Ridgewood NJ, Attorney General Gurbir S. Grewal and the Division of Consumer Affairs (“the Division”) today announced that SportsHub Games Network, Inc. (“SportsHub”) has agreed to pay a $30,000 civil penalty for unlawfully operating an online fantasy sports site in New Jersey without a permit. The Minneapolis-based games provider also agreed to change its business practices to resolve allegations that its conduct violated the state’s consumer protection laws by, among other things, failing to clearly and conspicuously disclose that SportsHub collects personal information from consumers’ social media accounts and that it shares certain personal information with third parties.
Ridgewood NJ, If you own cryptocurrency, you need to know that the IRS has owners of cryptocurrency in its sights because many cryptocurrency owners are not reporting or paying taxes on their cryptocurrency transactions. In fact, the IRS is so focused on this issue that it recently issued warning letters to over 10,000 taxpayers it suspects might have an under-reporting problem.
About Cryptocurrency – If you are unfamiliar with the term cryptocurrency, the short definition is a form of digital money that is not controlled by any central authority. The first cryptocurrency created was Bitcoin, back in 2009. Since then, over 4,000 other cryptocurrencies have been created. Cryptocurrency can be digitally traded between users and can be purchased for, or exchanged into, U.S. dollars, euros, and other real or virtual currencies.
From making the rent to shopping for groceries and paying off study loans, putting aside savings is nearly impossible for millennials. With a weak economy and poor job prospects, it’s a wonder that any of us are still surviving.
While it may be easy to blame all of these on poor financial management skills, this simply is not true. Despite an increase in median household incomes over the years, soaring college fees and car and property prices mean that most millennials are firmly anchored in debt. Consequently, this makes it impossible for them to have savings of any kind.
However, there is still hope on the horizon. Despite rising unemployment and soaring costs of living, it is still very possible to have some savings put aside. Here, we’ve put together a simple guide to help you have some cash in the piggy bank.
1. Put aside 10-20% of your salary each month
Call it a tax upon yourself or a forced savings scheme, either way putting aside at least 10% of your salary each month is a great way to start saving. Deposit the self-imposed 10-20% tax each month into a separate savings account via auto debit each month. Before you know it, you’ll have a fair sum put away.
2. Sign up for an IRA account
From the moment you land your first job, you should always check to see if your job has a 401k plan. If it doesn’t, sign up for an IRA account as soon as possible. Treat it your IRA deposits as just another expense and you’ll find putting aside some savings is quite possible.
3. Avoid credit card debt like the plague
A study conducted by the Federal Reserve Bank of New York has revealed that a whopping 55% of American households are in severe credit card debt. With the extortionate interest rates charged, it’s easy to see how outstanding credit card debt can easily balloon out of control.
As a rule of thumb, always pay off any and all existing credit card debt at the end of the month. This ensures that you’ll never be bogged down with interest payments. Also, paying off your credit card debt on a timely basis helps you develop a solid credit history.
4. Take on a side-gig
Sometimes, a single income stream just isn’t enough. Fortunately, in today’s world there are plenty of opportunities for those willing to look. An example of this can be seen in the active freelance market.
Thousands of copywriters, designers, accountants and even virtual assistants are hired on a daily basis on sites such as Upwork.com and Freelancer.com.
Sites such as these allow you to monetize any of your skills. By taking on a side-gig or a series of freelance projects, you’ll be able to grow and multiply your income streams. Put aside your earnings from these jobs and deposit them into a savings account.
Over time, you’ll be able to save up a surprising amount of money. In some cases, successful freelancers have been known to turn their side hustle into a successful full-time business.
If you fancy sports, look out for online sportsbooks. They might offer some rewards and they have promotions and bonuses for newcomers. However, remember to wage responsibly, so you don’t lose more money than the one you are betting.
5. Audit your expenses
Auditing your personal expenses can be tough. However, by taking a look at your expenses over the previous 6 months, you’ll be able to identify areas where costs could be reduced. Whether it’s skipping on eating out or giving Starbucks a pass, you’ll find that even the smallest expenses do add up.
While it may initially seem like an insurmountable task, it is very much possible for you to have a healthy savings account. With the right combination of self-discipline and consistency, you can make saving a part of your lifestyle.
Ridgewood NJ, Attorney General Gurbir S. Grewal and the Division of Consumer Affairs announced that the Bureau of Securities (“the Bureau”) today issued two emergency orders to stop online cryptocurrency-related investment entities from fraudulently offering unregistered securities in New Jersey.
The Cease and Desist Orders against Zoptax LLC a/k/a Zoptax and Unocall were announced today as part of “Operation Cryptosweep,” an international crackdown on fraudulent Initial Coin Offerings (“ICOs”) and crypto currency-related investment schemes.
Wall Township NJ, A Monmouth County, New Jersey, man was indicted today by a federal grand jury for operating an unlicensed money transmitting business through which he charged customers fees to convert more than $2 million in cash into the digital currency Bitcoin.
William Green, 46, of Wall Township, was charged by indictment with one count of operating an unlicensed money transmitting business. He is scheduled to appear before a United States District Judge on a date to be scheduled. He was previously charged with the same offense by criminal complaint on February 28, 2019.
FAIRFIELD NJ, Affording retirement is the most significant financial concern of New Jersey residents. That’s the key finding from the recent Kearny Bank Personal Finances Poll, an online survey conducted recently by Fairfield-based Kearny Bank.
With 1006 responses collected, the survey indicates that more than one quarter of respondents (27.2%) consider being able to afford retirement their most pressing financial worry. Other frequently cited issues include Healthcare (17.4%), Housing (12.8%), and Daily expenses/inability to save (12.6%). Of note, “Other” – which incorporates a range of issues faced by New Jersey residents – was selected most frequently by 16.7% of those completing the survey. Rounding out the survey are Education (10.7%) and Transportation (2.7%).
Student Loans Weapons of Mass Financial Destruction
the staff of the Ridgewood blog
ROSELAND NJ, More than 80 percent of 623 certified public accountants polled in June by the New Jersey Society of Certified Public Accountants (NJCPA) said they either “strongly agreed” or “somewhat agreed” that student loan debt at $1.6 trillion in the United States is a financial crisis. More than 75 percent of respondents considered student loan debt in New Jersey to be a “major problem.”
Ridgewood NJ, Americans have taken on more credit card debt in the last few years. Overall credit card debt hit $807 billion in Q1 of 2019 in the US according to Experian , a 29% increase over the last 5 years.
Here are additional credit card trends:
New Jersey had the 2nd highest credit card debt among all states at $6,881 in Q1 of 2019.
The New York-Northern New Jersey-Long Island Metro Area had an average credit card debt of $6,872 in 2019.
60.5% of Americans had a credit card in Q1 2019, an 11% increase from Q1 of 2016.
The average credit card balance in Q1 2019 was $6,028
No Annual Fee and Secured Credit Cards were the most viewed credit cards in Q1 of 2019.
Ridgewood NJ, Experian Boost launched earlier this year with the goal of improving FICO Scores for consumers – by including payment history for common monthly bills like utility and telecom accounts. Doing so can help build credit history and boost credit scores for people.
Ridgewood NJ, The American dream is more than owning a home. It’s owning the right home–one customized through renovations to build wealth and reflect your tastes. But most people don’t have the knowledge to make smart financial decisions around renovations, resulting in disaster: too much debt, costly delays, and even foreclosure.
According to Hearth [www.gethearth.com]—a financial tech startup that aims to restore the American dream of owning the right home—there are 8 questions to ask to avoid financial disaster while working towards that American dream:
#1: HOW MUCH DEBT DO YOU HOLD?
Calculate your debt to income ratio—your overall debt to your overall income. The lower the ratio, the more loans you may qualify for.
#2: HOW MUCH HOME EQUITY DO YOU HAVE?
That’s your home’s value, minus any debts you owe on the house. You can pledge your equity to a lender, freeing up cash and getting low loan rates.
#3: HOW’S YOUR CREDIT?
Your credit score is calculated based on personal factors like current debt and payment history. The higher it is, the better interest rates you’ll receive on a loan—so be honest with yourself.
#4: WHEN ARE YOU PLANNING TO MOVE?
How long you plan to stay in your home affects your loan repayment period. Will you pay it off over 30 years, or do you need to pay it off in 7?
#5: DO YOU—AND WILL YOU CONTINUE TO—HAVE A STEADY JOB?
Knowing you’ll have a steady source of income over a several year period gives you confidence you’ll be able to pay off your whole loan.
#6: WHAT’S YOUR BUDGET?
Talk to a few different contractors to get a sense of how much you’re going to have to spend. If you start without an estimate, you’ll end up overspending.
#7: WHAT IS YOUR PROJECT’S TIMELINE?
If you’re strapped for time, a personal loan can deliver funds within days. But if you have time to spare, you can get home improvement loans. They take longer to release funds, but have lower rates.
#8: WILL THE RENOVATION ADD VALUE TO YOUR HOME?
Talk to a contractor and find out if your renovations will pay off—and what you can change to make them worth even more. Simple switches like marble instead of granite countertops can add measurable value.
As part of its mission, Hearth prepared the ultimate guide to home improvement loans (read it here: https://www.gethearth.com/guides/home-improvement-loans). Written with input from personal finance experts, it teaches homeowners how to make smart financial decisions about investing in their homes
Ridgewood NJ, The saying that youth is wasted on the young may be especially true when it comes to saving for retirement.
“Too many people wait way too long to start thinking about how much they will need to finance their retirement,” says Chris Heerlein, partner at REAP Financial LLC and author of Money Won’t Buy Happiness – But Time to Find It(www.moneywontbuyhappiness.com).
“In a way, that’s not surprising. Retirement seems so far away when you’re in your 20s and 30s, and it’s easy to think you’ll have plenty of time to worry about saving later. Then before you know it you pass 50, and you realize you missed a great opportunity to take advantage of compound interest.”
Heerlein says many young people are making at least three financial mistakes that they likely will rue when it comes time to retire. Those are:
• Not participating in a 401(k). Many employers don’t offer a 401(k) or similar retirement plan, but if yours does you need to participate, Heerlein says. An alarming number of people ignore this savings opportunity that can reap great rewards, especially if you start when you’re in your 20s and faithfully contribute for decades, he says. “And if you’re employer is offering matching funds, that’s free money,” Heerlein says. “You need to jump on it.” • Saving ONLY in a 401(k). While contributing to a 401(k) is great, that shouldn’t be your only vehicle for saving, Heerlein says. “If you are a younger saver, you are putting all your money into a bucket you can’t touch for 20 or 30 years,” he says. And when you do withdraw it in retirement, you’ll pay taxes because the taxes were deferred. That’s why it’s important to put some balance in your portfolio. A good way to do that is with a Roth IRA, a Roth 401(k) or a health savings account. Withdrawing from those Roth funds in retirement won’t result in taxes because the taxes were already paid when the money went in the account. HSA money isn’t taxed if you withdraw it for qualified medical expenses. After you turn 65, you can withdraw it for any purpose, though you will pay taxes on that withdrawal if not used for a qualified expenses. • Failing to embrace risk. When the 2008 financial crisis hit, plenty of investors lost a substantial portion of their savings. The memory of what happened to them – or to their parents – is still having repercussions. Some people younger than 50 are too conservative with their investments, Heerlein says, so their money doesn’t grow like it could if they took more risks. “I’m not faulting people for that, but what I want to get across is if you are between the ages of 20 and 50, there is no need to panic,” Heerlein says. “Time is on your side. If you suffer a loss, you more than likely have plenty of years to recover before you retire.”
Many people nearing retirement probably look back to when they were in their 20s and 30s and wish they could go back in time and make some financial decisions over again.
“Most people eventually learn that true financial success requires a lifetime of work, responsibility, and attention,” Heerlein says. “The younger you are when you come to that realization, the better.”
About Chris Heerlein
Chris Heerlein, author of Money Won’t Buy Happiness – But Time to Find It(www.moneywontbuyhappiness.com), is a Investment Adviser Representative and partner at REAP Financial LLC. He hosts the “Retire Ready” TV and radio shows in Austin, Texas, and has been featured in national media outlets such as Fortune, Bloomberg Businessweek, and Money magazines. Heerlein also is an ongoing contributor to the financial publication Kiplinger.
If there’s one financial task that causes many of us to stick our heads in the sand, it’s taxes.
Planning ahead to reduce a tax bill is not most people’s idea of a fun time. But for those on a fixed income, keeping taxes low is one of the key ways to reduce retirement expenses. And for people who plan to relocate when they retire, it’s crucial they understand the tax implications of that move.
For example, if you’re keeping an eye on your retirement expenses, you probably should rethink any plans to move from Nevada—which levies no individual income tax—to New Mexico, which taxes Social Security benefits and, to some degree, income from pensions and retirement accounts, according to an analysis by Wolters Kluwer Tax & Accounting, a research and software company. (Keep in mind that states frequently change their tax laws.)
Ridgewood NJ, Al Zdenek noticed early in his career that his clients, and people in general, had not received a good financial education and had not surrounded themselves with the best advisors. As a result, they were not making the best financial decisions for themselves or their families and at times were making disastrous choices.
This is what inspired Zdenek to write the book “Master Your Cash Flow” (www.MasterYourCashFlowBook.com), which provides the way to make the 100 percent correct financial decision and help individuals and families grow and retain wealth and live the life they want now and in the future.
“Educating someone on how to consistently make the best financial decisions lets them avoid the costly mistakes most make in their lives,” says Zdenek, president, CEO and founder of Traust Sollus Wealth Management. “By consistently making the best financial decisions, they can find more cash flow to spend or save. Saving this new cash flow, they may achieve financial independence sooner, work less in life and have less anxiety and stress in their financial lives.”
Zdenek says one way that people can start reaching their financial goals is by using debt smarter, and getting away from the mindset that all debt is bad. Well-run business uses debt to increase shareholders. People can do the same to increase their wealth.
Here are some more ways to empower people to transform lives by consistently making the best financial decisions possible.
• Focus. Many don’t know where to begin to take control of their cash flow. If you don’t know, get help, says Zdenek. The busy lives that people lead can cause them to not spend the time looking at the amounts they spend and why. Those who don’t focus on where their money is going could end up wasting a lot of it, and in the long run have to work harder and longer in life. • Don’t Concentrate On Just Saving Pennies At The Expense of Living How You Wish Now. Zdenek and Madonna probably don’t run in the same circles, but they do have one thing in common: Neither one believes in just saving pennies and not enjoying life. While Madonna was hoping for some bling in her ‘80s hit song “Material Girl,” Zdenek says go ahead and buy that pumpkin spice latte from Starbucks. It is necessary in your life to enjoy the things that make you happy, just as long as you continue to make smart decisions on bigger issues that affect your future wealth so that you can live the way you want for the rest of your life. • Look High And Low. There are plenty of overlooked places where people find opportunities for increased cash flow. Those include proper income tax planning, structuring debt property, finding a better job, taking full advantage of company benefits, leasing vs buying, running your business more effectively, managing property and casualty insurance effectively and many more.
“I want to educate people on how to make the best financial choices for themselves and their loved ones, 100 percent of the time,” Zdenek says. “In doing this, they are empowered to live the lives they wish, now and in the future.”
About Al Zdenek
Al Zdenek is the president, CEO and founder (1982) of Traust Sollus Wealth Management, a boutique wealth management firm dedicated to empowering people to transform their lives and live the life they wish now and in the future. This is done by consistently making the best financial decisions. His book, “Master Your Cash Flow,” (www.MasterYourCashFlowBook.com) shows readers how to determine the wealth they need and then find additional cash flow and, if saved, build wealth sooner or have more wealth to live the lifestyle they desire now and forever.
Few things make retirees more nervous than the possibility their savings could run dry.
May 21,2017
the staff of the Ridgewood blog
Ridgewood NJ, And the situation can be even more troublesome for women, who are at greater risk of outliving their money because, on average, they live longer than men. In fact, women over the age of 65 are 80 percent more likely than men to spend their retirement years impoverished, according to a study by the National Institute on Retirement Security.
“Many women don’t realize just how long they may live in retirement and how long their savings need to last,” says Beth Andrews, founder of Networth Advisors (www.bethandrews.info), a financial-planning firm that recently launched the Woman’s Worth® program with the goal of improving the retirement outlook for female clients.
“These days, it’s not unusual for someone to live into their 80s or 90s, and even past 100,” Andrews says. “Your retirement, in other words, could last many more years than you ever imagined.”
Women typically face situations men don’t.
“Just think of it this way,” Andrews says. “Most men die married. Most women die single. Generally, that means men will have someone who’s caring for them right up to the end. Women will be left to care for themselves.”
She suggests a few steps women should consider to reduce their risk of running out of money before they run out of life:
Delay Social Security. You can claim your Social Security benefits as early as age 62, but if that’s your plan you might want to reconsider, Andrews says. Taking Social Security early means you permanently will receive a lower monthly payment. Unless a personal situation forces your hand, she says, it may be better to wait until you reach your full retirement, which is from 66 to 67, depending on when you were born. If you can put off claiming Social Security until you are 70, those monthly payments would grow even more.
Plan for inflation. Too many people – women and men – think in terms of today’s dollars when they are trying to plot out how much money they will need in retirement. As decades pass and the cost of living rises, those dollars are going to buy a lot less — so it’s essential that you factor inflation into your retirement planning, Andrews says.
Take care of your health. This one might not sound like a financial issue, but medical bills and long-term care expenses can gobble up savings quicker than nearly any other expense. Regular exercise and healthy eating can go a long way toward keeping both your body and your savings account fit.
“There are other things you’ll want to consider as well,” Andrews says. “For example, you may want to put off retirement and keep working longer than you originally planned. The important thing, though, is that you start thinking about what your retirement plan is and what you need to do to help make sure it doesn’t fall apart.”
About Beth Andrews
Beth Andrews, a CPA and Certified Financial Planner®, is founder of Networth Advisors LLC (www.bethandrews.info). As an experienced financial advisor, she specializes in the areas of retirement planning, retirement distribution planning, tax strategies, investments and insurance. Beth offers investment advisory services through AE Wealth Management (AEWM), LLC. Networth Advisors and AEWM are not affiliated companies. She and her husband Todd, a retired millwright for US Steel, have been married for 23 years and live in Eighty Four, PA near their family. Andrews received her accounting degree from Indiana University and started as a financial advisor in 1997. She founded Networth Advisors to help clients accumulate, protect and enjoy their wealth.
Omaha, Nebraska , our friend Prince Dykes of the Investors Show wanted to share a recap while he makes the rounds at his first experience at a Berkshire Hathaway Annual Meeting . Hopefully you enjoy the footage as much as we did.
Check out Prince’s interview with Bill Gates and a fun chat with a couple from New Jersey.
Prince can be found regularly on the “The Investor Show” channel on Youtube were he interviews investors and entrepreneurs
