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How well you prepare will determine how much you enjoy your post-work years. This is important because it is indeed possible to have an unhappy retirement. In a quest to find some answers, I conducted a comprehensive study of more than 1,350 retirees across 46 states. The findings became the basis for the book You Can Retire Sooner Than You Think. The research identified numerous distinct differences between happy and unhappy retirees....

This information is for extension applications for several types of businesses. Small businesses file business taxes on Schedule C as part of the owner’s personal tax return. These businesses are sole proprietors and single-member limited liability companies (SMLLCs). The extension application, using Form 4868, covers both the business and personal parts of the tax return. File an extension application for your corporation or partnership tax return using IRS Form 7004....

How 6-Month CDs Work Certificates of deposit, or CDs, are deposit accounts that pay a stated interest rate for a certain period of time, which is the term of the CD. CDs usually have a minimum deposit amount, such as $500 or $1,000, and the bank or financial institution will typically charge a fee if the CD holder withdraws principal before the end of the term, also known as the maturity date....

There may be some perks with a particular store card which are tempting-occasional discounts and rewards points. However, in the grand scheme of your credit history, the drawbacks of store credit cards generally aren’t worth the short-term savings. Interest costs would completely negate the discount you received on your initial purchase if it takes you several month to pay off your balance. There are a handful of cards, like the GAP card, that can be used in a family of stores, but usage is still very limited....

Rent Is Too High If your unit is priced correctly, it will rent. An overpriced unit may be discouraging prospective tenants from coming to view the property at all or the prospective tenants that have seen it may feel there are cheaper, comparable apartments on the market. Do Nothing: You can leave the price where it is, but think of the big picture. If you are asking $1,000 for the unit, you will be losing $1,000 each month the unit sits vacant without a paying tenant....

While having your child attend an in-state school can yield savings, going to college outside of your state may be necessary to allow them to pursue a certain degree program, or it may be their personal preference. If you’re focused on keeping higher education expenses in check and don’t have access to scholarships, looking for schools with the cheapest out-of-state tuition is a must. Out-of-state tuition applies to students who aren’t considered state residents....

As you will see, tax credits are better than deductions. Take a look at some of the most common tax credits businesses can use to lower their taxes. Tax Credits vs. Tax Deductions Tax credits are given to businesses and individuals as incentives for certain kinds of activities. For example, businesses can get tax credits for purchasing energy-efficient vehicles or building with “green” materials. In the cases below, the actions benefit the economy, the environment, or business development, or have other positive business purposes....

Business Driving Expenses Deducting business driving expenses for use of your car or a company car for business driving can be complicated and a red flag for auditors. The standard mileage rate changes at least once a year, based on driving costs. You can include these expenses in one of two ways: Using the Internal Revenue Service (IRS) standard mileage rate, or actual expenses. To deduct actual expenses for business use of your car, you must separate out personal and business use....

This article discusses the types and amounts of accelerated depreciation, how to qualify, and how to take the deductions. How Does Accelerated Depreciation Work? Depreciation is a deduction process that spreads the expenses of an asset over its useful life (the years it would typically be useful to the business). Ordinary (un-accelerated) depreciation is also called “straight-line” depreciation because the depreciation expense is the same each year. For example, if an asset is purchased for $10,000 and its useful life is 10 years, under straight-line depreciation, $1,000 would be written off (deducted) each year....

Accrual Basis Accounting vs. Cash Basis Accounting The difference between the two types of accounting is when revenues and expenses are recorded. In cash basis accounting, revenue is recorded when cash is received, and expenses are recorded when they are paid, regardless of when they were invoiced. To illustrate the difference between the two accounting methods take the example where a business sells a product and the customer pays by credit:...

If you have bad credit—or no credit—your goal is to build a positive credit history so you can have your applications approved easily. Building a positive payment credit history isn’t magic. You can’t directly add things to your credit report, even if they are bills you pay each month. Instead, you must depend on your creditors and lenders to send updates to the credit bureaus based on your account history....

But officials have been much more vague about what, if anything, will be done to fulfill President Joe Biden’s campaign pledge to cancel $10,000 of student loan debt for every borrower—a question that is becoming more pressing as the repayment deadline approaches. Lawmakers who advocate for student loan forgiveness have said restarting payment obligations without cancelling debt would undermine the progress borrowers have been able to make in paying down other debt or building up emergency savings....

What Is a Commodity ETF? Commodity ETFs are great investment vehicles for investors who need to hedge risk or want to gain exposure to physical goods such as agriculture products, precious metals, and energy resources. However, the make-up of a commodity ETF is a little different than your normal ETF. What’s in a Commodity ETF Most ETFs consist of equities relating to a particular market index, sector, or region. A normal ETF is a collection ​of securities determined by the criteria of the fund....

However, the rules surrounding Roth IRAs can be complicated, and knowing when to use one is difficult. We’ll break down everything you need to know. Who Is Eligible for a Roth IRA? A Roth IRA advantage is that it’s very easy to be eligible for one. Unlike 401(k)s, where you have to work for an employer that offers the account as a benefit, anyone can open a Roth IRA, as long as they have earned income for the year....

The act’s goal was to put $787 billion into the pockets of American families and small businesses. That would boost demand and instill confidence. It was a necessary follow-up to President George W. Bush’s 2008 plan, the Troubled Asset Recovery Program. TARP ended the 2008 financial crisis by bailing out large banks. In 2015, the Congressional Budget Office reported that Congress added to ARRA spending in subsequent budgets. It raised the total cost to $840 billion....

Some business owners and employees who must travel in the course of their jobs keep excellent records of business mileage. But if you don’t keep these records the right way, you can’t include the expense on your business taxes and you could miss out on a large tax deduction. Even worse, the Internal Revenue Service (IRS) may deny these mileage deductions if you can’t prove them. The Two Ways to Keep Business Mileage Records The Internal Revenue Service (IRS) has two different methods for deducting driving expenses....

Here are a few methods for measuring a company’s liquidity. Calculate the Company’s Current Ratio Current Ratio = Current Assets/Current Liabilities. In the balance sheet, you can see the highlighted numbers. Those are the ones you use for the calculation. For 2021, the calculation would be: Current Ratio = $708/$540 = 1.311 X This means that the firm can meet its current short-term debt obligations 1.311 times over. To stay solvent, the firm must have a current ratio of at least one, which means it can exactly meet its current debt obligations....

Maybe they spend too much. Maybe they gamble. Maybe they invest in such aggressive, risky ventures that you feel as though they may as well be gambling. Of course, you reassure yourself, you should marry for love, not money. Isn’t it selfish or materialistic to reject a potential partner because of their financial habits? That’s the pep talk you give yourself every time you feel doubts creeping in. But no matter how often you give yourself that same internal lecture, those worries linger....

There are federal and state laws that govern whether an individual is an employee or an independent contractor. Therefore, your type of employment will have an impact on your rights as a member of the U.S. workforce. Are You an Employee or an Independent Contractor? In general, if you’re an independent contractor, you are working for yourself, and the company is your client. You are responsible for paying your employment taxes, and you are not entitled to company-provided or government-mandated employee benefits (including medical and/or dental)....

With both college and taxes in mind, here’s what you need to know to claim the right higher education tax benefits. Education Benefits and Your Tax Return You can claim education tax benefits if you file your taxes as single or married filing jointly. Unfortunately, the Internal Revenue Service (IRS) does not allow you to claim education tax credits if you are married and file separately. You may be eligible for education tax benefits if you already have a child in college or are in college yourself....