Money Questions and Answers

The Ultimate Guide to Earning a 10% Rate of Return on Your Investments

Are you getting the best rate of return on investment? Kiplinger’s Personal Finance Magazine annually discusses ways to boost your investment yield in its latest issue. I have to say that I am always pretty disappointed with their recommendations. I love the magazine, but I didn’t really care for a list of mutual funds and Exchange Traded Funds (ETFs). But, I wanted concrete ideas on how to earn a 10% annual rate of return on my investments. US Treasuries are earning less than 1% and money market funds are not fairing much better. Certificates of deposit are barely scraping by at 2% or so even for the longest maturities. But, are these levels going to last? The stock market has … Read more

Review of RealtyMogul – How to Start Investing in Commercial Real Estate with Just $5,000

by Hank Coleman

Are you looking to diversify your investment portfolio? Have you wanted to invest in real estate, but you don’t know where or how to start? Then RealtyMogul might be the site for you. RealtyMogul is an online platform designed to give investors direct access to commercial real estate investments, allowing them to diversify their portfolios and generate strong returns on capital. With RealtyMogul’s user-friendly website and comprehensive resources, you can invest in real estate with confidence knowing that there’s a dedicated team working hard every day to bring you high-quality deals across the country. With RealtyMogul, you can invest in commercial real estate deals that are vetted by a team of experts. You’ll have access to high-quality properties and the … Read more

Early Retirement Withdrawals – How and When to Conduct a Withdraw

by Hank Coleman

IRS data has shown that Americans lose approximately $5.7 billion per year on early withdrawal penalties when they take out funds from their 401k Retirement Plans or IRAs before meeting the minimum age requirements (59 ½). In 2020, Section 2202 of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) created an exemption for early distributions related to the coronavirus pandemic in which individuals could withdraw up to $100,000 from their retirement accounts without being subject to the 10% early withdrawal penalty (though they would have to count the distributions as part of their income for tax-reporting purposes for the next 3 years). To qualify for the no-penalty early withdrawal – which was extended into 2021 thanks to the … Read more

Taxes Working From Home – 3 Important Considerations During COVID-19

by Hank Coleman

As millions of taxpayers prepare to file their 2020 taxes, a question that many telecommuting employees, independent contractors, and freelancers are wondering is: which of my remote work expenses can I write off on my taxes, and how much? Here’s what you need to know about taxes working from home. Taxes Working From Home The answer varies widely, depending on your employment classification, expenses incurred during the pandemic, whether your employer reimbursed you for remote work-related expenses, and which state you live in. To help you understand what your tax situation might look like this year, here are three of the most important things to know before filing your 2020 taxes: Employees vs. Independent Contractors The Tax Cuts and Jobs … Read more

Top 5 Simple Things You Can Do When Your Car Insurance Rates Rise

by Hank Coleman

Tips to Use When You Can't Afford Car Insurance

The National Association of Insurance Commissioners found that the average American’s car insurance premiums cost around $1,134 annually (or $95 per month), though this figure varies widely depending on where you live, how old you are, your driving history, what car you drive, how many miles you typically drive, and even your credit score. If you get a traffic ticket or minor fender bender involving insurance, you may see your rates go up next time your bill is due. Fortunately, you can switch to another provider if the new policy costs exorbitantly more, though you have other options available if most insurance providers quote you around the same price. Rather than shrugging off the cost of the premium hike, here … Read more

Jumbo Mortgage 101 – What You Need to Know: Definition, Rates, and Limits

by Hank Coleman

What happens if you find your dream home, but you’ll need to borrow more than half a million dollars to finance it? Even after the 2007/2008-era housing market crash, it’s still possible to access jumbo mortgage loans for pricier properties. However, you’ll likely face more restrictive borrowing requirements than you would with a conventional mortgage loan. Jumbo Mortgage – What You Need to Know While jumbo mortgages can be riskier for lenders, don’t let the name and tighter lending requirements deter you from a potentially favorable loan to finance your next property. What is a Jumbo Mortgage? Simply put, a jumbo loan is a type of mortgage financing that exceeds the Federal Housing Finance Agency’s (FHFA) maximum conforming loan limits, … Read more

Top 11 Reasons You Need to Create a Living Trust

by Hank Coleman

A living trust, or inter vivos trust, is a trust you set up while alive. It places your assets into a trust to be managed by a third party for your benefit. At your death, the assets are distributed to a chosen beneficiary. In many states, the assets are transferred to the living trust beneficiary without going through probate at death. Living trusts can assist limit estate investigation by limiting taxable value and avoiding property loss due to a lack of knowledge about it being a part of a living trust. They allow for simple modifications if necessary, and they offer more control over who receives what when someone dies without a will. Avoid Probate in Multiple Jurisdictions Avoid Probate Entirely Avoid … Read more