In This IssueA few useful tips to help make the process go smoothly the first time out Visit Santa...

Volume 1 Issue 77 • January 2016

In This Issue:

When Is the Best Time to Buy a New Vehicle?The right timing can help you save big

What to Do Before Donating BloodA few useful tips to help make the process go smoothly the first time out

Visit Santa Fe, New MexicoPlan a luxurious vacation to Santa Fe with this guide

Movie Releases to Look Forward to This YearTake the kids to this year’s biggest family-friendly movie releases

Common Items You Didn’t Know You Could RecycleReduce your carbon footprint in 2016 by recycling more than ever before

Banking Tips for EntrepreneursMaking the most of your relationship with your financial institution

Job Searching After RetirementRejoining the workforce isn’t easy - here’s how you can get started

Should You Automate All Your Bill Payments?The pros and cons of both sides

Five Money Conversations to Have With Your SpouseFinancial topics that need to be covered thoroughly

Accepting Money From Your Customers and ClientsThe basics of accepting credit cards, cash and checks

Tips for Setting Aside Enough Money for Student LoansDo you struggle with having enough in your account to pay back loans each month?

How to Tackle Those Holiday BillsMethods and tips for paying off debt fast

Health Insurance: Behind the DeductibleUnderstanding your health insurance deductible

Giving Investments to KidsOptions for giving investments to children

The Truth About Car PaymentsDo car payments really have to be a way of life?

Understanding Loan ConsolidationThe upsides, the downsides and the caveats

Tips for Getting Your First Mortgage What to know when buying your first home

When Is the Best Time to Buy a New Vehicle?The right timing can help you save big

Buying a new vehicle is probably the second biggest purchase you’ll make in your lifetime, so doingyour homework makes sense for many reasons, not the least of which is it could help you savethousands. And while there are many things to consider, when you buy is commonly overlooked —but it could make all the difference in getting a great deal.

Steve Harrison, executive director of the USAA Auto Circle, lists four things to help tip the scales inyour favor, including:

Shopping early in the week - Dealerships usually do themajority of their businessduring the weekend, socoming in on a Monday orTuesday could net you notonly individual attention, butthe salesperson also may bemore prone to make a dealdue to low sales volume.

1.

Shopping at the end of themonth (or quarter) - Mostdealership personnel arejudged on their salesperformances, so a sale duringa slow month or quarter couldmean the difference betweenthem keeping their job or not.There are also times wherethe dealership as a whole can get extra money from the manufacturer if they hit certain salesgoals, so they may even be willing to lose money on a specific sale to hit those goals.

2.

Making your offer later in the day - Everyone looks forward to the end of the day, especiallysomeone who works long hours. If a salesperson hasn’t made a sale all day, he or she may bewilling to push a quick sale through to help build some momentum and turn the day aroundbefore heading home.

3.

“Some ‘experts’ will tell you that you can get a better deal on your vehicle in the dead of winter whensales are slow. The truth is that you can get a great deal any month of the year if you know what youare doing,” said Michael Royce, a former car salesman and consumer advocate.

You also want to use online tools, like Edmunds.com, that provide independent research before youdecide on your vehicle. And as usual, stop by to see what financing options we can help with so youcan shop with the peace of mind that you can afford what you’re purchasing.

IMN Member Adviser • 781-672-7249 • https://www.memberadviser.com


What to Do Before Donating BloodA few useful tips to help make the process go smoothly the firsttime out

Donating blood is a worthy cause that helps countless people around the world each year. January isNational Blood Donor Month; if you have never donated before, there’s never been a better time tostart than right now.

It is not uncommon for potential blood donors to face anxiety at the thought of going under the needle,but giving blood is an altogether painless and easy process so long as you know how to go about it. Ifyou are interested in giving blood in the New Year, these are the things you will need to know.

Know if you meet the requirements

In order for a person to give blood,one must meet certain minimumeligibility requirements. The RedCross offers a comprehensive list ofrequirements that relate to everythingfrom age and gender to recent travelsand illnesses. Generally speaking,blood donors are expected to be ingood health, to be feeling well and toweigh no less than 110 pounds, andmay only donate once every 56 days.Donors should be at least 17 years ofage, but certain states allow for16-year-old children to donate withparental consent. A comprehensive,alphabetized list of eligibilityrequirements can be found at

http://www.redcrossblood.org/donating-blood/eligibility-requirements/eligibility-criteria-alphabetical-listing.

Know what to do beforehand

Once you are certain that you meet the requirements to donate, you may proceed with schedulingyour appointment. In the two weeks prior to your appointment, you should be sure to consume foodsthat are rich in iron and low in fat. By eating whole grains, spinach, eggs, lean beef and poultry anddrinking low-fat or non-fat milk, you will be able to produce blood faster. This not only enables you todonate the best blood possible, but it also helps with the recuperation process. Prior to yourappointment, it is advisable to get at least 5 – 7 hours of sleep, drink between 4 – 8 glasses of water orjuice and eat a light meal three hours before donating.

Know what not to do beforehand

If you are a smoker, you are not necessarily disqualified from donating blood. However, if you intend todonate, you should not smoke or use nicotine products for at least one hour before donating.Consumption of alcohol should be avoided for 24 hours before your appointment. It is also notrecommended that you chew gum or eat mints or candy immediately prior to or during your donation

as it increases the temperature in your mouth and could lead to failing the physical. You should alsoavoid eating fatty foods, like hamburgers, fried chicken or ice cream, prior to the test as it cannegatively affect the result of your test prior to donating. If you are a platelet donor, you must alsoavoid taking aspirin or any other non-steroidal anti-inflammatories in the 48 hours prior to yourappointment.

Know what to bring with you

If you are in possession of a donor ID card, you will want to bring that; if not, two valid forms ofidentification, such as a driver’s license or passport, will do the trick. Additionally, to help facilitate theprocess, you will want to provide a list of any medications you may be taking. If you have visited anycountries outside of the United States in the past three years, you will also need to inform the staffand volunteers. Be sure to wear comfortable clothing, including a short-sleeve shirt or a shirt withsleeves that can be easily rolled up, and bring headphones to help relax as blood is being drawn.

Once you’ve had blood taken, eat your cookie and drink your orange juice. You will be free to go after15 minutes of recuperation, but you may want to take it easy for the rest of the day.


Visit Santa Fe, New MexicoPlan a luxurious vacation to Santa Fe with this guide

Santa Fe is the capital of the great state of New Mexico, but also acts as a cultural hub of old westcharm with a modern twist. Take a look at these travel tips to plan the perfect trip for your family.

What to do

Part of the charm of New Mexico isthe delightful mix of new and old.When visiting, it is highlyrecommended that you take a tour ofhistoric sites around the city. GreatSouthwest Adventures is one of themost experienced groups in the areaand routinely offers tours to historicalsites like the Bandelier NationalMonument, where there is evidenceof ancient human dwellings amongflora and fauna, and Chaco Canyon,which is home to one of the highestconcentrations of pueblo homes. Youcan learn more about these outdoorexcursions athttp://www.swadventures.com/.

Within the city, consider a trip to thePalace of Governors. It is a Registered National Historic Landmark and an official American Treasure,and is one of the nation’s oldest continuously occupied public buildings, according to TOURISM SantaFe. For a complete list of historic sites, visithttp://santafe.org/Visiting_Santa_Fe/Things_to_Do/Historic_Sites/index.html.

Where to stay

Travelers looking to pamper themselves should consider the Inn on the Alameda for a stay in acomfortable hotel that exudes southwestern charm. With a robust breakfast buffet in the morning andwine and cheese reception in the afternoon, travelers will feel right at home. Pets under 100 poundsare also welcome in the spacious rooms. Guests wanting more space can consider a deluxe room or aSanta Fe Suite that resembles a private residence. Learn more about the Inn on the Alameda athttps://www.innonthealameda.com/.

Another option for accommodation in Santa Fe is the Rosewood Inn of the Anasazi. With only 58guest rooms, the staff is able to pay close personal attention to each and every visitor. Each room isfurnished with local art, and there are luxurious suites available in addition to traditional rooms. Guestslooking to combine good food with their stay will be happy to know that this hotel offers its own AnasaziRestaurant, as well as a bar and vibrant patio. For more information, visithttp://www.rosewoodhotels.com/en/inn-of-the-anasazi-santa-fe.

Where to eat

While staying in Santa Fe, don’t settle for fare from a chain restaurant. With great local food choices, it

While staying in Santa Fe, don’t settle for fare from a chain restaurant. With great local food choices, itis easy to savor the flavor of New Mexico.A visit to Blue Corn Café and Brewery will allow visitorssample some local microbrews. Great pub fare with a southwestern flair is also served alongside thecraft beers. If farm to table is what you prefer, take a look at the cleverly named Dr. Field GoodsKitchen. This restaurant is all about great local food prepared in exciting ways, such as the NewMexican burger, featuring green chile rubbed and smoked pulled pork, apple slaw and sharp cheddarcheese.For the more refined palate, the Rio Chama restaurant serves amazing prime rib, fondue andseafood prepared with a southwestern sensibility in a luxurious atmosphere. Check out their menus athttp://riochamasteakhouse.com/menus/.

Santa Fe is a charming slice of the southwest that provides a great escape from everyday life. With allthis city has to offer, there is something for every member of the family.


Movie Releases to Look Forward to This YearTake the kids to this year’s biggest family-friendly movie releases

Whether you attend local cinemas with family or by yourself, films have the ability to transport you toan entirely new and magical place. If you are interested in heading out to the movie theater with yourfamily this year, here are five releases you do not want to miss.

“Kung Fu Panda 3” (PG)

Everyone’s favorite martial artspanda is back for a third movie. Po’slong-lost panda father is back in hislife and brings Po (voiced by JackBlack) to a secret panda paradise fullof new hilarious characters. Thesupernatural villain Kai is back tochallenge Po, which means thepanda must train a village full of hispanda brethren to fight against hisnemesis. If this movie is anything likethe previous two, it will be a barrel oflaughs for all ages. It is set to releaseon Jan. 29, so catch it in theaterssoon.

“The Jungle Book” (Not yet rated)

As a remake of the 1967 animatedfilm, “The Jungle Book” has a lot to live up to. Directed by Jon Favreau, this version is a 3D adventurefantasy film that follows Mowgli’s journey to self-discovery. Along the way, the boy raised by wolvesencounters a variety of jungle creatures, including Kaa, the hypnotic python. You may hear somefamiliar voices in this cast, including Scarlett Johansson, Idris Elba, Bill Murray, Lupita Nyong’o,Christopher Walken and Ben Kingsley. Set to release on April 15, this newest retelling of the Disneyclassic is sure to delight.

“Alice in Wonderland: Through the Looking Glass” (Not yet rated)

“Alice in Wonderland: Through the Looking Glass” is yet another film from Disney, based on theclassic tale by Lewis Carroll of the same name. This continuation of the popular “Alice in Wonderland”story finds Alice in a mysterious new world, where she must retrieve a magical scepter to stop the evilLord of Time before he turns Wonderland into a barren world. Johnny Depp, Anne Hathaway, HelenaBonham Carter and Andrew Scott highlight this amazing cast, and with the magic of Disney and LewisCarroll coming together, there is no denying that this new film will be a hit with both children andadults. Catch it when it releases on May 27.

“Finding Dory” (Not yet rated)

The most forgetful fish in the world, Dory, is back after her debut in “Finding Nemo.” This time, she isbeing reunited with her family. The film is set six months after the events of “Finding Nemo,” and willtake place off the coast of California, rather than Australia. Dory, a blue tang fish, will return totheaters on June 17. Ellen DeGeneres is joined by Albert Brooks, Diane Keaton, Ed O’Neill, Ty Burrell

theaters on June 17. Ellen DeGeneres is joined by Albert Brooks, Diane Keaton, Ed O’Neill, Ty Burrelland more in this film, written and directed by Andrew Stanton.

“Tarzan” (Not yet rated)

This film looks into the future of Tarzan, after he is rescued by and marries his beloved Jane. Now, heis used to gentrified life as John Clayton III and his marriage with Jane. The film starts as Tarzan isasked to return to the Congo to serve as a trade emissary of Parliament. It turns out, however, that heis merely a pawn for some evil people. Tarzan will swing into theaters in the United States on July 1.

Regardless of the age of viewers, everyone will enjoy these five movie releases this year. Get togetherwith those you love this year and catch these great films when they arrive.


Common Items You Didn’t Know You Could RecycleReduce your carbon footprint in 2016 by recycling more than everbefore

As the New Year begins, you may find among your list of resolutions the pledge to create less wasteand recycle more. According to the EPA, American consumers created 250 million tons of waste in2010 alone; astonishingly, more than one-third of that waste was material that could have beenrecycled or composted. The following five items are commonly considered trash destined for landfills,but they are absolutely recyclable.

Cell phones

At the rate that technology is moving,Americans are swapping out theircellphones for newer and smartermodels at a quicker turnaround thanever. If you have old Nokias andflip-phones from years past lyingaround, you can put them to gooduse by donating them to any numberof organizations. For example, CellPhones for Soldiers providesactive-duty military members andveterans with a cost-free means ofcommunication. The organization hasprovided 216 million minutes andrecycled nearly 12 million cell phonessince 2004. Verizon Wireless’HopeLine program collects phonesand equipment for recycling and usesthe money raised from selling refurbished phones to contribute to victims of domestic violence.

Used oil

If you change the oil in your lawnmower or motorcycle with regularity, or if you own a deep fryer thatrequires new cooking oil every so often, then you know well that you have to go out of your way todispose of it properly. The American Petroleum Institute suggests visiting http://Earth911.org to see ifthere are any motor oil or cooking oil recycling facilities in your area. Two gallons of used oil alone issaid to provide electricity enough to power an average household for nearly 24 hours. The website canalso provide information on facilities that specialize in recycling batteries and electronics.

Sneakers

There is a lot that can be done with even the smelliest pair of old sneakers. For example, Nikeoperates a Reuse-A-Shoe program that repurposes old shoes for the creation of Nike Grind, a materialwhich is used in the creation of tracks and gym floors. Another recycling program, One World Running,collects shoes that are still serviceable and provides them to runners in third-world countries. Oldshoes can also find new purpose through donations to The Salvation Army, Goodwill or your nearesthomeless shelter.

Brita water filters

Brita’s product line ensures the cleanest drinking water imaginable, and the company has taken stepsto see that the filters used in its pitchers and faucets are not contributing to landfills. Brita’s partnershipwith Preserve allows for the former’s filters to be used in the creation of the latter’s razors,toothbrushes and cutting boards. Once a filter is exhausted, simply give it three days to dry out, wrap itin a plastic grocery bag and drop it off at the nearest Gimme 5 location to your home. In 2014, Gimme5 collected a total of 254 pounds of #5 plastic, or the equivalent of 1.3 million used Brita filters.

Bras

It is not terribly uncommon to donate bras to Goodwill with other clothing items, but the BosomBuddies Bra Recycling program offers an alternative means to putting old bras to good use. The BraRecyclers is a textile recycling company that focuses specifically on repurposing bras by eitherdonating them to women in need around the world or harvesting them for their materials. This servesthe purpose of both reducing energy usage and providing affordable clothing to those less fortunate.

To make 2016 a greener year, be sure to research what you can and cannot recycle before you takeout the garbage. You might just be surprised to see all the things that have greater utility than simplygoing to a landfill.


Banking Tips for EntrepreneursMaking the most of your relationship with your financial institution

There are many factors involved in being a successful entrepreneur, but undoubtedly, maintaininggood relationships is one of the most essential. While all the relationships that you build as anentrepreneur are important, you should be sure to pay special attention to any that you foster with afinancial institution.

Although entrepreneurs typically areused to serving their businesses in avariety of roles, there are some areaswhere expert help is invaluable.When it comes to fulfilling yourbusiness’s financial needs, yourfinancial institution is your best ally.

You can set yourself up for successby taking the time to get to know thepeople who work at your financialinstitution and helping them get toknow you and your business. Thatway, when it comes time to seek outa loan, you will already haveestablished a good foundation.

“It was important to our business forour bank to know us,” stated RyanStephens, founder of Ryan StephensMarketing, on BusinessInsider.com.“Developing a face-to-face relationship with your bank can make a difference when it comes to abreezier process for lending and credit, and faster problem-solving if any problems arise.”

You can strengthen your alliance with your financial institution by putting a concerted effort intocrafting the image you present and by ensuring that all your communications are well thought out.

Another important tip to keep in mind when embarking on your banking endeavors is to focus on whatNerdWallet calls the “5 C’s”: character, capacity/cash flow, capital, conditions and collateral.

“The 5 C’s of credit are basic guidelines that a bank or credit union might use to evaluate a potentialborrower,” according to NerdWallet Contributor Amolm. “As a business owner, excelling in and/orunderstanding each of these categories could drastically improve your chances of receiving a loan.”

Here is more information about the 5 C’s:

Character: This is the general impression that a lender has regarding a borrower. It can’t bereduced down to simple numbers; it is more of a subjective concept. If a borrower thinks youhave good character, then you are considered to be trustworthy and creditworthy. You canshow your good character by being thoughtful and thoroughly prepared for all meetings andinteractions with your lender. You can also provide references that can attest to your goodcharacter.

Capacity/cash flow: By analyzing your capacity and your cash flow, a lender is able todetermine your ability to repay the loan. One way you can help your business shine in thisregard is to show a detailed accounting of how you will set aside money to pay back the loan,

and how you will use the loan funds responsibly.

Capital: This is the sum of money that you have personally invested in the business. Ingeneral, financial institutions prefer to lend to entrepreneurs who have demonstrated the abilityto invest in their own businesses and therefore have equity in the businesses.

Conditions: No matter how great your business is or how well you prepare for your meetingswith your financial institution, there may be economic conditions out of your control that affectthe decision to give you a loan. This can be for the good or the bad. If you demonstrate that youunderstand the current economic conditions of your area and market and that you are preparedto excel in that environment, you can help convince the financial institution that you are worthinvesting in now.

Collateral: As with any loan, a small-business loan is easier to obtain if you have assets thatcan serve as collateral should you be unable to repay your loan. This is why well-establishedbusinesses may have an easier time obtaining a loan, as they typically have acquired morecollateral over the years.

The relationship you have with your financial institution is one of the most important relationships thatyou can foster as an entrepreneur, so keep this information in mind and take action so it growsstronger and stronger.


Job Searching After RetirementRejoining the workforce isn’t easy - here’s how you can get started

Being “retired” looks a little different these days than it once did. Older people are taking theopportunity of not having to work for a living to do something they want to do for a living, and theoptions are endless.

“Because today’s seniors arehealthier and more active, planningfor retirement involves much morethan just financial planning,”according to The Retirement LivingInformation Center website. “Itinvolves thoughtful planning aboutwhat you want to do with the rest ofyour life, whether it’s starting yourown business, part-time work,consulting, volunteering, mentoring, avariety of leisure activities or a uniquecombination tailored to your needs.”

Whether you are a retiree who isworking for economic reasons or justfor leisure,

reentering the workforce can betricky. Start with the following tips:

Try mixing business and pleasure - If you are seeking work mainly to pass the time and explorelife’s possibilities, use a part-time job to your advantage. “Be creative in seeking out jobs that dovetailwith your interests,” said Jane Bennett Clark, senior editor of Kiplinger.com Personal Finance.

Have you always been interested in sports? Look for a job as an usher at the local stadium or arena,or as a cashier at a sporting goods store. Have you always wanted to try selling cosmetics from home?This is the perfect time to try it. It might also be the ideal time to try starting your own business, ifthat’s something you have been interested in and have the capital to invest up front.

Don’t give up - You may assume you are at a disadvantage being an older job candidate, but theopposite may actually be true. Many companies are looking for someone with a flexible schedule orsomeone to work during the daytime hours while many other potential employees may be at school orin class. Work your contacts to get an “in” at your desired place of employment — by retirement age,you likely have a plethora from whom to choose. Stress everything you bring to the table, including anytechnological fluency, especially if you are interviewing with a younger manager, but don’t evermention ages — you should avoid calling attention to a large age gap so as to prevent feelings ofinsecurity, or worse, misinterpreting the comment as condescension.

Similarly, you don’t have to list on your resume every single job you’ve ever had; it should be ahighlight reel of your relevant experience and accomplishments. Furthermore, assure your interviewerthat you are not overqualified, which is a common reason retirees are often passed over for jobs.

In an interview with U.S. News & World Report, Associate Professor at Texas A&M Joanna Laheyexplained how to help yourself stand out.

“Make sure your cover letter explains why you’re right for the job you’re applying to,” said Lahey.

“Explain any gaps or why you’re applying for something for which it seems like you’re overqualified.”

Utilize the resources available to you - There are countless websites, books and other media outthere — specifically aimed at older workers or retired people — that can help you get started in yourjob search, including RetirementJobs.com and Encore.org. These sites focus on nonprofitopportunities, another area in which adults like to delve after they retire. Relevant organizations alsooffer documents or websites as resources, such as AARP Career Support and the Service Corps ofRetired Executives.

If you want to add yourself to the 7 million people age 55 and older who are currently working part time(according to the Bureau of Labor Statistics), simply remember the general guidelines above for how toplan the next phase of your life.


Should You Automate All Your Bill Payments?The pros and cons of both sides

Nowadays, many checking and savings accounts allow consumers to set up automatic bill pay, whichallows you to set up payments for your bills with just one click of a button. Gone are the days when youhave to remember when your bills are due since automatic bill pay automatically pays them.

“Consumers are increasingly lookingfor new ways to manage their bills,which points to the need for continuedinnovation by service providersacross the payments industry,” saidDavid Shapiro, senior vice presidentof payments at Western Union. “Lessthan one-third of payments occur vianon-electronic channels, andconsumers continue to use a mix ofpayment methods that provideenhanced choice, flexibility, controland convenience around theirlifestyles and cash flow.”

While automatic bill pay seemsopportune, it might not be foreveryone. Find out the pros and consto both options, and whetherautomating all your bill payments isright for you.

On the plus side, automatic bill pay offers you:

Convenience - Along the same lines of the common phrase “set it and forget it,” automatic billpay allows you to set up your bills to be paid on or before their due dates. This leaves you moretime in your day to not worry about paying bills and focus on other things, such as work, yourfamily, etc. All you have to do is find the time to set it up and then you can let your bank orcredit card handle the rest.Less chance of missing a deadline - It’s a complete sigh of relief when you don’t have toworry about when bills are due — and automatic bill pay makes it less likely that you’ll forget topay. You just set aside a time to set up your automatic payments, and then you’re free todouble check your budget in your free time, without fear of late payments.Money savings - Bills being paid automatically means no more having to pay for checks,stamps or envelopes, and even saves you money in gas for trips to the post office. Plus, somecredit cards will even offer you a small discount for paying automatically. So in the long run, thistype of bill paying can actually be a bang for your buck.

Some disadvantages of automatic bill pay include:

Losing track - “Auto-pay doesn’t excuse you from reviewing your bills every month,” saidRandy Kratz, of the financial planning firm Willoughby Hill Wealth Management in Texas. “Ifyou don’t keep track of your spending, you’re more likely to lose track and lose control.”Overdrafting your account - A common mistake of making your bills auto-pay is forgoing theneed to ensure that you have enough money in your account to cover the payments eachmonth — and that can result in incurred fees (not to mention a drop in your credit score).

Automatic payments are not a reason to stop checking the money in your bank account, so besure to keep yourself accountable to avoid late payments.Stopping payments can be difficult - While it’s very easily set up, automatic payments canactually be quite the hassle to discontinue. Also, it’s important to closely monitor thesepayments for weeks or even months after closing out an account or switching to a new one toensure that they are definitely switched over.

While putting your payments on autopilot certainly has its advantages, there’s also something to besaid for the disadvantages. Evaluate your personality against the pros and cons to see whether or notyou should be automating all your bill payments.


Five Money Conversations to Have With YourSpouseFinancial topics that need to be covered thoroughly

The general consensus among couples is that money causes more arguments in the household thanany other topic. In fact, studies show that couples who disagree about money at least once a week are30 percent more likely to break up or divorce.

Moreover, according to Jackie Black, Ph.D., BCC, author of “Couples and Money: Cracking the Codeto Ending the #1 Conflict in Marriage,” the way you handle the mercurial topic of money representshow you will handle all other issues throughout your relationship. Set up a solid framework by havingconversations on the following five topics related to finances.

Earning: Discuss who will earn the money in the relationship, or if wages are earned via a “job”or a “career” (a critical distinction). Along with this, talk about how any potential children will becared for if you are both working.

1.

Spending/saving: These twogo hand in hand. What areyour priorities? Are you savingmoney for private school? Doyou have the mutual desire totravel the world? Do you wanta nest egg to cover thepossibility of home or healthemergencies? It is important tobe on the same page, doremember compromise is avital aspect of the talk.Furthermore, do either of youprefer that you clear it with oneanother before spending apredetermined amount ofmoney? This decision could becritical in avoiding fights.

2.

Accounting: Assign one of youto keep track of the bankaccounts — someone needs to constantly be aware of how much is coming in and going out —and to create the budget. Talk together about how to divide financial roles and responsibilities.

3.

Investing: This is not just a simple answer of whether or not you want to put money in themarket. It is an entire discussion about your risk willingness and your views on modes ofinvestment, just to start.

4.

Building wealth: This topic could conceivably be an extension of the conversation from No. 4.“You’ll want to talk about how to make your money grow,” said family expert and former Editorat Parents magazine Cheryl Lock. “How much will you need, collectively, to retire comfortablyor put kids through college, and what will your mindset be in terms of how you’ll spend yourwealth?”

5.

Dr. Black says that almost every single family decision somehow revolves around money, andtherefore falls under one of these topics. That said, plan on having talks like these once a month or so.Not every conversation needs to be long and detailed, but it is important to stay abreast of any shifts inone another’s values.

Financial discussions aren’t always fun, but they’re an important part of life.


Accepting Money From Your Customers and ClientsThe basics of accepting credit cards, cash and checks

One of the most exciting landmarks in any entrepreneur’s life is the first time he or she gets paid,whether it is a check in the mail, a credit card transaction or cash. If you are running a small business,it is important to determine the best way or ways for you to accept payments. The followinginformation can help you compare the benefits and disadvantages of credit/debit cards, checks andcash.

Nowadays, it is becoming more andmore rare for a business to notaccept credit and debit cards. Thereare even mobile and online servicesthat allow people with nobrick-and-mortar business location toaccept credit cards, such as swipingdevices for tablets andsmartphones.

Not only are credit cards consideredby many to be the most popularmethod of customer payment, theycan make your business seem morelegitimate, especially if you do nothave a physical storefront or otheroffice. Furthermore, accepting creditcards can help you make sales.

“The convenience of using creditcards generally increases thelikelihood of consumer ‘impulse purchases,’ which ultimately contributes to an increase in a business’saverage sale,” according to the U.S. Small Business Administration. “Customers are more likely tomake these purchases if they have access to credit or their available bank account funds.”

Recently, the rise of EMV cards, which have metal chips in them and are inserted into a card readerrather than swiped, has led to an important change in the process of accepting credit cards. Whilemost big businesses are already outfitted with new chip card readers, smaller businesses are leftwondering if they have to make the change as well. Although you are not technically required to do so,since October 2015, you can be held liable for counterfeit transactions if you do not update yourpoint-of-sale terminals.

“This is what they call a liability shift,” said Tom DeSimone of Merchant Maverick. “Since having theEMV terminal could have theoretically prevented the fraud, the liability is now on acquirers andmerchants (you).”

Because of this increased liability, it is possible that you will actually be required to use the newmachines by the company that processes your payments and issues your POS machines.

Accepting cash

Tracking and managing cash can be more difficult for some small-business owners, since the fundsare not automatically tallied up online like they are with a credit or debit card. You do save time,however, in not having to combine multiple payment sources when you do your accounting if youaccept only cash.

accept only cash.

Businesses that accept only cash are becoming a thing of the past, especially since taking credit cardsis easier than ever. However, there are definitely still some advantages to accepting only cash. Forone thing, businesses can be charged a fee when taking credit cards, and this can add up over time totake a bite out of their profits.

Another benefit to cash is that it is the most reliable form of payment. In certain instances, credit cardpayments can be cancelled after the fact and checks can bounce, so having cash in your hand is thesurest way to know how much you have.

“There is limited risk of fraud when accepting cash only,” according to the SBA. “There are cases ofcounterfeit cash payments, but compared to other payment methods, fraud is much less common incash transactions.”

Accepting checks

If you don’t take credit/debit cards, accepting checks can allow your business to be more flexible withcustomers who don’t have sufficient cash on them at the time of purchase. This can help you avoidlosing sales, which is especially relevant in recent years with a large percentage of consumers whoare used to paying with cards and not carrying cash on them at all times.

If your business accepts checks, it is important to create a policy to ensure that you are not subject tocheck fraud. Common rules that businesses impose are that checks come from a local or in-statebank. Many businesses also do not accept checks that do not have numbers or personal informationprinted on them, such as the ones given out as placeholders when a bank account is first opened. It isalso important to examine the signature of the check with a form of ID.

If you have any questions about other forms of payment or any ways we can help with your cash flow,be sure to stop by and we’ll be happy to assist you.


Tips for Setting Aside Enough Money for StudentLoansDo you struggle with having enough in your account to pay backloans each month?

Ah, the burden of repaying student loans. Each month the payments come due, and each month yougroan, wondering how you’ll be able to pay it back. Maybe the reason student loans feel like suchweight on your shoulders is because have to pay back for years to come and it doesn’t look like there’san end in sight.

No matter the reason, it’s still important to pay them back in a timely manner to avoid accruing fees orlarge amounts of interest. Setting aside enough money for student loans may not be fun, but it can befairly easy to do — all it takes is a few minor tweaks and you’ll be able to pay back your loans withoutfretting every month. Follow these steps to ensure that you’ll have enough money each month to payback your student debt:

Stash away money in a jar – You’veheard of the concept of a swear jar? Ifso, use the same principle and call ita college jar. Any time you receive asmall amount of money, whether it’sloose change or birthday money,throw it in the college jar. If you reallywant to ensure that you’re savingenough, try matching the amount ofmoney you put in with money out ofyour own account. Once you’veaccumulated a set amount, you candeposit that into a savings account.

Get rid of cable - Cable bills havegotten out of hand, reaching up toaround $1,500 annually. But thereare better options, especially if youdon’t mind streaming different media.

“Increasingly, there are niche streaming options to scratch any itch,” said Andrew Tarantola ofGizmodo. “While eventually they add up, at least you're paying for something you actually want towatch, not dozens of channels of dreck.” By cutting out cable and switching to a more inexpensiveservice, you can use that money toward your student loans, without even losing anything.

Put aside your raise - If you’re lucky enough to get a pay raise at work, it’s a good idea to set asidethat extra money to put toward your loans. Think of it this way: You handled your bills without theadditional funds before, so you probably won’t even notice it missing; plus, you’ll feel extra good whenyou’re more easily able to pay the loans each month. Talk to your payroll department about setting upan automated transaction for the extra money, if possible.

Cook your own meals - A recent “Real Money” poll in the new World News showed two out of threepeople believe they are spending too much money on food. If you find yourself going out to eat a lot, itmight be a good time to evaluate your cooking skills in order to sock away extra money for your loans.

Associate Food Editor of Refinery29 Zoe Bain decided to only cook her own meals for two weeks

without going out to eat once and socked away $200, “which is no small feat if you do the math on howmuch that saves per year,” she said.

Find a creative way to reduce energy expenses – According to the U.S Department of Energy, theaverage American household spends up to $2,500 a year on energy bills. One simple way to lessenyour bill is to use CFL or LED light bulbs.

“These bulbs are about four times more energy efficient than incandescent bulbs and last for manyyears,” says Trent Hamm, author at The Simple Dollar. “Even switching just the five most-used bulbsin your home could save you upwards of $40 a year on your electric bill.”

Looking for more ways to save money each month for your student loans? Call us or stop by today tosee how we can help you cut back on your daily costs or set up a savings account.


How to Tackle Those Holiday BillsMethods and tips for paying off debt fast

It’s January — the holidays are over and all you have to show for it is some new socks, a bloated belly,and a hefty credit card bill from overspending on gifts. Don’t let the big numbers on these financialstatements rid you of your leftover holiday cheer. Make a plan for how you can pay these billsintelligently and quickly. Here are three ideas:

1. Choose a payment strategy -There are a number of different waysto go about paying back numerouscredit cards, but the most logical is topay them off by interest rate —highest to lowest. This makes themost sense because, if you were tokeep that debt for longer, it would becosting you the most money in thelong run. Another popular strategy isthe snowball method. Made famousby financial pundit Dave Ramsey, youput all your extra bill-payment moneyinto the smallest debts first. This ismore of a psychological method, as itis best for those people who aremotivated by the instant gratificationof seeing a balance of $0.

2. Garner extra money forpayments - There are a number of ways you can earn additional money to pay off your holiday debtsfaster. You can try living more primitively for a while, going back to basics and not spending onanything but the bare necessities until your cards are paid off. Or you might consider getting apart-time job or a freelancing gig for a bit. Furthermore, you can try selling some items that are old (toyou) or that you haven’t used in awhile. Were you gifted a new winter jacket over the holidays? Listyour gently used one on a Facebook yard sale site, or Craigslist for example.

“Start by going through your house and identifying items that are unused. Then post them on Craigslistor another retail website you feel comfortable using,” advised Holly Johnson of U.S. News & WorldReport. “Consider selling presents you received but don’t want, old tools and electronics, and toys yourkids have outgrown. And once you do, throw the money you bring in straight toward your holiday debt.”

3. Consider a balance transfer - “If you consider yourself disciplined,” then consolidating your debtsmay help,” said Erin Burt, a contributing editor to Kiplinger’s Personal Finance Magazine. Many creditcard companies offer 0 percent or other low-interest options on balance transfers for a limited amountof time — typically anywhere from six to 18 months.

“If you qualify, such a deal will help you wipe out your debt faster because all or most of yourpayments would go toward your principal, not the interest. It could also buy you the time you need topay off your purchases entirely,” Burt explained.

However, this strategy could backfire if you don’t pay the balance off before the introductory period isover. APRs generally skyrocket after that low initial rate period ends. “There are other fees to look outfor when doing a balance transfer as well,” said Bill Hardekopf, CEO of credit card comparison siteLowCards.com, to MarketWatch.com.

“Before you do it, make sure that what you will save in interest penalties via the transfer outweighsthe upfront balance transfer fee you may incur (usually 3 percent of the amount you transfer),” he said.

No matter which method you choose, always remember to pay at least the minimum amounts due onall cards every month, in order to avoid late payment fees and not damage to your credit score. Also,put the credit cards away until they are paid off. Remove that temptation to continue to spend andsnowball your debt; by next holiday season, you will be ready to start this process all over again, thistime with some experience under your belt.


Health Insurance: Behind the DeductibleUnderstanding your health insurance deductible

If you are trying to understand your current health insurance better or trying to compare potential newplans, you can find a breakdown, usually in the form of a chart or table, that lists your premiums,deductibles, copays and coinsurance. But what exactly do these terms mean, and how do they affectyou? The following information can help you sort them out.

Essentially, your deductible is the amount of money you must pay before the insurance plan beginscovering certain costs. This seems straightforward, but it can be very confusing when you try todetermine how it relates to the copay,coinsurance and maximumout-of-pocket amounts.

If your deductible is $1,500, forexample, your insurance provider willnot pay any of your costs until youhave paid $1,500 for coveredservices. Depending upon thespecifics of your plan, there are likelyexceptions to this rule for which yourinsurance will cover part of your costsbefore the deductible has been met.For these services, you may not haveto pay anything at all or you mayhave to pay based on a set copayrate. Each plan has different rules forthese circumstances.

“All Marketplace plans coverpreventive care,” according toHealthCare.gov. “Screenings, immunizations and other preventive services are covered withoutrequiring you to pay your deductible. Many health insurance plans also cover other benefits like doctorvisits and prescription drugs even if you haven’t met your deductible.”

Depending upon your individual plan, you will have set copay amounts for other specified types ofservices. It is likely that you will have several different copay amounts for different services. You mayhave one copay amount for sick visits, another for emergency room visits without hospital admittanceand yet another for emergency room visits with hospital admittance. Your insurance provider can helpyou understand exactly which services are covered before you meet your deductible and how muchyou will have to pay as a copay for each.

If you have health insurance that does not require a copay for annual physical exams, you must still besure that every service that happens during the exam is covered in the same way. Imagine that duringyour physical, your doctor decides to do extensive tests to determine the source of a problem you arehaving. Those tests may or may not be fully covered by your insurance under the collective heading ofyour yearly physical. It is possible that you may have to pay more than your copay for some or all ofthe tests. It is important to determine this before you receive the services.

Once you meet your deductible, you will be subject to paying coinsurance, which is a percentage ofreceived services that you cover.

“For example, if the health insurance plan’s allowed amount for an office visit is $100 and you’ve met

your deductible, your 20 percent coinsurance payment would be $20,” according to HealthCare.gov.“The health insurance plan pays the rest.”

In order to limit the overall expense of your health care, you will also have a maximum amount that youcan be expected to pay out of pocket each year. Typically, this applies only to in-network services, so itis important to make sure prior to each visit that all providers you see are in your network.

For more information about understanding your deductible, be sure to talk to your insurance provider.


Giving Investments to KidsOptions for giving investments to children

Investments are the gifts that truly keep on giving. They grow over time so your gift can have moreimpact, and they can also help teach financial skills to the recipient. If you are looking for a way to givean investment as a gift, here are several to consider.

Stocks

If you are looking to make a gift toyour adult children, there areadvantages to giving them stocks ifyou own some that are valued muchhigher than when you purchasedthem.

“Your kids can then either keep orsell the stock,” according to ForbesContributor Lynn Ballou. “When theydo sell it, they’ll pay taxes on the gainbased on the amount you paid for it(what’s known as your basis). And ifthey’re in a lower tax bracket thanyou are at the time, this will be awin-win strategy, resulting in yourfamily keeping more of the profit bypaying less in taxes on the stock sale.”

529 plans

One great way to help a child build his or her college savings is to open a 529 plan, which is atax-deferred savings plan. Each plan offers different benefits, and you don’t have to purchase the plancreated by the state you live in, so shop around.

Many plans give a tax break or provide a matching program to account holders. It is important to note,however, that you most likely will not be able to get a state tax break unless you are using your ownstate’s 529 plan. Regardless of whether you qualify for state tax breaks the federal government doesn’ttax the funds if they are used in the designated ways at qualifying educational institutions.

“Most 529 plans also offer the equivalent of a target-date fund: age-based portfolios that arewell-diversified among stocks, bonds and cash and that become more conservative as the child getsolder and closer to the first tuition payment,” said Kathy Kristof of Kiplinger Financial.

Ugifts

Ugifts were created by state governments to function as part of 529 college savings plans. Thepurpose of Ugifts is to make it easier for people to make small, one-time contributions to 529 plans. Inorder to make a Ugift, the giver only needs to have a special code, which he or she receives from theaccount holder.

This means that the account holder, typically one of the parents of the child who will use the funds,does not have to give out other sensitive information, such as the account number or the SocialSecurity number of the child. Using these codes allows a variety of people to make gifts into a 529 planwithout risking important information leaking to the public and creating risk for identity theft.

The code can be used online to easily transfer money from the giver’s bank account into the 529 plan.There are contribution limits, however, which vary depending on the plan. After the transaction is done,the giver can download a gift card that he or she can print and give or email to the recipient, making aUgift perfect for birthdays or holidays.


The Truth About Car PaymentsDo car payments really have to be a way of life?

Chances are, if you drive a vehicle you have a car payment you need to fulfill each month — and itmay be quite a hefty amount. But a large car payment isn’t always necessary and there are otheroptions.

According to Experian Automotive, the average car payment in 2015 was around $483 a month over67 months at just over 4.5 percent interest. On a similar note, Edmunds.com, the auto researchwebsite, said that the average price of a financed new car was $33,352, with the value of the samecar dropping four years later to somewhere around $12,800, depending on the make and model. Andwhat do you usually still owe on thatcar? Around $9,000.

Cars lose their value relativelyquickly. In fact, a new car loses about25 percent of its value right afterbeing driven off the lot. And thatmeans if you’re still paying carpayments 48 months later, you’relikely paying well over what the car isworth. And that isn’t necessary.

“The big mistakes are made in thefinancing office,” explained Phil Reed,senior consumer advice editor atEdmunds.com. “Making the rightdecisions can save thousands overthe life of the loan.”

So how can you ensure that you’remaking the right decisions? DaveRamsey, author and TV host who is committed to helping people get out of debt, offered this piece ofadvice: “What if you bought a cheap $2,000 car just to get around for 10 months? Then you take that$475 — the average car payment — save it every month and pay for a new car (with cash!), instead ofgiving it to the bank. After 10 months of doing that, you’ll have $4,750 to use for that new ride. Add thatto the $1,500 to $2,000 you can get for your old beater, and you have well over $6,000. That’s a majorupgrade in car in just 10 months!”

In addition, Ramsey said that if this were the case, you could keep putting the same amount of moneyaway for 10 more months, which would give you another $4,750 to put toward the car. Then you couldsell that car worth $6,000 for nearly the same price you paid for it 10 months prior. And that wouldmean you’d have $11,000 for a car after 20 months.

“The numbers will make your head spin, but it really just comes down to simple math,” Ramsey said.“The less money you are spending on your car every month, the more money you have to put intoother, more important things: your kids’ college fund, your retirement and paying off any other debt youmight have.”

Of course, not having a monthly car payment doesn’t and can’t apply to everyone. Sometimes, a carpayment is necessary. And if that’s the case for you, experts recommend taking out a short-term loaninstead of a long-term one, which will save you money in the long run.

While a long-term loan will offer you a lower monthly payment, you’re paying much more with the

While a long-term loan will offer you a lower monthly payment, you’re paying much more with thelong-term loan due to interest.

“You definitely pay more in the long run because these long loans typically have high interest rates,”said Mike Quincy of Consumer Reports Autos. The perfect loan time for your vehicle? “Try to limit yourcar loan to about 48 months,” Quincy advised. “That’s the optimal amount of time you should pay foryour car.”

While you’re technically paying less money on a monthly basis for a longer loan, these types of loansare usually coupled with high interest rates, meaning that by the time the car is paid off, the vehicle’slife expectancy is usually at its end too.

If you’re in the market for a new car, come in or call us today to discuss our rates and options. Or if youdecide to do away with the car payment all together, stop by and let us help you properly take care ofthat extra money.


Understanding Loan ConsolidationThe upsides, the downsides and the caveats

Plain and simple, debt consolidation doesn’t always save you money. Student loans are most oftenconsolidated, but it’s also common for people to take out a consolidation loan to roll any number ofdebts into one. While either of these could be a great idea, there are also many instances in whichloan consolidation does not make sense. It’s best to know all the facts before taking action.

Student loans

“Consolidation is like refinancing —you get a new loan, the new loanpays off your old loans and you paythe new consolidation loan instead,”summarized Heather Jarvis,student-aid expert at U.S. News &World Report.

This is generally a great option foryoung people just getting out ofschool, as you can consolidate mostfederal student loans, including thosein default. Consolidation takes allyour debts and rolls them into one,making for a much simpler monthlypayment schedule. Remembering topay all your bills, let alone multipleeducation loans, can be a tough taskfor a 21-year-old just starting out inthe real world.

Other times when student loan consolidation makes sense, Jarvis said, is when you need to escapedefault (as it stops the collections process), you want to change your variable interest rate loan to onewith a fixed rate (for easier financial planning) or you have federal loans from a private lender thatyou’d like to make eligible for Public Service Loan Forgiveness (since only direct loans are eligible).

Student loan consolidation does have its potential downsides, so beware. First of all, DirectConsolidation Loans can’t be reconsolidated. You get only one chance at making consolidation workfor you, so make sure not to waste it. Also, private loans (nonfederal) are not eligible. And that’s notall the possible disadvantages.

“You’ll have the option of taking longer to repay, so a consolidation loan could cost you more over time(since interest keeps adding up until you’re done). If you consolidate while you are in school —currently allowed under limited circumstances — you’ll lose your grace period. In addition, if you’reclose to paying off your loans, consolidation might not be worth the effort,” Jarvis explained.

General debt consolidation

Debt consolidation loans can combine various types of personal debt, but the most common is creditcard debt. It’s a viable option for people who have several credit cards and struggle to make theminimum monthly payment to each creditor. Also, it helps reduce the number of collections calls andletters you may be getting from creditors or collectors, thus improving your credit score and overallfinancial health over time. Furthermore, you can more easily manage your finances with a singlemonthly payment to one source.

monthly payment to one source.

Types of consolidation loans

There are two basic types of consolidation loans — secured and unsecured — each with its own set ofpros and cons. The major difference is that secured loans are tied to an asset used as collateral(house, car, etc.) in the event of a default; while unsecured loans are based on your credit historyinstead of being attached to an asset.

According to Joel Greenberg, president of Navicore Solutions, a nonprofit financial counselingorganization, you should do your homework before jumping into a loan like this, as it won’t alwayssave you money.

“Compare your existing minimum payments to what your payments will be for that same debt under theDMP [debt management plan], including fees and voluntary contributions. If the latter doesn’t save you5 to 10 percent, it’s the wrong choice,” Greenberg advised to Bankrate.com.

For more information on student loan consolidation, visit the Federal Student Aid website athttps://www.studentaid.ed.gov/sa/repay-loans/consolidation. You can also go to the America’s DebtHelp Organization page at http://www.debt.org/consolidation/loans/ for further details on general debtconsolidation loans.

Better yet, talk with the experts at your financial institution for facts pertaining to your specific situationso we can help devise a plan that works for you.


Tips for Getting Your First Mortgage What to know when buying your first home

So you think you’re ready to take the plunge and purchase your first house. Congrats!Homeownership is a big, exciting step — but getting your first mortgage can be quite complex,involving many steps. That’s why it’s important to prepare as best you can before shelling out thedown payment.

Taking the right steps to start with make it far less complicated down the road. Before signing on thedotted line for your mortgage, take these steps to ensure that the process goes smoothly andefficiently.

Get a copy of your credit report - You can retrieve a free credit report from each of the threecredit bureaus at AnnualCreditReport.com.

“In addition, the standards arehigher in terms of what scoreyou need and how it affectsthe cost of the loan,” said MikeWinesburg, a former mortgageplanner with McKinley CarterWealth Services in Wheeling,West Virginia. While it’sbeneficial to pay everything ontime, that doesn’t always meanyour credit score is where itshould be. The lower yourutilization rate (your availablecredit limit) the higher yourscore will be — and in order toobtain a mortgage, you’ll wantto have a lot of credit available,with less than a third of it inuse.

Get preapproved - Ensuring that you’re preapproved for a loan makes the home-buyingprocess a lot easier on you.

“The first-time homebuyer needs to be very savvy and have an upfront preapproval letter thatwill help give the seller confidence that [the buyer] can close the loan and obtain the funds,”explained David Norris, president and COO at nonbank mortgage lender LoanDepot.com. Sobefore you even begin your search, make the process of getting preapproved mandatory. Andalong with that, be patient.

“[Buying a home] is really like finding a job — it’s going to take a lot of time to prepare,” saidCara Pierce, a certified housing counselor with ClearPoint Credit Counseling Solutions. “Thatway, when the deal comes along, you’re ready to pounce on it.”

Track your spending - “If I were a first-time homebuyer and I wanted to do everything right, Iwould probably try to track my spending for a couple of months to see where my money wasgoing,” said Winesburg. Even if you aren’t in debt and you pay your bills on time, it’s importantto evaluate how you spend your money. So, for example, are you able to sock away extra funds

at the end of each month or do you typically live paycheck to paycheck? When you’re pursuingyour first mortgage, it’s important to have a good idea of what’s coming in and what’s still owed.

Get rid of debt - It sounds simple, but it makes a big difference. Not only does being debt freemake it more likely you’ll get preapproved for a decent loan, but paying your mortgage eachmonth is much easier if you aren’t still paying off debt. It’s also not wise to be purchasingexpensive items around the same time as buying a home — for example, a car.

“It would be much easier to own a home if you can show a history of saving and not have gottenyourself into too much debt,” Norris added.

Organize documents in advance - Paperwork isn’t the most exciting thing in the world, butlenders do typically require an array of documentation when issuing a mortgage — things likeyour W-2s, bank statements and tax returns. Gathering these items ahead of time can ensurethat nothing gets delayed and you can move on to owning your home as quickly as possible.

“You need to be organized and be able to pull all this information together,” said Cara Ameer, aColdwell Banker real estate agent. “What can cause delays in the process is trying to trackdown various pieces of paper the lender is going to need.”

Your financial institution is there to help and can walk you through the entire process, so if you’reconsidering getting your first mortgage, call or stop by to find out the options available to you.


Date post:	21-Jun-2020
Category:	Documents
Upload:	others
View:	0 times
Download:	0 times

In This IssueA few useful tips to help make the process go smoothly the first time out Visit Santa...

Documents