Financial Planning, Retirement Plan, 401k, Investment Blog

Recent Financial Planning & Management Articles

Does Renting Make Sense In This Shaky Real Estate Market?

Posted September 23, 2010 by Bernz

The real estate market has taken a wild roller coaster ride in the last year.  The collapse of the sub prime mortgage market has left banks and mortgage companies quivering.  This in turn has led to the tightening of purse strings regarding mortgage lending to consumers.

This state of the economy has affected no one more deeply than first time home buyers.  As a group, these are the most attractive clients for mortgage companies to target as they are the most likely to renew with their current company than switch.  If the lender can capture the borrower at the first sign of need, it is likely that they wind up with a customer for life.

However, with the new rigidity in mortgage loans and banking practices, first time home buyers –except for those with perfect credit and extensive employment history – are finding it more difficult than ever to land a mortgage.  This brings up the age old dilemma of “should I rent” or “should I buy”.

Read More »

Posted in Retirement Planning | 1 Comment »

Surety Bonds for the Entrepreneur

Posted July 5, 2010 by Matt Bruns

Surety bonds can make a world of difference for fledgling entrepreneurs.

They are key risk-mitigation tools that can insulate business owners from financial harm and reassure consumers that you’re committed to consumer protection. They’re also mandatory for scores of industries and business types, from construction and health care to travel agencies and janitorial services.

But they’re also often misunderstood, if they’re even considered at all.

How Surety Bonds Work

Surety bonds are basically three-party agreements among a principal (the company performing the duty), the obligee (the entity receiving or licensing the work) and the surety company that issues the bond. In the construction industry, contract bonds help ensure that projects get completed, subcontractors get paid and bids are legitimate.
Read More »

Posted in Bonds, Financial Education, Financial Goals, Investing Basics, Retirement Planning | 2 Comments »

Do Today’s Kids Know Enough About Money?

Posted June 10, 2010 by Bernz

It almost seems like a rite of passage – teenagers getting into college, finding more freedoms, and getting a credit card.  credit card companies have always been eager to supply college students with credit cards.  They often turn into customers for life.

While at first it seems like a great way to teach college students about credit, the new shiny credit cards don’t come with instructions or lessons.  For those kids who have never managed money in the past, it can be a nightmare – one that is hard to overcome as credit card bills keep pouring in.

The topic of handling money is not often taught in schools, leaving kids to get their information from friends, and what they think their parents are doing.  Parents themselves often don’t talk about money with their children.  Money is a taboo subject in many households; considered too crass of a topic to bring up.

But where does that leave our children?  Credit card debt among college students has doubled in the past 10 years and often students enter the working world with as much credit card debt as student loans. Read More »

Posted in Saving for College, Saving Money | No Comments »

Three Most Often Missed Tax Breaks

Posted April 15, 2010 by Bernz

Many Americans prepare their own taxes in order to save money and to ensure that they have a good grasp of their financial situation.  However it can be a challenge to keep current with tax law and to understand the deductions that are available.  Many taxpayers miss opportunities to save money and pay fewer taxes.

Here are three of the most often missed tax deductions.

Non-cash Donations

It is easy to remember to claim cash donations on tax returns as receipts are issued by charitable organizations.  However many taxpayers do not remember to track the value of the goods they donate throughout the year.  Used goods donated to organizations like the Salvation Army and Goodwill can save you money in your taxes.  From the tax year 2007 forward, all noncash donations require a receipt.  Make a list of the goods that were donated and value each one.  There are several different ways to do this.  You can go into the stores and look at the prices they are charging for similar items.  You can also use programs like TurboTax’s It’s Deductible to place an approximate value on your items.  Keep in mind that the items have to be in good or better condition in order to qualify for tax deduction. Read More »

Posted in Financial Education, Health insurance, Tax Reduction | No Comments »

Getting the Most from Your Accountant

Posted February 24, 2010 by Bernz

If you’re like most people, the only interaction you have with your accountant occurs at the end of the year at tax time. Most of the time, this exchange involves discussions about missing receipts, tax write-offs, and filing deadlines. It is rarely fun and, more often, painful.

A good accountant, however, can be worth his or her weight in gold- literally. Here are some important tips on choosing the right accountant and getting the most out of the relationship:

1) Choose a qualified accountant. The word accountant is not standardized or protected. Anyone can call themselves an accountant and it can be difficult to assess an accountant’s credentials. A Certified Public Accountant in the US or a Chartered Accountant in Canada and the UK, however, must undergo certain levels of education and examination to be able to use those titles. Selecting a designated accountant will give you comfort about the level of expertise your advisor has. Read More »

Posted in Estate Planning, Financial Education, Financial Goals, Tax Reduction | 1 Comment »