A lot of personal debt that consumers are paying for is considered non-deductible. Many are paying interest on credit cards, car payments, etc. The interest that is still considered a deductible is your home mortgage interest, and investment interest. Each year, if you are paying substantial interest you may want to consider converting your non-deductible interest into interest that is deductible.
The death of a loved one is a difficult time to endure as your head and heart are never prepared for the loss. In addition to the grief of missing a deceased loved one is being responsible for the financial arrangements as well as funeral provisions for the deceased. Although talking to a loved one about this subject may seem morbid, planning ahead can minimize family strain as you prepare to settle the numerous matters than need to be sorted. Pick a day to sit down with your loved one and figure out what they want and how they want it structured. Be open with them when you are discussing the matter as there are a number of things to discuss financially.
The great misconception with saving money in a household is that it requires a complete reinvention of the monthly expenses and the family budget. In reality, a few small changes can work together to make a big difference. Below are two strategies to saving money every month towards buying a home.
The 52 week money challenge is a fantastic and simple way to build a disciplined savings that spans from the first week of the year to the last. The core formula of the challenge has someone adding an amount to the savings that equal the week. At week 16, $16 is added to the savings. As the year progresses, saving becomes more difficult. But, it becomes a necessary discipline.
According to the Financial Consumer Agency of Canada, the Highest credit score is 900. While it is very unusual for consumers to achieve the perfect score, many Canadians do achieve the “very good credit” range, which equates to 750 and up. There are several tips that consumers can use to help bolster a flagging credit score, or even to add a few points to a score that is already in the top tier.
When pondering the amount to save, you must first try to calculate your future retirement needs, wants and a realistic idea of what your living expenses and bills might be. Mentioning needs and wants does not necessarily mean that you will go out and buy everything you want right when you want it, however, there does have to be enough room in your retirement fund to treat yourself. A retirement fund does not simply mean living in luxury; it means living with the comfort in knowing that your expenses, needs and finances will be taken care of.
When a person wants to purchase a home, they will more than likely have to look for mortgage. Unfortunately, many people end up paying more for a home than they should. However, this may not have to do with the cost of the home but more in terms of the numbers behind a monthly payment. Many investment experts are sounding the warning that mortgages are taking a big bite into people’s retirement efforts. In fact, sometimes there are no retirement efforts going on at all.