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President Biden signed an omnibus budget bill in December 2022, which included bipartisan legislation helping to make it easier for people to save for retirement. The SECURE (Setting Every Community Up for Retirement Enhancement) 2.0 Act builds on the previous SECURE Act law, which was passed in 2019. While not all of the changes in the SECURE 2.0 Act might affect you, it’s important to be aware of the changes. Here’s a quick look at some of the biggest updates.
Changes to Required Minimum Distributions (RMDs)Many retirement accounts have Required Minimum Distributions (RMDs). The two most common types of accounts subject to RMDs are 401(k) and IRA accounts. The IRS wants to make sure that the money in these retirement accounts is withdrawn and spent (and therefore taxed). The SECURE 2.0 Act increases the age at which you are required to start taking withdrawals from your IRA or 401(k) plan. Prior to January 1, 2023, account holders needed to start taking RMDs at age 72, but as of the new year, that age increased to 73 and will increase to 75 in 2033.
An Increase in Catch-Up ContributionsWorkplace plans (like 401(k) or 403(b) plans) and IRAs both have limits on how much you can contribute each year. To give workers who are closer to retirement age the ability to make sure they have enough saved, the new law allows older workers to make extra contributions. For example, workers age 50 and older can now contribute an extra $7,500 a year to the IRAs, up $1,000 from the previous maximum. The SECURE 2.0 Act indexes these amounts to inflation going forward. Starting in 2025, maximum 401(k) catch up contributions for workers ages 60 to 63 will rise to $10,000 annually.
Automatic Enrollment in 401(k) PlansEven if you’re not particularly close to retirement, the SECURE 2.0 Act makes changes that may impact you. One such change is that new 401(k) and 403(b) workplace retirement plans will be required to auto-enroll eligible employees, starting in 2025. While this would not apply to existing 401(k) plans, it is likely a step in the right direction in helping Americans take steps to save for their retirement. Employees would be able to opt-out if they didn’t want to be enrolled.
Emergency Savings In A Roth IRAA Roth IRA can be a great way to save for retirement, especially for younger people or those who are currently in low tax brackets. With a Roth IRA, you can contribute after-tax money which then grows tax-free in your account. As long as you withdraw the money for retirement (or a few other qualified events), you won’t have to pay federal income taxes on your distributions.
While a Roth IRA can be an attractive option for young people, it does come with some downsides. One downside is that it can be challenging to access that money if an emergency comes up. While there are some situations where you can withdraw money from your IRA without penalty, in many cases you’ll have to pay a 10% penalty and income tax on any withdrawals. The SECURE 2.0 Act allows Roth IRA participants to access up to $1,000 per year for qualified personal or family emergencies. It also allows workplace plans to set up a Roth-qualifying emergency account that can be funded with up to $2,500 per year.
A Way To Convert 529 Plans to A Roth IRAA 529 plan can be a great way to save money for college and higher education expenses, but what happens if your child decides they don’t want to go to college? The SECURE 2.0 Act helps to answer that question by allowing you to rollover assets in a 529 plan into a Roth IRA as long as the account has been open for at least 15 years and does not exceed maximum contribution limits. There would be no tax or penalty to do such a rollover, and it is not treated as income for the beneficiary.
The rollover of a 529 plan to a Roth IRA would be considered a contribution to a Roth IRA and subject to the annual Roth IRA contribution limits. There is a maximum of $35,000 that can be rolled over from a 529 plan to a Roth IRA. Despite some of these limitations, this can be an attractive option for people who end up not using all of the funds in a 529 plan.
The Bottom LineThe SECURE 2.0 Act was signed into law in January 2023 and provides a number of updates to laws regarding retirement savings and finance. Make sure that you understand how these new laws might affect your specific financial situation. If you have questions, contact your trusted financial advisor to ensure that you keep yourself in the best financial shape possible.
The post 5 Things the SECURE 2.0 Act changes about retirement appeared first on MintLife Blog.
Wouldn’t it be nice if you never had to mow your own lawn? Or shovel snow from your driveway? How about having a swimming pool you didn’t need to maintain?
Living in a homeowners association (HOA) can sometimes provide these benefits and more. However, you will usually need to pay an HOA fee. With that said, what are HOA fees exactly, and what do they cover?
Here’s what you need to know.
What Is a Homeowners Association (HOA)?A homeowners association (HOA) is an organization that makes and enforces rules within a residential community. These communities can be subdivisions, condominium buildings, or other planned communities.
While HOA governing boards are run by a select group of volunteers, HOA memberships are mandatory for all residents living within the community. This means when someone moves in, they automatically become a member of the HOA and must pay HOA dues — meaning monthly, quarterly, or annual fees. Prospective homeowners should keep these fees in mind when budgeting to buy a home.
What Are HOA Fees?HOA fees are regular payments that community residents must pay to the association — and condominium residents may pay similar fees to condominium associations. The association then uses these fees to help maintain community grounds, homes, or amenities.
HOA fees are independent of mortgage payments or real estate taxes. This means residents in an HOA community must always pay their dues, even if they paid off their mortgage.
What Do HOA Fees Cover?What HOA fees cover will vary from community to community. If you live in an HOA community or plan to move into one, you can always check your HOA’s governing documents — usually the Conditions and Restrictions document (CC&Rs) — to see what your HOA covers.
If you’re wondering what HOA fees are used for, here are some examples of what HOA fees may cover.
- Snow removal
- Trash removal
- Landscaping and ground maintenance
- Maintaining amenities, like a community pool or garden
- Utilities for common areas
- Pest control for common areas
- Association insurance
Depending on what their governing documents state, some HOAs also contribute a portion of collected fees to a community reserve fund. Reserve funds help cover unexpected expenses as they arise, such as repairing a burst pipe in the community clubhouse. They can also go toward large, planned projects such as replacing roofs in the community.
How Much Are HOA Fees? According to the latest U.S. census data, the average homeownership or condominium association fee is $191 per month. However, fees vary widely depending on location, home size, and what services the HOA covers.
For example, census data shows that an HOA community in California will likely charge more than one in Alabama. Additionally, larger homes tend to pay less in monthly fees than smaller homes, when speaking in terms of square footage.
Here’s a breakdown of the nation’s average HOA fees (including condominium association fees):
Something to keep in mind is that HOAs may be able to raise fees every year. If this concerns you, ask your HOA contact or real estate agent for a copy of the HOA’s governing documents. These documents outline your rights in the community as well as how the HOA runs — including whether the HOA can raise fees in the future.
Will I Need To Pay Additional Fees?In addition to your monthly, quarterly, or annual HOA dues, you may also need to pay special assessment fees or fines. These aren’t regular payments but may pop up from time to time.
Special AssessmentsHOAs should have reserve funds to cover planned or unplanned maintenance or repairs. However, when reserve funds fall short, the HOA may be able to impose special assessments to cover the remaining balance.
For example, if the community plans to replace the clubhouse roof but the cost exceeds what’s in the reserve funds, the HOA may be able to charge residents the difference.
This power depends on what the HOA governing documents state. Some HOAs require a community vote to exercise this power, others don’t. Check your community’s governing documents to see how your HOA may operate when it comes to special assessments.
FinesHOAs don’t just make community rules — they also enforce them. One common enforcement tactic is imposing fines on residents who break community rules. This means if you paint your home the wrong color or fail to clean up after your dog per community rules, you may have to pay for it.
What Happens When HOA Fees Are Not Paid?Homeowners who don’t pay their HOA fees may incur late payment fees or interest. Access to community amenities — like the pool or clubhouse — could also be restricted. If missing payments continue, the HOA may even be able to foreclose on the property.
If you’re unable to make your monthly payments, contact your HOA board or management company. They may be able to create a payment plan or some other accommodation for you.
Questions To Ask Before Buying into an HOAIf you’re considering buying a home within an HOA, remember you’re not just buying a home — you’re also joining a community. You should understand how community rules, finances, and management may affect you.
Here are some questions you should know the answers to before moving in.
- How much do HOA fees cost?
- What amenities and services do fees cover? What isn’t covered?
- Does the HOA have authority to raise dues in the future?
- Does the HOA have authority to charge special assessments?
You can ask your HOA contact to provide you with the minutes of past HOA meetings, which can show you any past fee increases or rule changes. HOAs are required to have these documents available for residents to view. You should also receive a copy of the community’s Covenants, Conditions, and Restrictions (CC&Rs) which outline current community rules.
Knowing the answers to these questions can help you determine whether moving in is within your budget. You can also use the “advanced” menu on Mint’s home affordability calculator to see how HOA fees could affect your overall monthly payment.
FAQ About HOA FeesHave additional questions about HOA fees? Here are answers to some of the most commonly asked questions.
Do All Condos Have HOA Fees? Condominiums almost always have HOA fees. In rare cases, associations may become inactive, insolvent, or lose control to a majority homeowner so they no longer collect fees.
While no fees sounds like a positive, it’s important to remember that without a governing body maintaining the condominium building, repairs may not happen. This can decrease the value of units within the building.
Are HOA Fees Tax Deductible?If you purchase property within an HOA as your primary residence, you cannot deduct any monthly or quarterly fees on your tax return. However, if you purchase and use the property as a rental, you can deduct HOA fees as a business expense.
What Do HOA Fees Not Cover?What HOA fees cover varies from community to community. In general, fees cover common areas — like a clubhouse — and do not cover your private property. This means you’ll be responsible for your own mortgage, home insurance, repairs, and maintenance.
So what are HOA fees? They are regular payments residents within a community must make to the governing association. They typically cover community amenities and services, like a pool or snow removal. They usually will not cover costs associated with your private property, like home insurance.
If you’re moving into an HOA and don’t yet have insurance, browse rates from our trusted home insurance partners.
Sourcing* Census data on the average monthly homeowner or condominium association fees. American Housing Survey (Sept. 2022). * HOA meeting minutes. What To Include In Your HOA Meeting Minutes (April 2022).
The post What Are Homeowners Association (HOA) Fees and What Do They Cover? appeared first on MintLife Blog.
You may already know they can help you come tax time, but what are tax deductions and how are they different from tax credits? Tax deductions lower your taxable income. Tax credits provide you with an overall discount on your tax bill.
Let’s break down exactly what that means so you can optimize your tax refund this year. Plus, learn some of the most common tax breaks you may be eligible for.
- What Are Tax Deductions?
- What Are Tax Credits?
- Why Does the Tax Code Include Deductions?
- How Do Tax Deductions Work?
- 20 Money-Saving Tax Credit and Tax Deduction Examples
What Are Tax Deductions? Tax deductions allow you to reduce the amount of taxable income you have. This lowers the amount of taxes you need to pay overall. For example, if your adjusted gross income is $80,000 and you file as a single, the federal taxes you owe would be about $13,216 with no deductions. Say you itemize deductions and deduct $10,000 in mortgage interest. Your taxable income becomes $70,000, putting your tax bill at about $11,016.
What Are Tax Credits? Tax credits offer an overall discount on your tax bill. For example, say you’re a single filer using the same $80,000 adjusted gross income from above, your tax bill would be about $13,216 with no deductions. Say you file using a $10,000 tax credit. Your adjusted tax bill would be $3,216.
In our example, a $10,000 deduction and a $10,000 credit result in two very different tax bills. That’s why it’s important to research what options are available to you, and how they will affect your overall federal tax bill so you can optimize your refund.
| Should I Use a Tax Deduction or Credit? | | --- | | Tax Deduction | Tax Credit | | Adjusted Gross Income | $80,000 | $80,000 | | Deductions | $10,000 | $0 | | Taxable Income | $70,000 | $80,000 | | Initial Taxes Owed | $11,016 | $13,216 | | Tax Credits | $0 | $10,000 | | Final Taxes Owed | $11,016 | $3,216 |
Why Does the Tax Code Include Deductions?The tax code includes deductions to account for lost income, already taxed income, or to promote certain expenditures. For example, taxpayers may deduct money spent on charitable contributions. Allowing this deduction incentivizes donations, which tend to benefit society overall.
How Do Tax Deductions Work?Tax deductions work by lowering taxable income. Here’s how that will look when filing taxes as an individual, self-employed person, or business owner.
Individuals and Tax DeductionsIndividuals can either choose to take the standard deduction or itemize deductions when they file their tax return. You cannot do both.
But what are standard tax deductions and itemized deductions anyway?
- Standard deduction: The standard deduction is a flat rate reduction in your taxable income. The IRS sets new rates for each tax year. The 2022 standard deduction rates are as follows:
| 2022 Standard Deduction | | --- | | Filing Status | Deduction Amount | | Single | $12,950 | | Married Filing Jointly | $25,900 | | Head of Household | $19,400 | | Married Filing Separately | $12,950 | Source: Internal Revenue Service * Itemized deductions: Itemized deductions do not take the flat rate standard deduction. Instead, they list all eligible deductions to adjust their taxable income.
After taking deductions, you are left with your taxable income. Taxable income isn’t taxed at a flat rate at the federal level. Instead, it is taxed progressively depending on your tax bracket.
For example, if your taxable income is $70,000 and you are filing singly, you would fall in the 22 percent tax bracket:
| Single Filer (2022) | | --- | | Tax Rate | Taxable Income Bracket | | 10% | $0 to $10,275 | | 12% | $10,276 to $41,775 | | 22% | $41,776 to $89,075 | | 24% | $89,076 to $170,050 | | 32% | $170,051 to $215,950 | | 35% | $215,951 to $539,900 | | 37% | $539,901 or more | Source: Internal Revenue Service In our example, you wouldn’t be taxed 22 percent of $70,000. Instead you would be taxed as follows:
- 10 percent of $10,275, which equals $1,027.50
- 12 percent of $31,499, equal to $3,779.88
- 22 percent of $28,224, which is $6,209.28.
This means the total tax bill would be $11,016.66.
Self-Employed and Tax DeductionsAs a self-employed person, you get to take deductions in two steps — first, as you figure out your business’s net income; and second, as an individual would.
As a sole proprietor, independent contractor, or single member LLC, you will report any business profits and expenses on a Schedule C form. Eligible business expenses work like deductions to reduce your taxable income.
So, what are business tax deductions more specifically? They can be costs associated with things such as:
- Advertising
- Insurance
- Legal services
- Professional services
- Inventory
- Rent or a home office
- Repairs
- Utilities
- Continuing education
- Other business expenses
After itemizing your business profits and expenses, you are left with the taxable income from your business. You can then combine this with any other income you may have to find your total taxable income.
Once you have your total taxable income, you file as an individual would — by taking the standard deduction or itemizing. If you choose to itemize, you would not deduct your business expenses again. Here, you would only itemize deductions such as mortgage interest, charitable donations, or state and local income taxes.
Business Owners and Tax DeductionsAs an S corporation or C corporation business, you pay taxes similarly to self-employed individuals — by deducting business expenses from your gross income to determine the business’s net income first and then taking any individual deductions.
Business deductions can include any of the expenses a self-employed individual can take, as well as expenses of larger businesses such as:
- Employee salaries
- Employee health insurance plans
- Employee retirement plans and contributions
However, unlike self-employed individuals, S corporations and C corporations must pay estimated taxes quarterly before filing the final return at the end of the tax year. This final return will be Form 1120S for an S corporation or Form 1120 for a C corporation. S corporations will also file a Form K-1 for each shareholder.
20 Money-Saving Tax Credit and Tax Deduction ExamplesNow comes the question — what can you write off on taxes? Whether you’re an individual, self-employed worker, or business owner, check out our tax credits and tax deductions list to see what you may qualify for the next time you file.
1. Child and Dependent Care Credit If you need to pay for childcare in order to work or look for work, you may be eligible for reimbursement through the Child and Dependent Care Credit. It can also help pay for the care of an incapacitated spouse or adult dependent. It’s also fully refundable as of 2021, meaning it can earn you money back even if you don’t owe taxes.
2. Earned Income Tax CreditThis credit seeks to provide a tax break to low- and moderate-income families. It can provide a refund of up to $6,935 depending on your income, marital status, and how many children you have. You must have an adjusted gross income under $57,414 to qualify.
3. Adoption CreditThe adoption credit can provide a refund of up to $15,950 per eligible child. It can be applied to international, domestic private, and public foster care adoptions.
4. Saver’s Credit (Retirement Savings Contribution Credit)This credit gives a tax break for eligible contributions to your IRA or employer-sponsored retirement plan. It can save you up to $2,000 when filing singly or $4,000 when filing jointly on your tax bill.
5. Residential Energy Efficient Property CreditThis credit provides a tax break for qualifying energy-efficient home upgrades including solar, wind, geothermal, and fuel-cell technology. Depending on when the equipment was installed, you can receive a credit of 22 percent to 30 percent of the cost of the system, including installation.
6. Plug-in Electric Vehicle Drive CreditThe electric vehicle credit can provide a tax break of up to $7,500 for qualifying electric vehicles. It generally only applies to vehicles where final assembly occurred in North America.
7. Lifetime Learning CreditIf you’ve enrolled in undergraduate, graduate, or professional degree programs, the lifetime learning credit may provide you with a refund of up to $2,000 come tax time.
8. American Opportunity CreditThis credit can refund you up to $2,500 of eligible higher education expenses on your tax bill. Eligible expenses include tuition, books, and school fees — but not living expenses or transportation.
9. Business Vehicle DeductionsIf you are self-employed or own a business, you can deduct 58.5 cents per mile you drove during business operations. Be sure to keep a log of all driven miles in the event of an audit.
10. Home Office DeductionsQualifying self-employed, contracted, or gig economy workers who regularly use part of their home for business can deduct rent, utility, and other associated costs from their taxable income.
11. Business Expenses DeductionsSelf-employed individuals or business owners can deduct all business expenses when reporting business income. This includes any money spent on business rent, advertising, insurance, professional services, inventory, repairs, utilities, continuing education, wages, contributions to employee retirement accounts, or other business expenses.
12. Student Loan Interest DeductionIf you paid interest on your student loans, you may be eligible to deduct up to $2,500 from your taxable income.
13. Charitable Contribution DeductionYou can deduct eligible charitable contributions from your taxable income — up to 100 percent of your adjusted gross income as an individual, although some limitations apply. Eligible donations can be cash or physical, like clothing.
14. Medical Expenses DeductionYou can deduct qualifying medical or dental expenses that amounted to more than 7.5 percent of your adjusted gross income from your taxable income.
15. Mortgage Interest DeductionYou can potentially write off interest paid on up to $1 million of mortgage debt. If you entered the mortgage after December 15, 2017, this number goes down to $750,000 ($375,000 if married filing separately).
16. Gambling Loss DeductionGambling losses are deductible, but only in relationship to winnings. For example, if you won $8,000 but lost $5,000, you can deduct the $5,000 loss for total taxable earnings of $3,000. However, you cannot deduct more than you win. So if you win $8,000 but lose $9,000, you can only deduct $8,000.
17. Educator Expenses DeductionSchool teachers and other eligible educators can deduct up to $300 from their taxable income for money spent on classroom or educational supplies.
18. Health Savings Account (HSA) Contribution Deduction You can deduct eligible contributions to HSA accounts from your taxable income. For individuals on a high-deductible plan, the limit for eligible contributions is $3,650. For families, this limit moves to $7,300.
19. IRA Contributions DeductionDepending on your income and whether you or your spouse have an employer-sponsored retirement plan, you may be able to deduct contributions to a traditional IRA. Contributions are fully deductible if you (or your spouse, if applicable) aren’t covered by an employer retirement plan.
20. Early CD Withdrawal Penalties DeductionIf you withdrew money from your certificate of deposit (CD) savings account early and paid a penalty, you can deduct the penalty amount from your federal taxes.
So what are tax deductions and credits? They are provisions in the tax law that can help you lower your tax bill and save money. Tax deductions reduce your taxable income while tax credits provide an overall discount on your tax bill.
Need help filing your tax return? Mint and Turbo Tax have teamed up to help make tax time easy.
Sourcing * IRS states 2022 standard deduction rates and tax bracket rates. IRS provides tax inflation adjustments for tax year 2022 (Nov. 2021). * IRS list of tax credits and deductions. Credits and Deductions (Feb. 2022). * Child and dependent care credit. Topic No. 602 Child and Dependent Care Credit (Oct. 2022) * Tax inflation adjustments for tax year 2023. IRS provides tax inflation adjustments for tax year 2023 (Oct. 2022). * Energy tax credit. Energy Tax Credit: Which Home Improvements Qualify? (December 2022). * Charitable contributions deduction. Charitable Contribution Deductions (Aug. 2022). * Medical tax deduction. Topic No. 502 Medical and Dental Expenses (Oct. 2022). * HSA contribution deduction. Publication 969 (2021), Health Savings Accounts and Other Tax-Favored Health Plans (Feb. 2022).
The post What Are Tax Deductions and Credits? 20 Ways To Save on Taxes appeared first on MintLife Blog.
Income tax is the tax that federal, state, and local governments require businesses and individuals to pay on their total earnings each year. Total earnings can include wages, tips, interest, dividends, unemployment, and retirement distributions.
To calculate income tax, you must first determine your taxable income and filing status to see which tax bracket you fall into and the total deductions you qualify for. Once you calculate how much of your total income for the year is taxable, you can determine the amount of federal and state income taxes you owe.
When you file your IRS Form 1040 at the end of the year, you’ll already have an idea of how much you can expect to pay in income taxes or if you’ll qualify for a refund.
How Income Tax WorksRegardless of your immigration status, if you are working and making an income in the United States, you are required to pay federal income taxes on your total earnings to the Internal Revenue Service (IRS) each year. Based on the guidelines set by the IRS, you’ll calculate your taxable income by factoring in deductions and exemptions. Then, you’ll see if you qualify for any tax credits before determining the total amount you owe in taxes.
The government uses these personal income taxes to fund national security, roads, schools, government services, and programs like Social Security.
Calculating Taxable IncomeTaxable income is the amount you earned over the course of the year that is subject to taxes. It’s equal to your gross income, or annual income, minus the deductions and exemptions you qualify for. When filling out your Form 1040 to pay taxes, you’ll calculate your taxable income using the total wages, tips, and other compensation found in box 1 of Form W-2.
ExemptionsTax exemptions like charitable donations or dependant exemptions reduce your taxable income and the amount you owe in taxes. Since the standard deduction increased with the Tax Cuts and Jobs Act of 2017, personal exemptions for 2022 have been eliminated.
Standard vs. Itemized DeductionsWhen filing your taxes, you can choose to itemize your deductions or take the standard deduction based on your filing status. You would only want to itemize if your qualified deductions are more than the standard deduction.
If someone can claim you as a dependent, you can take a standard deduction of $1,150, or your total earned income plus $400 — whichever is greater. If this total exceeds the standard deduction for your filing status, then you’ll use the standard deduction listed below instead.
These rates are based on the Revenue Procedure 2021-45 from the IRS.
| 2022 Standard Deduction | | --- | | Filing Status | Deduction Amount | | Single | $12,950 | | Married Filing Jointly | $25,900 | | Head of Household | $19,400 | | Married Filing Separately | $12,950 | Source: Internal Revenue Service Understanding Your Federal Income Tax BracketBased on your filing status — single, married filing jointly, married filing separately, or head of household — and your taxable income, you’re placed in a federal tax bracket that determines your tax rate and how much tax you owe.
What is Federal Income Tax Withheld?Federal income tax withheld is the amount removed from your paychecks over the course of the year that goes towards taxes. This number can be found in box 2 of Form W-2, which you’ll receive from your employer at the end of each year.
What Tax Bracket Am I In?Once you calculate your taxable income, you can look at the current federal tax bracket based on your filing status and determine the taxes you owe. You can find your taxable income on line 37 of Form 1040.
The seven income tax brackets for 2022 range from 10 percent on income less than $10,275 to 37 percent on income equal to $539,900 or more for single filers. Below, you can find the effective tax rate based on your filing status and taxable income.
| 2022 Federal Income Tax Brackets and Rates | | --- | | Tax Rate | Single | Married Filing Jointly | Head of Household | Married Filing Separately | | 10% | $0 to $10,275 | $0 to $28,550 | $0 to $14,650 | $0 to $10,275 | | 12% | $10,275 to $41,775 | $20,550 to $83,550 | $14,650 to $55,900 | $10,275 to $41,775 | | 22% | $41,775 to $89,075 | $83,550 to $178,150 | $55,900 to $89,050 | $41,775 to $89,075 | | 24% | $89,075 to $170,050 | $178,150 to $340,100 | $89,050 to $170,050 | $89,075 to $170,050 | | 32% | $170,050 to $215,950 | $340,100 to $431,900 | $170,050 to $215,950 | $170,050 to $215,950 | | 35% | $215,950 to $539,900 | $431,900 to $647,850 | $215,950 to $539,900 | $215,950 to $323,925 | | 37% | $539,900 or more | $647,850 or more | $539,900 or more | $323,925 or more | Source: Internal Revenue Service State and Local Income TaxOnly nine states in the U.S. — Texas, Florida, Tennessee, Alaska, Nevada, Washington, New Hampshire, Wyoming, and North Dakota — don’t collect state income taxes. The other 41 states either levy a flat or graduated-rate income tax.
Tax CreditsWhile deductions reduce your taxable income, tax credits reduce the amount of tax you owe, also known as tax liability. If your tax credits are greater than the amount of taxes you owe, you could be entitled to a refund. Be careful to follow IRS rules for how to calculate your tax credits before claiming them on your tax return.
Individuals can qualify for family and dependent credits, income and savings credits, homeowner credits, health care credits, and education credits. The child tax credit and dependent care credit are some of the most common tax credits individuals qualify for.
How Do I Pay Taxes or Get a Refund?Once you determine the amount of federal and state income taxes you owe for the year, you have a few options for paying them. If you’ve filed a Form W-2 with your current employer, they will take out a portion of each of your paychecks to go towards your income taxes throughout the year — this is your tax withheld.
Many people end up paying slightly more throughout the year than what they actually owe in income taxes. When filing your return, you’ll calculate how much you actually owe. If you overpaid, you’ll qualify for a tax refund.
If you haven’t had income taxes taken out of your pay throughout the year or you owe more than what was taken out, you’ll need to pay the taxes you owe when you file with the IRS. By calculating your income tax, you can estimate how much you’ll owe in taxes so you can budget throughout the year and follow our tax planning strategies to lower your tax liability and decrease tax season stress.
Our budgeting app makes it easy to set aside money every month to pay your taxes at the end of the year and even track your refund after you file.
Sourcing* Fill out the IRS Form 1040. About Form 1040, U.S. Individual Income Tax Return (September 2022) * How to fill out Form 1040. 1040 Instructions (December 2021) * The standard deduction was increased, removing personal exemptions. Tax Cuts and Jobs Act (TCJA) (December 2017) * Tax rates. Revenue Procedure 2021-45 (November 2021) * Tax credit. Credits and Deductions for Individuals (August 2022) * How to pay your taxes. IRS Payments (September 2022)
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When it comes to building your wealth and planning for your financial future, investing is one of the best decisions you can make.
The benefits of smart investing are plentiful. When done strategically, investing can allow you to outpace rising inflation and build wealth on your own terms. Additionally, good investments can generate earnings when they’re reinvested, allowing your initial investment to compound over time.
All this is to say that the benefits of investing can be profound, provided you do your homework ahead of time and maintain awareness of your budget and the riskiness of the investment.
The list below highlights the best investments for 2023, mixing both long and short-term investments as well as the varying levels of risk for each. While other solid investment options exist, these 15 investments take into account rising inflation and interest rates while providing options for both high- and low-risk investors.
- Value Stocks Value stocks are stocks that are being traded at a relatively low price as investors sometimes view them as undesirable, which drives their price down.
However, if you’re patient, value stocks could yield significant profit down the road since you can buy them at a bargain price.
Best for: Value stocks are best for higher-risk investors who are willing to commit to a long-term investment.
Risks: Value stocks tend to fluctuate more than bonds and are often riskier than growth stocks. When you invest in value stocks, you’re betting on a company that many investors may view as unfavorable.
Rewards: Value stocks are more affordable than most growth stocks and tend to perform better than growth stocks when interest rates rise.
Where to buy: You can buy value stocks from most online brokers.
- Cryptocurrency Cryptocurrency has been one of the hottest investments of the last few years, largely because of the price volatility. Coin prices tend to fluctuate dramatically since they’re influenced by supply and demand as well as media attention.
As a result, investing in crypto has become popular because of its high risks and potentially large payoff from relatively small investments.
Best for: Cryptocurrency is popular with investors with the highest risk tolerance. You can score big on crypto, but the price of the coin can plummet quickly.
Risks: Losing it all. Just as easily as a coin gains significant value in a short spurt, it can lose that value as well.
Rewards: While crypto has been down in 2022, the market has grown exponentially in the past decade. If you’ve held onto your coins for the last three to five years, you’ve likely seen significant gains.
Where to buy: Another benefit of crypto is the ease of transaction and accessibility. You can buy crypto from traditional brokers as well as online crypto exchanges, like Coinbase.
- Small-Cap StocksSmall-cap stocks refer to shares of a public company that are valued at around $500 million to $1 billion dollars. Small-cap is the lowest of the three market capitalizations: small, mid, and large. People who invest in small-cap stocks are generally betting on the future success of the company.
A large-cap offering falls north of $10 billion, but these companies usually start from a higher base. Therefore, their growth tends to be a smaller percentage compared to younger companies. For example, a large-cap company may not see 300% growth in one year, but that doesn’t mean they can’t see significant growth. Investing in small-cap stocks generally means you’re investing in younger companies.
Best for: Small-cap stocks appeal to higher-risk investors who don’t mind holding the investment for a long time. If you invest in small-cap stocks, you’re betting on the continued growth of a company.
Risks: Rising inflation and recessions can be troubling for young companies. Young companies can weather the storm and come out healthy on the other side, but they usually have to do it with fewer resources.
Rewards: Small-cap investments generally have the potential for greater growth than large-cap stocks.
Where to buy: You can buy small-cap stocks from online brokers.
- Corporate BondsCorporate bonds are typically issued by successful companies and can oftentimes yield high dividends. In 2022, corporate bond yields are near multi-year highs and tend to be less risky than stocks. When you invest in a corporate bond, you’re essentially betting on a successful company to continue being successful.
Best for: Corporate bonds are a good option for medium-risk investors looking for a less volatile investment option than stocks.
Risks: The price of a bond falls when interest rates rise. Since bonds have fixed interest rates, the value of your bond won’t rise with interest rates and will be worth less as a result.
Rewards: Corporate bonds are less volatile than stocks and may yield more than government bonds.
Where to buy: You can purchase bonds through major brokers like Fidelity and Charles Schwab.
- Dividend Stock Funds Dividend stock funds are mutual funds or exchange-traded funds (ETFs) that invest in stocks that pay dividends. These funds allow you to diversify your investments so you’re not relying too heavily on one company.
When buying a dividend fund, you’re anticipating the companies within the fund will continue to profit over time. If you choose carefully, you may get payouts on a quarterly basis.
Best for: Dividend stock funds are appealing because investors can profit through increases to the share price as well as dividends paid by the company. Unlike stocks, dividend stock funds may pay out cash on a quarterly basis — provided the company remains profitable.
Risks: If a company goes into crisis and stops generating profits, you may lose money on your investment since the company has nothing to pay out. You should also note that dividends are never guaranteed and companies will only pay them out when it makes fiscal sense.
Rewards: If the company is generating profits, you may receive cash on a regular basis. If you invest in a company that continues to profit, you’ll profit as well.
Where to buy: You can purchase dividend stock funds through brokerage firms.
- Robo-Advisor PortfoliosA robo-advisor is an AI-powered tool that tries to maximize returns through algorithmic software.
These advisors use modern portfolio theory to guide their investment strategies. The industry has grown dramatically in the last 10 years due to increased interest from younger investors. The easy 24 hour access to a robo-advisor makes them more appealing to some investors than a human financial advisor.
Best for: Robo-advisors lend themselves to investors looking for an inexpensive and efficient alternative to human financial advisors that they can access 24 hours a day.
Risks: Robo-advisors have been criticized for lacking the human emotion that a financial advisor possesses. If there is a significant market decline, a robo-advisor won’t be able to offer the same comfort and guidance that a human financial advisor could.
Rewards: Robo-advisors are generally low cost and accessible 24 hours a day. Robo-Advisors use notable and impressive investment theories to make decisions, which can make the potential for profit much greater.
Where to buy: Robo-advisors are available through automated investing platforms, including Betterment, Wealthfront, Interactive Advisors, and Stash.
- Growth Stocks Growth stocks are shares in companies that are expected to grow at a higher rate than average market growth. A popular investing strategy in bear markets, growth stocks are typically issued by companies that churn their profits back into their business and, as a result, don’t pay out dividends.
Growth stocks are attractive because investors tend to make money through capital gains, meaning you can sell the stock further down the road for more than you paid for it. When investing in growth stocks, you’re investing in the idea that a company is undervalued and will be worth more in the future.
Best for: Growth stocks are good for market-savvy investors who have a solid understanding of market trends and have higher risk tolerance. Choosing the right growth stocks requires knowing which companies are best positioned to profit from the current market.
Risks: Growth stocks generally don’t pay dividends, so the only way to profit is by selling your shares. Therefore, if the company underperforms, you’ll take a loss when you sell.
Rewards: Companies can grow their revenue for an extended period of time. If you hold on to your growth stock long enough, you could be looking at a big payout when you eventually sell.
Where to buy: You can buy growth stocks through any online stock broker, like E*Trade or Robinhood.
- Real Estate/REITsInvesting in real estate is a long-term investment that requires a larger amount of capital upfront. However, real estate continues to be one of the most attractive investments because of the potential for high returns.
It doesn’t necessarily take an inordinate amount of wealth to invest in real estate. If you’re looking to invest in real estate, you can take out a loan from your bank and pay it off over time.
Real estate investment trusts (REITs) are a way to buy real estate without having to own or manage the property. REITs are companies that own commercial real estate and provide large dividends, making them a good investment if you’re not interested in investing in properties yourself.
Best for: Real estate is best for investors who are committed to a long-term investment and have the time to manage a property. Investing in real estate requires a time commitment; however, you can avoid this by opting for REITs instead.
Risks: If you invest in real estate, it’s difficult to diversify your portfolio. Real estate will likely be your only investment since it’s more costly, so you may not have an investment to fall back on if things don’t go your way. If you borrow money from the bank for your investment, then there’s additional risk. If you opt for REITs instead, there may be more opportunities to diversify your investments.
Rewards: Choosing a good property and managing it well can lead to significant profit. If you hold on to the property long enough, you’re likely to build compounding wealth.
Where to buy: You can purchase shares in REITs through brokerage firms.
- Target-Date Funds Target-date funds are retirement funds that allow you to choose a target retirement date, and the fund will allocate your investment based on that date.
Target-date funds take the legwork out of investing. Once you invest, the fund will do the work of balancing risks based on where you are in the cycle.
Best for: Target-date funds are best for people saving for retirement.
Risks: A target-date fund is an investment in the stock market, therefore inflation and down markets can affect your income.
Rewards: Target-date funds diversify your assets for you, meaning you don’t have to manually diversify your portfolio after investing in a target-date fund.
Where to buy: People most commonly invest in target-date funds through company 401k plans.
- S&P 500 Index Fund Investing in the S&P 500 means you’re investing in the 500 largest companies by market capitalization. As a result, you may be more likely to profit over the long term.
By investing in the S&P 500, you’re casting a wide net and automatically diversifying your portfolio since you’re putting stake in 500 different companies.
Best for: The S&P 500 is great for beginner investors willing to hold onto a long-term investment. Investing in the S&P 500 doesn’t require a ton of market savviness — you know you’re investing in large, successful companies.
Risks: While the S&P 500 is a less risky investment, it still consists of stocks. Therefore, your investment can be subject to market volatility.
Rewards: The S&P 500 allows you to invest in a diverse set of companies. The index includes companies from a variety of industries.
Where to buy: You can invest in the S&P 500 through any stock broker.
- Certificates of Deposit (CDs) CDs involve paying a lump sum that remains untouched for a period of time as it gains interest. CDs are less risky and guarantee profit; the payout just won’t be as significant as growth stocks, for example.
Since CDs are fixed and federally insured, you can avoid market volatility by opting for this investment. As a result, CDs tend to be good option for low-risk investors.
Best for: CDs appeal to low-risk investors looking for a guaranteed return on investment.
Risks: If you access your money before the maturity date, you’ll have to pay a penalty fee.
Rewards: You’ll receive a guaranteed return at maturity.
Where to buy: You can purchase CDs through your bank or credit union.
- High-Yield Savings Accounts High-yield savings accounts differ from traditional savings accounts because they pay out a much higher annual percentage yield (APY). While high-yield savings accounts have a higher interest rate, the payout is generally higher as well.
Through high-yield savings accounts, investors also get the stability of a federally insured account.
Best for: High-yield savings accounts are best for investors looking for quick wins on small investments. High-yield savings accounts tend to have a low minimum deposit or no minimum at all.
Risks: High-yield savings accounts typically don’t pay enough interest to keep pace with inflation. As a result, they may not be helpful in saving for long-term goals like retirement.
Rewards: High-yield savings accounts are FDIC-insured, meaning deposits upto $250,000 are protected in the event of bank failure.
Where to buy: Online banks and traditional banks with multiple branches offer high-yield savings accounts.
- Roth IRAWhen it comes to retirement funds, Roth IRAs are perhaps the best option out there. Like a traditional IRA, a Roth IRA allows you to grow your retirement savings over a long period of time. The difference between a traditional and Roth IRA is that, with a Roth IRA, you can withdraw your funds tax-free when you’re ready to retire.
Best for: Roth IRAs are beneficial for anyone starting to save for retirement. Whenever you start to save, you should certainly consider using a Roth IRA.
Risks: Withdrawing from your Roth IRA before your retirement will result in a 10 percent penalty on earnings.
Rewards: A Roth IRA allows you to invest in stocks and stock funds tax-free. While they may not always yield returns, the payout will be higher when they do.
Where to buy: You can open a Roth IRA through any brokerage firm or at a bank.
- Fixed Annuities Fixed annuities allow you to pay a set amount and get guaranteed compensation as a result. Fixed annuities have fixed interest rates and a fixed rate of return, meaning you know how much income you’ll receive. Because of this predictability, fixed annuities are one of the most low-risk investments, as income doesn’t depend on how the market moves.
Best for: Fixed annuities are a good investment for people in or nearing retirement. This consistent stream of income ensures investment stability after you retire.
Risks: You can’t access your money before the maturity date of your annuity. If you do need to access your money, you may incur a penalty fee.
Rewards: Zero market volatility. With a fixed annuity, you can be sure you’re receiving income regularly.
Where to buy: You can buy fixed annuities through a brokerage firm.
- Money Market Mutual Funds Money market mutual funds tend to be one of the lowest-risk investments. These are a type of fixed income mutual fund that invests in debt securities with little to no credit risk.
These investments are generally safer because the debt securities they hold are required to follow regulatory retirements, meaning they have to reach a certain standard of quality, liquidity, and maturity.
Best for: Money market mutual funds lend themselves to low-risk investors looking for quick cash. Compensation isn’t as high as other investments, but risk and volatility are much lower.
Risks: Money market funds aren’t government-issued, so if your bank goes bankrupt, you’ll likely lose your investment.
Rewards: Due to low volatility and little risk, you’re very likely to see positive yields.
Where to buy: You can invest in money market mutual funds through brokerage companies or mutual fund firms.
What To Consider Before You Invest Deciding what to invest in depends on a variety of factors, most of which are specific to you, your financial situation, and external market conditions. Here are some factors to consider before investing.
Risk Tolerance In investing, risk tolerance refers to how willing you are to risk market volatility. Cryptocurrency, for example, is a particularly volatile market and is usually more attractive to investors with a high-risk tolerance. The S&P 500, on the other hand, is less subject to volatility, making it more appealing to low-risk investors.
This isn’t to say one is better than the other; the two simply lend themselves to different investing styles. High-risk investors may see more significant returns than low-risk investors, but the potential for loss is also much greater.
Budget Your budget will largely dictate what investments you’re able to make. Investing in real estate, for example, most likely isn’t realistic for beginner investors. However, a lower-budget investment could be a value stock, with the expectation the price of the stock will grow over time.
Large-cap stocks like Berkshire Hathaway and Amazon may be out of reach for some investors as well. Your budget will certainly have a say in which stocks you can buy shares of.
Financial Knowledge You should also consider your own financial knowledge when investing. Investing in growth stocks, for example, requires a detailed understanding of market trends and what companies are best positioned to thrive in the current market.
The S&P 500, on the other hand, does that part for you. The companies in the index have proven success, and it doesn’t take significant financial knowledge to know that it’d be relatively safe to invest in them.
Time Horizon Before you make any investments, ask yourself, “When do I need the money?” Some investments yield relatively quick returns. For others, you may not see real compensation for years after you make the investment. Small-cap stocks, for example, bet on the continued growth of a young company. There’s really no telling how long this could take, but in most cases, it’s a longer amount of time.
Value stocks also anticipate changing market valuations of companies. However, you have to commit to being patient with the market to see return on investment.
LiquidityLiquid assets are earnings that can be easily translated into cash. This is important because liquidity varies in investments. Stocks and bonds are considered investments with the most liquidity because you can sell them at any time.
Real estate, however, is one of the least liquid assets, as it can take a longer time to see returns. When considering your time horizon, also think about how quickly your investment can be converted into cash.
What is the Safest Investment in 2023? While there is no one-size-fits-all approach to investing, the safest investment for you boils down to weighing your goals, budget, risk tolerance, and how long you’re willing to wait on returns. Having a strategy in place before you invest is essential to seeing the results you desire.
Sourcing* Investing is a good way to outpace rising inflation. “Investing in the stock market is more important than ever amid rising inflation.” CNBC. (March 2022). * Cryptocurrency is available through both traditional brokers and online exchanges. The Motley Fool. (September 2021). * Corporate bonds are near multi-year highs. “4 Reasons to Consider IG Corporate Bonds Now.” Charles Schwab. (August 2022). * Corporate bonds may yield greater returns than government bonds. “Corporate bonds: Here are the big risks and rewards.” Bankrate. (June 2022). * Robo-Advisors use modern portfolio theory to offer financial advice. “Modern Portfolio Theory: What MPT Is and How Investors Use It.” Investopedia. (September 2021). * Robo-Advisors have been criticized for lacking human emotion. “Why robo-advisors are striving toward a ‘hybrid model,’ as the industry passes the $460 billion mark.” CNBC. (April 2021). * You can create a target-date fund through your 401K plan. “Target-date funds are assets that are designed to offer long-term growth by a set time.” Business Insider. (August 2022). * CDs pay interest out over a set period of time. “What Is a Certificate of Deposit (CD) and What Can It Do for You?” Investopedia. (May 2022). * CDs are federally insured. “Are Certificates of Deposit (CDs) FDIC-Insured?” Smartasset. (March 2022). * Deposits in high-yield savings accounts up to $250,000 are protected in the event of bank failure. “What a high-yield savings account is and how it can grow your money.”CNBC. (September 2022).
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Stocks are an important part of any investment portfolio. Compared to other investments, they offer a relatively high average rate of return. In fact, from 1928 – 2021, the S&P 500 averaged returns at a rate nearly double that of bonds and nearly triple that of real estate (11.94 percent, 6.21 percent, and 4.4 percent,
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There are many different ways to invest in real estate, and pros and cons to each different kind of investing. You might choose to be a long-term landlord, invest in short-term rentals, REITs or fix and flip houses. Real estate wholesaling is another way to invest in real estate and may be attractive to some
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If you receive items or packages that you never ordered, you may be the victim of a brushing scam. Brushing scams are illegal in the United States and many other countries. While you may enjoy the surprise of receiving items that you weren’t expecting, brushing scams may be a symptom of identity theft. If you
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If you’re looking to secure the financial future of your family, you may be considering a life insurance policy or an annuity. But you may have some lingering questions about which option to choose – and what makes them different in the first place. In this article, we’ll explain how annuities and life insurance differ,
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Saving money helps create a sense of stability and control over your finances, especially as you get older. From being able to invest in your future to spotting the spending habits that eat away at your money every month, there are many benefits to learning practical and easy ways to save your money. Keep reading
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Wealth management is one of the best financial advisory services a wealthy person can choose to manage their financial assets. Although the service is typically accessible for highly wealthy clients, those who have a significant sum of financial assets may also find it useful. Wealth managers across the country help manage their client’s finances and
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In some cases, people may not be able to make some decisions for themselves. This could be due to age or mental or physical limitations. In these cases, a conservator may be appointed. Definitions of conservatorship or guardianship can vary by state, but in many cases, a conservatorship handles financial matters and a guardianship handles
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You’ve heard of sustainable investing, but what is ESG investing and why does it matter? Historically, sustainable investing has been a gray area with investors defining ‘sustainable’ in many different ways. ESG investing seeks to clarify this gray area by providing specific factors by which to judge a company’s environmental and ethical impact. This means
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Making sure your money is working hard for you is an important skill to have if you want to have a sound financial situation. While it might be easier to keep all of your money in the same accounts no matter what (“set it and forget it”), a policy like that could cause you to
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As your overall net worth increases, you may be looking for greater diversification in your investments. If you have all of your money in the same type of investment, then if that investment loses money, it affects your entire net worth. Some people choose to diversify their investments by choosing different types of investments. Real
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Wondering what to do if traditional college isn’t for you? For many high school graduates, college may seem like a given. The story goes something like this: You’re supposed to graduate high school, go to college, get a degree, and get a job. This traditional path works well for some, but others may be left
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Depending on the type of loan that you have and the amount of equity you have in your home, your monthly mortgage amount may include Private Mortgage Insurance (PMI). PMI helps protect the lender if you stop making payments or go into default on your mortgage. If you are paying PMI on your mortgage, you
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You may have heard the term data breach in the news and wondered what data breaches are and how they affect you. Whether you realize it or not, it is not uncommon for companies to store information about most or all of their customers. This may include restaurants where you’ve paid with your credit card,
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When it comes to buying a home, most people are aware that they need to budget for a down payment on their mortgage. However, a down payment isn’t the only upfront cost you’ll have to fork over — you’ll also need to pay closing costs. To make sure you have enough cash to close the
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Knowing how to build wealth is about earning, saving & investing. These 6 simple wealth building strategies will help you begin at any age.
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One of the most important things you can do for the ones you love is to create an estate plan. This process includes writing a will, which will help ensure you protect loved ones after you’re gone. Most people assume that writing a will is a costly ordeal that requires a lawyer, but you actually
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College is an exciting time for students to live on their own, make new memories, and create lasting friendships. What’s not exciting is the debt you might inherit once you graduate. In the last decade, student loan debt increased by nearly 70 percent, with over 43 million students facing outstanding student loan debt. What if
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Can you get cash back with a credit card? Absolutely. Let’s unpack a few helpful features, lucrative perks, and cash back rewards you should know.
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If you think that creating an estate plan is only for the sick or elderly, think again. It’s an unfortunate truth that death can happen to anybody at any age, and you wouldn’t want to leave your family to pick up the pieces of a disorderly estate after you die while they sort out their
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Mutual funds are an important part of investing in the stock market. While you can buy and sell individual stocks directly, that can come with a higher risk (and a higher potential reward). When you buy and sell shares in one individual stock, your performance is tied solely to the performance of that stock and
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We know that raising kids is expensive — but just how expensive is it? According to a 2015 U.S. Department of Agriculture (USDA) study, the average cost of raising a child from birth until the age of 17 is $233,610. This estimate is based on a middle-income family of four and excludes any college costs.
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It can be tempting to cut and run when you quit a job – especially if you’re leaving a particularly nasty situation. But if you have an investment account tied up with that employer, it’s important to transfer those funds as soon as possible. Rolling over a 401(k) is relatively easy, but there are a
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As a prospective home buyer, it’s just as important to research types of mortgages as the neighborhoods you want to live in. Applying for a home loan can be complicated, and deciding which type of mortgage best suits your needs early on will help direct you to the type of home you can afford. Depending
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Before you make any big financial decision, it’s crucial to learn how it may affect your credit score. If you’re looking to refinance, it’s natural to wonder if it might hurt your credit. Your credit score might drop slightly initially after refinancing, but only for a brief period of time. But your credit score may
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Want to buy a home? For most people, the promised land of homeownership lies through the mortgage loan. A mortgage is a loan you can use to buy a house or condo. A mortgage can be a tricky loan to navigate because houses are so much more expensive than other assets. Small differences in rates
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Once upon a time, job hopping was seen as unprofessional and unnecessary. In fact, it was relatively common to spend your entire career working for one employer, gradually working your way up the company ranks and receiving regular pay raises along the way. But these days, maintaining an upward career trajectory usually requires a little
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Buying your first house might be the biggest financial investment that you’ve ever made to this point in your life, and possibly the most complicated. In addition to determining if you’re making a sound financial investment, owning your home is just as much an emotional decision. That’s because where you choose to live affects things
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It’s no secret that the cost of college has increased faster than the rate of inflation for many years. According to The College Board, inflation-adjusted tuition at four-year, public universities has increased 158% between 1991-92 to 2021-22. So while it may have been easier for previous generations to pay for college with scholarships and a
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Healthcare and health insurance is a complicated topic, and there are many differing opinions on how it should best be handled. In many countries, there is universal healthcare for everyone, but that is not the case in the United States. While there are government-run programs for the elderly (Medicare) and those with low-incomes (Medicaid), most
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Bringing a child into the world may be priceless, but fertility treatments are anything but. This high price tag can put aspiring parents into a tough position, forcing them to choose between starting a family and avoiding massive amounts of debt. Thankfully, there are several strategies you can use to reduce or eliminate the need
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No matter how confident you are about the future of the economy, it’s clear that the average consumer is feeling nervous. A June 2022 survey from MagnifyMoney found that 70% of Americans think a recession is coming. But a recession affects everyone differently, and there are some professions that tend to thrive even when the
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From living in the dorms to meeting new people, many students eagerly await their chance to begin the college experience. And no matter your major, almost all college students have one thing in common — they know college can be expensive. So expensive, in fact, that over 43 million students are facing outstanding student loan
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Average Cost of Long-Term Care Insurance As a baseline, the average cost of long-term care insurance for a 55-year-old man and 55-year-old woman annually is $950 and $1,500, respectively. When it comes to your financial future, there’s nothing more responsible than staying prepared for the unexpected — including budgeting for long-term care insurance. Nearly 70%
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