It’s a good rule of thumb to pay your credit card balances in full each month to avoid interest and to lower your credit card costs over the long term. Find out why paying off your balance all at once beats the convenience of paying over time. What Is the Rule of Thumb About Paying Your Credit Card Balances? While your credit card issuer gives you the option of paying just a portion of your outstanding balance, as a rule of thumb, you should pay your full credit card balance each month....

What Is a Custodial Roth IRA? A custodial Roth IRA is a tax-advantaged retirement account that a parent or other adult opens on behalf of a minor. Contributions to a custodial Roth IRA are made after tax, unlike some retirement account contributions. They aren’t tax deductible and they don’t reduce your taxable income in the year you make them. But the funds grow tax free in the account, and your child will be able to withdraw them tax free if they meet Internal Revenue Service (IRS) distribution requirements....

Setting the Stage The U.S. Federal Reserve’s low interest rates had a profound impact on emerging markets following the Great Recession that began in 2007. As investors sought out higher yields, capital flowed outside of the U.S. and developed countries and into the frontier and emerging markets. Companies eager to take advantage of these dynamics quickly accumulated U.S. dollar-denominated debt—including Russia’s debt that increased from 6.5 percent of GDP in 2008 to 13....

Safeco services its products through a local agent network of over 9,000 agents across the country and prides itself on a comprehensive line of insurance products and responsive customer service. The company offers auto, property, and other insurance products to customers nationwide. Safeco’s Financial Stability Safeco Insurance has the financial stability of the Liberty Mutual Group to back it up. The Liberty Mutual Group of companies has financial strength ratings of “A” or “Strong” from Standard & Poor’s, an “A2” or “Good” from Moody’s, and an “A” or “Excellent” rating with A....

There are some contribution and deduction limits, but the IRS permits you to save money to both. Tax and Distribution Factors A Roth IRA is a great choice if you’re already saving regularly to a 401(k) and you’re looking for a way to save even more. The money in your 401(k) will be taxed at the time you take it out, because you didn’t pay taxes on your contributions. Roth distributions of principal will not be taxed, because you’ve already paid taxes on this money....

You can take several approaches to get rid of payday loan debt. We’ll detail these strategies below and discuss ways to prevent the problem from coming back. Get a Different Loan If you’re not able to pay off the loan at this time, a different loan can make it easier to get out of debt. Alternative Lenders Almost any other loan will be more affordable than a payday loan, so try different sources of money....

On the one hand, after the devastation and uncertainty wrought by the onset of the coronavirus pandemic in 2020, the speed and magnitude of recovery in many parts of the economy were impressive. Unprecedented forms of government stimulus buoyed consumers and businesses, and the rollout of COVID-19 vaccines let people get back to work. Wages rose and the stock and real estate markets reached new highs. On the other hand, soaring consumer prices, shipping delays, and worker shortages stifled the full potential of the comeback....

The Basics of SEP-IRAs A SEP-IRA plan provides business owners with a way to save for retirement for themselves and for their employees. Self-employed people and businesses of any size can set up this type of plan. Owners can invest money for each employee. It’s a fairly simple account that you can manage with just a little paperwork. There are no annual filing rules. SEP-IRAs allow you to make tax-deductible contributions and grow your earnings on a tax-deferred basis....

Benefits of a Financial Plan Often goals will deal with one specific area of your finances, which is fine if you need improvement in budgeting or getting out of debt, but then you are left wondering what you should tackle next or the goal will not benefit you in all areas of your life. The financial plan provides your next steps. It also takes the pressure off of one area that you may be struggling in and lets you focus on the big picture, which may help you with improving your budgeting skills or getting out of debt....

And despite a setback for the free-college advocates, the idea is still in play. The Biden administration’s proposal for free community college was scrapped from the American Families Plan in October as the spending bill was being negotiated with Congress. But close observers say that similar proposals promoting free community college have drawn solid bipartisan support in the past. “Community colleges are one of the relatively few areas where there’s support from both Republicans and Democrats,” said Tulane economics professor Douglas N....

Invest in Your Earning Potential It is important to realize that your education is one of the biggest investments that you are making in your future. It will increase your earning power and allow you to save more toward retirement after you graduate. While you are in school, your first priority should be your studies and the experiences that will prepare you to be competitive in the job market. It may mean taking a low- or no-pay internship instead of putting money toward retirement....

You Only Buy Stocks in Your Favorite Stores Sure, retail stock investing greats like Peter Lynch have encouraged investors to use a “buy what they know” strategy, but that advice has often been taken out of context. Lynch went out of his way to explain that using “buy what you know” was a starting point, before doing appropriate research on a stock. Too often, retail stock investors buy shares in their favorite stores simply because they like shopping there....

Living trusts avoid probate. The extent of what you own and who you’re leaving the property to at your death does not become a matter of public record like a last will and testament does when it’s presented to the court for probate. An affidavit of trust or memorandum of trust helps to keep your personal business just that—personal—during your lifetime as you fund your trust as its trustmaker or grantor....

By the early fall, sales were still below their pre-pandemic “normal” levels for 88% of the firms surveyed by the Federal Reserve in September and October, and 70% of small business owners didn’t believe they would recover until at least the second half of 2021, if not 2022. The results paint an even bleaker picture than the recent U.S. Census survey of small business owners conducted last month. There, 46....

A bank providing a letter of credit should be a disinterested third party. If the bank’s customer fails to satisfy specific terms of an agreement, the bank—not the customer who failed to deliver—pays the beneficiary. Because it is credit, the customer ultimately is responsible for repaying the bank. SBLCs, like standard letters of credit, are useful for international trade as well as domestic transactions like local building projects. Should something unforeseen prevent terms of a deal to be completed, the SBLC ensures financial obligations to a beneficiary are met....

TIBs are paid for by the tenant, but they become part of the building. As such, the landlord generally obtains ownership of the upgrades once they’ve been installed unless a contract states otherwise. What Is a Tenant Improvement and Betterment? Many commercial property insurance policies define tenants improvements and betterments as fixtures, alterations, installations, or additions to a building that you occupy but don’t own. TIBs are items you’ve purchased or installed at your expense, but that you can’t legally remove....

Sending thank-you letters is an effective way to raise team morale and encourage strong and consistent ownership of new and continuing projects. Especially when your company doesn’t have the resources to award raises or promotions for excellent performance, the formal extension of a simple “thank you” note of sincere praise and gratitude can do wonders in heightening a team member’s confidence and level of job satisfaction. Happy employees who feel noticed and appreciated are productive employees, and this contributes to an upbeat and positive company culture....

Today’s Consumer Price Index (CPI) report showed the U.S. economy actually experienced deflation last month, as prices dropped 0.1% after a 0.1% gain in November. The annual rate of inflation also cooled to 6.5%, down from 7.1% in November and in line with economists’ estimates. A sharp decrease in gas prices was the biggest reason for last month’s decline, offsetting higher costs for food and housing. The “core” rate of inflation, which excludes food and energy costs, rose 0....

That was the message the Fed sent yesterday when it raised the fed funds rate by 75 basis points, its third jumbo rate hike in a row, and raised the possibility of further big increases before the year is out. Every boost to the interest rate makes credit card interest, car loans, and mortgage rates steeper, slowing the economy, and making it harder for businesses to hire. The Fed predicted that as a result of its ongoing campaign of rate hikes, the unemployment rate will rise to 4....

Over time, employees will learn the ins and outs of the business, gain valuable experience, and earn the potential for better-paying and higher-ranking positions. It is, essentially, a way to get a foot in the door. What Is an Entry-Level job? At their most basic, entry-level jobs allow an employee to gain experience while getting paid. These jobs help the company accomplish necessary work that more experienced individuals don’t want to do on a daily basis....