Weekly Savings Tip: Save Early. Save Often.

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Retirement: the distant fantasy of no work and all play that comes after career. But how much do you know about planning for retirement? Maybe the thought of saving for this milestone 30 or more years down the road has yet to cross your mind. "Save early. Save often." is a good practice to follow when thinking about saving for your retirement. Here's why:

With the widespread use of compounded interest in retirement plans, it's never too early to start saving; compounded interest allows you to get the most out of your contributions, no matter the amount. With simple interest, you only earn interest on your investment, not on the interest that you earn. With compound interest, your annual interest is determined by the total of your investment plus any interest already accrued.

For example, let's take a look at Bill and Benjamin. Bill decides on a plan with simple interest and begins saving for retirement at age 40, putting in an initial investment of $10,000 and contributing $400 per month with a 6% annual rate of return. Benjamin, on the other hand, goes for compound interest and begins saving at age 25, starting with no initial balance and contributing $200 per month with the same 6% annual rate of return. Both men retire at age 65, Bill with $322,069 and Benjamin with $400,290.

Who would you rather be in your sixties: Bill or Benjamin?

Talk with your plan provider about your different investment options for your retirement plan; they can help make sure you're getting the biggest bang for your buck. And check out this chart for a helpful guide to saving for retirement.

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Mobile Banking—Is it for You?

Mobile banking on your cell phone or other mobile device can help you manage your finances by providing easy access anywhere for you to monitor your checking and savings accounts and credit card activity; check bill or loan due dates; pay one-time or recurring bills and receive low balance or transaction alerts via text messaging.

If you have considered mobile banking you have probably wondered if it's safe. In general, mobile banking offers at least the same level of security and encryption as online banking. Account data is typically not stored on your mobile device. To safeguard your personal and account information be sure to do the following:

Download mobile applications from reputable sources only.

Use strong passwords.

Read your financial institution's mobile banking agreement and disclosures.

Avoid using free wireless service available at public locations when conducting financial transactions.

Finally, be sure you are aware of costs.

While most financial institutions offer free mobile banking services, normal transaction fees will apply. Your wireless service provider may also charge you for text messages or downloads, so know the terms of your data plan agreement.

Weekly Savings Tip: Prioritizing and Paying off Debt

In the United States, the average person carries approximately $8,000 in debt. As this is an average, it represents total debt figures if assigned to every man, woman and child in the nation. It therefore means many people carry far more than $8,000.If you are one of the many who are currently carrying more than one debt and trying to do your best to pay them off, how do you decide what debt to pay first, and in what order? Here are some quick tips to help you make these decisions.Start by knowing your budget. If you don't know how much money is coming in and going out each month, you can't know how much you have to pay down your debt. Start here.

Pay for the essentials first. If you are behind on alimony, taxes or child support, pay off those first. In many cases, you could literally go to jail if you don't do so.P ay off the debt with the least favorable terms/highest interest rate. Which debt has the highest interest rate? Is it fixed or variable, and is the interest something you can deduct from your taxes? For example, mortgage interest rates can be but car loan interest rates cannot. Any extra money in your budget should go to paying off the worst interest rate, not the highest amount of debt. Once you have this debt dealt with, you can apply the money you were using to the debt next on your list.Personalize these guidelines for your specific situation. Tools are available that can be used to take into account the specifics in your life. 360 Degrees of Financial Literacy has resources, tools and calculators to help you determine the best way to drawn down your debt over time. Visit Feed the Pig for more money-saving tips.

Weekly Savings Tip: April 12, 2010

April 15th is Fast Approaching!

Your 2009 federal and state tax returns should be submitted by this Thursday— April 15th. Whether you owe no money to the IRS, expect a refund or even if you can't pay your tax bill in full—you must still file a tax return by April 15th. If you don't, you could face a penalty for filing late. Additionally, if you owe taxes, you will be assessed penalties for underpayment.

What if you cannot afford to pay your taxes? If your return is complete but you are unable to pay the full amount due, do not request an extension. File your return on time and pay as much as you can. The IRS will send you a bill or notice for the balance due. You can also apply for an installment payment plan or file Form 9465 with your return.

What if you cannot complete your return in time? If you cannot file your income tax return by April 15th, both the IRS and states allow you to extend your filing deadline by six months. However, this is an extension to file your return, not an extension to pay the taxes that you owe. You are still required to estimate and pay the tax that you will owe, otherwise you could be assessed penalties and monthly interested.

For more information on filing an extension on your tax return, visit the IRS website.

Visit Feed the Pig for more money-saving tips.

Weekly Savings Tip: March 29, 2010

Keep Some Investments Liquid

Are you planning a major purchase this year? If so, make sure to keep some of your investments liquid. The liquidity of an asset refers to how quickly it can be converted to cash without penalty. So, if you are planning a significant expenditure, is important to have liquid assets to avoid pulling from a long-term investment or a retirement fund at an inopportune time.Most long-term accounts will penalize you for withdrawing your money too early. Some will take away the interest that you have earned; others will actually dip into the principal that you have invested. Utilize a high-yield savings account, a short-term CD or a money market account to have funds accessible when you need them.

Click here for the Six Keys to Successful Investing.

Weekly Savings Tip - Happy Pig Day!

March 1 is National Pig Day! Benjamin Bankes wants you to take five minutes out of your day to revamp your savings. Reserving one day a month to examine your financial goals and your current spending habits can go a long way toward kicking expensive hobbies and excessive spending.

What have you spent money on recently? Are you paying off as much of your debt as possible, starting with the debt with highest interest rate? Can you save money by changing up your morning routine? Are you planning any large purchases in the near future and have you been saving for them?

Click here to REVAMP your savings (and have some fun revamping Benjamin Bankes while you are at it).

Visit www.FeedthePig.org for more money-saving tips.

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Weekly Savings Tip: February 22, 2010

How the CARD Act May Impact You

The CARD Act, signed into law last May, goes into effect today. Among other items, the new act will eliminate double-cycle billing, arbitrary rate increases and hefty fees for exceeding your credit limit. While many of these changes are positive, always read the fine print and be aware of credit card traps. Here is a brief summary of some of the changes the CARD Act will bring.
• In an effort to counteract the lost revenue credit card issuers may see due to the CARD Act, banks and other card issuers may begin implementing new fees or raising existing ones. Because the new law does not restrict the types of fees issuers can introduce, be sure you know exactly what you're being charged for.
• Credit card companies may begin placing restrictions on reward programs if you make late payments. To help avoid this situation, be sure to make your payments on time and read all notices sent by your credit card company, including those regarding changes to their rewards program.
• One of the primary benefits the CARD Act brings are a series of limits on how and when credit card companies can set interest rates. Previously, issuers could raise your interest rate just for missing a single payment without giving much notice. The CARD Act states that consumers must be alerted 45 days in advance before raising their rates.
T

his is America Saves Week (February 21-28)! Take time this week to assess your savings by taking action and developing a plan to improve your personal savings. The America Saves Web site is an excellent resource for additional tips and advice to help you set aside more.

Also take this quiz to test your current financial literacy IQ while learning savvy saving tactics.Visit www.FeedthePig.org for more money-saving tips.

Weekly Savings Tip: February 15, 2010

Online Bill Pay

The internet has given us many modern conveniences, including online bill pay. Paying bills online can save you the effort of writing checks and stuffing envelopes, and ensure that your bills are always paid on time. Unsure if your bank offers online bill pay? Speak to your bank about available options and if any fees are involved.

Here are some advantages to online bill pay.

• Many banks have a database of companies to choose from when setting up your online bill pay, making the setup process easier. Additionally, you only need to enter a company's information once and it will be saved to your account, as opposed to manually writing checks for each bill.

• Avoid late fees and processing fees by setting up automatic payments. If you know your bill will be the same amount each month, taking advantage of automatic electronic payments will give you one less thing to worry about.

• Paying your bills online reduces the chance for human error and conveniently groups all your bills into a single location, giving you control over every aspect of your bill paying process. Just a few clicks and you're good to go!

Visit www.FeedthePig.org for more money-saving tips.

Weekly Savings Tip: February 8, 2010

Creative Ideas to Save on Your Wedding

Your wedding may be a year or more away but you're probably already aware that the big day can be expensive. Use the months leading up to the big day to budget and plan. Here are some tips to help ensure that money is the last thing on your mind
when you say "I do."

• Date: If you avoid planning your wedding on a Saturday, or during the months of June and August, vendors may be more accessible, and less expensive. Also keep in mind that brunch and lunch are less expensive than dinner.

• Spirits: Alcoholic beverages dramatically increase the cost of any event. One money saving idea would be to hold the wedding earlier in the day. Another option would be to only offer wine and champagne.

• Location: Consider free locations to host your wedding, such as your home, a friend's home or a park. Additionally, your church or synagogue will likely be less expensive than commercial venues. Having the freedom to choose your own caterer or bring your own beverages can also be a great cost saver.

• Decorations: When it comes to the flowers and decorations, keep it simple! Try your local farmer's market, where you can choose from a wide variety of flowers that are grown locally and in season. Also consider working with local florists' programs at technical colleges or high schools to make your wedding a final project for a student.

• Invitations: Discount warehouses or online stationery stores may be an inexpensive option, since you generally get the same quality in exchange for a smaller selection. Or try getting a simple printed card and adding your own creative details.

Remember that the wedding only marks the beginning of a partnership that extends to your finances! Read more financial tips on Couples & Marriage.

Visit www.FeedthePig.org for more money-saving tips.

Weekly Savings Tip: January 04, 2010

COBRA Premium Subsidy Program Extended


On December 19, 2009, President Obama signed into law the Department of Defense Appropriations Act, 2010, which extends the 65 percent COBRA premium subsidy to February 28, 2010.

The American Recovery and Reinvestment Act of 2009 provided a government subsidy of 65 percent of the cost of COBRA coverage for employees (and their eligible family members) who lost their health insurance coverage due to involuntary termination of employment in 2009. In addition to the subsidy being extended to 15 months, employees who lose their jobs in January or February of 2010 will still be eligible.

For more information on the American Recovery and Reinvestment Act of 2009, visit the U.S. Department of Labor Web site.

Visit the Life Crisis section on the 360 Financial Literacy Web site for additional information on receiving unemployment benefits.

Visit www.FeedthePig.org for more money-saving tips!

Weekly Savings Tip: December 28, 2009

Post-Holiday Savings

Consumers should see a healthy selection of goods during post-holiday sales. Knowing where to look and how to make the most of these sales is crucial for avoiding long lines and getting the most bang for your buck.

• Shortly after the holidays, retailers will fill the newspapers, touting their sales. Take advantage of these sales by looking over the circulars in your area. Keep your eyes open for good deals on everyday items and even gifts for next year.

• If you are buying discounted sale merchandise, be sure you are fully aware of the return policy. Being able to return items for a full cash refund is a benefit that should not be overlooked.

• Being familiar with the warranty on the items that you purchase can save you time, money, and frustration, especially when it comes to appliances, computers, or other electronics. If you're unfamiliar with the store, read reviews to see if you can gauge customer satisfaction.

• Lastly, if you're not willing to brave the post-holiday shopping traffic or crowds, consider waiting until after the New Year when sales and money-saving opportunities will be just as plentiful.

Visit

www.FeedthePig.org for more money-saving tips

Weekly Savings Tip: December 21, 2009

What Investors Need to Understand to Avoid Fraud

As most investors know, risk is an inherent part of investing; it is what makes the reward of positive returns possible. Too often, investors focused on big returns are persuaded to enter into what turn out to be fraudulent schemes promising the moon and the stars for little or no risk. Here are some resources to help educate you:

Tricks of the Trade: Outsmarting Investment Fraud – FINRA Investor Education.

Investment Fraud Awareness Quiz – North American Securities
Administrators Association.

Consumer Fraud/Investor Protection Resources – Employee Benefit Research Institute/Choose to Save.

Click here to see a list of all 12 resources for understanding and avoiding fraud, by the nonprofit Alliance for Investor Education (AIE).

For more information on investing and fraud prevention, visit the Investment Planning section

of the 360 Financial Literacy website.

Visit www.FeedthePig.org for more money-saving tips!

Weekly Savings Tip: December 07, 2009

Winter Savings Tips

This winter, keep your family cozy and your wallet insulated by following
these easy steps:

• Dial back your thermostat 1 degree cooler during the winter season to help slash your energy bill.

• Caulk around window frames, door frames and seams on the outside of the house to keep heat in and cold air out.

• Take advantage of your body's natural heat. Wear sweaters, warm socks and long pants around the house.

• Use a programmable thermostat to automatically control your home's temperature. It can keep your house cooler during the day and warmer during the evenings. This could save you an average of $180 a year.

Following these tips can immediately reduce your energy costs. Learn more Winter Savings Tips.

Weekly Savings Tip: November 17, 2009

First-time Homeowner Tax Credit Extended
with Important Changes

On November 6, 2009, President Obama signed into law the Worker, Homeownership and Business Assistance Act of 2009, which includes a provision to extend the first-time homebuyer tax credit originally created in July 2008 with the Housing and Economic Recovery Act. This extension applies for new homes purchased before May 1, 2010; for members of the military whose duties have taken them overseas, the credit extends until May of 2011.

The new legislation includes some important changes for those buying a home after it was signed into law. These changes include:

• Higher income limits now apply. The credit is reduced if your modified adjusted gross income (MAGI) exceeds $125,000 ($225,000 if married filing a joint return) and is completely eliminated if your MAGI is $145,000 ($245,000 if
married filing a joint return).

• A credit of up to $8,000 will still apply to qualifying first-time buyers, and a smaller credit of up to $6,500 will now apply to families that have lived in their homes for at least five years and wish to purchase a new home.

• If you (and your spouse, if you're married) have maintained the same principal residence for at least five consecutive years in the eight year period ending at the time you purchase a new principal residence, you could qualify for a credit of up to $6,500 ($3,250 if you're married and file separately).

For more information and to decide if taking advantage of these new rules is for you, visit the White House’s Fact Sheet on the Worker, Homeownership and Business Assistance Act or the U.S. Department of Housing and Urban Development’s Web site for details on the original Housing and Economic Recovery Act.



Visit www.FeedthePig.org for more money-saving tips!

Weekly Savings Tip: November 9, 2009

Smart Use of Credit Cards

As the country begins to recover from the recession, retails sales are improving and, along with them, credit card use is on the rise, according to MasterCard Advisors. As the holiday shopping season begins, keep the following in mind when applying for or using a credit card:

• Most credit cards offer rewards, such as airline tickets, cash back, car insurance or other incentives. Paying off your monthly balance to avoid interest will allow you to fully reap the benefits of the card.

• Credit card applications may often contain low interest rates to attract customers. Before you sign, research varying interest rates, minimum payment requirements, grace periods, annual fees and credit limits.

• Understand the impact that cancelling a credit card will have on your credit score. If the card is one that you've had for awhile and consistently paid off, it could negatively affect your credit rating.

• Using credit card pay off calculators will help you realize what it will take to pay off your balance, and what personal spending habits you can change to meet your repayment goals.

Visit www.FeedthePig.org for more money-saving tips!

Weekly Savings Tip: October 5, 2009

Calculate How Much You’re Worth

Do you know how much you'll be worth when retirement comes? A recent Gallup Poll revealed that 52 percent of Americans are worried they won’t have enough money to live comfortably once they retire. Use this Retirement Estimator Calculator to determine your Social Security earnings and help plan for the future.

Additionally, non-retirees expect to rely on several income sources in retirement. For more information on these income sources, click the links below:

Social Security
Stocks or mutual fund investments
Savings accounts or CDs
401(k) or other retirement accounts
Annuities or insurance plans
Home equity
Pension plans

Visit www.FeedthePig.org for more money-saving tips!

Weekly Savings Tip: September 28, 2009

Credit cards can help build a good credit history but improper use can be disastrous. Being knowledgeable and reading the fine print may save you money and prevent unnecessary charges. If you have one or more credit cards, consider the following tips:

• Credit card applications may offer low interest rates to attract customers. Before you sign, research the card’s varying interest rates, minimum payment requirements, grace periods, annual fees and credit limits before you
open a new account.

• Make payments on time to avoid possible automatic rate increases and other credit card pitfalls.

• Pay off your monthly balance to avoid interest and to fully reap the benefits or rewards your card may come with (cash back, frequent flier miles, etc.).

• Understand the effect that cancelling a credit card will have on your credit score. If the card is one that you've had for awhile and consistently paid off, it could negatively affect your credit rating.

• Credit bureaus offer a toll-free number that enables you to “opt-out” of having pre-approved credit offers sent to you. Call 1-888-5-OPTOUT (888-567-8688) or visit www.optoutprescreen.com for more information.

Read more on paying off credit card debt.

Weekly Savings Tip: September 21, 2009

Fall Saving Strategies

As the summer months wane and the chilly weather of fall begins, consider doing some upkeep on your home in order to save on energy costs. Here are some simple ways to ensure that your house and wallet are properly insulated:

• Clean or replace your furnace filters once a month. Dirty filters can block warm air from the furnace and make it operate less efficiently, costing you money.

• Lower your thermostat 5 to 7 degrees at night. Your energy savings will increase as much as 3-5 percent for every degree the thermostat is below 68.

• Keep your shades and curtains open during the day to let in sunlight and warmth. Close them at night to retain heat.

• Weatherize your home by caulking and weather-stripping all exterior
doors and windows.

Learn more fall savings tips.

Have any other green ideas that will help you save this season? Register on www.FeedthePig.org to post your comments on the message boards!

Weekly Savings Tip: September 14, 2009

End-of-Life PlanLife can change quite suddenly and unexpectedly. Decision-making during these stressful and vulnerable times can be difficult and the results can often have far–reaching consequences. The key is knowing the issues and having a plan in place before the unexpected happens.
Whether you are currently dealing with the loss of a loved one, caring for an aging parent, or own a business or have children and need to be ready for the future, a new free resource, A Guide to Financial Decisions: Implementing an End-of-Life Plan, will identify many of the issues, decisions and programs of which you should be aware, such as:- Guardianship for Minor Children: Choosing the person who will care for your child if you are unable to do so is a critical decision for all parents. Learn why it’s important to name a guardian in a legally executed will or trust so that your children are cared for by the person you designate.- Titles: Choosing the person to be the listed owner, or “title holder,” to your various assets, such as your home and financial accounts, is an important decision. Learn more about the steps to take to ensure that your wishes are known and respected.- Life Insurance: One of the most common reasons for buying life insurance is to replace the loss of income that would occur in the event of your death. Learn about the common types of life insurance policies to ensure there are funds available to support your family in the case of your untimely death.This guide, developed by certified public accountants, is the result of a vision brought to the American Institute of Certified Public Accountants by Hospice of Michigan and the Michigan Association of Certified Public Accountants.
For more information, visit the 360 Degrees of Financial Literacy Web site.Visit http://click.bsftransmit1.com/ClickThru.aspx?pubids=lOq6Zi%2bzrWLqi1JWXun6Jc8No6wyvjR7QQxjXtqXYuE%3d&digest=P3VNOIwDruOLOUTSdVW0%2bg for more money-saving tips!

Weekly Savings Tip: September 9, 2009

Annuities as an Investment Option

Your retirement may be decades away but it’s important to start saving and investing now. Consider annuities, a retirement funding strategy that was often neglected in the face of a boom economy. Now, however, the stability of an annuity often looks just as appealing as other retirement funding options. Here are some basic facts to help you decide whether an annuity might be right for you:

- An annuity is a tax-deferred investment contract. You invest your money (either a lump sum or a series of contributions) with a company that sells annuities, such as life insurance and mutual fund companies and banks. In exchange for your investment, the annuity issuer promises to make payments to you or a named beneficiary at certain points in the future.

- Rates of return and costs can vary widely between different annuities, so shop around! You'll also want to shop around for a reputable, financially sound annuity issuer. There are firms that make a business of rating insurance companies based on their financial strength, investment performance, and other factors.

- Payout options, also known as annuitization options, differ based on how you’ve elected to spread payments over the coming years. The amount of each payment depends on such factors as the amount of your principal investment, the particular type of annuity, the length of the payout period and your age if you elect for
lifetime payments.

Annuities may be a good option to explore if you’re looking for investment options outside the stock market. As with any investment, remember to research and educate yourself before making any decisions. For more information visit the Retirement Planning section of the 360 Financial Literacy website.

Visit www.FeedthePig.org for more money-saving tips!