QE, or quantitative easing, is a monetary policy technique used by central banks such as the Federal Reserve. Using quantitative easing, a central bank attempts to cut interest rates, expand the money supply, and boost lending to households and companies. The objective is to encourage economic activity and maintain credit flow amid a financial crisis. Quantitative Easing in the UK has changed how you invest in premium bonds. [Read more…]
Your life goes by peacefully most of the time. However, there can be instances, such as an accident or the start of a business, when you need legal advice. An attorney can guide you through these issues and work for a result that favors you and your interests. Here are a few reasons why you need to hire a lawyer. [Read more…]
Not everyone in Singapore chooses to seek or retain health insurance coverage. Some people have it simply as a company benefit and would not have tried to procure it otherwise.
Much of this comes from a lack of essential information, which is what everything here aims to clear up for you today. Not only will you understand why health insurance is necessary, but you will also gain insight into how the choice of a provider is to be made. [Read more…]
Treemap charts are a powerful way to visualize data. They offer many advantages over traditional charts, including the ability to show hierarchy, compare proportions, and more. Keep reading to learn more about the advantages of treemap charts.
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Have you been trying to learn about how to grow a business through various online accounting resources? Well, you can get the answer to your question through this post, as we will discuss a handful of valuable tips to grow your business.
Just like starting a business requires a lot of planning and prep, growing your business requires the same amount of hard work and more. Whether you’re running a small retail business in local markets or a large regional company that is popular across the nation, you will desire an increase in sales revenue and profits at some point.
No two businesses operate with the same strategy and motives. And therefore, every business entity uses various rules and strategies to grow. In this post, we will talk about a few helpful tips we’ve gathered from valuable accounting resources to help you put your business on the track of “growth”. Here’s what to know! [Read more…]
When you’re planning for retirement, classic advice usually states to take advantage of every plan option available to you. However, while a 401K can be an asset, that doesn’t mean it’s the perfect choice for every situation. If you’re wondering if a 401K is worth it, here’s what you need to know.
A 401K has specific benefits that can potentially make one a worthwhile addition to your retirement plan. One of the biggest is its tax-deferred status. When you start contributing, you reduce your tax burden immediately since the payments typically come from pre-tax dollars. If you earn more money now than you will in retirement, you’ll potentially come out financially ahead.
Employer matches are another benefit of a 401K. Many companies will match employee contributions up to a specific amount. By contributing enough to capture the maximum, you’re essentially collecting the most “free” money possible for retirement.
In most cases, 401Ks come with a wide array of investment options, too. This allows you to choose a portfolio mix based on your comfort with risk, values, financial goals, and other factors. Plus, there are typically several asset classes available, including stocks, ETFs, money market funds, and more.
Finally, many 401Ks allow people to borrow against the account. Essentially, your account balance acts as collateral, and you can pay the amount back with interest over time. In some cases, these loans offer more favorable rates. Plus, if you repay the full amount before changing to a new employer, it typically won’t impact your income for tax purposes.
While 401Ks come with some notable benefits, that doesn’t mean there aren’t drawbacks to consider. As a defined contribution plan, you’ll send an amount to the plan every paycheck regardless of market conditions. While the concept of dollar-cost averaging could reduce any harm from investing at inopportune times, it does mean you’ll sometimes invest during periods that aren’t offering the best value.
You may also have to contend with 401K fees. Precisely what that involves varies from one employer to the next, but they can add up surprisingly quickly, offsetting at least some of your earnings or actually causing you to spend more than you make during economic downturns.
It’s also important to note that some 401K plans come with surprisingly few investment options. You may have only a small number of investments to choose from, and most of what’s available may simply be mutual funds, particularly target-date funds.
Finally, while employer matches are typically one of the benefits of 401Ks, not all companies offer one. Additionally, some have very low matches, which can make a high-cost 401K a poor choice for some investors.
Generally speaking, a 401K can be worth it, suggesting you have a plan available that meets your needs. If there is a wide array of investment options, a generous employer match, and a reasonable fee structure, and you’re in a higher tax bracket now than you will be in the future, using a tax-deferred option like a 401K could be worthwhile. However, if none of that applies, there are more flexible options available, and it could be wise to explore them instead.
Do you have a 401K? If so, do you think it’s worthwhile, or do you believe that other retirement savings options are a better fit? How do you make the most of your 401K to ensure your financial future? Share your thoughts in the comments below.
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Tamila McDonald has worked as a Financial Advisor for the military for past 13 years. She has taught Personal Financial classes on every subject from credit, to life insurance, as well as all other aspects of financial management. Mrs. McDonald is an AFCPE Accredited Financial Counselor and has helped her clients to meet their short-term and long-term financial goals.
It’s no secret that accidents happen. In fact, according to the National Highway Traffic Safety Administration, there are more than 6 million car accidents each year in the United States. If you’re unlucky enough to be in an accident, you’ll want to make sure that you have the right automotive insurance company on your side. Choosing the wrong insurer could lead to higher premiums and less coverage in the event of an accident. In this blog post, we will discuss how to choose the right automotive insurance company for your needs. [Read more…]
Car accidents are the primary cause of injury in Louisiana. The most common factors for crashes in 2019 were alcohol and a low percentage of use of safety belts.
If you’ve been hurt in a road accident, you may want to consider lawsuit settlement loans. How do they work? Who is eligible? This post will answer these questions to make you understand better. [Read more…]
Having a good credit file has many benefits with the most obvious benefit being more accessibility to affordable credit, bigger credit limits and lower interest rates. If you already have good credit and want to keep on top of your credit score then keep reading, as we’ll be covering 5 simple habits to ensure your credit doesn’t slip. [Read more…]
As a business owner, you work hard day and night to grow your business. And the last thing you want is to give more of your business income to the government. Although it’s your responsibility to pay tax for the continued operation of your business, you probably want to reduce it as much as possible.
Fortunately, there are numerous tax-saving strategies you can try to use to help reduce your tax liability as a business owner. Enumerated below are some effective tax reduction methods: