Get smart with your money
People are angry. Voters demanding change have helped make Donald Trump the presumptive Republican nominee for president and fueled Bernie Sanders’ ferocious challenge to Democrat Hillary Clinton.
But what are they angry about? Ask and you’ll hear about Washington gridlock, Wall Street greed, trade, stagnant pay, immigration. In my latest for NerdWallet, the one huge factor that’s making this election especially unique.
Today’s top story: Debunking emergency fund myths. Also in the news: How filing separately could give some couples a lower tax bill, the financial benefits of living with less, and how much down payment you should have to buy a home.
Debunking 5 Emergency Fund Myths
Separating fact from financial fiction.
Filing Separately Could Give Some Couples a Lower Tax Bill
Splitting up your tax returns could save you money.
The Financial Benefits of Living With Less
Downsizing your way out of debt.
How Much Down Payment Do You Need to Buy a Home?
How much do you really need?
Today’s top story: What you can learn from your 2015 tax returns. Also in the news: Getting the most from mobile banking, using the 50/20/30 rule for your budget, and the number one thing Americans plan to do with their tax refunds.
What You Can Learn From Your 2015 Tax Return
Revealing info on your investments.
Mobile Check Deposits: Pro Tips to Ensure They Go Smoothly
Getting the most from a convenient way of banking.
This Is the No. 1 Thing Americans Do With Their Tax Refund
The answer may surprise you.
Use the 50/20/30 Rule to Outline Your Budget For Every Need
Proportioning your expenses.
If you’re struggling to make ends meet, your problem may not be too many lattes or dinners out. It may be sitting in your driveway.
Your monthly car payment is the tip of the iceberg.
Counting gas, registration and taxes, depreciation, tires, insurance and finance charges, Americans spend $8,700 a year on average — $725 a month — for the privilege of owning a typical midsize sedan, according to AAA, and more than $10,600 a year for an SUV. If you’re struggling with bad credit, the increased cost of financing and insurance will push those numbers even higher.
In my latest for NerdWallet, how to determine if you have too much car in your driveway.
Today’s top story: How to avoid an identity theft double whammy. Also in the news: How much you need to save for retirement, signs you need help managing your money, and how to tell that your financial plan is working.
How to Keep Scammers From Pulling an ID Theft Double Whammy
Look out for phony identity theft assistance.
How Much Should You Save for Retirement?
Four methods that can help you estimate how much you need to save.
21 Signs You Need Help Managing Your Money
Knowing when it’s time to call for backup.
How Do You Know Your Financial Plan Is Working?
Signs of progress.
10 Ways to Take the Fear Out of Budgeting
It doesn’t have to be scary.
Dear Liz: I am 30 and have two sisters, ages 31 and 27. My wife and I both have good jobs that allow us to live comfortably and save for retirement. My sisters, on the other hand, have severe money problems. My older sister works a low-paying retail job. She is unable to save and is currently at risk of having her wages and tax refunds garnished because of unpaid student loans. My mom provides her with support when she asks for it. The other sister still lives at home. While she makes decent money by working two jobs, she spends all of her money on “wants,” and my mom pays all of her living expenses. The only bill my younger sister pays is her car payment. She also currently has close to $100,000 in student loans that she just had to start paying on.
I have tried to provide both my sisters with budgeting advice, and I have recommended books that I have used as the blueprint for our budget. Neither of them takes the advice. I have talked to my mom about both sisters’ situations. While my mom agrees that both are in bad shape, she is unwilling to show either of them the tough love that they need to improve their situations. Do you have any advice on recommendations that I could make to help any of them out?
Answer: The best advice is to stop offering advice.
Your mom and sisters have made it quite clear they’re not interested in what you have to say. Continuing to offer your opinions on their situations would be tiresome and pointless.
Yes, it’s hard to watch people struggle when you think you know what could help them. But keep in mind that: a) you might be wrong about what they need right now, and b) nobody asked you, anyway.
If you’re passionate about teaching people to manage their finances, you might look into becoming a certified financial planner or other planning professional. The CFP Board of Standards has information at http://www.cfp.net. If people are paying you for your advice, they’re somewhat more likely to listen to it.
Otherwise, you’ll have a captive audience for your financial teaching if you and your wife should have children. And as a parent, you’ll get to experience firsthand how it feels to be the target of unsolicited advice.