, you need to be an armchair economist. At the very least, people assume, it pays to know what leading economists are saying about the global economy and the financial markets. In fact it doesn’t. Even a PhD in economic theory is unlikely to help you very much. Why? Because the best financial advice has nothing to do with economics. More than anything it’s about psychology.

There are hundreds of books giving financial advice. Some of them, like Robert Kiyosaki’s Rich Dad, Poor Dad have been incredible best sellers.  According to Publishers Weekly, Kiyosaki’s book has sold more than 44 million copies.

However, very few, if any, of these books have been written by economists. And recent research suggests why.

Theory and Practice

In a paper titled Popular personal financial advice versus the professors, James J. Choi from the Yale School of Management compared the advice given in 50 of the most popular personal finance books against mainstream economic theory.

What he found is that there are some notable differences.

For example, almost every personal finance author will subscribe to the idea that you should start saving as early as possible. Most recommended investing 10% to 15% of your salary every month from your first pay cheque.

Economic theory, however, would show that this isn’t optimal. It is more rational to save very little, or even nothing, when you are young, and to ramp up your saving in middle age when you are at your peak earnings potential.

The Real World

The reason for this isn’t that hard to understand: how much you need to spend should increase at a lower rate through life than your earnings power.

A rational person wouldn’t, for example, sell their Toyota and buy a Range Rover when they started earning significantly more. They would instead use that increased disposable income to channel into their investments.

In a theoretical model, this would actually result in more savings.

In the real world, however, this is very rarely a good idea. That is because, quite simple, people are not wholly rational.

This is reflected in the three reasons why advising anyone to start saving as early as possible is far better advice, even if it is theoretically sub-optimal.

Where Economic Theory Falls Short

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

https://www.evidenceinvestor.com/you-dont-need-advice-from-an-economist/

How Do You Know If You’re Frugal Or Just Ridiculous?

How Do You Know If You’re Frugal Or Just Ridiculous?

The Frugal Girl  November 9, 2022

A reader question:  How do you know if you’re frugal or just ridiculous?  There seems to be a thin line. For example, is it frugal or ridiculous to postpone shopping for new undergarments for a year because new undergarments are not necessary for survival?

In the years that I have been reading content about frugality, I have noticed that this is a common theme/question/issue.   How frugal is TOO frugal?  What’s sensible, and what’s just cheap?

Where’s the line between frugality and deprivation?

I’ll write down a couple of principles I use to guide me, and then I’d love to hear your thoughts!

A few notes:

I’m writing this from the perspective of the most frugal household member since that’s always been my role

I have in mind people who are choosing to be frugal, not people who will literally go hungry if they don’t save every penny possible

Everyone gets to decide this for themselves

Since we all have different backgrounds, priorities, and sets of expectations, the answer to these questions is going to vary from person to person.

One person’s frugal might be another person’s deprivation, for example.

As long as a person’s frugal choices aren’t harming another person or harming themselves, I think they should be left in peace, even if others might happen to view their choices as too extreme.

A lot of us don’t live by ourselves, though, so…

You should compromise with other household members

The odds of everyone in your household having the exact same standards for frugality are very low.

And since some frugalities do not just affect you, you need to consider other people’s comfort levels as well. Frugality is important, but so are relationships!

This means that if a fellow household member is miserable if you keep the heat at 65 degrees, you should compromise.

Or if you don’t mind using raggedy bath towels, but a family member hates it, you should probably get some new bath towels for that person to use, even if you continue to use the raggedy ones.

And hopefully, the less-frugal members of your family will also compromise and humor you. Flexibility on both sides is key!    Most cheapness is selfish   I think the line between frugal and cheap often comes down to a selfishness issue.

When your money-saving efforts affect just you, and they don’t cause harm to anyone else, that’s frugal.

When your money-saving efforts hurt or deprive someone else, that’s when you’ve crossed the line into cheap.

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

https://www.thefrugalgirl.com/how-do-you-know-if-youre-frugal-or-just-ridiculous/

Where Do Billionaires Keep Their Money?

Where Do Billionaires Keep Their Money?

Andrew Dehan   Sunday, December 25, 2022

Billionaires have been able to not only acquire wealth but most have gradually built it over time. This means that many have had successful investments, which makes it natural for everyone else to wonder where they are investing or keeping their money in order to see that growth. We’ve compiled a list of some of the most common investments that billionaires make when looking for sustained growth of their money over time.

Keep in mind, though, that billionaires don’t typically manage their own money and instead choose to work with a financial advisor to help with their asset allocation.

1. Cash and Cash Equivalents

Cash and cash equivalents are common places where billionaires keep of some their money. Though not often thought of as an investment, cash is a liquid asset, meaning you can use it in a variety of ways as needs or desires arise. In a crisis, having cash on hand gives you the flexibility to respond. That’s why billionaires keep a significant portion of their money in cash and cash equivalents.

However, with current rates of inflation, cash has less of an emphasis. Inflation causes the value of money to drop, so having too much of it on hand during an inflationary period can mean you lose significantly.

2. Commodities

Commodities are often another piece of a billionaire’s portfolio, and having such assets can help hedge against risk, inflation and volatility. For instance, in a scenario where inflation is causing difficulty for the rest of the market, having investments in raw materials whose price is rising can help protect you if other parts of your portfolio are suffering. People and economies depend on commodities, and inflation makes them worth more money.

Raw materials and agricultural products – like precious metals, industrial metals like copper, oil and natural gas, coffee, corn, pork bellies and soy beans – are popular types of commodities held and traded by billionaires or their agents.

3. Foreign Currencies

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

https://news.yahoo.com/8-places-billionaires-keep-money-130030395.html

7 Wealth Building Tips Learned From Football

7 Wealth Building Tips Learned From Football

By Billy B  Mind, Money

I fell in love with NFL football 15 years ago, and it has inspired me in many ways on how to build wealth.  Once I understood the mentality, strategy, and toughness it takes to win games on Sundays, I was hooked.  A football game is much more than mindless buffalo-sized men running into each other.  It is a beautiful chess match with human beings that move like coordinated pieces. Building wealth, like football, is a thinking person’s game.  Here are seven secret wealth building tips I have found hidden inside the game of football: 

1)      Wealth Building Tip #1:  Be Patient:  Life is long.  It’s Ok to make mistakes, and it takes a lot of plays to win the game and build your wealth.  There are 60 minutes in a football game, and there’s 60+ years in a normal life.  You don’t have to win or be perfect in the first quarter or half to win.  Great football teams and players take their time, feel out the challenges that are coming at them, and then when they know what they’re doing, they strike to put points on the board.

Great wealth builders have the same mentality.  They’re patient.  They’re always learning, preparing, and planning for what’s coming ahead, and when they see opportunities to build wealth, they strike.  Great NFL teams also make mistakes during a game, but they learn from them and come back to fight again.  Financial mistakes happen to all of us.  Learn from them.  Don’t let your perfectionism get in the way.  (Click here to read an article on overcoming perfectionism)  Then get back up, learn from the mistakes, and fight to do better next time.  

2)      Wealth Building Tip #2:  It takes a team to win a championship, not just individual effort.  Football teams win championships by using all 53 men that are on their rosters.  Each player contributes different skills to create a powerful team that rises above the sum of their parts.  Wealthy people think the same way.  They are always looking to expand their network of skilled people who push, teach, and inspire them. 

Happiness is not real unless shared with others.  People who build wealth know how valuable relationships are in their life. It’s not about how smart, skilled, or strong you are as an individual.  Building wealth is all about how smart, skilled, and strong your TEAM of friends around you is. 

Wealthy people invest a large portion of their time building teams of awesome relationships who help inspire them to be better.  Grow your network of friends to include incredible people who inspire you, and you will take a massive step forward on the path to build wealth.

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

https://www.wealthwelldone.com/wealth-building-tips/

The Biggest Banks in the United States

The Biggest Banks in the United States

A Breakdown of America's Banking Giants

By Erin ONeil  Updated on March 4, 2021

The term "big four" within the banking industry refers to the four largest banks in the United States: JPMorgan Chase & Co., Bank of America, Wells Fargo, and Citibank (Citigroup Inc.). These institutions serve the majority of personal and business account holders in the U.S. The four banks collectively hold $4.6 trillion in customer deposits, or about 45 percent of deposits in the United States.1

However, the nation has many other very large banks, all with total assets in the billions. These banks easily fall under the definition of “big banks,” and would presumably be considered by some as too big to fail. Become familiar with these banks so you can make better choices for your banking needs. After all, if you haven't already, you'll probably be doing business with one (or several) of the top 15 biggest banks in the future.

01 of 15  JPMorgan Chase & Co.   Total customer deposits: $1.56 trillion

Total assets: $2.68 trillion   Headquarters: New York, NY

02 of 15  Bank of America Corp.  Total customer deposits: $1.43 trillion

Total assets: $2.43 trillion   Headquarters: New York, NY

03 of 15  Wells Fargo & Co.   Total customer deposits: $1.32 trillion

Total assets: $1.92 trillion   Headquarters: San Francisco, CA

04 of 15  Citigroup Inc.   Total customer deposits: $1.07 trillion

Total assets: $1.95 trillion   Headquarters: New York, NY

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

https://www.thebalancemoney.com/the-big-4-us-banks-315130