Cool Tool ! Stock Calculators !

• What is the return on my stock if I sell now?
• Should I wait a year to sell my stock?
• Should I sell my stock now and invest elsewhere?
• What stock price achieves my target rate of return?
• What is my current yield from dividends?
• How much do fees affect my rate of return?
• Which is better income or growth stock?
• How do exchange rates affect my foreign stocks?
• When will I recover my stock costs?

Cool Tool ! Credit Card Calculators

• How important is the credit card interest rate?
• How will rate changes affect my balance?
• Is a lower rate worth the annual fee?
• What will it take to pay off my credit card balance?
• Should I consolidate my credit card debts?
• Which is better flight card or low rate card?
• Which is better rebate card or low rate card?
• Should I consolidate my credit cards?

Top 5 Smart Money Moves !

1. Create a Budget: Nearly half of American families spend more than they earn each year, according to the Federal Reserve, plunging them further and further into debt. That's why it's imperative to create a budget, says Judy Lawrence, author of "The Budget Kit." Make a list of your fixed costs, like your mortgage or rent payments. Then add that to the total amount you spend per month on such things as utilities and taxes. Together, these expenses shouldn't surpass 35% of your monthly take-home income, says Lawrence. Meanwhile, car loan and insurance payments, as well as car maintenance costs shouldn't exceed 24%. Next, add up any regular monthly expenses that regularly fluctuate in price such as a cellphone and grocery bills. Once you've tallied up all of these costs, you'll know how much money you have left to spend on miscellaneous expenses like dining out and shopping.
2. Build Up Savings: In times of uncertainty, it can be a life saver to have a savings cushion. After all, no one knows when they may be faced with an emergency or the possibility of getting laid off. To feel confident that you can financially weather anything that comes your way, you should have at least three to six months worth of expenses socked away, says Jane Newton, a fee-only certified financial planner at Chatham, N.J.-based RegentAtlantic Capital. The best way to build up your savings is to pay yourself 10% of your take-home salary each month before you pay your bills, says Newton. Set up an automatic deposit, which will transfer that amount from your checking to your savings account each payday. That way, you won't be as tempted to touch the money. Consider stashing your cash in a high-yield online savings account like those offered by HSBC Direct and Emigrant Direct. Although their interest rates have been dropping -- they're currently 3.05% and 2.75%, respectively -- they're still higher than the rates at most major banks. High rates can be found at the bricks-and-mortar banks as well, but they'll come with a slew of restrictions. Washington Mutual and Wachovia are now offering savings accounts with 5% rates. But there are limits to how much money you can put into these accounts and how long these rates will last. There are also rewards checking accounts offered by small community banks and credit unions that carry yields as high as 6.26%. But you'll need to do all of your banking online and you must make a set number of debit transactions each month.
3. Tackle Credit-Card Debt: If you're not aware of the credit crunch yet, you will be soon. Faced with a growing number of delinquencies, credit-card companies are tightening their lending standards on their delinquent and responsible card holders, subjecting them to decreased credit lines and skyrocketing interest rates. This means that getting out of debt as soon as possible is more crucial than ever. The most important tip to keep in mind is to not be late or miss any payments. "In this economy, credit-card companies won't hesitate to raise your interest rate if you're late on just one payment," says certified financial planner Sheryl Garrett. They may also notify the credit bureaus, which could result in higher interest rates on all of your cards -- not to mention any loans you may want to take out in the future like a mortgage. Start by paying down the balances that are easiest to tackle, says Garrett. You'll see results faster, and you'll be motivated to deal with the more challenging cards, she says. Keep in mind that a quick way to pay off some of your debt is by putting any income that's separate from your salary -- like your tax returns or any salary bonus -- toward it. You should also call the credit-card companies to negotiate better rates on your credit cards.
4. Plan Your Retirement:Between putting money into savings and paying down all your debts, it's easy to see why retirement planning is often put on the back burner. Even if you have just a little money leftover each month, it's important you start contributing to your 401(k) as early as possible. Thanks to the power of compounding, contributions made earlier on in your life will have a longer time to grow and multiply. A 25-year-old worker who contributes $300 per month to his 401(k), assuming a 6% return and a company match of up to 6% of his salary, will have $920,142 at age 65. The person who starts at 35 will have just $470,043 by that age. If you can afford it, your 401(k) contribution should equal the amount required to get your company's full match, says Pamela Hess, director of retirement research for Hewitt Associates. Consider this free money that you should take advantage of no matter what. To keep your 401(k) properly diversified, you'll need a mix of both conservative and risky investments. If you feel uncomfortable choosing them on your own, consider signing up for a target-date retirement fund. These mutual funds are specific to each age group and become more conservative, moving from equities to bonds, as the investor nears retirement.
5. Estate Planning: You've worked hard to acquire your assets, and you probably plan on passing them down to the people you care about whether that's your spouse, children, or friends. But if you suddenly pass away without having planned your estate, there's no guarantee that your assets will be given to the people you intended them for. That's why it's important to start estate planning from the moment you have assets in your name, be it real estate, investment portfolios or cars. Prepare a list of all of your assets, and give it to a professional estate planner who, for around $200, can draw up an estate analysis, which provides an estimate of your assets' current value, says David Phillips, author of "Estate Planning Made Easy." Then, give the estate analysis to your attorney. As a rule of thumb, individuals with less than $100,000 in assets should opt for a will whereas those with more than $100,000 should go with a trust. With both a will and a trust, you decide who gets which assets and if that person will receive them in a lump sum or in increments over their lifetime. However, with a will, after you die the court will have to determine if it's valid before your beneficiaries can receive your assets, which can tie the process up for months, says Phillips. Keep in mind though that if you have any outstanding debts at the time of your death credit-card companies and banks can take what you've owed them, leaving your heirs with a smaller estate than you had planned.

Six Step Debt Elimination Plan

Step 1: Know wher you standIgnorance may be bliss, but it won't solve your problems. The only way to get out of a debt predicament is to know how beholden you are to creditors. Where are you starting from? Look honestly, as painful as it may be, at how much you currently owe.Once you've tallied your debt, add up your income and subtract fixed expenses. The amount leftover is money for discretionary spending and paying down debt.
Step 2: Create a Plan Take a short self-inventory to determine the best repayment plan. There are two main approaches to paying off debt:

• High to low. You pay off the card with the highest interest rate first. This gets the most out of every cent you send.-
• Big to small. You pay off the card with the biggest balance first, regardless of interest rate. This creates big results fast, but may not be the best bang for your buck.

Step 3: Set aside some savings - While it may seem counterintuitive, saving is a crucial aspect of a sound strategy to pay down debt. If you have three to six months of living expenses saved up, you're golden; otherwise, build an emergency savings buffer.A savings cushion can keep you from falling back into the deficit-spending cycle. After paying your minimums, put half of any extra money into savings and half into paying down debt.

Step 4: Pay more than the minimum - Do you understand how much you're paying if you only make minimum payments or how long it will take you to repay your debt?It is crucial to pay down more than the minimum each month. If you can't afford to pay down more than the minimum, sit down to figure out where you can save more. Leave no stone unturned.

Step 5: Imrpove your Terms - Creditors may waive fees, reduce interest rates or agree to more flexible repayment terms. All you have to do is ask. Knowing how to ask is important, though. Your chances of successfully negotiating with creditors increase greatly if you have a "deal breaker," such as another creditor willing to take on your debt at better terms.

Step 6: Seek Counsel- If you don't have the time or know-how to get results on your own, turn to a good credit counseling company rather than stalling or feeling frustrated by ineffectual attempts at vague behavioral changes.A consultation with a good credit counselor takes an hour or so -- you can even phone in. A credit counselor can get you on a budget or refer you to other options.

5 Steps to Making a Budget you can Live with

1. Keep Track of your Regular Expenses:If you're the one paying the bills each month, this is probably the easiest part of your budget to put together. Take note of all your regular monthly expenses, including fixed payments for, say, your car and mortgage (or rent), and your fixed (but sometimes variable) costs, such as gas, cable and phone bills. Then jot down your seasonal, biannual and annual expenses. For example, if your car needs a tune-up at least once a year, factor that cost into your annual budget. Once you're done, you should have a good sense of what you're day-to-day living costs you. While there's no set formula that proves whether or not you're spending too much of your monthly income on these expenses, you can typically expect home payments, including your mortgage, utilities, taxes and maintenance costs to consume up to 35% of one month's salary, says Lawrence. And transportation costs including car payments, insurance and maintenance don't normally surpass 24% of one month's pay. Obviously, these percentages will vary based on your location and marital status, among other things, she says. Click here for more on how to track your spending.
2. Prepare for Rising Energy Costs:For the 2007-2008 winter season, the average household is projected to spend $1,955 on heating oil, a 33% increase from the previous winter, according to the Department of Energy (DOE). Homes with natural gas are expected to pay $865, a 6% increase. Rather than getting hit by a monstrous bill, re-adjust your budget with a few simple steps. If you live in a state with cold winters, ask your oil or gas suppliers if you can sign up for a set pay rate for the entire year. That way, rather than receiving exorbitant bills in the wintertime, you'll pay a set amount each month, says Antoine Smith, information specialist at the DOE. Keep in mind that once you sign up, the rate won't change even if there's a mild winter. You can also keep costs down by winterizing your home. "Little things like insulating your doors and windows can save you a couple hundred dollars a month," says Jason Rich, author of "Make Your Paycheck Last." Click here for more on how to cut your winter energy bills. Gasoline retail prices are also projected to rise to an average $3.15 per gallon from $2.62 in 2006, according to the latest DOE annual data. Before you fill up, check web sites like GasBuddy.com and Mapquest, for gas stations with the lowest prices. You can also increase you car's fuel efficiency with some basic maintenance, like a tune-up and checking your tire pressure, says Rich. For more tips, click here.
3. Eliminate Credit Card Debt:The average household with at least one credit card carries $9,616 in credit-card debt, according to Cardweb.com. If you have credit-card debt, it's time to start paring down the lifestyle and focusing on paying it off. First, remove as many entertainment and other unnecessary expenses from your budget as you can, and then put all of that money toward paying off your debt. Otherwise, no matter how well you plan your budget, you'll always end up overspending on the high interest rates and fees that accompany your credit cards, says Rich. Click here for more ways to tackle debt.
4. Build an Emergency Fund:Unexpected emergencies, like temporary unemployment and medical expenses, can blindside you financially. Rather than depending on an interest-charging credit card or loan to help weather such storms, try to save as much as you can when your finances are stable so that you'll have a cash reserve when you need it. In order for this fund to serve its purpose, it should have three to six months' worth of your take-home pay, says Lawrence. That may sound like a lot, but even if you're on a tight budget, you should try to contribute to your emergency fund as often as possible, ideally each month. Set up an automatic contribution to your bank account from your paycheck, for, say, $50, during each pay period. That way, you pay yourself first without even realizing that you're left with less money for day-to-day expenses, says Elaine Morgillo, a certified financial planner with offices in North Andover, Mass., and York, Maine. To help your fund grow, put it in a high-yield savings account where it accrues interest and where you can access your cash within 24 hours of requesting it, says Morgillo. If you use an online account, make sure it's FDIC-insured. Online banks such as HSBC Direct and Emigrant Direct have an annual percentage yield of 4.25% and 4.65%, respectively -- some of the highest rates out there. If you still have extra cash after contributing to your emergency fund, deposit it in your 401(k) -- and make sure you're taking full advantage of your company match -- or your IRA. Click here for more on 401(k)s and click here for more on IRAs.
5. Estimating your Tax Bill: Before you finalize your budget for the year, schedule an appointment with your accountant to get a rough estimate of your tax bill. Because of last year's volatile markets, you're likely to get hit with capital-gains taxes if your holdings include mutual funds in brokerage accounts that had high returns in 2007, says Theodore Lanzaro, certified public accountant and managing partner at Shelton, Conn.-based Lanzaro CPA. This is especially the case if you invested in the energy sector and foreign markets, such as China, India, Russia or Brazil, he says. Click here for more on capital-gains taxes. Your accountant can also keep you abreast of the developments surrounding the alternative minimum tax (AMT). As of press time, President Bush is expected to sign a bill into law that will spare more than 20 million middle-class taxpayers from the AMT. Who will get hit with this tax? That depends mainly on whether you itemize deductions for state and local taxes, your number of personal exemptions, and if you exercise any incentive stock options. Although it's difficult to pin down a starting salary that's affected by this tax, it's unlikely the AMT will hit single taxpayers with income under $75,000 and married people filing jointly that make less than $150,000. Click here for more on the AMT.

Households Forced to Budget Money

With the recent downturn in the American economy , the effects of which are being felt here at home in Canada people are being forced to take stock of their priorities and consider their financial well being. Thi article from AOL finance should be read and considered in making some financial decisions.

By Nick Carey,
Reuters

ATLANTA (March 18) - After years of living large, U.S. households are finally learning what financial experts thought they never would: to live within their means.

Economists have long warned that the U.S. consumer was on an unsustainable spending frenzy and that savings rates were dangerously low. Now, families are being forced into financial responsibility by the housing downturn and a weakening economy.

"For many years people on Wall Street have refused to believe that American consumers could ever change their spending habits," said David Rosenberg, North American economist at Merrill Lynch . "But it's happening."

"Frugality is in, extravagance is out," he added.

Consumer spending accounts for 70 percent of the U.S. economy and, according to Rosenberg, 30 percent of that is discretionary spending -- that is, buying stuff you can live without.

Theresa Parks is a case in point. Parks, 36, paints lines on roads and highways for the city of Atlanta for a living. She bought a home in 2006 for herself and her three daughters in the suburb of Riverdale, but fell behind with her $669 monthly payment. Her lender agreed last September to a repayment plan that required an additional $188 a month through to June 2008.

"We had to cut eating out at restaurants and we had to stop shopping," Parks said. "That was the hardest part for my teenage daughters because they love to shop. But I sat them down and we agreed we'd do anything to keep our home." Regina Grant of the Atlanta Cooperative Development Corp helped Parks rework her budget and said most of her clients require help managing their spending. "None of them have ever prepared a budget, but they have to now if they want to keep their homes," she said. Just a few miles away, Ozell Brooklin, director of nonprofit Acorn Housing tells a room of some 15 struggling borrowers that if they want their banks to lower their interest rates or even forgive some of their debt, they must prioritize spending. "Your first priority will be your mortgage, then food, then utility bills then one family car if you need it for work," he said, standing at a lectern and counting off those priorities on his fingers. "Everywhere else we're going to cut spending because your lender won't make a deal with you if they think you have money to spare for luxury items." Some 700 miles further north, in Cleveland, Ohio, Mark Seifert of nonprofit East Side Organizing Project says counseling stricken borrowers means telling them harsh truths. "We get home owners coming to us in trouble, but then we look and see they have only make $50,000 a year and yet they own an Escalade," he said, referring to a Cadillac sport utility vehicle that sells for about $55,000. "And you have to ask them 'What on earth were you thinking?'" As the U.S. housing crisis deepens, many more Americans will be forced to budget to avoid foreclosure, with serious implications for an economy teetering on the brink of recession. "This is going to take a bite out of consumer spending and is an ominous sign for the economy," said University of Maryland business professor Peter Morici. "We are in a recession that was manufactured on Wall Street by the major banks

BACK TO BASICS
One of the hallmarks of the recent property boom was that buyers could get into a home with little or no money down. Those days are apparently over. "What we're seeing a lot of is people with good income who haven't put any money aside and now have to save for a deposit on a home," said Van Johnson, president of the Georgia Association of Realtors. "When people like that don't spend, restaurants and retailers suffer and it tends to slow the economy down." "There will be pain in that correction," he added. Terry Kibbe of Washington, DC-based nonprofit group the Consumer Rights League -- which is campaigning against any form of government "bailout" for banks or borrowers -- said that higher down payment requirements are a natural consequence of the excesses of the boom years. "The real estate boom was not going to last forever and it is becoming more difficult to buy a home," she said. "But the market will correct itself and this is part of that process." There are already signs that American consumers are "trading down" in the search for bargains, with February same-store retail sales showing customers favoring discounters like Wal-Mart Stores Inc over higher-end retailers. Merrill Lynch's Rosenberg said that in the fourth quarter of 2007, Americans' household debt almost equaled 140 percent of their after-tax income and that they were spending 14.3 percent of their after-tax income paying down that debt. "Simply put, that means Americans are spending more on servicing their debt than they do on food," Rosenberg said. "This is not just affecting stressed-out or soon-to-be-foreclosed home owners. This hurts everybody." Rosenberg predicted Americans will start saving more, which he said will shave 1 percentage point off annual U.S. consumer spending growth for years to come. "It is hard to say how bad things will get," Rosenberg added. "We're in unchartered territory at this point." As for Theresa Parks of Atlanta, she says that her days of loose spending are over. "When I catch up with my mortgage, I aim to save every penny I can and plan for my daughters' future." Reporting by Nick Carey; Editing by Eddie Evans

Retirement Calculators !

• How will retirement affect my expenses?
• Am I saving enough? What can I change?
• How advantageous is incresing my Savings?
• What if I underestimate my expenses?
• What Will my income be after I retire?
• What will my expenses be after I retire?
• How much of an effect will inflation have?

Top Five ways to get ahead Financially

Follow these five steps to get ahead financially no matter what your income level.

1. Switch to High-Yield Savings
2. Pay Yourself First
3. Secure Lower Interest Rates
4. Take the Full Company Match of Retirement Savings
5. Get a Raise

Cool Tools: Savings Calculators !

I've been talking a lot about savings so here are some savings calculators to help with creating a savings plan.

1. What will it take to become a millionaire?
2. How much will my Savings be Worth?
3. What will it take to Save for a Vehicle, home ...?
4. What will it take to Save for a College Education?
5. How will Taxes and Inflation affect my Savings?
6. How much of a difference will the rate make?
7. What's it Worth to Reduce my Spending?
8. How Much at What Rate, When?

Top 5 Ways to Dump Debt !

Follow these five steps to slash your debt and improve your credit score:

1. Lower your Debt Ratio
2. Attack the Cards that don't Report Credit Limits
3. Kncok off the Mini-Balances
4. "Re-Age" Delinquent Accounts
5. Build an Emergency Fund

In addition to these five steps, check out a few more ways to eliminate debt from InCharge Debt solutions. This site also offers some debt calculators.

"Meet the Millennials"

I just finished looking over this article on my generation the "Millennials". It talks about this generations sense of entitlement and how they differ from the baby boomer generation of employers. Read this article from AOL money to learn more.

Cool Tools: Budgeting Calculators

Need help budgeting, look no further:

1. How much am I spending?
2. Should I pay off debt or invest in Savings?
3. What will it Take to Pay my Balance?
4. How much Should I set Aside for Emergencies?
5. What's it worth to Reduce my Spending?

Top 5 Financial Resoultions !

Here is a list of 5 financial resoultions from Smart Money to Ensure your year is on the right financial foot.

1. Save for Retirement
2. Create Emergency Fund
3. Slash Energy Bills
4. Cut Credit Card Debt
5. Lower Monthly Budget