If you own an IRA or have another retirement account, the words that follow may ring a bell, especially if you’ve been contributing to a retirement account for a period of time.
Think back to when you first started investing in the account. Remember what you were told? See if this sounds familiar:
1) Put money away today in a retirement account and you’ll be able to use your contribution as a tax deduction against your other income.
2) Invest the contribution that you made to the retirement account whenever you want and the growth on that contribution will grow tax deferred
3) When you retire, and begin to take withdrawals from your retirement account, you’ll be able to put money away on a tax deductible basis when you’re in a higher tax bracket and take money out during retirement when you’re in a lower tax bracket. [click to continue…]
Mortgage rates are still very low and will fuel the eventual rebound of the depressed, real estate market.
But everyone would like to know where mortgage interest rates are headed in 2009. Particularly in these erratic times. Everyone knows that forecasts are not one hundred percent reliable, but fairly educated guesses based on the recent economic events, can be made.
Low interest rates are promoted by lenders all over the country. But this fact is only applicable for individuals that have credit scores higher than 700. If you desire getting a five percent interest or below, you not only need a credit score above seven hundred, but also need to make a considerable down payment. [click to continue…]
Recently an appraiser wrote on a blog that he had paired the online foreclosure databases (found at either Realtytrac.com or ForeclosureRadar.com ) against the statistics found in the local Realtor MLS (multiple listing system) inventory and noticed something rather sinister: the datasets didn’t reconcile.
He discovered that the number of foreclosures posted in Online sites far exceeds the sum of listings and sales found in the realtor multiple listing system by about 70%.
Does this really mean that 70% of foreclosures posted in online databases ARE NOT listed or sold? If so, what might be happening to these homes? Are Lenders holding the foreclosures back from being sold because these Zombie banks are insolvent and can’t afford to take the losses? [click to continue…]
If you are saving money, that is great. Keep up the good work. If you are keeping all your savings in a high interest savings account, that is good too, but you could probably do better.
You should keep your emergency fund and immediate needs savings liquid, but all other savings that aren’t needed in the near future should you earning you more money through investing.
When you are ready to invest, you need to first choose an investment. There are so many different ways to invest, but the most common are stocks, bonds, mutual funds, and real estate. [click to continue…]
The saving grace of making a poor stock or mutual fund investment is that you at least get a capital loss when you sell.
The loss can then offset gains from your more successful investments, unless the dreaded wash sale rules disallow your write-off. Here’s the scoop on this nasty little piece of the income tax code.
The Skinny on Wash Sales:
Your anticipated tax loss is disallowed if, within the period beginning 30 days before the date of the loss sale and ending 30 days after that date, you acquire “substantially identical” stocks or securities. For purposes of this article, let’s call them replacement securities. [click to continue…]
It’s no secret that we are in a global recession right now, and many people are looking for tips to save a few extra dollars.
There are always tips that you may have overlooked, even if you are already quite frugal. These 10 money saving tips may just give you a few ideas you had not previously considered:
1. Share a room. For most Americans, the number one expense is the cost of housing. If you are single and have a two bedroom apartment, you can bring in a roommate to split the rent. If you have extra rooms in the home you own, you could also rent that out to assist with making your mortgage payment. Sharing rooms will also have the added benefit of allowing you to share the cost of utilities. [click to continue…]
Ask most Americans whether they’re in favor of spending taxpayer dollars to help delinquent mortgage borrowers and you’re likely to get an emphatic “No!”
But the government didn’t ask its citizens before it committed hundreds of billions of taxpayer dollars to guarantee loans through various foreclosure prevention initiatives such as FHASecure and Hope for Homeowners, which let troubled borrowers refinance expensive mortgages into more affordable loans.
Nor did it take a vote before it agreed to fund the new streamlined mortgage modification programs for loans backed by Fannie Mae (FNM, Fortune 500) and Freddie Mac (FRE, Fortune 500). [click to continue…]
Many people believe they have little or no control over whether a lender approves their loan modification application? This might be partially right, but you can do everything in your power to present the paperwork Well, so you stand a bigger chance of getting the loan.
There are many things you can do to speed up the process and increase your chances of getting a loan approved. Here are a few tips:
Most of the time, you can see mortgage payment problems coming. When you do, do not hide away and just sit there. Even if you don’t feel like speaking to the bank or anyone else, you have to confront it and get over it. [click to continue…]
You may have heard or read the acronym AARP. You don’t need to be retired to join the American Association of Retired Persons, which now goes entirely by the abbreviation AARP.
In fact, many members are not retired. The only requirements are that you be age 50 years old or older. In addition, you must pay annual dues of $16.00 The amount is less if you pay or more years in advance. The dues also will cover membership for your spouse or partner.
AARP members are automatically eligible for a variety of discounts and deals on hotels and motels, car rentals, vacations, insurance, legal assistance, and much more. [click to continue…]
Depending on your occupation, the IRS may take a closer look at your tax return. Learn how to handle reporting cash and tips to avoid a tax audit from the IRS in this free personal finance video from an experienced accountant.