All Entries in the "Your Money and You" Category

Financial Experts Says ” A Lot Can Be Learned From Hip Hop Artists”

In Summer 2012, Houston rapper Slim Thug released his first book, How To Survive In A Recession.  The book was a surprise to most hip hop heads who were used to seeing Slim Thug in videos with flashy jewels and expensive cars. He even premiered once on the popular MTV Cribs showing off his sprawling home and fleet of cars. Well, years later Slim Thug decided to live a debt-free life which consisted of doing away with a few materialistic things he’d worked so hard far. He didn’t downsize because he was broke. Due to the recession, he took the smart route, man’d up, and began managing his personal finances properly.

Nowadays, there are more hip hop artists investing in stocks, opening businesses, and securing a great financial future for themselves and their family.  Some music videos may tell a different story. But if you listen to their lyrics, you’ll notice that many of them are offering up some great advice about business and money. Recently, MSN posted several financial related quotes spit by several of our favorite rap artists. Financial experts reviewed each lyric and believed that fans of hip hop could actually learn a thing or two if we just pay attention.  In case you can’t remember what a few of these rappers said, take a look at these lesson-filled quotes expressed by 50 Cent, Slim Thug, Yung Joc, Busta Rhymes, and Common.

50 Cent says, “I used to think that if I bought stuff that showed the world how much money I made I’d be happy. But that doesn’t work. For me, success was always going to be a Lamborghini. But now I’ve got it, it just sits in drive. My Rolls Royce has less than nine miles on the clock.” (quoted from interview with Daily Mail)

Moral of the Quote – Buying expensive items do not always guarantee happiness. Some assets, like cars, depreciate in value. So it is best to invest in assets that will increase your net worth. Then to find happiness, try giving back to the less fortunate.

Slim Thug says, “I always say if you can’t buy it three times over, you can’t afford it. Don’t drive a Bentley on a Benz income.”  (quoted from How To Survive In A Recession)

Moral of the Quote – Simply. Don’t live beyond your means.

Yung Joc says, “Hold off on all the jewelry and cars. Straight up…(the rap business) not a 9-to-5. You go to work 40 hours a week, you’re not going to get the same amount of money…every week because it don’t work like that.” (quoted in interview with Hollywood Heavy)

Moral of the Quote – Be smart with your money. Always have it least 6 to 12 months salary saved up for hard times.

Busta Rhymes says, “Floss a little; invest up in a mutual fund.”  (quoted in his 1997 hit “Dangerous”)

Moral of the Quote – Diversify your portfolio. Never leave all your money in one bucket. Contact a financial advisor or stock broker and find opportunities to invest and grow your net worth.

Common says, “But once you get grown and out your own/Bills upon bill upon is what you have/Before you get your check then you already spent half.” (quoted in his 1994 song “Rich Man vs Poor Man”)

Moral of the Quote – Keep your bills minimal. Always store away at leat 10% of each paycheck in a separate savings account.

What do you think of the financial advice given by these artists?  Do you have any advice of your own that has proven financially effective for you?  If so, please share in the comments.

The 6-Step Process Towards Debt-Relief…

Tired of credit collectors blowing up your phone?  Tired of receiving collection letters in the mail?  Well, you and a million other people are sick of it. But, the first thing that you have to come to terms with is the reason why you owe so much anyway.  Many Americans, especially, engage in overspending and living above their means. We love to “keep up with the Joneses”, show-off the material things to our friends and family, and buy stuff that simply has no value.  Overspending is a condition that we all suffer or once suffered from. How do we get help with this problem? Initially, it will take you to make the decision to want to change. Once you have conquered that, you are on your way to living a healthier financial life.

Okay. To get started on your debt-relief process, here are several ways to slash the amount of money you owe.  Although these bullet points are not full proof, they will at least put you in the right direction.

• Obtain a copy of your credit report.  Americans are given two free copies each year. Then, compile a list of unpaid credit cards and outstanding loans. Add up the balances. The total you end up with is the overall amount you are in debt with.

• Decide which outstanding balances you want to start paying off first.  Some people choose the smaller accounts first. Outstanding balances that are low (a couple hundred dollars) is preferred because it will take the shortest time to pay off.

• Contact each credit lender/agency and speak with a representative about a possible payment plan. Before you start paying against the debt, make sure you have a steady income coming in. If you work, see how much you can put in a savings each pay check. After you’ve calculated your monthly household expenses, use the money you have left over to put in the savings. You can use a portion of that savings to pay off the debt or you can set up a separate account to store your “debt-money”.

• Pay more than the minimum monthly fee on your credit cards and loans.  It is better to pay more than just the minimum. This will allow you to see your balance decrease much faster than anticipated.

• Transfer debt to a credit company with a lower interest rate. It is smart to consolidate or transfer debt from the card with the 20% or more rate to an account with a lower rate.  This is a definite way to adjust your monthly minimum fees, thus giving you an opportunity to pay more against the balance.

• Watch what you buy if you can’t handle the monthly payments! Stay in your lane and learn to minimize your purchases. This will save you much financial grief later on.

Hopefully, these few tips can put your on your path to debt freedom.  If you check online, there are many outlets that provide programs to help you sort out your debt (i.e. www.payoff.com).  Information is always available. There is no excuse to continue to be in debt.

Good luck on your journey!

The Basics to Branding Yourself

No matter what facet of the entertainment business you decide to dive in or any business for that matter, the solidity of your brand will always be what drives your business. Now it’s up to you to decide if your brand drives you toward success or if it takes your mission straight down the drain. 

Before you let others brand who you are and what you’re all about because believe me they will…take charge of YOU and who YOU are to them. So when it comes to your brand, before you put any foot forward, take heed to the tips below in an effort to put your best foot forward when it comes to establishing your brand.

Define your brand

What is it that you want to be known for? Be clear about what defines your brand. It doesn’t matter if you’re trying to attract media attention or get clients be clear about your mission and goals. Educate yourself and be knowledge about the field you’re embarking upon in an effort to increase your brand’s strength. Be in tune with your vision.

Create Brand Awareness…Network, Network, Network

Networking is one of the best ways to become known and gain more insight into the industry you’re interested in. Connect with other professional in your area of interest.

Of course in this day and age social networking goes without saying. Just make sure that whether it’s Facebook, Twitter, or LinkedIn that they all represent your brand. Even if someone Googles you, make sure that the content they find is reflective of how you want them to perceive you and your business. You can also build your online presence with your own website or in some cases you can use a blog format.

In addition to social networking, face to face networking is essential. It helps build trust, credibility and relationships. Attend industry related events and those where people you want to work with will be in attendance. Face to Face networking keeps you current, helps open doors for you and increases your rate of connections. So get out there and get your networking on!

Practice (Implore) the 3 C’s

Clarity, consistency and constancy are key when it comes to your brand. Not only should you be clear and concise about who you are but also about who you are not. Be consistent with promoting your brand across all communication methods you decide to use. Once you’ve stepped out let your presence be constant. Remain visible to your target audience.

W

hen it comes to building and nurturing your brand, remember it is the belief that you only get one chance to make a first impression. Only under rare circumstances do you get two, so make your brand count the first time around.

Need Cash? Students Can Now Sell Textbooks via Chegg & Accept Payments on Prepaid Card

Chegg, an online student hub, has given college kids a cool platform to earn cash and learn to manage their money.

The new program is part of the “textbook buyback” initiative which is a collaborative effort between Chegg and American Express Serve®. American Express provides students with the Serve® prepaid card after textbooks are sold inside the Chegg website. The prepaid card does not have any hidden fees. Students do not have to pass a credit check to get one. Instead, the only qualification is that students set up an account on Chegg. Though the process below may seems a bit much, AMEX and Chegg assures that selling books and earning money is rather simple.  Check it out…

1) Student visits the Chegg website, requests and agrees to a quote for the books they would like to sell, and prints a shipping label to send their books to Chegg.

2) Student will then be directed to sign up for Serve from American Express within the Chegg website, and a Serve prepaid Card will be directly shipped to them. Buyback funds will be sent from Chegg within 24-hours of processing the book.

3) Student receives their Serve Card in the mail and activates it. They can use the newly available funds to transfer money between friends with Serve accounts, make an ATM withdrawal or to safely and securely shop virtually anywhere American Express® Cards are accepted.

 

“Going to college requires many transitions for students; one of the most important is developing good financial habits. We are thrilled to partner with Serve and help students manage their money using a trusted digital account,” said Elizabeth Harz, vice president of business development for Chegg. “Saving students time, money and helping them get smarter is what Chegg is all about. Teaming with Serve helps us deliver on this charter and provides American Express an authentic connection to this important and influential audience of 18 to 24 year olds.”

Starting now through August 30, 2013, students can open a new Serve Account and make purchases and receive a $10 credit.  For more information, go to www.chegg.com.

Chegg, the student hub, is transforming the way millions of students learn by connecting them to the people and tools needed to succeed in college through homework help, course selection, eTextbook and textbook options as well as school and scholarship connections. Students nationwide use Chegg 365 days a year to make learning easier, more accessible and more productive. As a part of the company’s philanthropic efforts, Chegg is dedicated to its Chegg For Good program, which empowers students to be a catalyst for change on their campus, in their communities and around the world. From starting as a textbook rental company to evolving into the student hub, Chegg is enhancing education for millions of students by saving them time, saving them money and helping them get smarter.

Best Books To Help Young Adults Manage Their Financial Life

It’s 2013. We are living in a day and age where information, on just about anything, is readily available.  Whether it’s through the internet or at your local library, advice on a wide ray of subjects can be found if one just take the time out to look.  This is especially true for parents who aren’t necessarily equipped with enough knowledge to pass down to their kids. One area that often stomps the parents when asked a question is money.

Personal finance, investing, wealth management, etc are all topics that parents should start teaching their kids early on.  But unfortunately there are many parents that suffer from personal money issues. So, this automatically deters them from being a great role model and/or teacher.  However, the necessary information and resources that can help young adults manage their financial lives are out there.

To help parents instill some financial accountability into their kids, STACKS Magazine found several great Books To Help Young Adults Manage Their Financial Life.  Here’s the list:

1.  The Total Money Makeover: A Proven Plan for Financial Fitness by Dave Ramsey

2.  Suze Orman’s 2009 Action Plan: Keeping Your Money Safe & Sound

3. Financial Planning for Your First Job by Matthew Brandeburg

4. Investment Visionaries: A Roadmap to Wealth from the World’s Greatest Money Managers by Peter J. Tanous

5. Get A Financial Life: Personal Finance In Your Twenties and Thirties by Beth Kobliner

6. Your So Money: Live Rich, Even When Your Not by Farnoosh Torabi

7. Street Wise: A Guide for Teen Investors by Janet Bamford

Parents, most of these books can be purchased online on Amazon.  The earlier your child start developing some financial responsibility, the less financial headaches they’ll experience in the future.

Bomb Victims Fear High Medical Costs; Injuries May Cease Ability To Work

Photo Courtesy of MSNBC

The city of Boston suffered a great deal after two bombs exploded injuring 170 people and killing three.  At what was supposed to be a cheerful occasion, a deadly attack on marathoners instantly turned joy into horrific terror.  The explosions left a gruesome scene in which most of the victims were hit with bb’s, nails, and other components used to make the pressure cooker bombs.  Unfortunately, the bombs were able to hit a lot of people at one time causing major harm.

While watching more coverage of the bombings on CNN, a victim brought up a good point while speaking with a reporter.  He explained that as a self-employed man the injuries that he’s suffered will prevent him from being able to work.  This will be true for many of the victims. Blue collar workers who work with their hands or legs, if were severely affected by the attack, may have to take a extended leave of absence. Or in the case of the victim on CNN, he is self-employed so will have to completely stop working.  If he is the bread winner for his household, it is going to be extremely difficult to sustain the current household bills and the incoming hospital costs.

Will the victims receive any financial help from state or federal government?

City officials in Boston announced the creation of the One Fund Boston.  The fund is designed to be a central source for compensation for the victims.  A Boston-based insurer has already donated $1 million to the fund.  Although the fund is in place, there are no guidelines or qualifications set for those who want to file a claim.  This could take weeks to finalize.

One concern with One Fund Boston is that will victims be able to still sue the city of Boston.  After most incidents of this nature, the citizens oftentimes file lawsuits against the city or state.  In this case, the firm that manages the One Fund Boston have yet to decide the claim specifications surrounding any payments that will be made to the victims who file.

The only alternatives at the moment will be for victims to rely on their retirement savings, insurance payouts, or family and friends.

Our thoughts and prayers goes out to the victims of this horrible tragedy.  The hatred must cease. God bless us all.

How to Handle Owing the IRS

Now that tax season is nearing an end, some people won’t have their hands waiting on a refund. Instead they’ll be getting their ducks in a row and trying to figure out how to pay the IRS back what they owe.

Now considering that the IRS is one of the biggest and baddest financial entities, there’s no room to play around with owing and they’ll want their money however you can get it. Whether you have to borrow on your credit card or take out a small loan, the IRS has got to be paid.

If you’re one of those that owe and are now wondering how you’re going to pay off your balance, below are a few options that may be available to you to help make things a little easier on you. 

Of course the first option would be to go ahead and pay them if you have the money now, but if not, here are a couple of other options that may benefit you.

The Monthly Installment

With this option if you’re eligible, the IRS allows you to set up a monthly payment plan to pay off your balance. To find out if qualify for the payment plan option, got to www.irs.gov and fill out the online agreement application {www.irs.gov/Individuals/Online-Payment-Agreement-Application]. With the online process you’ll find out right away if you qualify and can avoid the long process of mailing in your application. Be mindful though because with this option interest continues to accrue on the tax debt until it is paid in full. Also, be sure that your payments are set at an amount you can afford so you don’t find yourself in even more of a bind with the IRS.

An Offer in Compromise

This option is extended to those under extreme circumstance who simply cannot pay what the full amount that they owe. According to the IRS, “an offer in compromise allows you to settle your tax debt for less than the full amount you owe, if you meet strict requirements. This may be a legitimate option if you can’t pay your full tax liability, or doing so creates a financial hardship. We consider your unique set of facts and circumstances: ability to pay; income; expenses; and asset equity. Generally, an offer will not be accepted if the IRS believes the liability can be paid in full as a lump sum or through a payment agreement.” If you want to be considered for this option go to www.irs.gov to prepare your preliminary proposal and see if you qualify [http://irs.treasury.gov/oic_pre_qualifier/].

No matter which route you have to take, be sure to read up on each option thouroughly so that you’ll know all of the ins and outs that come with each option. To be sure you making the right choice, it’s best to consult your tax preparer or a tax professional for advice before you proceed. Nonetheless, move as quickly as possible, because if you don’t pay…Uncle Sam will come for you and get what you owe one way or the other.

April Is Financial Literacy Month + T.D. Ameritrade Introduces “F.A.M.E.” To Help Educate Investors

Did you know that April is Financial Literacy Month?  Well, it is.  In effort to promote financial literacy, several companies are lending a helping hand by offering free information and tools to the public.

T.D. Ameritrade, for instance, is offering free access to educational tools, research topics, and webinars via their online education center.  To help investors better grasp the idea and need to reorganize how they save and invest money, the brokerage firm introduced a four-step idealogy called F.A.M.E.  These steps are as follows:

Step 1 – Framing – The lenses with which you view your goals can have a profound effect on how you save for retirement.  If you focus on being behind on your savings goals it’s easy to feel defeated.  Instead of thinking “I have a 30% chance of not reaching my savings goals,” think, “I have a 70% chance of reaching my goals.”  It’s the same mathematically, but it’s all in how you look at it.

Step 2 – Action – Take action. Don’t get paralyzed or overwhelmed by the end goal of whay you must do. And, instead of focusing on what you can’t control – budget cuts, the fiscal cliff, social security – focus on the positives and what you can do. Remember that the first step is often the hardest. Don’t think “I will never be able to accumulate $2 million dollars by the time I retire.”  Say ” I CAN commit to setting aside $100 a month.” Every dollar towards your future will be money you will have in retirement.

Step 3 – Motivate yourself and set realistic goals. Create small, measurable goals and focus on what is within your control. You may only be able to set aside $50 a month. Start there and increase the amount when you are able. At the end of the year, you’ll be $600 closer to your goal. Once you reach your milestones make sure you reward yourself along the way.

Step 4 – Emotion – Understand the way your mind absorbs facts and makes decisions. Are you more of an intuitive decision maker who makes decisions with great ease and goes with their “gut”? Or are you a more reflective and analytical decision maker? When it comes to saving, both ways work, but it’s important to know how you make those calls so that if there are market fluctuations you are making decisions based on fact, not emotion.

The F.A.M.E. steps and more free education can be found at www.tdameritrade.com/education.page.

Investing 101: How to Read Stock Tickers & Quotes

 
Learning how to read a stock table or ticker is fairly easy. Check out these descriptions and use them as a guideline when reading your daily newspaper or stock purchases via the internet.

Column 52-Week High and Low – These are the highest and lowest prices at which a stock has traded over the previous 52 weeks (one year). This typically does not include the previous day’s trading.

Column Company Name & Type of Stock – This column lists the name of the company. If there are no special symbols or letters following the name, it is common stock. Different symbols imply different classes of shares. For example, “pf” means the shares are preferred stock.

Column Ticker Symbol – This is the unique alphabetic name which identifies the stock. If you watch financial TV, you have seen the ticker tape move across the screen, quoting the latest prices alongside this symbol. If you are looking for stock quotes online, you always search for a company by the ticker symbol. If you don’t know what a particular company’s ticker is you can search for it at: http://finance.yahoo.com/l.

Column Dividend Per Share – This indicates the annual dividend payment per share. If this space is blank, the company does not currently pay out dividends.

Column Dividend Yield – The percentage return on the dividend. Calculated as annual dividends per share divided by price per share.

Column Price/Earnings Ratio – This is calculated by dividing the current stock price by earnings per share from the last four quarters. For more detail on how to interpret this, see our P/E Ratio tutorial.

Column Trading Volume – This figure shows the total number of shares traded for the day, listed in hundreds. To get the actual number traded, add “00″ to the end of the number listed.

Column Day High and Low – This indicates the price range at which the stock has traded at throughout the day. In other words, these are the maximum and the minimum prices that people have paid for the stock.

Column Close – The close is the last trading price recorded when the market closed on the day. If the closing price is up or down more than 5% than the previous day’s close, the entire listing for that stock is bold-faced. Keep in mind, you are not guaranteed to get this price if you buy the stock the next day because the price is constantly changing (even after the exchange is closed for the day). The close is merely an indicator of past performance and except in extreme circumstances serves as a ballpark of what you should expect to pay.

Column Net Change – This is the dollar value change in the stock price from the previous day’s closing price. When you hear about a stock being “up for the day,” it means the net change was positive.

Quotes on the Internet…
Nowadays, it’s far more convenient for most to get stock quotes off the Internet. This method is superior because most sites update throughout the day and give you more information, news, charting, research, etc.

Disclaimer: This article was originally posted in 2009, but via a different platform. Hopefully, this is found informational to those who didn’t read the original post.

Prenups: What Is It? When Is It Needed? What Does It Protect?

Although, prenuptial agreements have been implemented in marriages for years, it seems like lately (especially on television) the word “prenup” has been throwed around a lot.  For instance, on Bravo’s Real Housewives of Atlanta, Kandi Burruss expressed her need for a prenup to fiance’ Todd. Also, the recent unfortunate announcement from Ex-NFLer Kordell Stewart that he’s divorcing wife Porsha Stewart, revealed that they did not have a prenup in place.  Well, with all the talk surrounding prenups, there are people who are not quite aware of what prenuptial agreements entails. In case you are one of those people, here are a few answers to help you understand prenups better.

What Is A Prenuptial Agreement?

A prenuptial agreement is a legal contract between two people prior to marriage (executed at least 6 to 12 months before your wedding date).  The contract details how assets acquired before and after the marriage will be distributed in the case of death or divorce. A prenuptial agreement overpowers any local or state laws and is based solely on the couple’s wishes.

What Are The Requirements To Prove The Validity Of A Prenup?

A prenuptial agreement is required to have full disclosure of assets, income, and debts. Both parties must be truthful in what information they provide and disclose in the agreement. Although some states do not require full disclosure, it is still based on the mutual agreement of the parties.

This agreement must be truthful and not of fraudulent information.  If it is found that one of the parties were dishonest about their assets or income at the time of the agreement, the prenup will be considered invalid.  Therefore, it is suggested that both parties give themselves at least a year to review the agreement, provide accurate information to their lawyers, answer questions, etc.

In addition to the disclosure of each person’s assets and liabilities, the prenup will outline any debt brought into the marriage and who will pay for them.  The handling of any investments and additional assets brought into the marriage, as its value increases, will be determined.  Inheritances and alimony, in the case of death or divorce, will be determined via the agreement as to when and how long payments will be received.

When Does A Prenup Expire?

This is called a “sunset” provision. The parties can decide if an expiration date is warranted and must be spelled out in their prenuptial agreement.

STATE OF GEORGIA LAWS ON PRENUPTIAL AGREEMENTS AND DIVORCE

Now, specifically to the state of Georgia, there are other provisions that can be enforced.  If a couple aquired property (i.e. home, land, etc) during the marriage, the prenup can spell out how that property will be divided between the two.  If property were owned separately prior to the marriage, the prenup can require that those property(s) be kept separate and with the rightful owner.  Child custody and child support, in the state of Georgia, is not protected by a prenup and is determined solely by the judge presiding over the case. Addendums (or changes) to the prenuptial agreement can be made during the marriage. But, only in the prescence of witnesses.

The information provided above is set forth so that a person can be financially protected in the case of divorce.  Although marriage should be based on spirituality, being equally yoked, and love, it doesn’t hurt to protect those things you’ve worked hard for to achieve.  You never know if a marriage will last in this day and age. So, be prepared and protect what is yours.

The Downfalls of Lending Family Or Friends Money…

After coming across an article on CNNMoney, it made me instantly think about the very few times I lended money out.  Although, in most instances the money was returned, there was one friend who didn’t give my money back. This created a huge cloud over our friendship and weakened my trust. So after reading this article, I got to thinking about the downfalls of lending people money.  What happens when a cousin ask for money to help pay a electric bill? Or what happens when a girlfriend ask to “hold” a few dollars for gas money?  What do you do? Give it to them with the risk of not getting it back?? Or simply say “NO” and quickly inheret the reputation of being “stingy”??

Well, let’s take a look at the advice that is given by CNN and make the assumption that you’re not getting your money back. Here’s my list of downfalls of lending family or friends money…

CNNMoney #1 – Talk In Person (Opening Gambit) – “I was happy to lend you the money when you needed it. That’s what friends do.”

Bels:  Although this statement reminds the friend that you helped them out in an emergency, it wouldn’t make the friend pay you back any faster.  Because the friend expects this type of treatment due to the fact that you two are “friends”.  People who have known each other for years and have developed a tight bond, sometimes feels entitled to certain things. Those things include money. If a friend is in a bind, yes they expect one of their friends to bail them out.  Family is especially faulty of this.

CNNMoney #2 – Be Direct – “When do you think you’ll be able to pay back the $500 I lent you?”

Bels:  Now, I agree with this bit of advice. YES, you have to be direct. Beating around the bush will get you nowhere. Being direct will leave no stones unturned.  That family member or friend will know exactly what it is you want. The only downfall is that it may seem confrontational. Some people don’t like being approached in a straight-forward way. Also, if your tone of voice sounds angry, the other person will immediately get in defense mode. This will strike up a potential argument causing both parties to be pissed the hell off!

CNNMoney #3 – Add Urgency, As Needed – “We’re going to get hit with some really big tuition bills soon and could really use that money.”

Bels:  If you give off the sense of urgency, your family member or friend will ignore it. I know. I’ve been there. As kids, we grow up hating authority. We dislike when a mother or whoever pressure us to do something. I can’t stand that. If you ask for your money and say you need it in three days, but I don’t get paid until ten days later, what can you do about it.  You have no choice but to wait. Regardless of your reason for needed it back ASAP, a person will not move until they are ready to move.

CNNMoney #4 – Set A Deadline – “I’d really like to get the money back before the end of June.”

Bels:  Read my response to #3 again!

CNNMoney #5 – Offer Flexibility – “Would it be easier for you to pay me back over time, say, $100 a month?”

Bels:  I think offering a payment plan is a good idea.  But, if it is a substanstial amount of money, create a promissary note for them to sign off on.  Add a clause in the contract that states “if by the deadline date full payment is not received, legal action will be taken.”   Most times when the threat of taking them to court is presented, people tend to get on the ball and pay you back more quickly. 

At the end of the day, there’s downfalls to lending family or friends money.  If you are willing to lose a friend over money, then do so. I did. All of us want people in their circle that they can trust.  If you see them clubbing every weekend or always at the mall, but can’t pay you your money, that’s a problem. Apparently, they don’t take your friendship that serious and in turn you shouldn’t take theirs.

If you have a story to share or know of other downfalls to lending money, let us know. Please feel free to share your thoughts in the comments.

Protecting Your Identity & Refund This Tax Season

With the tax season officially in full swing, many of you are rushing to your computers or nearest tax office to get your tax filing in motion. This is especially the case for those that are expecting a refund. Unfortunately, this can make you a prime target for identity thieves and an open money schemes.  So if you haven’t filed already and hopefully if you have you were skeptical and careful, there are several things that one needs to ensure when it comes to protecting both your identity and your refund.

While the IRS has beefed up their efforts to protect taxpayers from identity theft, here are some things you need to do help keep your identity and money safe this tax season.

Guard your Social Security number. The IRS warns taxpayers not to carry their Social Security cards or any documents with their Social Security numbers or taxpayer identification numbers on them. And do not give out these numbers just because you’re asked. You will be required to provide your Social Security number in any situation that requires your identity to be verified (such as an application for credit or a license) or about which the IRS must be notified. Otherwise, be sure to ask whether the agency, business or organization has to have the number.

Monitor your mailbox. Make sure you receive all the W-2, 1099 and other tax forms you expect to get. If you fail to receive some, contact the company or financial institution that was supposed to send them to find out if and when they were mailed. If you suspect that any of these forms were stolen from your mailbox, contact the IRS Identity Protection Specialized Unit at 800-908-4490 extension 245.

Ignore e-mails from the IRS. The IRS doesn’t send taxpayers e-mails or text messages. So do not reply to e-mails or messages supposedly from the IRS, open any attachments (which could contain viruses) or click on any links (which could take you to a fraudulent site). Forward all suspect e-mails to phishing@irs.gov.

Be wary of people claiming to be IRS agents. Don’t reveal any personal information if someone calls and claims to be from the IRS. Instead, call the IRS at 1-800-829-1040 to see if an agent has a legitimate need to contact you.

Protect your refund. If you file your tax return by mail, use certified mail from the U.S. Postal Service to confirm that your return was received. And opt for direct deposit of tax refunds to avoid lost or stolen checks.

Store sensitive information in a secure place. Store paper tax forms in a locked home safe or safe-deposit box. Electronic forms should be stored on a password-protected or encrypted external drive or disk. Use strong passwords that include upper and lowercase characters, numbers and symbols. Never store tax files or any personal information on a cloud or Internet drive. And use a wiping application before getting rid of old computers that contain past tax information.

Be picky about your preparer. Many fraud rings front as tax-preparation companies and may offer to review returns for inaccuracies, but they can steal your information and redirect your refund, says Adam Levin, founder and chairman of Identity Theft 911. Also be wary of tax services that promise a bigger or faster refund. 

Verify the status of a preparer’s license with the Better Business Bureau and IRS Office of Professional Responsibility. E-mail the IRS at opr@irs.gov with the full name of the individual or company and the address.

Before handing over personal information, ask the tax preparer how your information will be stored and what his or her privacy policy is. This will help you feel more secure and will alert a less-than-reputable preparer that you’re on the ball. Most important, scrutinize your prepared return and don’t sign it if it is incomplete or if the preparer has failed to sign it (paid preparers are required to sign your return and complete all preparer sections requesting their ID number). [Source]

All in all remember that there is only one you and your identity is the only one you get which makes it worth protecting. So be CAREFUL and not sorry!

Florida, No. 1 State In Identity Fraud; Nationwide Crackdown By IRS

For the second year in a row, the state of Florida lead in most cases found of tax identity fraud.  The Internal Revenue Service announced last week that they were implementing a nationwide crackdown to catch the thieves.

Over the past few years, identity theft has become a widespread epidemic. The IRS confirms that, through internal audits, they’ve prevented up to $20 billion from being paid fraudulently to people who claims they are someone else.  And that is in 2012 alone.  In 2011, the IRS was able to stop $14 billion from being paid in error.

In the state of Florida, Tampa and Miami are the primary culprits.  Miami, there’s been 324 complaints per 100,000 households about identity theft.  Investigators are unsure why Miami is such a high tax fraud area. But, Florida isn’t the only high risk state. New York, Atlanta, San Francisco, Chicago, and Los Angeles are all on the top of the list for the IRS’s crackdown.

If you believe you are the victim of identity fraud, you can contact the IRS and report your concern at www.irs.gov.

Filing for Taxpayers Claiming Education Credits Delayed

If you are all fired up and ready to file your taxes when the tax season officially kicks off on Wednesday, but you just so happen to be one of those that are claiming certain education credits then you’ll have to slow your roll.

The IRS announced yesterday that the filing eligibility for the American Opportunity Tax Credit and the Lifetime Learning Credit has been delayed until mid-February. The IRS attributes the reason for the delay due to needing to update its processing systems prior to accepting Form 8863 which is used to claim both credits.  

Other education benefits such as tuition, fees and student loan interest deductions can be claimed when the tax season begins on January 30^th.

A Few Ways to Buffer the Payroll Tax Hike…

If you’re like most people then you’re still reeling from your paycheck shrinking due this year’s increase in payroll tax. While yes you’ve gotten a break for the past two years, every little bit counts and every little bit gone hurts.

Well to hopefully help ease the impact of the gradual decrease in take home funds, here are few ways courtesy of CNBC you may can buffer the loss suffered from the payroll tax hike.

ADJUST YOUR TAX WITHHOLDING 

Start with the IRS. Millions of Americans get big income tax refunds every year when they could have extra money each month. That’s money you could use for everyday expenses. Figure out the number of withholding allowances you should claim by using the worksheet on the IRS website at irs.gov.

MAX OUT YOUR 401(K)  

If you have a qualified retirement plan at work, contribute the maximum amount to that 401(k). You’ll reduce your taxable wages by the amount you put in. This year, you can save up to $17,500 in a 401(k) — a 3 percent increase from 2012.

SAVE ON INSURANCE 

Examine all property and casualty and life insurance policies and compare rates. Ask your insurance agent about ways to lower premiums, and ask about any discounts for loyalty, good driving and bundling multiple polices. Get a second opinion from another agent to make sure you’re getting the best rate.

REFINANCE YOUR MORTGAGE 

Rates are still at historic lows, but don’t keep waiting for them to go even lower. Take advantage of low rates now to lower your monthly mortgage payment. Online calculators at sites like BankRate (RATE).com can tell you in a few minutes if you can save money by getting a better rate on your mortgage.

CHECK ALL FEES  

Don’t keep paying for things you no longer need — like that Netflix account your rarely use anymore — just because they’re set up as auto-pay. Avoid unnecessary charges by not using out-of-network ATMs. Negotiate with your bank for lower fees on your accounts or change banks.

Other than those there are many more ways you can keep more of your money in your pocket, you’ll just have to look at your finances to see where you could save or cut back. For instance, if you’re a credit card holder, you may want to look into switching to a credit card with a lower rate. Also cutting back on the unnecessary expenses such as that daily trip to Starbucks or breaking bad habits such as smoking can save you quite a few bucks not to mention it’s a plus for your health. Think about it!!!

Your Money & You: Saving…How To & Ways To

Without a doubt, saving money is a significant part of your financial well-being. So if you’re already in the habit of saving money then you’re on the right track, if not let’s see if we can help you get there.

The first step is to identify some goals concerning what you hope and plan to achieve when it comes to saving money. Some goals may be short term lasting for only a week, month or a year. These might include saving money for things such as a down payment for a car, a new set of tires or a vacation. Some goals may be more long term like saving for yours or your child’s college education or buying a house. Whatever the case may be, goals give you something to work toward.

Next, in an effort to be successful be sure that your goals are SMART:

Specific – Exactly what you plan to do.

Measurable – You should be able to monitor your progress.

Agreed Upon – If others are involved, this is something everyone agrees should be done.

Realistic – Something that is truly achievable.

Timed – Established beginning and ending dates.

Think about what you want to accomplish and set your ‘smart’ goals. Once you’ve done that, start looking into some ways to save.

The most obvious way to save is to cut your expenses where you can. Easier said than done right? Maybe, but it’s not impossible! Remember, you’re in complete control of this area of your finances. All it takes is determination and discipline, both of which are free.

First things first; put an end to all your needless spending. All of us have been guilty of wasteful spending at some time or another.  Ever stopped at a store just to “look around” and ended up spending money on stuff you didn’t plan on buying or probably don’t even need? What about that latte you stop and get every morning on your way to work? Or the five, ten sometimes twenty dollars you spend on junk food or impulsive buys at the grocery store? While it may not seem like much, saving small amounts will add up over time.

In addition to cutting your expenses where feasible, here are a couple of other things you can do to jump start your savings plan:

Establish a savings account.

Savings accounts may not earn much and may seem worthless to have, but it’s a good place to start putting away some money each payday. Once your balance increases, you can then consider investing the money in something that will earn you more money. For now, just get in the habit of saving

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Stash your change.

Every day stash the coins you receive after making a purchase in a piggy bank or a jar. When it’s full, dump the coins, roll them in coin wrappers and deposit the money into your savings. You’d be amazed how the money adds up! Immediately start stashing your change again!

A key point to remember is that saving money regularly leads to successful savings! So get your savings in order!

No Money Just Yet…IRS Delays Tax Refund File Date

In case you haven’t been keeping up with the fiscal cliff fiasco, many tax filers will be pissed to learn that it’s too early now to file.  The reason is because the Internal Revenue Service will have to take time reprogramming their systems.  The new tax provisions, recently approved by Congress, are being incorporated in the IRS system. In addition to updating the 2012 tax forms, the IRS believes this process will take more time to complete.  Most of the time, individuals can file taxes in mid-January.  But because of the last minute fiscal cliff Congressional sessions, the IRS doesn’t know when Americans will be able to file.

According to CNNMoney.com…

This year, the situation is even more complicated since Congress didn’t act until New Year’s Day. While the IRS has published Form 1040 for 2012, several lines are listed as “reserved.” The designation is a “placeholder” for several fiscal cliff provisions, an agency spokesman said. The IRS has yet to publish an instruction booklet for filling out the tax forms, leaving tax preparers in a holding pattern.

 

Had Congress not acted on the alternative minimum tax, up to 100 million taxpayers would not have been able to file their returns — or collect refunds, if owed — until late March, Steven Miller, the agency’s acting commissioner, said last month. (The AMT itself would hit nearly 30 million filers with higher tax bills, and delay returns for other filers as the IRS adjusted its systems.)

Hopefully, the IRS will set a file date before the end of January.  After the Christmas holidays, there’s a lot of people who went for broke and desperately need that refund money…ASAP.

Music 101: PUBLISHING

Many artists are becoming smarter and taking their careers in their own hands. Artists are realizing that giving full ownership and creative control to major labels is not necessarily the way to go.So instead, artists are creating new ways to “survive” musically by linking publishing deals.

For those of you who aren’t familiar with the term and what it entails, STACKS Magazine is here to help save your career by giving you the 411 on publishing.

What is publishing?Publishing is the contractual relationship between a songwriter or music composer and a music publisher, in which the writer assigns part or all of his or her music copyrights to the publisher in exchange for the publisher’s commercial exploitation of the music.

Some of the industry’s biggest music publishing houses are Sony, Universal, EMI, and Warner. Most publishing groups enter contract agreements with the writer and share the income generated by their songs. In today’s era, unlike back in the 20^th century when only sheet music was entered into publishing contracts, songwriters and publishers earn income from all commercial mediums from recordings and radio to television and video.

Music publishers (like Sony) are the one’s with the power when it comes to the relationship between the songwriter and recording company.Publishers gain copyright ownership from the songwriter and most of the time demand half of the royalties.Although “promising” songwriters retain a monetary advance, those stacks are often times minimal and not enough to truly survive on until royalty payments start coming in.So it is important that songwriters budget their stacks carefully during this waiting period. (See our YOU AND YOUR MONEY post for more info on ways to manage your money.)

Stay tuned for the continuation of the Music 101 segment on Publishing. In the next post, STACKS Magazine will put you up on game with mechanical licensing and how becoming a member to a performing rights organization (PRO) can benefit you.

Investing 101: Where do I start?

In the new Investing 101 series, STACKS Magazine will provide readers with easy-to-understand steps and information on how to invest. We realize that in this day and time, finances are a major issue. Understanding ways on how to properly manage and invest your money, will hopefully in due time pay off and allow you to secure your financial future.

A Retirement Account for Kids: Roth IRAs Are The Way

If you’re saving for college, or if you have kids that are saving for college, you should consider a Roth IRA. No kidding – even if the kid is only 8 or 10 years old – if he has earnings of any sort, be it lawn mowing, painting fences, baling hay (I used to do it!) or working at the corner store, he is eligible to put aside the lesser of $5,000 (for 2009) or the total earned income for the year.

Tis’ the season…How to Avoid Being Hacked While Shopping Online

With the holidays fast approaching and the wonderful notion that tis’ the season to be giving, be careful not to get too caught up in all the shopping and festivities and let your guard down when it comes to protecting your identity and assets.

Now more than ever, scam artists are on the prowl…tis’ their season for more taking. So keep your third eye and even a fourth open especially when it comes to shopping online. Just because you can’t see a thief doesn’t mean one is not out there and they just might be sitting on a computer waiting for you to give you all the information they need to get to your stacks.

So if you want to play it safe, according to the CEO of Immunity, a software company, here are 10 threats to be aware of during the holiday season and always.

1. Clickjacking. This popular Facebook scam involves online games that require you to click something that moves across your computer screen. You think you’re clicking on a dancing Santa, but you could instead be clicking on a concealed link that might perform actions such as making your Facebook profile information public or giving scammers access to information stored on your computer. So don’t click on those dancing Santas (or any other game that pops up on your computer or gets passed around on Facebook).

2. Drive-by downloads. This is a term that refers to downloading something that you didn’t realize was a malicious program or a download that occurs without your knowledge. This might happen as you are browsing the Web during the holidays and visit unfamiliar sites with ads that promise deep discounts. If the site isn’t legitimate, the ads probably aren’t, either. Also avoid sites that require you to download a “codec” to view a video, because this is malicious software.

3. Infections from legitimate sites. Now is prime time for hackers to infect sites that get more traffic during the holidays with pop-up ads that have viruses. Aitel recommends installing an ad blocker on your browser, such as the free Adblock Plus, or using Chrome as your browser because it’s harder for hackers to infiltrate.

4. Email phishing. Your inbox might fill up with donation requests or holiday deals over the coming weeks. If these emails come from people or groups you’re not familiar with, delete them; they’re likely attempts to steal your personal information or con you out of big bucks. Also watch out for emails claiming to come from your credit card issuer. You might assume that they’re legitimate if you’ve been using your card frequently to make holiday purchases. But don’t respond to any emails saying that there’s a problem with your card. Instead, call your company directly using the number printed on the back of your card.

5. Text-message phishing (or smishing). Be wary of text messages with donation requests, notices of too-good-to-be-true deals or even gift card offers from major retailers. There’s a good chance that they’re fake. If you respond, you may be prompted to divulge personal information, such as your credit card number.

6. Phony apps. Be wary of the apps you download on your phone or Facebook page. Researchers recently found that Android phones are vulnerable to text message phishing if users download infected apps. Even legitimate apps might ask for too much information. So read the list of permissions an app requests to make sure it’s not asking for information you don’t want to provide.

7. Fake Google results. If you do a Google search for a popular toy your kid wants for Christmas, for example, there’s a good chance that some of the results will be links to fake sites or images that have viruses or malware. That’s because scammers build sites based on popular search terms. When doing your holiday shopping online, stick with sites you know.

8. Forced browsing. This advanced hacker technique is used to steal your passwords when you log into your accounts using a public Wi-Fi connection. (It gets its name from a computer being forced to browse without the user’s knowledge.) So don’t check your accounts online at the coffee shop or other public Wi-Fi spot. Even if you’re just browsing the Web using a public Wi-Fi connection, you can put yourself at risk if you’ve set your browser to save the passwords to your accounts. Hackers can view your browsing history, go to sites you’ve visited and steal passwords without you knowing.

9. Wi-Fi sniffing. This technique allows hackers to see what you’re doing on your computer if you’re using a public Wi-Fi source. If you surf the Web on your smartphone, use your 3G (or 4G) network connection if you can because it is more secure than Wi-Fi. To protect your laptop from hackers, sign up for a personal virtual private network service, such as Private Internet Access, to secure your computer’s Internet connection.

10. Digital profiling. Your digital profile is basically what you say about yourself on social media. And thieves can make use of this information. For example, you shouldn’t announce on Facebook that you’ll be out of town over the holidays. You put your home at risk of a break-in or of being used by criminals as a mailing address to ship illicit packages.

Take heed! Don’t be sorry…BE CAREFUL!!!

Are You A “Black Friday” Shopper? Try This App!

Considered one of the biggest shopping days of the year, Black Friday is steadily approaching us. The day after Thanksgiving signifies the day in which deal seekers brave the cold and long lines to catch great discounts on various merchandise. Large multi-faceted stores like Walmart and Target, will likely slash prices on products ranging from flat screens to dvds. If you are in search of a good price on early Christmas gifts, Black Friday is the day to get out and tackle the crowd. You may want to get a jump start like some people and stand in line as early as 4am.

To help you get a head start, you can now find products on your very own Black Friday app.  If you have an iPhone or iPad, or even a Andriod, you can download the app for free.  Most of the  major stores are featured on the app along with their Black Friday price reductions.  You can even map out a plan and mark the products you are in search for.  This tool will definitely map out your route in advance saving you precious time and money.

Happy Black Friday shopping!

More Fact vs. Fiction for Building Better Credit

Earlier this month we brought you a few fact versus fiction tips when it comes to building better credit. In case you missed it click here. In addition to those tips, there are several more factors to consider when it comes to managing your credit and improving your credit score.

According to Forbes, here are 10 common credit myths that could be hindering your credit’s progress.

1. I haven’t done anything wrong so my credit is fine. Even if you’ve done everything right, your credit could still be in trouble. That’s because 70% of credit reports have errors on them. In the likelihood that you have one of them, you could be paying more in interest than you need to be.

2) If I check my credit report, it will hurt my score. Checking your own report generally doesn’t hurt your score but errors do so don’t let this be an excuse not to do it.

3) I’ve checked my credit report and there are no errors so I don’t have anything to worry about. You actually have 3 credit reports (from Experian, Equifax, and TransUnion) so if you’ve only checked one, there’s still a chance that errors on one of the others is hurting you.

4) I can check my credit reports for free at freecreditreport.com. First, many sites like this only give you access to one report, which is from Experian in this case. Second, freecreditreport.com ironically isn’t exactly free. It’s one of many copycat sites that charges you a fee to see your credit report and then charges you a monthly fee unless you cancel within a short period of time. Instead, you’ll want to go to annualcreditreport.com, which allows you truly free access to each of your credit reports once every 12 months.

5) I should always make payments on old debts. While it may feel like the right thing to do, the debt collector will be unable to sue you for it if the debt is older than your state’s statute of limitations. However, if you make a payment, it could actually reactivate that time period and give the creditor a chance to file a lawsuit against you. If it’s older than 7 years, it shouldn’t even be on your credit report at all so have it removed and forget about it.

6)  I should use a debt settlement company. The first thing debt settlement companies usually do is collect your payments and withhold them from the creditor in order to settle the debt for a lower lump sum payment later. The problem is that until the debt is settled, this strategy could result in a lower credit score, harassing phone calls from creditors, and even a lawsuit against you. If you have debt within your state’s statute of limitations but you can’t afford to pay it back in full, you could avoid the debt management company’s fees by trying to reach a settlement yourself. Just be sure to let them know that you’re considering filing for bankruptcy protection. Another option is to work with a nonprofit credit counselor that can negotiate on your behalf.

7) I should always close a credit card after paying it off. This can actually hurt your credit score in a couple of ways. If it’s a card you’ve had for a while, closing it can reduce your credit history, which is about 15% of your score. Second, if you have any debt, closing a card can increase your debt utilization or the ratio of debt to credit available. Keep in mind that you can always cut up the card and simply not use it.

However, there are also a couple of reasons to close a credit card account. One is a steep annual fee but you can always ask them to switch the card to a no-fee one. In addition, closing a card can help your score if you have too much credit available. To see if this is the case for you, you can see the effect of closing a card and other actions on your score at sites like Credit Karma, Quizzle, and Credit Sesame.

8) Bankruptcy is the end of the world. Yes, it’s painful and can take 7-10 years to be removed from your credit report but many people’s credit scores are practically recovered within just a few years. If you can’t pay your debts, think of bankruptcy as a second chance that’s better than allowing the debt to continue hurting your score.

9) Maintaining a balance on my credit cards will increase my credit score. Opening and using a credit card can increase your score, especially if you’re starting to build or rebuild your credit, but keeping a balance will only increase your interest payments. If anything, the opposite is true since having a lot of debt can hurt your score.

10) I need to pay a company like LifeLock to protect my credit. You can get free daily credit monitoring through Credit Karma. Even better, you can put a security freeze with each credit bureau for at most a nominal fee to help prevent identity thieves from opening an account in your name.

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Well there you have it. Remember, be smart…be wise and pay attention when it comes to Your Money & You.

Tax Tip: Best & Worse States To Own A Business…

Businesses, whether big or small, have been the hot topic during the recent presidential debates. With business owners, the number one concern is high tax rates. Well, CNN recently gave a breakdown of the best and worst states to own a business. Current and future business owners may need to take heed to this list just in case they wish to operate in a more feasible low tax state. Check out the current rankings (in no particular order):

#1 – Wyoming: This state has no income tax and corporate tax. But, there is a sales tax rate. Luckily for businesses, the sales tax is suprisingly low at 4%.

#2 – South Dakota: This state shares the same snapshot as Wyoming (no income or corporate taxes and a low sales tax of 4%).  But, the property tax rate is 2. 86%.

#3 – Nevada:  The gambling state, known for raking in millions of travelers each year, brings in big money. It too has no income or corporate taxes and a low property tax rate of 3.53%.  The unfortunate part is that sales tax is high at 6.85%. 

#48 – Vermont:  Income taxes are high at 8.95% for income earners of $388,000 or higher.  Corporate taxes are 8.5% and sales tax are fairly low at 6%.  The good side is that the state of Vermont gives employers several exemptions on unemployment insurance payments.

#49 – New Jersey:  You may want to think twice about setting up shop in the state of New Jersey. All taxes are on the high end. Corporate tax is 9%. Sales tax is 7%. Income tax is 8.97% for small business incomes of $500,000 or above.

#50 – New York:  The big cheese is none other than the Big Apple.  Listed as the worst state to do business in, income taxes are 8.82% for companies with $1,000,000 and over. Corporate taxes are a flat 7.1% across the board. Property taxes are 4.53%. In decent news though, the state of New York has a low sales tax of 4%.

If you own a business and want to know more information other states, go to CNN.com.

Building Better Credit…Fact vs. Fiction

Whether you’re trying to purchase a new home, feeling the urge for a new car or simply trying to get a credit card or a loan, credit can be issue. If you happen to find yourself on the not so good side of things when it comes to your credit score or if you have very little to no credit at all, be sure you know what you’re doing as you try to get your credit on the upper side of the spectrum.

For a few tips, check out the video below to see what Bankrate.com has to say about what’s real and what’s not when it comes to building better credit.

Are Credit Scores Flawed???

According to the Consumer Financial Protection Bureau, you may be a victim of a flawed credit score.  While many of us obtain a free credit report to see what our calculated credit score is, the CFBU believes that the score we see may not be the same one lenders use to approve or deny you.  In recent cases, the CFBU has learned that many lenders obtain scores that tend to rate you lower. Lower scores means that consumers will, more than likely, receive higher interest rates on loans.  Also, creditors use those scores in order to determine whether or not you will be able to pay the loan back.

So what do you need to do to correct this?  Instead of paying attention to her score, focus on your credit history.  Most scores can increase if people take the time out to dispute errors on their report.  If you see a mistake, contact TransUnion, Equifax, or Experian and request a dispute application. Or simply ask them what is the proper process for disputing an error. Once your mistakes are corrected, then shop around for the best rates available for someone with your type of credit score.

Want to Know the Safest ATM Pin # You Can Use?

Remember when you only had to use your bank cards’ pin number was to get cash out the ATM.  Those were the good old days, right. Well, ever since most stores began accepting debit cards for purchases, now you have a hundered more instances where you have to type in your four-digit pin. So, how are you able to remember the four-digits?  Simple…make sure the numbers are relative to something personal.

Unfortunately, this method in choosing a pin number is not fool-proof. Most people that lose their card to acts of crime, or as simple as missplacing it someplace, will have a greater chance of their card being frauduently used. Why? Because of the lack of creativity amongst their rightful owner.  From birthdays to social security numbers, people are more likely to use various combinations of “personal” numbers in order to come up with a pin number.  And the theives out in world, knows this. This is why they are able to quickly steal thousands from her precious little bank accounts.

According to the Huffington Post, a recent analytics study conducted by Data Genetics found that over 80% still use simple combinations as their pin.

The blog found that despite warnings from banks and a measure of common sense, a surprisingly high percentage of passwords–close to 20 percent–are the still the simple combinations, “1234,” “1111,” and “0000.” Combinations that begin with “19″ are above the 80th percentile in popularity, with the highest numbers most popular. Birth years, as it turns out, are not the most secure choice either.

Wow!  But in effort to cut back on fraudulent activity taking place with your funds, it is suggested that bankers choose more complex number combinations.  In fact, Data Genetics states that the safest pin number you can use is 8068.  This number only appeared 0.0001 percent of the time during their study.  Interesting…

Do you think your pin # is safe??

Hard Times: Millions of Americans Lack Food

When the recession hit, millions of Americans found themselves rationing everyday household purchases. From home foreclosures to loss jobs, the average middle-class family received a harsh-but-quick dose of reality. Without funds, things such as trips to the grocery store have become less and less.

Recently CNNMoney listed a few statistics on their website that proves that this increasing epidemic has caused greater economical impacts on millions of people.

More than 50 million Americans couldn’t afford to buy food at some point in 2011, according to federal data.

 

Children in some 3.9 million households suffered from food insecurity last year, with their families unable to provide them with adequate, nutritious food at times.

 

Nearly 17 million Americans suffered from “very low food security,” meaning they had to reduce the amount they ate, saying the food they bought did not last and they didn’t have the funds to buy more. They typically found themselves in this situation a few days a month for seven months of the year.

 

The number of people in this category shot up by more than 800,000 from 2010, according to a U.S. Department of Agriculture report released Wednesday. Women living alone, black households and the poor and near-poor were affected the most.

Overcoming this issue of lack of food may take some time.  But in the meanwhile, the U.S. government need to do more to solidify employment for those who are not working.  We’re sure their are plenty of jobs still being outsourced. So, if the government can mandate corporations to open up more jobs in America, household finances could escape from red. Therefore, allowing life necessesities such as food to become more abundant for the everyday family.

What do you think? Are there other ways in which the “lack of food” can be no longer an social issue?

Before You Book Your Next Hotel Room, Watch This! [Video]

Travelers beware!  If you thought you were catching a great deal on a hotel room, you better think twice.

Recent research reveals that sites such as Travelocity, Orbitz, Expedia, and Hotels.com aren’t offering real discounts. In fact, their working in cahoots with the large hotel chains (Hilton, IHG, Marriott, etc) to make consumers believe they are paying a cheaper price.  The way it works is if one site lowers the price on a hotel room, all other sites and the hotel chain itself begin offering the same deal. So, if you check Travelocity and find a room for $189, nine times out of ten, other sites like Orbitz and Expedia will be offering the same $189 for the same room.   The reason for this is that none of the companies want to lose out on money by offering the lowest rate.

Check out this video to learn of the scam and why one man is taking legal action:

Visit NBCNews.com for breaking news, world news, and news about the economy

Oh Really! Employers May Bump Up Salaries Approx. 3.0% in 2013

There are some things in this world you have to see it, before you believe it.  A 2013 increase in employee base pay is one of those things.

According to CNNMoney, the constant backlash for inequality in the workplace (and pay rates being in the forefront) has companies in thoughts of raising salaries in 2013.  Nowadays, companies are losing their top performers in record numbers. One bonafied way to retain these stellar employees is to bump up their pay and/or offer better incentives. In effort to show that they care, companies are expected to raise salaries up to 4.1%.  Of course the top executives will see the biggest increases. But, the average-consistenly-performing employee could receive a raise as high as 3.0%. 

“Employers continue to recognize that in order to attract and retain top-performing employees, they’re going to have to reward them in line with industry dynamics,” said Catherine Hartmann, head of Mercer’s compensation consulting business.

 

The anticipated pay raises will vary by industry as well. Cash-rich oil and gas companies are expecting to reward employees with an average increase of 4.1%, while workers in the education and healthcare sectors will see much smaller pay raises of 2.5% and 2.6%, respectively.

This is good to know. But, employees won’t believe until the check is in hand. Considering the current state of the economy, hopefully this lands true for most companies. We’ll see…