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May 8, 2021

The Best Financial Advice I Got From Mom

Everyone knows that Mom is always right. But on Mother’s Day, we could all use a little reminder.

We talked to some of our favorite financial experts about the best money advice they ever received from their moms – and how you can apply that wisdom to your own life.

Why You Should Wait Before Buying Something

When CFP Nate Nieri of Modern Money Management was little he saved up enough money to buy a video game. He asked his mom for a ride to the store to buy it, but she would only take him if he waited two weeks to make sure he really wanted it. As his mom predicted, he changed his mind before the time had passed.

“It was a very valuable lesson on impulse purchasing and patience, and something that has really stuck with me,” he said.

How to apply it: A general rule of thumb is to wait at least 24 hours before buying something or a week if the item is particularly expensive. Add it to your wish list or a special folder on your browser and walk away. Chances are, you’ll forget about the item – and if you don’t, it might actually be worth buying.

Plan Your Meals Early

Mindy Jensen, host of the “BiggerPockets Money Podcast,” said her mom told her, “Always know what you’re having for dinner by 8 a.m.”

Jensen got this advice when she was a stay-at-home mom and would forget to plan dinner until late in the day. Usually, this meant getting take-out or going to a restaurant.

How to apply it: The advice rings true, whether you’re cooking for a family or just yourself. If you can plan dinner first thing in the morning, you won’t be tempted to get DoorDash at 6 p.m. Starting in the morning gives you enough time to defrost something, throw a chicken breast in the slow cooker or run to the grocery store for ingredients.

Set Specific Savings Goals

Ricardo Pina of The Modest Wallet said his mom always told him to save for a particular item, instead of stashing money away just because it’s the responsible thing to do.

“Whether we were saving money to buy a new video game or a brand new bike, she used to say that when you have a savings goal, saving becomes so much more enjoyable,” he said.

How to apply it: Set up a savings goal in Mint. Every time you transfer money into your account named “Italy trip,” for instance, you’ll remember why you’re saving in the first place.

If you’re saving for retirement, get a clear picture of what kind of retirement you want. Whether it’s living in a Tahoe cabin or a Florida beachfront condo, a more specific image will make it easier to save.

Start Saving Early

Marcus Garrett, author of “Debt Free or Die Trying,” said his mother encouraged him to start saving early by taking him to open a savings account at age 16. When he got his first job at a movie theater, she agreed to match whatever he saved toward his first car.

“By age 16, I already saw and understood the value of an ‘employee match,’” he said.

How to apply it: If you have access to an employer-sponsored retirement plan, you may receive a company match. This means the company will contribute money to your retirement account, usually up to a certain amount. Always contribute enough to earn the full company match, because it’s essentially free money.

If you’re a parent, you can also utilize this strategy with your own kids by matching every dollar they save. It will encourage them to save more, because every dollar they put away will be doubled.

Don’t Rely on Future Earnings

Jacob Wade of I Heart Budgets said his mother-in-law gave him some crucial advice when he and his wife first got married: always live on last month’s income.

“That changed everything for us and helped us avoid day-to-day financial stress,” he said.

It took him and his wife six months to save up a full month’s income, but it’s been worth it. Even 13 years later, they still live on last month’s earnings.

How to apply it: Having a month’s worth of income in the bank means you won’t have to wait for payday to afford your bills. If you’re self-employed, this is especially important because clients can pay late. If you have enough money in your checking account, you won’t have to dip into your savings to make rent.

Learn more about security

Source: mint.intuit.com

May 7, 2021

When You Donate Blood, You Save Lives and Earn Gift Cards

One pint of blood can save three lives. That alone is what drives people to roll up their sleeves and get that needle prick. But there’s another good reason to sign up to be a regular blood donor: Gift cards.

You get a lot more than a T-shirt and some peanut butter crackers these days when you donate blood. Blood collection organizations routinely give out $20 worth of gift cards to Amazon, restaurants and major retailers at blood drives. You can give blood every 56 days, or six times a year.

So, a couple can average $240 in perks and save 36 lives in one year. For a family of four with kids above 16 and old enough to donate, that’s about $500 in gift cards per year and 72 lives saved.

“One time we went to Kohl’s and there was a blood drive in the parking lot,” said Beverly Mattis of Wake Forest, N.C. “They gave us each a $20 Kohl’s gift card so my daughter and I went in and did some shopping afterward.”

A man wearing a face mask shows off his gift certificates after donating blood. — Exavier Jones shows off his $10 gift certificate after donating blood at a OneBlood Big Red Bus in St. Petersburg, Fla. Chris Zuppa/The Penny Hoarder

Exavier Jones gave blood recently at a OneBlood mobile collection bus outside casual dining restaurant Carrabba’s Italian Grill in St. Petersburg.

“I’m type O. That’s always needed, so I try to give as often as I can,” he said, explaining that any blood type can accept type O blood. He received a $10 Carrabba’s gift card and a $10 e-gift card to use at one of a variety of retailers.

How to Get the Perks of Being a Regular Blood Donor

If you register to be a blood donor with the blood collection organization in your area, you will receive texts or emails with dates of upcoming blood drives and the perks. There are many blood collection organizations around the country. Here are three of the biggest, and how to register:

There’s no requirement that you give a certain number of times a year, but there is encouragement.

OneBlood, which collects blood in the Southeast, partnered with Carrabba’s to give $10 gift cards each time someone donated between January and April. Those who gave twice received an additional $25 gift card along with the two $10 cards.

“I got $10. I’m going to go inside and have a lasagna dinner tonight,” said Bill Howard after donating at the Carrabba’s in St. Petersburg.

The gift cards are nice for sure, he said, but the main reason he gives regularly is because he was stabbed during the Vietnam War and needed a lot of blood to survive. He wants to save others like a stranger’s blood once saved him.

A man wearing a camouflage hat poses for a portrait outside of a blood donation bus. — Bill Howard donates blood regularly because his life was saved by a person who donated blood after he was stabbed in the Vietnam War. Chris Zuppa/The Penny Hoarder

“I would say most of the time at almost all of our drives our intention is to have a donor gift,” said Pat Michaels, OneBlood director of media relations. “It could be Carrabba’s, Publix, Red Lobster. We have built up some wonderful partners,” he said.

OneBlood also gives out tickets donated by the Miami Dolphins, Tampa Bay Buccaneers, Jacksonville Jaguars, the Daytona 500 and Carowinds amusement park near Charlotte, N.C.

Along with gift cards and tickets, many blood collection groups also give out swag such as beach towels, fleece blankets, car sun shades and insulated water bottles.

Vitalant, which is based in Scottsdale, Ariz., is the largest nonprofit blood service provider in the country serving 40 states. It hosts more than 30,000 blood drives a year and offers a variety of perks and incentives for blood donors.

Vitalant is partnering with the Arizona Diamondbacks to encourage high school students there to organize blood drives at school. The team will host more than 1,000 students from blood drive committees. Organizers from the two schools who achieve the most donations will share a party suite at a Diamondbacks game.

Vitalant is also encouraging women to organize a blood drive with friends the same as they might host a party at their homes selling jewelry or clothes. An organizer can invite eight friends to a private party at a collection center that’s catered with fun food where donors receive gift cards and other swag.

For donors with a sweet tooth, Vitalant recently promoted a pint-for-a-pint offer. Donors who gave a pint of blood received a voucher for a free pint of frozen custard at Culver’s.

The American Red Cross recently offered $5 Amazon gift cards to some donors, and their names were entered for a chance to win a trip for four to the 2022 Indianapolis 500. Winners will receive pit credentials, airfare, hotel accommodations and a $500 gift card. Other Red Cross blood drives enter donors’ names in a drawing for a chance to win a $1,000 e-Gift card to one of several stores.

More Perks for Donating Platelets

Platelets are small cells that stop bleeding by forming clots. Donated platelets are used for cancer patients, transplants, burn patients and traumatic injuries.

When someone donates platelets, a machine extracts them from whole blood then returns the rest of the blood back to the donor. The process takes about three hours.

Because it takes longer than donating whole blood, more perks are offered for people who give platelets, which can be donated every seven days. OneBlood recently challenged platelet donors to a two-month program offering gift cards valued at $25 for their second donation, $50 for their third and $75 for their fourth.

It is also promoting a three month challenge, offering gift cards valued at $25 for the second donation, $50 for the third, $75 for the fourth, $100 for the fifth and $125 for the sixth. That’s a total of $375 in gift cards in three months.

People line up at a blood donation bus to donate blood. — According to Givingblood.org, only 37% of the U.S. population can donate blood. Less than 10 percent of those people donate blood at least once a year. Chris Zuppa/The Penny Hoarder

Constant Need Increased During the Pandemic

Even in typical times, blood collection organizations are constantly trying to recruit more donors. Only 37% of the U.S. population is eligible to donate blood, and less than 10 percent of those people do so at least once a year, according to Givingblood.org.

Numerous impacts of COVID-19 made it even harder to reach and encourage donors, according to Michaels at OneBlood.

“There has been every reason for there to be a shortage of blood drives,” he said. Blood drives at colleges, high schools and office buildings were cancelled for months on end because they were closed.

“We had to recover by creating new partnerships,” Michaels said. OneBlood worked with county elections offices across the country as well as hundreds of homeowners associations to connect with groups of people who would sign up for blood drives, he said.

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Source: thepennyhoarder.com

May 7, 2021

Capital One 360 Review 2021 – The Simple Dollar

Capital One 360 is a particularly good choice if you’re looking for a strong all-round option ifn online banking. In fact, it’s The Simple Dollar’s pick for the best free checking account. This online arm of Capital One should appeal to anyone who wants to dip their toes into online banking with a convenient, trusted service that boasts several physical locations and a nationwide ATM network.

Savings APY

0.40%

J.D. Power Rating

854/1,000

1Y CD Rate

0.20%

SimpleScore

3.8 / 5.0

SimpleScore Capital One 3.8

Savings APY 4

1Y CD APY 3

Customer Satisfaction 4

Mobile App 4

Product Variety 4

Capital One 360 is a particularly good choice if you’re looking for a strong all-round option in online banking. In fact, it’s The Simple Dollar’s pick for the best free checking account. This online arm of Capital One should appeal to anyone who wants to dip their toes into online banking with a convenient, trusted service that boasts several physical locations and a nationwide ATM network.

Capital One 360 Highlights

No hidden fees or minimums as you earn interest on your everyday money
38,000 fee-free Allpoint® ATMs and 2,000 Capital One® ATMs
Free MasterCard® Debit Card for all purchases
Mobile check deposits with CheckMateSM & one checkbook’s free

Capital One 360 launched in 2013 after Capital One acquired ING Direct and rebranded the service. As a former ING Direct customer, I “inherited” a Capital One 360 savings account that I still use today, and I can personally attest to the convenience and ease of use it offers.

Capital One 360 at a Glance

When it comes to your banking needs, you’ll have access to just about everything you expect from a bank through Capital One 360, as well as some products that aren’t as common for online-only banks. Here are the key offerings:

Savings: Capital One 360 offers personal, business, and kid-focused savings accounts.
Checking: There’s a no-fee personal checking account and a teen-friendly checking account that links to a debit card and helps teach your child how to manage money.
CDs: Choose from nine terms ranging from six to 60 months when you want to amp up your personal or business savings.
Mortgages: Whether you need a fixed- or adjustable-rate mortgage, Capital One 360 has you covered at competitive interest rates.
Investment accounts: With the Capital One Investing platform, you can build a portfolio of stocks, ETFs, and mutual funds. You can also open an IRA.

In addition, parent company Capital One fills in the gaps with auto loans, credit cards, and more extensive business and commercial banking. However, there are no money market accounts or personal loans.

If you’re nervous about online banking, note that your deposits with Capital One 360 will be protected by the Federal Deposit Insurance Corporation, just like at any brick-and-mortar bank. In addition, your data is fully encrypted and protected by several layers of security such as firewalls, intrusion detection, and multi-factor authentication.

Capital One 360 Performance Savings

Capital One 360 Performance Savings has a lot of appeal, the interest rate, currently 0.40% APY, isn’t the highest you can find online, but it’s still pretty competitive — especially when you consider that the national average is .09%, according to Bankrate. Add that to this account’s other perks, including no fees and no account minimums, and you’ve got a compelling savings option. Here are the account features at a glance:

No maintenance fees: At other banks, you may have to pay a fee just to have an account.
No account minimums: You don’t have to have a certain amount of money to open an account or maintain any sort of minimum balance to avoid a fee.
A great rate: You’ll earn 0.40% APY, more than eight times the national average.
Open multiple accounts: You can have up to 25 different savings accounts for free.
24/7 account access: Need to make a withdrawal at 2 a.m.? No problem.
Customer support any day of the week: You’re just a phone call away from a real person.
Easy account management: Schedule stress-free automatic deposits, and track your progress with the My Savings Goals feature.
Mobile check deposit: Depositing funds is as simple as snapping a picture with your phone using the CheckMate feature.

One of the nicest features on this list is the ability to open up to 25 savings accounts without ponying up account maintenance fees. This is a great way to stay organized if you have multiple savings goals.

Right now, I have a few separate savings accounts with Capital One 360, and have had several more in the past, including one dedicated to saving for a down payment on our house. You could also have one emergency-only account, one for a dream vacation, and so on.

I can also vouch for the convenience of the automatic savings plan, which let me funnel a certain amount of money into my savings account every other week without lifting a finger. You can also set up an automatic transfer to take place as often as every week or as little as once every few months depending on your savings goals. It’s a great way to force yourself to save and requires very little effort to set up.

The biggest downside here is the interest rate. I’ve watched my interest rate sink (and sink … and sink) over the past several years from a high of close to 5%, when I opened it with ING. Now, that’s not a situation that’s unique to Capital One 360 — rates have plummeted everywhere, and the current rate of 0.40% is definitely higher than brick-and-mortar banks offer.

However, some competing online-only banks are higher — you’ll find a few in our guide to the best savings accounts. That isn’t a lot in the grand scheme of things, but every bit helps.

Capital One 360 Checking

Capital One 360 Checking shares many of the benefits of the savings account, including no maintenance fees and mobile check deposits. Though I don’t personally use Capital One 360 for checking, The Simple Dollar has picked it as one of the best checking accounts for 2020. Why? Here are some of the main features:

No maintenance fees or minimums: You won’t need to keep a minimum balance or hook up direct deposit to avoid maintenance fees, like many other banks require.
No overdraft fees: At many banks, you’ll pay $30 or more every time your account is overdrawn.
Nationwide ATMs: You’ll get fee-free access to 38,000 Allpoint ATMs and 2,000 Capital One ATMs.
Free debit card: You’ll get a MasterCard debit card to make purchases. And as a bonus, there are no foreign transaction fees if you use it overseas.
Pay other individuals for free: You can easily send money directly to others’ bank accounts, even if they don’t also bank with Capital One 360.
Mobile check deposit: Depositing funds is as simple as snapping a picture with your phone using the CheckMate feature.
Free online bill pay: Use the bill pay center to keep up with bills online — no need to waste checks or stamps. If a bill ever arrives late because of Capital One 360, they will pay your penalty fees.
Earn interest on your balance: You’ll get 0.10% APY on all balances.

One of the biggest perks of Capital One 360 Checking is the lack of an overdraft fee. These fees top $30 at other banks and can add up fast. Instead, Capital One hooks up your checking account to an Overdraft Line of Credit of up to $1,000. You’ll simply pay interest on the amount you’re overdrawn only for as long as you’re overdrawn.

To get an idea of how much that can save you, here’s an example: If you slipped up and overdrew your account by $100 for just five days, you’d only pay about 15 cents in interest with Capital One 360 instead of a fee over $30 with another bank. That’s a big savings for anyone who has let their balance slip into the red from time to time.

On the downside, you’ll have to have a pretty substantial balance to earn anything more than 0.10% APY on this account, and there are competitors that offer better yields on checking. For instance, Ally will bump you up to 0.10%–0.25% depending on your balance, and Bank5Connect offers 0.20% on any balance over $100. If you’re like most people, you aren’t going to park a huge amount of money in a checking account. Still, the interest is a nice bonus.

I also want to mention the fees that I did see: $25 to stop payment, $20 to overnight a check, and up to $40 for domestic wire transfers. The first two fees are in line with national averages, but $40 for wire transfers is high — so take note if you think you may use wire transfers often.

You will also have to pay for checks with Capital One 360. The first checkbook is free, but after that, it’s $5 per book of 50 checks. It’s a trade-off I’ll gladly make for no account maintenance fees and the lack of overdraft gouging, but it’s still worth noting.

Capital One 360 Accounts for Children and Teens

Online banks will probably be even more common once your kids are grown, so Capital One 360 could be the perfect way to teach them about money.

Kids Savings Account: A lot of banks offer savings accounts aimed at teaching kids the value of a dollar, but most earn the paltry interest rates typical at brick-and-mortar institutions. Kids will earn 0.00% APY, but they will have access to tools including the automatic savings plan and My Savings Goals tracker. They get their own log-in to check their balance, but adults will have to transfer money to and from the account.
MONEY (teen checking): This checking account aimed at teens help them learn how to use a checking account and fully featured debit card, but adults can easily keep tabs on account activity. Teens have access to all of Capital One’s ATMs as well, but only adults can initiate online money transfers.

Getting Started with Capital One 360

Capital One has a clean, easy-to-use website, and opening an account is a fairly effortless affair. To open a savings or checking account, you’ll need to enter standard personal information: name, address, date of birth, and Social Security number.

You’ll also need to link your new account to an existing checking account for funding purposes. You simply enter your account number and bank’s routing number, all found on the bottom of your current checks. You’ll be asked to verify ownership of your external account by confirming one or two small deposits from Capital One 360. You can link up to three personal checking accounts to a Capital One 360 checking or savings account.

After you open a savings account, your funds will be held for 10 business days for security purposes. After that, all new deposits are held for five business days before they’re available for withdrawal. Checking account deposits have a standard two-day hold; however, some types of deposits (such as direct deposit) are available sooner. You may have to wait up to five days to access all of a check deposit over $500, however.

Who Is Capital One 360 Best For?

You tend to rack up overdraft fees: If you’re in the habit of withdrawing more than you owe, you know that bank fees make that an expensive habit. Though you should still aim to better track your balance and avoid the situation entirely, Capital One 360’s Overdraft Line of Credit means you’re likely to pay just pennies in interest instead of over $30 in fees.

You’re looking for a lot of services in one spot: A lot of online-only banks focus only on checking and savings to the exclusion of other products, but you have a lot more to choose from with Capital One 360, like mortgages and investments. And 360’s parent bank, Capital One, provides easy access to other products such as auto loans and credit cards.

You’re not that tech-savvy but still wants to start banking online: Opening an account with Capital One 360 is very simple, and the online interface is very streamlined. Several cities now even have inviting brick-and-mortar Capital One 360 Cafes, where you can open an account or speak with an associate in person over a cup of Peet’s coffee.

You have a variety of savings goals and want an easy way to manage them: Capital One is great for savers with a lot of different goals. Because you can have up to 25 different accounts for free, it’s easy to keep your money in different buckets but still manage each account in one spot.

You like the idea of online banking, but lesser-known online banks make you nervous: Capital One 360 is an established brand with all the resources of a major bank, including its huge ATM network — that may mean peace of mind for some people.

Who Might Want to Skip Capital One 360?

While Capital One 360 should have a lot of appeal for the casual saver who wants a convenient venue for their online banking, there are still a few downsides. You may want to look elsewhere if:

You’re chasing the highest interest rate: While Capital One 360 offers solid interest rates that eclipse those offered by traditional brick-and-mortar banks, they aren’t the highest you’ll find online.

You need your money fast: This can be an issue with all online banks, but some online reviewers complain that Capital One 360’s hold times on check deposits are too long. Assuming you’re using mobile check deposit to put funds in your checking account, you’ll only get access to the first $200 of a check over $500 the next business day. You’ll have to wait five business days to access the remainder of the deposit. (Note that direct deposits, if available, are a good way around this, as you can get same-day access to those funds.) For savings accounts, you’ll wait five business days to access any deposit. Since I don’t expect to turn around and immediately access my savings, I’ve been OK with this delay, but I can understand why the checking holds would be frustrating.

You want 24/7 customer service: Disappointingly, Capital One 360 does not staff its call center around the clock. Many may not take issue with this, but it’s worth noting that several competitors do let you talk to a live person, even at 3 a.m.

Compare top bank accounts

Too long, didn’t read?

When it’s all said and done, Capital One 360 is a great option for anyone who wants the convenience of online banking, better-than-average interest rates, and no account maintenance fees. Capital One 360 has extended their current offer – sign up by 11/30 to earn up to $500 when you maintain a certain balance in your new account for 90 days.

If you’re not quite sold, you can check out more of The Simple Dollar’s banking recommendations in our guides to the best free checking accounts, best savings accounts, and best money market accounts to find the right home for your money.

Source: thesimpledollar.com

May 7, 2021

IRS offers new COVID-19 flexibility for employee healthcare benefits – Lexington Law

Disclosure regarding Lexington Law’s editorial content.

As COVID-19 swept the globe and the country, it put stress on all types of supply chains and industries. It has also put stress on the financial and health situations of many Americans.

If you’re looking back to whenever your last healthcare benefits enrollment period was and grimacing at the choices you made, you’re in luck—you might have the chance to change them. In addition to extending the tax deadline for 2020, the IRS has issued a rule modification in light of the pandemic that might allow you to change your elections mid-year instead of waiting for the next open enrollment period.

Find out more about these changes and what they might mean
for you here.

Key Points

You may be able to switch to a different healthcare
plan if your employer allows it.
You may be able to drop employer-sponsored
coverage if your employer allows it.
You may be able to change contributions to a
flexible spending account (FSA) if your employer allows it.
Employers may voluntarily extend the grace
period for using 2019 FSA funds.

A Potential Mid-Year Open-Enrollment Period

The IRS rule change allows mid-year enrollment in a
different plan that your employer offers. This means employees may be able to
make new elections to better use their income and protect themselves against healthcare
expenses.

However, employers are being given the choice of whether
they want to offer these options. The answers to the questions below all depend
on whether your employer elects to allow changes.

Can I drop my healthcare insurance altogether?

Yes, you can elect to end healthcare insurance coverage through your employer. The caveat is that you must replace that coverage with a qualifying plan through the health insurance marketplace, a spouse’s benefits or another option.

Can I switch healthcare plans?

If the employer allows it, yes, you can switch healthcare
plans outside of the normal open enrollment. This is true even for people who
have not had a qualifying event such as a job loss or a change in marital
status.

Can I get health insurance if I didn’t have it before?

Yes, if your employer allows an open enrollment period mid-year, you can elect benefits even if you previously declined them. This allows more people to get insurance that they may now want or need in light of the pandemic.

If I change plans, will I lose what I’ve paid toward my out-of-pocket deductible?

It’s probable that changing plans will reset all
benefits-related counters. That includes deductibles and out-of-pocket
expenses. If you’re considering making a change, weigh how much you’ve already
contributed toward your deductible and out-of-pocket maximum. In some cases, it
might be more financially beneficial to stick with the plan you have if you’re
close to or have already met your maximum.

Changes to FSAs

The IRS also provides a rule change that addresses flexible spending accounts. Again, these changes are dependent upon the employer choosing to participate.

If the employer does choose to participate, employees can make mid-year changes to their FSA elections. For example, you might have elected not to fund an FSA or to fund it very minimally. But in light of the health crisis, you may now want to put more money into your account to cover medical expenses. You may be able to do so.

Alternatively, perhaps your spouse lost his or her job due to COVID-19, and you’d previously elected to fund your FSA with a large amount. You might now need that money to pay for non-FSA-approved expenses. You may be able to elect to reduce your contributions.

Changes to Dependent Care Assistance Programs

The same rule change applies to section 125 cafeteria
plans used to help cover the cost of childcare programs. If your employer
allows it, you can elect to increase or decrease the contributions you’re
making to these programs.

For example, you might have previously elected to contribute enough money to pay for your children’s daycare expenses. This allows you to pay those costs with pretax dollars.

However, during the pandemic, your daycare might have closed, leaving your kids at home with you. Those contributed dollars are going nowhere and you risk losing them. If your employer allows it, you can change your contribution to stop adding money into your cafeteria plan. You can then use those funds to cover expenses related to your children being home.

Healthcare Coverage for COVID-19

The Coronavirus Aid, Relief and Economic Security Act instituted some exemptions to help ensure high-deductible plans and other insurance plans covered more services related to COVID-19. For example, the plan includes a specific exemption for telehealth services to help allow insurance providers to cover necessary telehealth treatments and appointments.

The IRS rule change allows those exemptions to be applied
retroactively up to January 1, 2020. That means if you sought telehealth or
other COVID-19-related care in the past months, you may be able to have those
claims adjudicated by your insurance plan at this time.

Reach Out to Your Employer’s Benefits Office

Understanding benefits and how they can impact your entire financial life can be difficult. Start by reaching out to your employer’s HR or benefits office to understand whether they’re going to offer the option for mid-year elections and whether they can provide information about how the options work.

Reviewed by John Heath, Directing Attorney of Lexington Law Firm. Written by Lexington Law.

Born and raised in Salt Lake City, John Heath earned his BA from the University of Utah and his Juris Doctor from Ohio Northern University. John has been the Directing Attorney of Lexington Law Firm since 2004. The firm focuses primarily on consumer credit report repair, but also practices family law, criminal law, general consumer litigation and collection defense on behalf of consumer debtors. John is admitted to practice law in Utah, Colorado, Washington D. C., Georgia, Texas and New York.

Note: Articles have only been reviewed by the indicated attorney, not written by them. The information provided on this website does not, and is not intended to, act as legal, financial or credit advice; instead, it is for general informational purposes only. Use of, and access to, this website or any of the links or resources contained within the site do not create an attorney-client or fiduciary relationship between the reader, user, or browser and website owner, authors, reviewers, contributors, contributing firms, or their respective agents or employers.

Source: lexingtonlaw.com

May 7, 2021

IRS offers new COVID-19 flexibility for employee healthcare benefits

Disclosure regarding Lexington Law’s editorial content.

As COVID-19 swept the globe and the country, it put stress on all types of supply chains and industries. It has also put stress on the financial and health situations of many Americans.

Find out more about these changes and what they might mean
for you here.

Key Points

You may be able to switch to a different healthcare
plan if your employer allows it.
You may be able to drop employer-sponsored
coverage if your employer allows it.
You may be able to change contributions to a
flexible spending account (FSA) if your employer allows it.
Employers may voluntarily extend the grace
period for using 2019 FSA funds.

A Potential Mid-Year Open-Enrollment Period

However, employers are being given the choice of whether
they want to offer these options. The answers to the questions below all depend
on whether your employer elects to allow changes.

Can I drop my healthcare insurance altogether?

Can I switch healthcare plans?

Can I get health insurance if I didn’t have it before?

If I change plans, will I lose what I’ve paid toward my out-of-pocket deductible?

Changes to FSAs

The IRS also provides a rule change that addresses flexible spending accounts. Again, these changes are dependent upon the employer choosing to participate.

Changes to Dependent Care Assistance Programs

For example, you might have previously elected to contribute enough money to pay for your children’s daycare expenses. This allows you to pay those costs with pretax dollars.

Healthcare Coverage for COVID-19

Reach Out to Your Employer’s Benefits Office

Reviewed by John Heath, Directing Attorney of Lexington Law Firm. Written by Lexington Law.

Source: lexingtonlaw.com

May 6, 2021

4 Things You Can Spend Money on That Will Actually Make You Richer

Saving money is great, but it won’t make you rich.

No matter how many dollars you put into a savings account, the national average .05% interest you’d earn won’t expedite your millionaire status.

And cutting your costs can only go so far, explains Certified Financial Planner Robin Hartill (who is also an editor and financial advice columnist here at The Penny Hoarder).

It can definitely help with your short term goals, she says, but if you want to be truly richer, sometimes you need to spend money to make money. By diverting some of your cash into these assets, you’ll be on a faster path to your financial goals.

1. Spend $1 to Own a Piece of Amazon, Google or Other Companies

Investing is a smart way to make you richer. “Spending money by investing it in the stock market and earning returns can compound into even more money,” Hartill says.

While the stock market does go up and down over days, weeks and months, over time, the returns tend to rise.

If you haven’t started investing and have some money to spare, you can start small, then build your way up. In fact, you can get started with as little as $1 with an app called Stash.

We like Stash because it lets you choose from hundreds of stocks and funds to build your own investment portfolio. But it makes it simple by breaking them down into categories based on your personal goals. Want to invest conservatively right now? Totally get it! Want to dip in with moderate or aggressive risk? Do what you feel.

Plus, with Stash, you’re able to invest in fractions of shares, which means you can invest in funds you wouldn’t normally be able to afford.

It takes two minutes to sign up, and it’s totally secure. With Stash, all your investments are protected by the Securities Investor Protection Corporation (SIPC) — that’s industry talk for, “Your money’s safe.”2

Plus, when you use the link above, Stash will give you a $5 sign-up bonus once you deposit $5 into your account.*

2. Spend as Little as $16/Month to Secure Up to $1 Million in Life Insurance For Your Family

This is one of those occasions when spending a little bit of money each month can pay off later.

Have you thought about how your family would manage without your income after you’re gone? How they’d pay the bills? Send the kids through school? Now’s a good time to start planning for the future by looking into a term life insurance policy.

You’re probably thinking: I don’t have the time or money for that. But your application can take minutes — and you could leave your family up to $1 million with a company called Bestow.

Rates start at just $16 a month. The peace of mind knowing your family is taken care of is priceless.

If you’re under the age of 54 and want to get a fast life insurance quote without a medical exam or even getting up from the couch, get a free quote from Bestow.

3. Invest in Your 401(k) — But Use This Company’s Money, Instead

Setting aside money from your paycheck to put into your 401(k) is literally one of the smartest things you can do for your future. And if your employer matches each contribution, that could mean hundreds of thousands of extra dollars in your account when you retire. It’s free money!

But if you can’t take advantage of this employer benefit because you need all of your paycheck every month, a company called Lendtable will give you the cash.

We know it sounds too good to be true. But if your employer has a 401(k) match program, this is money they already have earmarked for you. By using Lendtable, you’ll be able to unlock that free cash.

Let’s say you make $50k a year and your employer matches your 401(k) contribution up to 4%. If you put $0 in your retirement account this year, you get $0 from your boss. If Lendtable lends you the 4% of your salary your employer is willing to match, you get $2,000 from your boss, minus Lendtable’s fee. (This comes from the extra money you’ve earned, so there’s no sacrifice on your part.)

It takes three minutes to answer a few questions about your eligibility and sign up for an account.

Once you’ve gotten your full match amount from your employer, LendTable will take the money they lent you back, plus a small share of your profit. If there’s a penalty from your retirement account provider for taking money out, Lendtable will cover that, too.

The risk for you is basically nonexistent, so not taking advantage of your employer match with Lendtable’s offer would make Future Millionaire You bow your head in shame. Get started here.

4. Pay Off Your Credit Card Debt Faster — But Cheaper

To stay out of debt, you need to spend less than you earn, but if you’re already battling credit card balances, Hartill says a debt-consolidation loan can help you shed that debt faster.

You might be wondering how it makes sense to get a loan when you already have out-of-control credit card balances. The answer lies in lower interest rates — way lower than the 36% some credit cards charge — and a website called AmOne wants to help.

If you owe your credit card companies $50,000 or less, AmOne will match you with a low-interest loan you can use to pay off every single one of your balances.

The benefit? You’ll be left with one bill to pay each month. And because personal loans have lower interest rates (AmOne rates start at 3.49% APR), you’ll get out of debt that much faster. Plus: No credit card payment this month.

AmOne won’t make you stand in line or call your bank, either. And if you’re worried you won’t qualify, it’s free to check online. It takes just two minutes, and it could help you pay off your debt years faster.

Kari Faber is a staff writer at The Penny Hoarder.

1Not all stocks pay out dividends, and there is no guarantee that dividends will be paid each year.

2To note, SIPC coverage does not insure against the potential loss of market value.

For Securities priced over $1,000, purchase of fractional shares starts at $0.05.

*Offer is subject to Promotion Terms and Conditions. To be eligible to participate in this Promotion and receive the bonus, you must successfully open an individual brokerage account in good standing, link a funding account to your Invest account AND deposit $5.00 into your Invest account.

The Penny Hoarder is a Paid Affiliate/partner of Stash.

Investment advisory services offered by Stash Investments LLC, an SEC registered investment adviser. This material has been distributed for informational and educational purposes only, and is not intended as investment, legal, accounting, or tax advice. Investing involves risk.

Source: thepennyhoarder.com

May 6, 2021

Capital One 360 Review: Savings, Checking, and CDs

Many people like the idea of online banking but are nervous about banking with a lender they’ve never heard of. If this sounds like you, then Capital One 360 could be the right option for you.

Capital One 360 is the online arm of Capital One, a bank that is popular for its credit card options and auto loans. But, it’s also a good choice for anyone looking for solid online banking options. The bank offers free checking, savings, and CDS as well as a number of helpful online tools.

Plus, when you bank with Capital One you gain access to thousands of convenient, no-fee ATM locations. This guide will review the bank’s checking accounts, savings accounts, and CDs as well as how to get started.

Capital One 360 Checking

According to the FDIC, the average national interest rate for a checking account is 0.06%. Here is a breakdown of how Capital One pays out interest on its checking accounts:

$0 – $49,999.99 = 0.20%
$50,0000 – $99,999.99 = 0.75%
Over $100,000 = 1.00%

Not only are the interest rates competitive but Capital One 360 offers a variety of perks just for opening the account. There is no minimum deposit or minimum balance required to open the account and you receive free online and mobile checking. You will also receive a 360 Checking MasterCard® Debit Card which will arrive in 1-3 business days after you sign up for an account.

And unlike some online banks, a Capital One 360 checking account gives customers free access to over 39,000 Capital One and Allpoint ATMs. That means you get all the benefits of online banking but still have in-person access to your funds.

Plus, you can deposit checks and pay bills right from your phone. And Capital One has several overdraft protection plans to choose from.

Apply for Capital One 360 Checking

Savings Accounts

Capital One 360 offers a variety of savings products including a general savings account, money market account, IRA savings, and more. All of these accounts come with competitive interest rates, zero monthly fees, and flexible terms.

Savings

It’s hard to find a general savings account that offers anything better than average returns but Capital One 360 savings does just that. The rate is 1.90% APY, which is much better than the national average of 0.09%.

Similar to the checking account, you’ll receive online banking and can deposit checks right from your phone. And the bank account is FDIC-insured so you’ll have peace of mind knowing your money is secure.

You’ll also receive free account transfers, a goal-setting feature that will help you save and manage your money, and an automatic savings plan.

Apply for Capital One 360 Savings

Savings Accounts for Kids

If you’re looking for a way for your child to start saving money, the Capital One savings account for kids is a good choice. This online savings account comes with zero fees, a rate of 1.00% APY, and savings goals they can track.

You can link their savings account to yours and set up automatic transfers to their account. This is a great way to give kids some guided independence so they can learn how to start saving their money.

Apply for Capital One 360 Savings Account for Children

Certificates of Deposit (CDs)

Capital One knows that not everyone can leave their money on a CD for five years. That’s why the bank offers a variety of CD options with terms lengths starting at six months and ending at 60 months.

Here is an overview of the bank’s CD terms and rates:

6 months = 0.60% APY
9 months = 0.80% APY
12 months = 2.40% APY
18 months = 2.55% APY
24 months = 2.20% APY
30 months = 2.20% APY
36 months = 2.25% APY
48 months = 2.25% APY
60 months = 2.30% APY

With general interest rates and zero market risk, a 360 CD is a good option for anyone that wants a hands-off option for saving money. But like most CDs, you will be penalized if you withdraw your money early. So if you think this is a possibility, you’re probably better off opening a 360 savings account.

Apply for a Capital One 360 CD

How to Get Started With Capital One 360

Capital One’s website is fairly easy to navigate and setting up a new account is just as easy. You will need to be able to provide standard information like your name, address, birth date, and Social Security Number.

You’ll also need to provide an existing checking account to link your Capital One account to. And if you open your new account, your funds may not be immediately available.

Summary

Capital One offers a variety of online checking accounts, savings accounts, and CDs for its customers. Capital One is a great option for anyone that wants to work with an established online bank that provides great customer service and convenient online banking.

The interest rates are much higher than what you’ll find with a traditional brick-and-mortar bank. And best of all, there are no account maintenance fees like you’ll find with traditional banks. You can apply online or contact Capital One to open a new account today.

Source: crediful.com

May 6, 2021

How to Get Free Meals for Kids While Schoolâs Out

A little boy recieves food in a bag from a bus driver.

A student picks up food in Fayette, Miss. With the school year ending soon, there are federal programs to help keep kids fed through the summer. Rogelio V. Solis/AP Photo

Millions of families struggle with food insecurity every summer when school is out. Income loss due to the pandemic has only exasperated the situation.

According to the U.S. Department of Agriculture (USDA) up to 12 million children are currently living in households where they may not have enough to eat.

If you’re worried about how to put food on your family’s table, help is out there.

How to Get Free Meals for Kids This Summer: 3 Federal Programs

The American Rescue Plan — the coronavirus relief package President Joe Biden signed into law in March 2021 — provided funding to expand several USDA programs aimed to reduce child hunger.

1. Pandemic EBT

Families with children eligible for free or reduced lunch and those who qualify for SNAP benefits can receive extra money for food via the Pandemic EBT program, which is being extended through the summer to make up for missed school meals.

The USDA standard benefit amount is $375 per eligible child over the course of the summer. Those living in Alaska, Hawaii, Puerto Rico, Guam or the U.S. Virgin Islands have a higher standard benefit.

You’ll need to enroll in the Pandemic EBT program through your individual state, as funds are disbursed at the state level. Currently, 40 states, plus the District of Columbia and Puerto Rico, have been approved to operate Pandemic EBT programs.

Money is generally distributed in two or three disbursements throughout the summer.

2. USDA Summer Meals

All families with children 18 and under can participate in the USDA’s summer meal programs, which partners with local agencies including libraries, community centers, parks, churches and schools to distribute meals.

Program rules have been loosened so that meals can be distributed in bulk packages to cover multiple days and so parents can pick up the food without having their children present.

This interactive map helps you find local meal distribution sites. You can also locate a nearby site by texting “Summer Meals” to 97779 or calling 1-866-348-6479.

3. USDA National Hunger Hotline

The USDA National Hunger Hotline can help families seeking food assistance. Call 1-866-3-HUNGRY (1-866-348-6479) Monday through Friday between 7 a.m. to 10 p.m. E.T. to reach the hotline. If you need assistance in Spanish, call 1-877-8-HAMBRE (1-877-842-6273).

Free Meals Next School Year

Even after summer comes to an end, families will still be able to get a financial break when it comes to feeding their kids.The USDA is extending its National School Lunch Program Seamless Summer Option so that students can receive universal free lunch throughout the 2021-2022 school year. Waivers will also be given to provide free meals for kids in daycare and preschool programs.

If students are still learning virtually, you’ll be able to pick up meals for children to eat at home. Check with your child’s school or child care provider to see if they are participating in this program.

Nicole Dow is a senior writer at The Penny Hoarder.

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Source: thepennyhoarder.com

May 5, 2021

8 Tips for How to Sell on Craigslist

Most of us have probably taken a deep, exasperated breath while surveying our homes, wondering how we managed to accumulate so much clutter. But there might be a way to turn that clutter into cash. It comes down to one word: Craigslist.

8 Tips for Selling on Craigslist

Selling on Craigslist seems easy, but it requires some know-how to get the intended result and money in your wallet. We scoured the Internet for the best tips.

So list that chair you’ve always hated. We’re here to help you find success and sell more of your items on Craigslist.

1. Take Photos That Work

Ever seen a Craigslist listing with an object you can’t quite make out? Is that a nightstand or a coffee table? Are they selling the whole dining room table set or just one chair?

A good photo can make your listing stand out while a bad photo has the potential to shut down any business. Take a good photo by posing your object in a well-lit spot, whether it’s in natural light or a warm artificial glow, and focus on the details that make your object special. Only photograph what you’re selling — leave extraneous things out of the picture.

2. It’s In the Details

Your listing can’t simply be a photo and the name of the object. You need a description and any relevant details — think dimensions or number of items or even age of the item, if relevant. It’s ideal for your listing to answer all of the questions a potential buyer might have so they don’t have time to really agonize over their purchase.

3. Tell the Truth

That being said, it’s important to be honest in your listing. If your couch has stains or your wooden dresser is chipped, add images that show the damage. Point that out to potential buyers in your description. People will be more likely to buy an item when they feel they are getting an upfront understanding of it.

One example: do not post the catalogue image of your piece of furniture from when it was brand new. (People do this.) Take a photo of your furniture piece as is — after all, that’s what you’re selling.

4. Be Simple

While you should absolutely share relevant details, there’s no need to tell the story of how your kids bounced around on these couch cushions or how the table was passed down in the family generation after generation. Potential buyers know they’re browsing for a used object, but they don’t want the legacy that comes with it. They want it to feel like their own.

And stick to simplicity in your listing title. Potential buyers often search for specific objects — trash cans or mirrors — and they likely won’t be searching with various adjectives.

5. Offer Delivery

Potential buyers love it when Craigslist sellers offer delivery. It’s an added perk and makes things easier, especially when the site caters to people from all over. Make sure to add a higher cost for delivery — whatever seems worth it to you based on location — and be safe. Bring someone along with you when you go to deliver.

6. The Price is Right

It really does boil down to whether the asking price is right. Craigslist is known for sellers that practically give items away, so it’s better to price your listing lower rather than higher. Interest is always key, and if you price it too high, you may have no takers.

But make sure you price your item at a level with which you’re comfortable. It’s not worth giving something away if it has sentimental value and you think it can go for more.

7. Reach Out to Your Network

Word of mouth is a powerful tool. If you think you might know someone in your social network — whether that’s Twitter, Facebook, Instagram or more — who might be interested in what you’re selling, share it on those forums.

And better yet, if you have a specific buyer in mind, feel free to be direct and share your listing with friends and family. If it doesn’t work for them, they may know the right person.

8. Always Be Safe

Always remember that you are dealing with strangers online on Craigslist. If someone is coming to your house or you are going to theirs, have a friend with you. Don’t assume that you will be fine if you are alone. Entering a stranger’s house or allowing a stranger to enter yours always comes with risk. It’s better to be prepared and meet in a public place if that is the only way the meeting can take place.

Writer Elizabeth Djinis is a contributor to The Penny Hoarder, often writing about selling goods online through social platforms. Her work has appeared in Teen Vogue, Smithsonian Magazine and the Tampa Bay Times.

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Source: thepennyhoarder.com

May 5, 2021

3 Easy Ways to Get Free Meals for Kids While Schoolâs Out

A Jefferson County School District student receives several bags with meals, Wednesday, March 3, 2021 in Fayette, Miss. As one of the most food insecure counties in the United States, many families and their children come to depend on the free meals as the only means of daily sustenance. Rogelio V. Solis/AP Photo

Millions of families struggle with food insecurity every summer when school is out. Income loss due to the pandemic has only exasperated the situation.

According to the U.S. Department of Agriculture (USDA) up to 12 million children are currently living in households where they may not have enough to eat.

If you’re worried about how to put food on your family’s table, help is out there.

How to Get Free Meals for Kids This Summer: 3 Federal Programs

The American Rescue Plan — the coronavirus relief package President Joe Biden signed into law in March 2021 — provided funding to expand several USDA programs aimed to reduce child hunger.

1. Pandemic EBT

The USDA standard benefit amount is $375 per eligible child over the course of the summer. Those living in Alaska, Hawaii, Puerto Rico, Guam or the U.S. Virgin Islands have a higher standard benefit.

Money is generally distributed in two or three disbursements throughout the summer.

2. USDA Summer Meals

Program rules have been loosened so that meals can be distributed in bulk packages to cover multiple days and so parents can pick up the food without having their children present.

This interactive map helps you find local meal distribution sites. You can also locate a nearby site by texting “Summer Meals” to 97779 or calling 1-866-348-6479.

3. USDA National Hunger Hotline

Free Meals Next School Year

Nicole Dow is a senior writer at The Penny Hoarder.

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Source: thepennyhoarder.com

Why You Should Wait Before Buying Something

Plan Your Meals Early

Set Specific Savings Goals

Start Saving Early

Don’t Rely on Future Earnings

How to Get the Perks of Being a Regular Blood Donor

More Perks for Donating Platelets

Constant Need Increased During the Pandemic

Find High-Yield Savings Accounts

In this article

Capital One 360 Highlights

Capital One 360 at a Glance

Capital One 360 Performance Savings

Capital One 360 Checking

Capital One 360 Accounts for Children and Teens

Getting Started with Capital One 360

Who Is Capital One 360 Best For?

Who Might Want to Skip Capital One 360?

Compare top bank accounts

Too long, didn’t read?

Key Points

A Potential Mid-Year Open-Enrollment Period

Can I drop my healthcare insurance altogether?

Can I switch healthcare plans?

Can I get health insurance if I didn’t have it before?

If I change plans, will I lose what I’ve paid toward my out-of-pocket deductible?

Changes to FSAs

Changes to Dependent Care Assistance Programs

Healthcare Coverage for COVID-19

Reach Out to Your Employer’s Benefits Office

Key Points

A Potential Mid-Year Open-Enrollment Period

Can I drop my healthcare insurance altogether?

Can I switch healthcare plans?

Can I get health insurance if I didn’t have it before?

If I change plans, will I lose what I’ve paid toward my out-of-pocket deductible?

Changes to FSAs

Changes to Dependent Care Assistance Programs

Healthcare Coverage for COVID-19

Reach Out to Your Employer’s Benefits Office

1. Spend $1 to Own a Piece of Amazon, Google or Other Companies

2. Spend as Little as $16/Month to Secure Up to $1 Million in Life Insurance For Your Family

3. Invest in Your 401(k) — But Use This Company’s Money, Instead

4. Pay Off Your Credit Card Debt Faster — But Cheaper

Capital One 360 Checking

Savings Accounts

Savings

Savings Accounts for Kids

Certificates of Deposit (CDs)

How to Get Started With Capital One 360

Summary

How to Get Free Meals for Kids This Summer: 3 Federal Programs

1. Pandemic EBT

2. USDA Summer Meals

3. USDA National Hunger Hotline

Free Meals Next School Year

8 Tips for Selling on Craigslist

1. Take Photos That Work

2. It’s In the Details

3. Tell the Truth

4. Be Simple

5. Offer Delivery

6. The Price is Right

7. Reach Out to Your Network

8. Always Be Safe

How to Get Free Meals for Kids This Summer: 3 Federal Programs

1. Pandemic EBT

2. USDA Summer Meals

3. USDA National Hunger Hotline

Free Meals Next School Year