Personal Finance

Understanding Banks' New Credit Criteria
Kathy Kristof

Some consumers complain that banks are ripping away credit cards, raising their rates or slashing their borrowing limits. But others say their limits have been raised and their interest rates dropped. What's going on here? Banks seem to be playing by new rules. Consumers need to learn what they are.

Personal Loans With a Twist
Kathy Kristof

As banks continue to tighten the grip on borrowers, canceling home equity loans and cutting borrowing limits on credit cards, Americans are increasingly turning to a timeless source of credit: one another.

5 First Steps to Deal With Debt
Kirk Shinkle

If your credit card's monthly minimum payment is starting to look more like your old balance or you're not answering the phone for fear of another call from a creditor, it's time to take drastic action. As thousands of Americans are finding out during this recession, personal debt can become a nightmare

Take Advantage of the New Credit Card Rewards
Kimberly Palmer

Credit card companies are offering a different kind of gift: They're handing out lower interest rates, refunding interest payments, and using other strategies to provide incentives for cardholders to pay down their debt and make on-time payments. The deals, however, don't always work in consumers' favor ...

9 Ways to Salvage an Ailing Credit Score
Luke Mullins

Poor credit has always been a drag on household finances, as unpaid bills and late payments can lower a consumer's FICO score. Lower FICO scores can trigger higher interest rates on everything from credit cards to car loans. But recently, they've become more important to the real estate market. Here are 9 tips from a handful of experts on boosting your credit score and lowering finance charges.

Finding Health Coverage Before Medicare: A Primer
Susan B. Garland

It's bad enough that your retirement savings are evaporating. But if you lost your job, retired early, or are turning to self-employment, you'll need to budget for health coverage. And the tab could be hefty. However, You do have options if you need to find insurance on your own ...

Financial Roadmap for Generation Y: Downgrading Expectations Best Survival Strategy
Kimberly Palmer

These days, 20-somethings are not just struggling to pay off student loan debt and coping with rising health insurance costs. They're also fighting to hang on to their jobs

Personal Finance - 5 Ways to Prepare for an Unplanned Retirement
Emily Brandon

We like to think that we can carefully plan out when we'll retire and how we'll spend those carefree days. But too often, carefully planned retirements are derailed when people find themselves pushed out of the workforce

Cheap Eats: Experts Share Tips on Cutting Your Food Bill

According to the U.S. Department of Agriculture, we Americans spend a whopping 30 percent of our budgets on food. With the economy mired in a downturn and household balance sheets in the red, it's only natural that many are looking for ways to trim their food expenditures. The question is, can it be done without compromising flavor or nutrition?

Now Is the Time to Make Sure Financial Arrangements Are in Order
Andrew Leckey - Successful Investing

Family finances have never been more important than in tumultuous 2009. But the devil is in the details. A solid family budget, a viable long-term financial plan and up-to-date legal documents can keep you on the right track.

10 Ways to Thrive After the Recession
Kimberly Palmer

Americans have put themselves on a budget. They're spurning vacations, $10 cocktails, and designer coffees in favor of shoveling more money into savings accounts. In the first quarter of 2009, the personal savings rate hit 4.2 percent, its highest level since 1998. At the same time, consumer credit card debt fell by 6.5 percent. That moderation, it turns out, could outlast the recession, and most economists and consumer experts say that's a good thing.

Recession Forces Bad Choice:
Filing Early for Social Security

New federal government data shows that applications for Social Security benefits are running well ahead of the rate expected due solely to aging of the population. The most likely cause is the recession and layoffs of older workers who, in turn, decide to throw in the towel on work and retire earlier than planned.

Make Sure Your Long-Term-Care Insurer Pays Up
Kimberly Lankford - Kiplinger Personal Finance

In many cases, getting a long-term-care claim approved is the easy part. It's the ongoing paperwork that drives families crazy, especially if you have to submit home-care reports with details of daily care. Mary's story has a happy ending, but it provides a cautionary tale for policyholders -- and their caregivers.

Score Big Savings on Health Coverage
Kimberly Lankford - Kiplinger Personal Finance

Washington is buzzing about pending changes in the health-care system, and a bill could pass before the end of the year. In the meantime, if you're facing a layoff, graduating from college and losing benefits, or struggling to pay rising premiums, you can still find affordable coverage. Several recent developments could help you save thousands of dollars on health-insurance premiums.

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Investing

Demographics Should Factor into Investment Strategies
Andrew Leckey

Demographics will be playing an increasing role in long-term investment. A global potpourri of aging populations, rising middle classes and out-of-kilter national economies must be factored into individual strategies for the future. Savvy investors consider such things ahead of time, rather than as they occur.

Avoid Motion Sickness With These Investments
Andrew Leckey

Most investors want to avoid motion sickness. Even if the final results could be the same, arriving at those results on a smooth road with few bumps is preferable to veering up and down like a roller coaster. Yet those same investors also have some difficulty shaking off a commonly held belief ...

Time to Pick Inflation-Fighting Investments
Andrew Leckey

Some experts are convinced that a rise in prices will be the end product of stimulus packages, bank bailouts, budget deficits and economic recovery. Their belief is not universal, and timetables are pure conjecture. Nonetheless, that hypothesis is worth some consideration by any investor with a well-rounded portfolio.

Should You Join the Roth Conversion Parade
Mark Miller - Retire Smart

Get ready for a big push from the mutual fund industry this fall urging you to convert your traditional tax-sheltered retirement account to a Roth IRA. The inspiration for the marketing drumbeat is a change in federal law next year that lifts the household income limit for eligibility to convert traditional IRAs to Roth accounts. Marketing hype aside, retirement investors should give serious consideration. Here's why ...

Size Up Your Inflation Risk, Then Gird for the Possible
Kathy Kristof

Prices for goods and services have been relatively tame for the last three decades, but billionaire investor Warren Buffett recently put words to the fear of many market professionals. Inflation may not be around the corner. But, he said in a recent opinion piece, unless something is done to curb government deficits, inflation could hit with a vengeance when the economy starts to gain steam.

Should You Invest in Socially Responsible Funds
Kimberly Palmer

Socially responsible investing, often referred to as SRI, has grown so much over the past decade that the industry group Social Investment Forum estimates it accounts for 1 out of every 9 dollars that is professionally managed in the United States today. But some consumers hesitate to put their money into socially responsible funds. Here are questions and answers to help you decide if socially responsible investing is right for you.

Investing - Roth IRA Conversion: Good Timing is Important
Humberto Cruz

When you convert a traditional IRA to a Roth, you owe tax on the converted amount as if you had simply withdrawn it from the traditional IRA (which in fact you have). But a conversion avoids the normal 10 percent penalty on IRA withdrawals before age 59-and-a-half.

Investing - Congress Mulls Stricter Standards for Brokers
Humberto Cruz

As Congress considers extending the fiduciary standard to brokers - in essence, requiring them to put clients' interests first - consumer and investor advocates, regulators, professional groups and prominent advisers are urging its adoption and trying to prevent attempts to water the standard down.

Investing - Be Smart About Charitable Giving
Andrew Leckey

Charitable giving didn't dry up with recession, but it did become more selective. You aren't seeing donation pledges and checks tossed around casually in 2009. That prudent philosophy has prompted nonprofit organizations to hold their friends close.

Investing - PIMCO Fund Family Has Excelled During Downturn
Andrew Leckey

The PIMCO fund family gets a gold star for insight and early detection of the housing and mortgage debacles, resulting in strong results throughout many of its funds over the past three years. 'PIMCO and the strength of its bond portfolios has really stood out as a perceived advantage for it during the downturn'

Investing - Alcohol, Tobacco Stocks Are Recession-Resistant, Not Recession-Proof
Andrew Leckey

Alcohol and tobacco will always be controversial investments for obvious reasons, yet they tend to weather recession better than many other stock groups. Credit their massive cash flow from loyal repeat customers for a resiliency that overshadows their dubious reputations. No industry, however, can turn a blind eye to 2009 economic trends.

Best Mutual Fund Families
By Katy Marquardt

In a recent survey, more than 3,000 financial advisers weighed in with their picks of the top fund families. Criteria included consistency, ethics, trustworthiness, sophistication, and social consciousness. The survey was commissioned by Horsesmouth, an online adviser community and kasina, a financial services consulting firm. But since straight rankings reveal only so much, We asked a handful of financial advisers which fund families they favor and why.

Is There Hope for Home-Related Investments & Home Builder Stocks
Andrew Leckey - Successful Investing

Recession and declining property values have hit homeowners hard, which is bad news for investments tied to homes and property. Homebuilders, home improvement centers and real estate investment trusts are left to pin their hopes on an economic revival.

Women Face High Risk of Outliving Their Money
Mark Miller - Retire Smart

Here's some bad news for men: We don't live as long as women. But there's bad news for women, too: you might live too long -- financially speaking. Women face a greater longevity risk--the danger of outliving their assets and experiencing poverty in old age. The average life expectancy for a 65-year-old American woman is 20 years, or 85 years of age--three years more than a man.

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States Where the Unemployed Are Giving Up
Liz Wolgemuth

In some states, nearly half of the job seekers who have stopped looking for work have done so because they simply don't believe they'll find anything. Indeed, the number of discouraged workers nationwide has more than doubled in the past year. This trend won't be reflected in the widely publicized unemployment rate ...

Making Sense of 'Cash for Clunkers'
Matthew Bandyk

With new-car sales slumping, automotive companies have been looking for ways to get consumers back into showrooms. Washington checked one item off car companies' wish list when it passed the Consumer Assistance to Recycle and Save Act of 2009 -- commonly known as 'Cash for Clunkers' ...

Cash for Clunkers Program Has Its Roadblocks
Kathy Kristof

If you want to trade in your junker for a new vehicle under the federal government's 'cash for clunkers' program, you'll have to act fast. Plus, qualifying for the vouchers isn't as simple as you might think. In fact, you'll need to know three things to decide whether it's a good deal for you.

Experts Have Come Up with Creative Ways to Fund Retirement
Kimberly Palmer

Not only has the market hammered 401(k) accounts, but even the bedrock of retirement income, Social Security, has started looking more vulnerable. However, before panicking about how to make up for the shortfall or bemoaning the unfairness of the system for today's young workers, consider this: Something will probably change.

Suze Orman: Why the Recession is a Good Thing
Kimberly Palmer

Since the financial crisis began, Suze Orman -- the queen of personal finance -- has been criticized for everything from her conservative investment choices to not having predicted the recession. An interview with Suze Orman and her thoughts on the recession and personal finance.

Choose an Investment Professional Carefully
Andrew Leckey

When it comes to selecting an investment professional, trust is a relative term. Many investors understandably feel a need for additional help in navigating today's volatile markets and economy. That means carefully checking out individual securities brokers or financial planners to find those who merit their confidence.

Pick a Financial Planner Carefully
Humberto Cruz

Different types of financial planners are held to different standards. I strongly recommend you use a planner (such as a CFP or RIA) who adheres to a "fiduciary standard." ...

Comparison Shopping Can Yield Substantial Savings on Insurance

As a personal finance columnist, I tell readers to shop around when buying insurance. With my homeowners, windstorm, automobile and umbrella liability insurance policies all coming up for renewal at the same time, I tested the wisdom of that advice.

How to Check Your Life Insurer's Health
Kathy Kristof

If you want to know why it's important to know the health of your life insurance company, ask Vince Watson. His daughter, Katie, was left severely disabled and in need of 24-hour care. The life insurance policy that was supposed to pay for Katie's care for the rest of her life. But less than a decade later, the insurance company failed and the Watsons learned a hard lesson about the limits on life insurance company guaranty funds.

 

Real Estate

Homebuyer Tax Credit Key to Economic Recovery
Queenie Wong

The latest data about the U.S. housing market reveal mixed signals about whether the nation's troubled economy is on the mend. But amid the uncertainty, industry experts like Jerry Howard, president and chief executive officer of the National Association of Home Builders, are working to strengthen the housing market.

Housing Crisis Conundrum: Which America Do You Live In
Ilyce Glink

It almost feels as though there are two economies.

First, we have the so-called 'good news' from Wall Street, where the big financial companies are crowing about billion-dollar profits, paying $100 million bonuses, and repaying warrants. Then we have the Main Street economy, where people can't get lenders to call them back, where jobs continue to be lost, home values continue to fall, net worths shrink and foreclosures continue to rise.

Real Estate Matters
(c) Nancy Ohanian

Sell High and Buy Low Is Trickier Than It Sounds
Ilyce Glink

It's really difficult to sell high and buy low under the current economic climate -- unless you're moving to a different part of the country or from a neighborhood that has appreciated greatly to another that has not.

Is Your Home in 'For Sale' Shape
(c) Mark Weber

6 Reasons Why Your Home Won't Sell
Ilyce Glink

The spring selling season -- such as it was -- has quickly faded away. Homeowners who want to sell are now pinning their hopes on the third quarter of 2009. With a strong buyers' market in place, many sellers are bound to be disappointed, as buyers skip over their homes for others nearby. Why do some houses sell ...

America's 10 Best Undervalued Places to Live
By Luke Mullins

During the first half of the decade, easy credit and speculative fervor sent home prices in certain states scorching to phenomenal heights. But nearly three years into a real estate crash that's dragged home prices down 32 percent from their 2006 peaks, some of these once wildly overpriced markets present today's real estate shoppers with perhaps their best shot at long-term value.

After the Housing Crisis
By Ilyce Glink

Much has changed in the world of real estate over the past 18 months -- new tax credits, tax deductions, and tax laws relating to short sales and foreclosures. New rules relating to appraisals, mortgages and home equity loans. And there are new entities to oversee and manage the crisis. Despite these changes, some key parts of the home buying process haven't changed at all. Here is a list of things that have remained constant through the tumult ...

 

Career & Job Hunting Tips

A Cure for Career Stagnation
Joyce Lain Kennedy

When I work with mature clients who are talented and passionate about their work, I can see they feel more like a human doing than a human being. Right about 50, they start to wonder if there is more to life than work. Right about 50, the career they love starts to feel stale around the edges -- and so do they.

Gear up Job Search with Free E-Booklet
Joyce Lain Kennedy

Jon Davidson, a successful recruiter and placement consultant, knows with certainty that searching for new employment is a full-time job in itself and, as with any role in life, the better prepared you are, the more successful you'll be. Here's what Jon Davidson recommends ...

New Career Books to Grow On
Joyce Lain Kennedy

Consider catching up on reading aimed to solve problems in your career. Here some 2009 titles that fill that bill

How to Ask for the Moon in Salary Negotiation
Joyce Lain Kennedy

The issue of whether or not you should 'ask for the moon' in today's jiggly economy is debated by differing camps of advisers. Jack Chapman, paymaster extraordinaire, says go for it -- with two caveats. Here's what Chapman recommends ...

Proving Age Bias Isn't Easy, But the Case is Strong
Mark Miller

It's illegal for employers to discriminate based on age. But age bias is widely acknowledged to be a key factor in job loss and hiring practices -- something that should be painfully obvious to even a casual reader of newspapers, which routinely run articles about laid-off midlife workers

So You're a Consultant Now Deduct Like One
Kathy Kristof

You may not like how your consulting career was born, but there are some benefits to being your own boss, not the least of which are federal income tax breaks. The moment you join the ranks of the self-employed, you get access to dozens of tax deductions and credits that aren't available to other working stiffs. Here are a few that can help

Proving Age Bias Isn't Easy, But the Case is Strong
Mark Miller

It's illegal for employers to discriminate based on age. But age bias is widely acknowledged to be a key factor in job loss and hiring practices -- something that should be painfully obvious to even a casual reader of newspapers, which routinely run articles about laid-off midlife workers

Tips for Dealing With Age Discrimination
Emily Brandon

Under the Age Discrimination in Employment Act of 1967, it's illegal to discriminate against anyone age 40 or older in the workplace with regard to hiring, layoffs, promotions, pay, and benefits. Here's what you should do if you think age is playing a role in your workplace woes.

Tips for Dealing With Age Discrimination
Emily Brandon

Under the Age Discrimination in Employment Act of 1967, it's illegal to discriminate against anyone age 40 or older in the workplace with regard to hiring, layoffs, promotions, pay, and benefits. Here's what you should do if you think age is playing a role in your workplace woes

New Path to a Career in Education
Jessica Calefati

Since it began in 2002, the little-known Broad Residency has placed more than 130 participants in 32 of the nation's largest urban school districts. There, they have led efforts to overhaul budgeting processes, revamp human resources departments, and make the purchase of textbooks and supplies more efficient. Interest in the program is starting to skyrocket, perhaps because of President Barack Obama's advocacy of public service and school reform.

America's Best Places to Find a Job 2009
Liz Wolgemuth

In the middle of the worst recession in decades, it wasn't easy to pinpoint the Best Places to Find a Job for 2009, as absolutely no American city was immune to the economic downturn. And there have been, no doubt, job seekers as frustrated in these 10 cities as in others. But 2009 was an unusual year. Still, some cities weathered the recession a bit better than their peers ...

 

 

For More Job Hunting Advice & Career-Related Articles visit our Career Section (Click Here)

 

10 Pricey Cities That Pay Off: The 'Amenity Value' of 10 cities
by Matthew Bandyk

When you pay a lot of money for something, you hope to get a lot of value in return. So why are people willing to pay a fortune to live in certain places. According to a recent working paper from University of Michigan economist David Albouy, there's a great deal of value to be found in those high prices -- in other words, "amenity value," which measures the amount of satisfaction the asset brings to its owner.

Locking Out Identity Thieves

The Federal Trade Commission estimates that identity theft happens to 9 million Americans each year. Identity thieves steal credit cards and wallets, or use machines to store numbers at ATMs. Thieves pose as companies on the phone or through e-mail, tricking people into revealing personal information. They can steal mail, taking information from pre-approved credit cards and financial statements.

Quick Tips to Get You Back in the Black

Saving money for your future is hard enough when the economy is in an upswing, but the task becomes even more daunting during an economic downturn when consumers find themselves struggling just to pay monthly bills. Here are a few quick and easy tips on how saving a little can add up to a lot

How the Cards in Your Wallet Stack Up

American's wallets feel heavy, but they're not stuffed with bills. At any given time, the average American carries 11 cards in their wallet, a mix of credit cards, debit cards and prepaid cards. Why the plastic? Each type of card carries its own rewards and drawbacks.

International Investing: Why it Makes Sense

Of the world's 40,000 publicly traded companies, 77 percent are located abroad, a pretty good sign that there are compelling investment opportunities outside the United States. Viewed another way, 51 percent of the world's $38 trillion total market capitalization belongs to the international arena. U.S. mutual funds hold $491 billion in overseas investments.

Gold: A True Barometer Of Public Confidence

Gold and silver coins, the famous "old world" currency, are fast becoming the "new world" currency because they offer the missing link in all paper currencies: a store of value.

When Going Gets Tough, Look To Dividend-Paying Stocks

Dividend-paying stocks may provide investors with solid results and, quite possibly, a smoother ride along the way. An expanding dividend supply is presenting itself when investors need it most: a volatile market and a volatile world.

What's Really Driving Your Portfolio Performance?

According to Roger Ibbotson, chairman and founder of Ibbotson Associates and a professor in the practice of finance at the Yale School of Management, what really drives performance over the long term is asset allocation - the assignment of money to different categories of assets, such as large- and small-cap funds, international funds, bonds and cash.

Take the Guesswork Out of Asset Allocation

Talk to any financial adviser and the mantra these days is diversify, diversify, diversify. But to average investors, that's not so simple. What exactly does that mean and how do they go about doing it?

Incorporating Bond Funds Into Your Investment Strategy

Bond funds can offer investors many of the same benefits of individual bonds, in addition to the advantages of diversification and professional management, according to "Bond Funds: The T. Rowe Price Investment Guide."

'Human Capital' Key Part Of Investment Portfolio

Age doesn't single-handedly dictate an investor's stock-bond blend. Instead, an investor's current savings versus future potential savings should set the mix, according to financial experts.

The Right Choices Can Reduce Investment Taxes

Given fluctuations in the market and changing tax law, there's nothing certain about the amount of taxes individuals will pay annually on their investments, but there are some choices investors can make to reduce their tax bill.

New Data Shows How Investors Fare

Investors often choose funds based on their past performance, buying too late and selling too soon. As a result, they lose money by investing in highly advertised hot funds or fleetingly popular sector funds.  "Investors know they should hold diversified portfolios, but many chase past performance," said Don Phillips, managing director of Morningstar.

Childhood Investments Can Build Nest Egg for Later in Life

"Investing early in life is important - not only does it give young investors a head start in building a nest egg for a first home, a college education or retirement, but it also creates good investing habits," said David Kathman, fund analyst for investment research firm Morningstar Inc.

Wall Street: the Road Block To Your Investing Success

Investors today face a barrage of conflicting information and exaggerated return claims from what most people consider the "market" -; the S&P 500 or the Dow Jones Industrial Average. But these indexes only comprise about 12 percent of all U.S. stocks. The reality is that these stocks can't be predicted with any consistency, especially long-term.   In the complicated world of financial services, you're being misled.

What a Company's Stewardship Means for Your Investment

What really distinguishes good corporate governance from bad?  Does it really matter to the individual investor what a management team does as long as the stock price goes up and dividends get paid?

Is an Exchange-Traded Fund Right for Your Portfolio?

Exchange-traded funds (ETFs) have been around for years, but new offerings have increased their profile even more.   ETFs have several clear advantages over traditional funds: lower annual expense ratios, greater tax efficiency and flexible trading.  Nevertheless, they aren't suitable for everyone.

Private Company Index Compares Main Street to Wall Street

Founded by Entrex Inc. in mid 2005, the Private Company Index, also called PCI, is the only indicator tool of its kind that measures trends in the performance of North American private business on a monthly basis.

Morningstar Firm Helps Identify Economic 'Moats'

Independent investment research firm Morningstar Inc.'s "fat-pitch" investment philosophy - find great companies that boast competitive advantages and buy them at a discount to fair value - is simple to understand, but difficult to employ. Outstanding businesses rarely come cheap.

Tips on Finding a Qualified Financial Adviser

Retirement planning. Long-term care insurance. College savings. These complex financial topics can be downright baffling.   As their financial needs change, many people find it a good idea to consult a qualified professional to help them navigate the nuances of financial planning.

Are You Building Enough Wealth to Support Yourself in Retirement?

Americans today generally are saving less, spending more and living longer than previous generations. A longer life span means the need for increased savings. And the sooner workers start saving, the better. In financial planning, time is your best friend.

Make Real Estate Investment a Snap

History has shown that the best time to be an investor is in a buyer's market not a seller's. And while across America housing sales have continued to slump, foreclosures are at an all-time high -; meaning that for serious investors, the time to focus their energies on buying real estate is now.

Despite Cool Market, Investing in Real Estate May Be Worthwhile

The real estate market has cooled off a little bit, but the boom hasn't exactly come to a halt. If purchased properly, some say real estate is one of the safer investments in our nation. The population will likely continue to increase, and people need shelter - whether it's for their home or their business.

Personal Wealth: Give to Receive - Five Tax Tips

According to Jim Tyrpak, CLU, ChFC, AEP, MSFS, president of the Society of Financial Service Professionals, there are more than a few ways being charitable can benefit you as much as the gift receiver.

Student Loans: Stafford Is a Good Bet
By Kathy Kristof

What do you do if the 2008 stock market plunge ravaged your child's college account and you don't have time to build it back up? It may be time to figure out a borrowing plan. Parents of many college-bound seniors are in the throes of contingency planning because the market's swoon left them with far less than they expected.

Education: The Ins and Outs of 529 College Savings Plans

Saving for college is an important part of many families' financial picture. Families may choose to explore state-run 529 plans, which allow investors seeking tax-free growth of assets to pay for higher education.

Education: Leveling the Playing Field Among 529 College Savings Plans

Many people are already aware of the benefits of investing in a state-sponsored 529 college savings program. What might not be as well known yet are tax parity laws.

Education: Personal Finance 101 Saving Money Before and During College

According to the College Board, the average yearly cost for a public college is $5,836, and the cost for a private college is more than $22,000. So when you're planning your educational future, it's a good idea to create a clear financial plan before you ever set foot on campus.

Education: Budget-Wise Tips for Managing College Costs

The average college student spends nearly $3,000 for various expenses beyond tuition, according to the College Board.  Good financial habits learned early will serve the student throughout his or her college years and well beyond, says Rich Linsday, president of the Society of Financial Service Professionals.