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Tips to Save Money on a Mortgage

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The excitement of homeownership is often countered by the burden of long-term debt.  Imagining life in 30 years, still forking out hundreds or thousands of dollars each month, can be an overwhelming thought.  Each loan has unique terms, but most allow a few options for homeowners to save money on the total cost of a mortgage. Pay Extra Toward the Principal The most common strategy to save money on a mortgage is to pay it off ahead of schedule.  This technique allows owners to avoid a great deal of the cost of interest and shorten the life of the loan.  Homeowners who plan to save money on their mortgage by paying it off early should consider these tips. Some loan … Read more

Understanding the Basics of Life Insurance

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Whether you heard it from your insurance agent, an investment specialist or your own mother, you probably know that life insurance is a good thing to have. Despite that being the case, many people still have the question, how does life insurance work? Individuals have a vague understanding that money will be paid if someone dies, but things like whole life insurance policies complicate the matter. Understanding Term Life Insurance Probably the most common type of policy, term life insurance covers a predefined period of time. The policy owner may purchase the insurance outright, paying a certain amount of money up front for years of coverage. More commonly, the owner pays for the insurance policy each month. In this case, the policy expires at the agreed upon … Read more

Top 8 Reasons Women Are More Honest Than Men With Money

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Women and Money - Top 8 Reasons Women Are More Honest When it comes to financial dealings, it is rather difficult to maintain extreme levels of honesty. Honesty plays a significant role in efficiently handling personal finances. This is true with women and money.

A healthy and productive relationship, whether professional or personal, can only be maintained as long as there is truth and honesty in all dealings. If not timely dealt with, your financial dealings may cause severe credit problems.

The views and actions of men greatly differ from those of women and money. The acceptance of these differences can severely help to understand how women lead their financial lives.

Women and Money – Top 8 Reasons Women Are More Honest With Money

It has been a general observation that women, for some reason, tend to show more courage and honesty in financial activities. Following are the top eight causes of this belief:

1. Less Corrupt

Women are mostly believed to be less corrupt than men. The fact that stands them apart in corruption contest is that they are usually more fearful of financial scandals. Though, a majority of public and political offices have a great number of women employees, it is generally men who are involved in financial corruption.

2. Less Willing to Cheat

Most women, by nature, are less prone to cheat and deceive others. Despite being involved in financial activities, women find it easy to maintain their unique characteristics of fairness. For them, financial honesty in their personal and professional lives can provide them maximum results.

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Personal Finance Lessons That Should Be Taught In High School

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Personal Finance Education Needed In High School

The following is a guest post from Briana Myricks who writes at her blog, How’s Married Life?

Personal Finance Education Needed In High SchoolHigh school teachers emphasize preparing for the real world, but in reality, how many of the things you learned in high school do you use today? Has The Scarlet Letter been mentioned at any time outside of a classroom?

Do you utilize your US history lessons when it’s not an election year? Besides knowing what H20 means, what elements do you remember from chemistry class?

Part of a valuable high school education should include things you will definitely experience in the real world. One subject that should be taught is personal finance, as that’s something that can be used even before a student graduates. Since personal finance education is such a broad subject, what topics specifically should be taught in high school?

Personal Finance Education Needed In High School

How to balance a checkbook: Even though checkbooks and ledgers are going a little out of style with the use of debit cards and online banking applications, students should know how to balance a checkbook. This essential step is all about knowing how much money you have, especially after making a deposit or a purchase. Once a student gets the hang of balancing a checkbook, they have a better grasp of what money management is.

How to save for an emergency fund: High school students love to live in the moment, so very few of them actually think about something happening in the future. Learning about saving for an emergency fund is very important, as it will give them a head start for saving. They should know what constitutes as an emergency, which is something even some adults have a hard time grasping.

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The Damage The Fiscal Cliff Tax Changes Will Do To Your Wallet – You’ll Lose Thousands

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fiscal cliff tax changesWhat is going to happen on the 1st of January 2013 if the fiscal cliff is not resolved by Congress? How is the average taxpayer going to be affected by the fiscal cliff tax changes? The truth of the matter is that the middle class citizens of America are going to see their federal tax bills increase by thousands of dollars. There is also one critical mistake that we are all making that will make the fiscal cliff even worse for every person if we do not change our ways. I’m not talking about the things that are going on in Washington. There is a problem on Main Street in every city with the fiscal cliff as well.

The fiscal cliff refers to the President Bush era tax cuts were enacted in the early 2000s that are expected to expire this year. We have been kicking the can down the street for years and extending the expiration, but this year they are coming due unless Congress acts. Having these tax cuts expire will have a tremendous impact on every working American.

The Obama Administration has proposed eliminating $150 billion worth of tax breaks over the next ten years as part of his administration’s negotiations as a way to avert the dangerous fiscal cliff that the country faces at the first of the year. The tax cuts include deductions and tax breaks that are currently in place for fossil fuel companies, the valuation of company’s inventory levels, and changes in the tax rates on low capital-gains for some types of investments and real estate.

Here are some of the ways that you will be affected and what you can expect. There is also one critical mistake that we are all ignoring too that will have a very devastating impact on your wallet if not addressed.

Kicking The Can Down The Road

In December 2010, the United States Congress passed the Job Creation Act of 2010 which also addressed tax relief and unemployment insurance. The law also extended the Bush era tax cuts for an extra two years. It only applied patchwork solutions and exemptions to the Alternative Minimum Tax (AMT). So, can we expect Congress to continue to kick the can down the road and not pass substantial legislation to fix the problem? It is indeed a very real possibility. We could see them only fixing the fiscal cliff problem partially and passing new laws that address the problem for the next few years ago. Now is the time with the lull in the election cycle to tackle this and other hard problems that need bipartisan support.

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Are You Ready to Invest in a Rental Property?

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This is a guest post from Emily Guy Birken who writes at One Money Design. Now seems like the perfect time for investors to get started in the landlord business. The housing market is still recovering, which means that home prices are reasonable, interest rates are low, and rents tend to be relatively high. Under these circumstances, buying a rental property seems like a no-brainer. However, owning an investment rental property is not all about pushing wheelbarrows of passive income to the bank. Being a landlord comes with many risks-and just like any investment, you may not see a payoff. To know if you’re ready to handle these risks, ask yourself the following questions: 1. Do I have the necessary cash? … Read more