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Tuesday’s need-to-know money news

November 3, 2015 By Liz Weston

Zemanta Related Posts ThumbnailToday’s top story: Important financial steps to take before the end of the year. Also in the news: Alternatives to gifting a housing down payments to your kids, making your holiday donations pay off, and how to pay for college without student loans.

Critical List: Key Financial Steps to Take Before Year End
Tick tock.

Options for Parents Helping Adult Kids Buy a Home
Alternatives to gifting a down payment.

3 Tips to Make Your Holiday Donations Pay Off
Time for end-of-the-year giving.

7 Ways to Pay For College Without Student Loans
Taking an unconventional route.

Filed Under: Liz's Blog Tagged With: college, down payments, end of the year financial steps, end-of-the-year giving, housing, student loan alternatives, tax deductions, tips

Q&A: The value of associate degrees

August 24, 2015 By Liz Weston

Dear Liz: Please continue to encourage people to look into two-year technical degrees. I got my associate’s degree in mechanical engineering and in my first job earned more than my father.

Later I worked for a company that made touch-screen point-of-sale terminals. Time and time again, I trained waiters who had bachelor’s or master’s degrees but couldn’t find better jobs. I now work for a large computer company and have folks sitting around me with those same higher degrees.

Answer: On average, people with two-year degrees are paid less than the average four-year degree holder. One in four people with associate’s degrees, however, earns more, according to the Bureau of Labor Statistics.

These jobs are often in the technical and health fields. Four of the BLS’ 30 fastest-growing job categories require two-year degrees. Those positions include dental hygienist (median annual earnings of $70,210), diagnostic medical sonographers ($65,860), occupational therapy assistants ($53,240) and physical therapist assistant ($52,160).

Other well-paying jobs with good growth prospects requiring two-year degrees include funeral service managers ($66,720), Web developers ($62,500), electrical and electronics drafters ($55,700), nuclear technicians ($69,060), radiation therapists ($77,560), respiratory therapists ($55,870), registered nurses ($65,470), cardiovascular technologists and technicians ($52,070), radiologic technologists ($54,620) and magnetic resonance imaging technologists ($65,360).

Filed Under: College Savings, Q&A Tagged With: associate degrees, college, q&a, Savings

Four 529 college savings traps to avoid

August 20, 2015 By Liz Weston

imagesPutting money into a 529 college savings plan is relatively easy. Getting it out can be tricky.

This may come as a surprise to the families who have piled money into accounts, hoping to reap tax and financial aid benefits.

“People get tripped up and don’t realize it until it’s too late,” said consultant Deborah Fox of Fox College Funding in San Diego.

Assets in the plans topped $224 billion at the end of 2014, according to research firm Strategic Insight, up from about $13 billion in 2001.

In my column for Reuters, I list the four 529 traps to avoid in order to get the most from your account.

Filed Under: Liz's Blog Tagged With: 529 college savings plan, college, financial aid

Monday’s need-to-know money news

August 10, 2015 By Liz Weston

1403399192000-retire-workToday’s top story: What you cannot ignore on your retirement statement. Also in the news: How to improve your finances in a single day, how teens can save money on car insurance, and why mental accounting can be dangerous.

4 Things You Can’t Ignore on Your Retirement Statement
Pay close attention.

10 Ways to Improve Your Finances in One Day
It only takes a day!

One way teens can actually save on car insurance
Letting your teen behind the wheel doesn’t have to cost a fortune.

Be Aware of “Mental Accounting” When You Save Money on a Purchase
Convincing yourself you’re saving money is a big mistake.

5 Simple Ways to Save Money as a New College Student
The more they save, the fewer times they’ll call looking for money.

Filed Under: Liz's Blog Tagged With: car insurance, college, Retirement, retirement statement, tips

Should you send your kid to college with a credit card?

July 28, 2015 By Liz Weston

teen-creditSavvy parents know the importance of building a good credit history. They also know that paying with a credit card can be more convenient and secure than other methods.

But personal finance expert Janet Bodnar has one word of advice for parents thinking of providing their college-bound children with a credit card: don’t.

“It’s dangerous and it’s not necessary,” said Bodnar, editor of Kiplinger’s Personal Finance and mother of three college graduates.

On the other hand, personal finance columnist Kathy Kristof—who also writes for Kiplingers and who has sent two children to college—says students who have been taught how to handle money can be responsible credit card users. She added her kids as authorized users to one of her credit cards, and said it’s worked out well.

You can read more in my Reuters column this week, “Start college kids with bank accounts, not credit cards.” Bodnar has more tips for parents at “Rules for raising money-smart kids.”

 

 

 

 

 

Filed Under: Liz's Blog Tagged With: college, college students, Credit Cards, Credit Scores, kids and money, Kiplingers

Social Security’s divorce and survivors benefits for same-sex married couples

July 23, 2015 By Liz Weston

gay-marriage-cake-toppers-485x320Same-sex marriage has been legal long enough in a couple of U.S. states that its pioneers may qualify for Social Security benefits even if they divorce.

Marriages that last at least 10 years before they end qualify the participants for both spousal and survivor benefits from Social Security. Spousal benefits equal up to half the benefit a spouse or ex-spouse has earned, while survivors benefits typically are equal to what the spouse or ex-spouse was receiving at death.

More information on the benefits available to same-sex married couples can be found in my column for Bankrate.

Also on Bankrate, I answer a reader’s question about using her 401(k) account to delay taking Social Security benefits. And on Reuters, I take a look at why parents are spending more and worrying less about college.

Filed Under: Liz's Blog Tagged With: 401(k), college, financial aid, same sex marriage, Social Security

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