By knowing your credit score and why it can be impacted by applying for new credit, you may be able to get more than one credit card to help you meet your financial goals. Your Credit Score Your credit score is viewed when you apply for a credit card or loan. Lenders and other parties use your credit score to decide if they should grant you credit. It may also be used by potential landlords, car insurance companies, and even employers....

For a number of reasons, the chances of the average investor getting IPO shares before they begin trading is remote. That doesn’t mean however that there’s no opportunity to profit from them, if you understand how they work and what is available. Who Determines an IPO Price? Companies go public for two reasons: raising capital and unlocking existing shareholder value, which means gains for those who held pre-IPO shares. Companies that have been successful in their market and have built brand awareness then use the proceeds to make capital investments and acquisitions to drive growth and earnings....

Advantages of Roth IRAs Investment income and growth held inside a Roth IRA aren’t taxed as they’re earned. This arrangement is similar to those of other retirement savings plans. You don’t have to report interest or dividends on your tax return before you retire and begin taking withdrawals. As with some other types of plans, there are penalties for taking money out early in some cases, however. You don’t get a tax deduction for contributions you make into a Roth IRA at the time you make them as you would with a traditional IRA....

Credit card issuers and payment networks earn revenue every time you use your card—whether or not you carry a balance. Learning how the system works can help you understand how you (and businesses you buy from) pay for goods and services. Interest Charges It’s probably no surprise to hear that credit card companies earn revenue on interest charges. Credit card rates can be notoriously high, and minimum payments hardly make a dent in your loan balance, allowing your debt to linger and generate profits....

Learn how savings accounts work, when you should open one, when you should make withdrawals, how they can help you reach financial goals, and what the bank does with your money in the interim. How To Open a Savings Account Opening a savings account isn’t too difficult, but there are a few steps you need to follow. Pick the Right Savings Account The first step in opening a savings account is making sure you choose the right account for your needs....

However, one thing that is less clear is how long your cover letter should be. If it is too short, employers might think you do not care much about the job. If it is too long, employers might not take the time to read your letter and may not consider you for an interview. Read below for more advice on how long your cover letter should be, as well as additional advice on writing a strong cover letter....

You can also have a savings account for each goal, such as saving up for a family trip or buying a home. Depending on your bank, there’s likely no limit to how many savings accounts you can open, but it can be challenging to keep track of them after a certain point. Learn the benefits of multiple savings accounts, how many you can have, and how you can use them to organize your finances....

You’ll want to know which form to file, as well as the situations that require you to disclose bank deposits. We’ll walk you through how much cash you can deposit before it must be reported, the types of transactions, and the law from which these rules stem. How Much Money Can You Deposit Before It Is Reported? Banks and financial institutions must report any cash deposit exceeding $10,000 to the IRS, and they must do it within 15 days of receipt....

The following scenario shows the potential, using a risk-controlled forex day trading strategy. Forex Day Trading Risk Management Every successful forex day trader manages their risk; it is one of, if not the most, crucial elements of ongoing profitability. To start, you must keep your risk on each trade very small, and 1% or less is typical. That means that if you have a $3,000 account, you shouldn’t lose more than $30 on a single trade....

As the chart below shows, people’s expectations for inflation rates—an important influence on their spending, and, in turn, the broader economy—have shot up as actual prices have risen in the pandemic era. The New York Federal Reserve’s September survey of about 1,300 consumers shows that short- and medium-term inflation expectations are at their highest levels since the inception of the survey in 2013, and a comparable University of Michigan survey shows a surge this year too....

Learn more about credit-score pros and cons of applying for a new card; application restrictions for a few issuers and banks; why waiting might be smart; and whether to sign up today. How Credit Card Applications Affect Your Credit Score Applying for new credit cards too often over a short period of time can drag down your credit score right now. Even applying for one card can bring down your score....

S Corporations Explained An S corporation (S corp) is a special kind of corporation which operates as a corporation but is taxed on the individual shareholders’ tax forms, for federal income tax purposes. In order to become an S corporation, a business: must be a domestic corporationmust meet some specific requirements and thenmust file an election form with the IRS. S Corporations and Federal Income Taxes For tax purposes, an S corporation is considered a pass-through taxing mechanism....

Mortgage lenders and guarantors want to ensure that they won’t compromise their resources by lending to someone who’s not ready for the responsibility of home ownership. Therefore, they usually won’t approve loans right after the borrower gets a bankruptcy discharge. There could be a waiting period of up to five years. During that waiting period, you must keep your new developing credit record clean. If you run into trouble, you might have to restart the clock....

Many parents are also choosing to return to work after having children; 71% of women with children under age 18 are a part of the workforce, according to the Department of Labor. Other parents use the income from side gigs to support their family. Here, we explore the average cost of childcare, some saving strategies to help pay for childcare, and how childcare cost reform could benefit us all....

Which Purpose Are You Pursuing? Investments must be chosen with the main goal in mind: safety, income, or growth. The first thing you need to decide is which of those three characteristics is most important. Do you need current income to live on in your retirement years or growth so the investments can provide income later, or is safety (preserving your principal value) your top priority? If you are 55 or older, before you create an investment plan, you really should make a specific type of financial plan—a retirement income plan....

The IRS radically changed the Form 1040 tax return back in 2018. The revised form wasn’t well-received. As a result, the IRS made changes to the tax return again for 2019, then tweaked it a little more for tax year 2020. The steps, schedules, and line numbers explained here apply to the 2021 Form 1040, the return you’ll file in April 2022. They’ll help you find out just how much you owe the IRS—or better yet, how much of a refund you’ll be receiving....

It isn’t quite as carved in stone as it sounds, however. You can reach out to the IRS in advance and request permission to change accounting methods. But, if you fail to make the request, you could end up suffering tax penalties imposed by the IRS. Requesting IRS Approval To Change Accounting Methods If you want or need to change your accounting method for your business any time after you’ve set up your accounting method and filed your first business income tax return, you must file a current Form 3115 to request the change....

Getting approved for a credit card with no credit or poor credit history is tough. A secured credit card might be the only way to start your credit or improve your credit history. Secured credit cards are similar to prepaid cards because they rarely extend actual credit. You have to put down a security deposit that typically is equal to your “credit” limit. But they are a better option than a prepaid card if you are trying to build credit because your card usage is reported to the major credit agencies....

If your business owns any equipment, vehicles, tools, hardware, buildings, or machinery—those are all depreciable assets that sell for salvage value to recover cost and save money on taxes. Discover how to identify your depreciable assets, calculate their salvage value, choose the most appropriate salvage value accounting method, and handle salvage value changes. What Is an Asset’s Salvage Value? Salvage value is the monetary value obtained for a fixed or long-term asset at the end of its useful life, minus depreciation....

Tips for Successful Disagreement at Work You have no reason to attend the meeting or participate on the team if you are unwilling to discuss your opinions and agree or disagree with the opinions of your fellow attendees. If you’re afraid to disagree with your boss, why does he or she need you? To do what you’re told? To work on tasks and action items? Or to think, innovate, plan, and disagree?...