Measurement of the Money Supply The Federal Reserve measures the U.S. money supply in three different ways: monetary base, M1, and M2. Monetary base is the sum of currency in circulation and reserve balances (i.e., deposits held by banks and other depository institutions in their accounts at the Federal Reserve). M1 is the sum of currency held by the public (i.e., currency outside the U.S. Treasury, Federal Reserve Banks, and the vaults of depository institutions); traveler’s checks of non-bank issuers; and transaction deposits at depository institutions....

The fear is that inflation could rise too quickly and by too much once people are able to spend freely again. They’ll be armed with lofty savings, on top of additional government checks. And there’s the pent-up desire to get out of the house and live again after almost a year of staying home. Together, that could ignite buying activity more than the economy is ready for, particularly if the pandemic is still creating supply shortages, some economists and analysts say....

Say you decide to buy a home and get a mortgage. So, you call a mortgage broker recommended to you by your realtor, a family member, or a friend. Maybe this is a reputable mortgage lender with whom you’ve done business in the past. You complete a loan application and receive a letter of preapproval. Then, out of the clear blue, a different mortgage lender calls you. The lender might say they are affiliated with a credit bureau or give some other red-flag reason for calling....

Index funds are a type of mutual fund that usually aims to track the performance of a market index, like the S&P 500. Some other mutual funds use other strategies to attempt to outperform popular market indexes. What’s the Difference Between Mutual Funds and Index Funds? Both mutual funds and index funds can be good choices for investors who want an easy way to build a diversified portfolio, as these funds tend to own dozens, hundreds, or thousands of different securities....

Nationwide Mutual Insurance Company has been in business for over nine decades. In the company’s beginnings, it was a small mutual auto insurer in Ohio that insured only farmers. A mutual company is one that is owned by its policyholders. From these humble beginnings, Nationwide Insurance has expanded throughout the country. Nationwide Insurance supports humanitarian organizations including the Feeding America food banks and the American Red Cross. Nationwide Financial Services is also part of the Nationwide family of companies and is one of the largest financial services in the world....

Yes, these expenses are outside of your normal routine, and slightly unpredictable in terms of exact timing. But you can still make these an integral part of your budget. Here’s how in just 4 steps. Step One: Track Your Monthly Spending Many people have no idea how much they spend each month. These nifty budget worksheets are your best friend. They’ll help you follow where every dollar goes. Step Two: Track Your Annual Expenses You’ll have to pay some bills just once or twice a year - like doing your holiday shopping, getting your teeth cleaned at the dentist, and paying your property taxes....

If your business is a partnership or requires multiple employees, you may need a more robust business plan. Similarly, a one-page plan will not be sufficient if you are in need of debt or equity financing and wish to impress financial institutions or potential investors. Lenders and investors will require you to provide more in-depth information in the plan such as: Your relevant industry background, business, and management experience A more thorough description of your target market, proof of sufficient demand for your products or services, and how you will meet that demand and turn a profit Thorough analysis of the competition and how you will compete in the marketplace Detailed, realistic financial projections, including projected income statements, cash flow projections, and breakeven analysis An in-depth operating section with details on facilities, leases, equipment, and staffing....

If you’re considering a part-time job, it’s important to know about the hours and benefits involved, as well as the types of jobs that are available. What Is a Part-Time Job? Determining whether a job is considered part-time depends on the company’s policy and practice of defining employees and the hours required to be considered full-time. For example, an employer might classify a worker as part-time if they work less than 35 hours per week....

Recommendations can carry weight in a job candidate’s application, so it’s important to write an effective letter of support. Your letter will support the applicant’s candidacy and can help them secure an offer. Discover what elements to include in your note to make it successful, and see two sample recommendation letters that you can use for inspiration as you write your own recommendation letter. What To Include in a Recommendation Letter Effective recommendation letters contain the “who, why, where, when, what, and how” (five Ws and How) that you may be familiar with from journalism....

Is it worth it? Well, like most things, it depends on what you’re looking for and what your specific skill set is. A car-buying service will help take a bit of the negotiating responsibilities off of your hands. If you are a terrible negotiator and cave under pressure, using a car-buying service could save you a lot of money because the service agent won’t cave to pressure from a pushy car salesperson or the dealer like you might....

However, before making any definitive decisions, it’s important to look at how refinancing a mortgage could affect your overall retirement outlook. The Pros of Refinancing a Mortgage in Retirement Generally speaking, refinancing a mortgage offers several benefits to homeowners. First, refinancing could reduce your monthly mortgage payments, which reduces the stress on your budget. Lower monthly payments can be achieved by reducing the interest rate or extending the loan’s lifetime....

CCW As an Option Strategy CCW can be a good strategy for an investor who is bullish enough to risk stock ownership, but who is not so bullish that they anticipate a huge price increase. In fact, the whole idea behind CCW is a simple trade-off: When CCW Is Used A number of funds adopt covered call writing as their major investment strategy. (We would offer a short list of such funds, but we cannot recommend that anyone use them, because they approximate covered call writing, without adopting it fully....

It’s important to know how to read savings bond certificates so you can interpret the information on them. It’s also important to learn how to read paper corporate and government bonds if you hold any of those. Printed bonds are increasingly rare today, but some people may be holding on to them for sentimental reasons or because they prefer having bonds they can see and feel. U.S. Savings Bonds Almost all U....

Imagine how chaotic it would be if everything were negotiable. Suppose you were walk into a bakery to buy a loaf of bread and, instead of ringing up your purchase, the baker were to ask you to submit a bid. How much would you offer? Wouldn’t you rather hand over a $5 bill, wait for your change, and leave with your bread? People are expected to negotiate when buying a home....

An ILIT may be right for you and your family if you have a high net worth and want to reduce your estate taxes in the future. What You Should Know About Estate Taxes In the United States, you have the right to transfer your property and assets to a beneficiary or beneficiaries after your death. While you have that right, the federal government and certain states hold the right to tax the value of that property....

The template below shows the format of a typical reference letter. This format is appropriate for an employment reference, as well as for a graduate school recommendation. Review tips for what to include in each section of a reference letter as well. What Should You Include in a Reference Letter? How can you provide a reference that will make the best impression? It’s important to provide a strong endorsement of the candidate’s qualifications....

Maskot / Getty Images Stuck inside with little opportunity to shop, at least in stores, and nowhere exciting to go, many Americans plowed money into home improvement projects last year, a new report by Harvard’s Joint Center for Housing Studies reveals. While the overall economy shrank 3.5% in 2020, home renovation spending actually grew 3%, as Americans spent $420 billion modifying their houses for the new work-from-home lifestyle. Meanwhile, lower-income households, hit hard by job losses, faced a different reality....

It’s not unheard of for creditors to continue to report negative account information even after your bankruptcy discharges, so it’s important to inspect your credit report regularly. It might cost you a few dollars to check every few months, but it’s money well spent—and you’re entitled to one free credit report each year. If any of your discharged debts are shown as active, send a dispute to the credit bureaus to have the account updated....

Tax payments that appear on this form include withholding, estimated tax payments, the Earned Income Tax Credit, excess Social Security withholding, the Additional Child Tax Credit, and any payment you might have made if you asked for an extension of time to file. Lines 25a and 25b: Withholding on W-2 and 1099 You’ll report your tax payments on lines 25 through 32 of your 2022 tax return to be filed in 2023....

The money for the Emergency Rental Assistance program, authorized in President Joe Biden’s American Rescue Plan pandemic relief bill, has been sent to the state and local agencies that administer the relief, which gives renters suffering financial hardship the money to pay up to 18 months of rent, the Treasury Department said Friday. The funding comes with new rules that cut down on paperwork, require the agencies to bypass landlords who refuse to participate in the program, and forbid landlords from evicting tenants who use the aid to pay their rent....