Undoubtedly, old coins can be a profitable investment if you know where and how to invest your money. Many people nowadays have made great investments by buying old coins. The reasons are many, but probably the main one is that old coins are unique and invaluable.
The new year is right around the corner so I thought it fitting to layout some resolutions for a few different financial topics. Here are financial resolutions for crypto, investing, real estate, savings, and debt.
Pay down or pay off your debt. If you have credit card debt, make it a goal for next year to pay it off completely. The interest rates that credit card companies charge are so brutal. Getting rid of credit card debt would relieve a lot of stress and save you a lot of money that you’re wasting on interest. Not to mention, whatever you’re currently paying towards your credit card can be used for something way more productive.
If all you have is a mortgage, make extra payments. If you have no debt, congratulations! Try and save more so there’s no chance of you going into debt again.
Would you like to buy a house next year? Save for your down payment. The bigger your down payment is the smaller your responsibility will be; in terms of monthly payments and in terms of total money owed. Especially if your down payment is 20% or more. If that’s the case, you don’t have to pay mortgage insurance (AKA PMI).
If a down payment isn’t something you need to save for, increase your savings rate for retirement. Or set yourself up to cover some unexpected expenses by creating an emergency fund. Do some math, establish a goal number (emergencies, down payment, retirement savings), and then create a plan to save and hit that number.
For the most part, investing will take place in your retirement account. And for most people, the amount of time you have until retirement is a couple of decades. With that said, you can be a little more aggressive with your investments.
If this description doesn’t fit you, then figure out what works for you. Determine your time horizon, risk tolerance, and what you’d be able to tolerate in terms of short-term losses. If you’d like to get a good idea about what your preference is, take our risk tolerance quiz.
This one is a little challenging because it’s not like you’re going to move once per year. Also, investing in real estate isn’t for everyone. So I’m going to try and hit a few groups with this one.
Buy a new home. If you need more space for your growing family, you got a new job that requires relocation, you want to be closer to your church or family members, then make a move.
Make improvements to your current home to increase the value of your home or to make better use of the space. It can also improve tax credits especially if you use sustainable materials like solar panels. Either way, the improvement has a positive effect on your living situation.
Most people can invest in real estate, they just do it differently. Some people are going to invest in physical properties and some can invest in Real Estate Investment Trusts (REIT). Either way, you need to be picky (like all investments) so you get a good return on your money.
This applies to everything in this post, but especially here…do your homework. I like crypto. I think there are investment opportunities, but I also think there’s a possibility it all collapses. I like the technology it’s created on, but I don’t know how it’ll transform and what the adoptability will be. Invest only what you can afford to lose is my best advice. With all that said, make financial resolutions to get more educated about cryptocurrencies and the blockchain.
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**Securities offered through Securities America, Inc., Member FINRA/SIPC. Advisory services offered through Securities America Advisors, Inc. Securities America and its representatives do not provide tax or legal advice; therefore, it is important to coordinate with your tax or legal advisor regarding your specific situation. Please see the website for full disclosures: www.crgfinancialservices.com
Jacob Sensible is a financial advisor with decades of experience in the financial planning industry. His journey into finance began out of necessity, stepping up to support his grandfather during a health crisis. This period not only grounded him in the essentials of stock analysis, investment strategies, and the critical roles of insurance and trusts in asset preservation but also instilled a comprehensive understanding of financial markets and wealth management. Jacob can be reached at: jake.sensiba@mygfpartner.com.
As the new year approaches, many professionals set new goals for their careers. One common one is finding ways to earn more money. If you’re in that camp, starting the new year by asking for a raise could be a smart move. It may let you increase your income without having to launch a job search, something that really works in your favor if you enjoy your current role and workplace. If you aren’t sure how to approach asking for a raise, here’s what you need to do. [Read more…]
Tamila McDonald is a U.S. Army veteran with 20 years of service, including five years as a military financial advisor. After retiring from the Army, she spent eight years as an AFCPE-certified personal financial advisor for wounded warriors and their families. Now she writes about personal finance and benefits programs for numerous financial websites.
Business, Technology, Internet and network concept. CRM Customer Relationship Management.
There’s so much buzz around insurance CRM (Customer Relationship Management) companies and their ability to help businesses grow. These partnerships can make the insurance industry even more competitive, particularly among small and mid-sized players. This article will look at what these collaborations entail and the reasons why insurance CRMs can be an excellent addition to your business. [Read more…]
It’s no mystery. Inflation is becoming a problem. We thought it might be an issue a while ago when the economy started to come back and the FED continued easing. The FED then said the inflation was transitory, meaning it would only be here temporarily until it went back down to pre-pandemic levels. That no longer looks like it’ll be the case. What are the factors causing inflation? Is there a major force behind it? What are the industries that’ll be hurt the most and which industries will be unfazed?
There are several factors causing inflation. Because of the pandemic, we saw demand evaporate instantly. Then, as vaccines started to roll out, demand started to pick back up again. Also, in the middle of the pandemic, the government sent out three stimulus payments and increased unemployment benefits. People realized what it felt like to bring in more money and sought out better-paying jobs, or demanded higher wages. Demand picked up and people started to make more money, so they had more disposable income.
The recovery got going, but the FED continues to buy bonds and keep interest rates low. What also happened was the supply chain crisis. Prices went up because demand stayed the same and supply dried up. There’s also a wage/price loop that takes place. Wages go up, so companies raise prices to make up for the increased cost of wages. Increased prices create wage pressures. Wages go up. Then prices go up to make up for the increased cost of labor. And so on.
There are several current industries and product lines that are being affected by inflation. The most notable is gasoline. But I don’t need to tell you that. I’m sure you’ve noticed when you go to fill up your tank. A lot of food items have also increased a bunch since before the pandemic. To be honest, I can’t think of many industries that aren’t affected by inflation. I would assume if you provide a service you can be more flexible with your charges.
Something else that’s being said is industries are becoming increasingly centralized, so there’s less competition. If there’s less competition, companies are able to do what they wish with their product offerings and their prices. I really don’t know if that’s the case or not. I would think not because the current administration said they were going to limit anticompetitive practices, but who really knows what they’re actually going to do.
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**Securities offered through Securities America, Inc., Member FINRA/SIPC. Advisory services offered through Securities America Advisors, Inc. Securities America and its representatives do not provide tax or legal advice; therefore, it is important to coordinate with your tax or legal advisor regarding your specific situation. Please see the website for full disclosures: www.crgfinancialservices.com
Jacob Sensible is a financial advisor with decades of experience in the financial planning industry. His journey into finance began out of necessity, stepping up to support his grandfather during a health crisis. This period not only grounded him in the essentials of stock analysis, investment strategies, and the critical roles of insurance and trusts in asset preservation but also instilled a comprehensive understanding of financial markets and wealth management. Jacob can be reached at: jake.sensiba@mygfpartner.com.
Some people, when they take out a loan, don’t even ask the question, “What if I can’t pay? It seems like that can’t happen. But anything can happen in life, so it’s best to understand in advance what can happen if you have a loan and no money. With the support of MyFin Service (click here), I’ll tell you everything I know about it. [Read more…]
The saying is true: old habits die hard. And that saying applies to financial habits, both healthy and unhealthy, for those of us who are in debt.
Healthy financial habits are conducive to living the lifestyle you want without wasting money or going further into debt when you don’t have to. Healthy financial habits include spending within your means, saving when possible, and setting aside money for emergencies, the future, and your dependents (for instance, setting aside money for your kids to attend college).
The global spread of the COVID-19 virus has dramatically changed the lives of millions. As countries impose nationwide lockdowns for public health safety, many companies decided to lay off or furlough their people—putting a dent in many household incomes. [Read more…]
When it comes to finance. Many people try to put safeguards in place to ensure that everything runs smoothly. However, not everyone has a system in place in case they become incapacitated and are unable to manage their financial lives for a period. Luckily, a financial power of attorney can address that issue. If you’re wondering what a financial power of attorney is and whether it’s time to get one. Here’s what you need to know.
A financial power of attorney is a formal legal document that gives an appointed person – usually referred to as an attorney-in-fact or agent – permission to manage your finances in specific situations. Often, the document allows the person to handle basic tasks. For instance, depositing checks, paying bills, directing insurance benefits, and similar activities. However, you have complete control over the permissions. Thus, allowing you to pick and choose what you want the person to be able to do.
The goal of a financial power of attorney is to ensure that someone can manage your financial life during an unexpected event. It’s designed to provide you with peace of mind. It will also prevent money-related issues that could occur if no one was able to handle the types of tasks outlined above.
Technically, there are two forms of financial powers of attorney. A general financial power of attorney only applies if you are not incapacitated. Usually, it’s meant to reduce the burden of a person who is struggling to manage all of their financial lives but is still technically able to do so.
With a durable financial power of attorney. The person you select as your agent can make decisions if you’re incapacitated. Although their capabilities end if you pass away. This version is more common for end-of-life planning, as well as addressing certain unexpected situations. This includes such as a sudden incapacitating illness. It can also be used during scheduled events, such as during planned surgeries that involve anesthesia, or to address issues relating to mental decline, such as dementia.
Generally speaking, it’s wise to have a financial power of attorney in place as part of your estate planning endeavors. By getting a durable financial power of attorney in place, you’ll have an agent who can act on your behalf should you become incapable of managing your finances.
Since events like accidents, illnesses, strokes, and other potentially incapacitating issues can occur without notice. Being proactive is best. Regardless of your age or family situation. Having a durable financial power of attorney ensures someone can handle critical tasks either until you recover or until your passing. Which can prevent a range of financial issues.
However, if you’re waiting for a triggering event, preparing to undergo surgery could be one. Since going under anesthesia is risky and there may be decisions that need to be made during the procedure, setting up a durable financial power of attorney before the surgery is wise.
Similarly, if you’re diagnosed with a degenerative condition that will impact your mental capabilities, you’ll want one then as well. Setting it up while you’re of clear mind is always best, as it increases the odds that your chosen agent will be respected once your abilities decline.
Even a medical diagnosis for a hard-to-manage condition could indicate it’s time for a financial power of attorney. For example, while cancer may not directly influence your cognitive abilities, the impact of treatment and the stress of battling the condition could make you forgetful. By appointing an agent to assist you during that time, you have someone who can ensure that something important doesn’t fall through the cracks.
Whenever you’re setting up a financial power of attorney, you’ll need to select a person to serve as your agent. The decision is ultimately yours. Ideally, you want to choose someone that you trust to act in your best interest who is also capable of handling the assigned responsibilities above all else.
You aren’t limited to specific relationships with the chosen individual, and you aren’t required to favor one option over another. Depending on your situation, you could choose a spouse, family member, or friend. If the decisions relate to a business you run with another person, selecting a business partner may be wise.
In some cases, you may even want several financial powers of attorney. That way, you can divvy up various tasks between individuals that are best suited to those tasks. For example, you could ensure a spouse can handle your personal finances, while a business partner manages company-related matters.
It’s also important to note that you can change your mind and revoke a financial power of attorney. As a result, if your situation changes and you want to ensure someone can no longer act on your behalf. yYu can do so as long as you’re considered mentally sound. Then, you can select a new agent. Thus, allowing you to adjust your choice whenever necessary.
Have you set up a financial power of attorney before? If so, what prompted you to do so? If not, is there a reason you haven’t moved forward? Share your thoughts in the comments below.
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Tamila McDonald is a U.S. Army veteran with 20 years of service, including five years as a military financial advisor. After retiring from the Army, she spent eight years as an AFCPE-certified personal financial advisor for wounded warriors and their families. Now she writes about personal finance and benefits programs for numerous financial websites.
Teaching kids about money is a worthwhile endeavor no matter what time of year it is. Holiday shopping might be one of the better times to take them to school, though. Here are some ways to teach children about budgeting through holiday shopping.
Because of the internet, the majority of the shopping is done online. You are able to take your time and actually show them what you’re doing and why you’re doing what you’re doing.
Let’s say you’re on a website and you’re buying several things for your family members (as long as it’s stuff for them…no spoiling surprises). The items in your cart total $200 and your budget per person is $50. With those numbers, you’re able to show your children that you’re buying for 4 people. You’re able to show that you set a number and you’re sticking to it.
With spending comes saving. Another item you can incorporate when teaching your children about budgeting is saving money.
Our family has a separate savings account specifically for holiday spending. We determine how much we’re going to spend per person and add up how many people we’re going to buy for. Then we take that total and divide it by 52 (for 52 weeks in a year). The next thing we do is take the total from that equation and set up an automatic transfer from checking to holiday savings. That way, we have the money saved and ready when we start buying gifts for people. That enables us to continue with our normal budget and financial plan without eating into our regular cash flow.
I think there are a lot of parts of the holiday season that you can model for your children. When you walk into a store, there’s typically someone outside ringing a bell for the Salvation Army. That could be a good opportunity for you to teach your children about paying it forward and giving it to someone less fortunate than them.
You could give your children $20 or some other dollar amount of your choosing. With the money you gave them, you could give them some options. Buy something for yourself, buy something for someone else, or split up the money and buy for a few people. Depending on what they do, it could be a good opportunity for your to teach them about thinking of others instead of thinking about yourself.
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**Securities offered through Securities America, Inc., Member FINRA/SIPC. Advisory services offered through Securities America Advisors, Inc. Securities America and its representatives do not provide tax or legal advice; therefore, it is important to coordinate with your tax or legal advisor regarding your specific situation. Please see the website for full disclosures: www.crgfinancialservices.com
Jacob Sensible is a financial advisor with decades of experience in the financial planning industry. His journey into finance began out of necessity, stepping up to support his grandfather during a health crisis. This period not only grounded him in the essentials of stock analysis, investment strategies, and the critical roles of insurance and trusts in asset preservation but also instilled a comprehensive understanding of financial markets and wealth management. Jacob can be reached at: jake.sensiba@mygfpartner.com.
