Have you ever had the experience of getting tantalisingly close to a big opportunity in your creative career a but not quite making it? Maybe it was a pitch, or a competition, a publishing opportunity, a senior role, or a funding application. Maybe you got really positive feedback. They said you were great, your work [â¦]
The post Are You in the Ballpark? (finally, The 21st Century Creative on YouTube) appeared first on Creative Coach | Mark McGuinness | Since 1996.
When the Covid 19 pandemic struck in 2020, human life on earth was massively disrupted. Not only the human tragedy of millions of lives lost, but also the social and economic damage caused by the virus and our attempts to control it. As a writer and a coach for creatives, I have been particularly concerned [â¦]
The post Creative Disruption: How 12 Creatives on 5 Continents Rose to the Challenge of the Pandemic appeared first on Creative Coach | Mark McGuinness | Since 1996.
Welcome to Episode 10 of the Creative Disruption season of The 21st Century Creative, where we are hearing stories of creatives around the world who came up with a creative response to the challenges of the pandemic. Itas been my most ambitious season yet, with creatives from 5 continents and probably the closest Iall ever [â¦]
The post How I Created, Funded and Launched My New Podcast (while the World Was in Meltdown) appeared first on Creative Coach | Mark McGuinness | Since 1996.
Welcome to Episode 9 of the Creative Disruption season of The 21st Century Creative, where we are hearing stories of creatives around the world who came up with a creative response to the challenges of the pandemic. This week we are off to Tokyo, to meet Ichi Hatano, a wonderful artist whose work has deep [â¦]
The post From Tattoos to NFTs with Ichi Hatano appeared first on Creative Coach | Mark McGuinness | Since 1996.
Welcome to Episode 8 of the Creative Disruption season of The 21st Century Creative, where we are hearing stories of creatives around the world who came up with a creative response to the challenges of the pandemic. Have you ever had the idea for a creative project that youave never quite got round to starting? [â¦]
The post Using Lockdown to Launch a Dream Project with Nicky Mondellini appeared first on Creative Coach | Mark McGuinness | Since 1996.
If you work on your own a in your office or studio, or your bedroom or at your kitchen table a it can feel like no one is watching. So it doesnat matter whether you show up. If you skipped a day on your novel, who would know? If you didnat go to the studio [â¦]
The post All Arts Are Performing Arts appeared first on Creative Coach | Mark McGuinness | Since 1996.
Welcome to Episode 7 of the Creative Disruption season of The 21st Century Creative, where we are hearing stories of creatives around the world who came up with a creative response to the challenges of the pandemic. Today weare focusing on a creative sector that is close to my heart, which was massively disrupted but [â¦]
The post Taking Deep Work Online with Laura Davis appeared first on Creative Coach | Mark McGuinness | Since 1996.
A few months ago I was listening to the DavidBowie: AlbumtoAlbum podcast, a terrific show about Bowie hosted by Arsalan Mohammed. In Season 3 episode 11 Arsalan spoke to Donny McCaslin, the leader of the jazz band that Bowie discovered in a New York club, and asked to work with him on what turned out [â¦]
The post Sometimes You Have to Grind the Work Out appeared first on Creative Coach | Mark McGuinness | Since 1996.
Welcome to Episode 6 of the Creative Disruption season of The 21st Century Creative, where we are hearing stories of creatives around the world who came up with a creative response to the challenges of the pandemic. Today we are off to Australia in the company of Charlotte Abroms, a music manager based in Melbourne [â¦]
The post Helping Musicians Through Lockdown with Charlotte Abroms appeared first on Creative Coach | Mark McGuinness | Since 1996.
Last week I suggested that if youare serious about achieving your creative ambitions, you need to think in terms of projects, not tasks. Because if you get up every morning and ask yourself aWhat should I work on today?a you risk making decisions based on what feels urgent right now, rather than what will make [â¦]
The post Work on Multifaceted Projects appeared first on Creative Coach | Mark McGuinness | Since 1996.
Welcome to Episode 5 of the CREATIVE DISRUPTION season of The 21st Century Creative, where we are hearing stories of creatives around the world who came up with a creative response to the challenges of the pandemic. Today we are going to look at one of the biggest challenge for many people during lockdown, whether [â¦]
The post Staying Creative as a Parent (Even in a Pandemic) with Kay Lock Kolp appeared first on Creative Coach | Mark McGuinness | Since 1996.
When we think of productivity we typically think about tasks and to-do lists, working habits and routines. We focus on how to make the most of our time on a daily or at most a weekly basis. All of which is great, but if this is all we focus on, thereas a danger of getting [â¦]
The post Focus on Projects, Not Tasks appeared first on Creative Coach | Mark McGuinness | Since 1996.
Welcome to Episode 4 of the CREATIVE DISRUPTION season of The 21st Century Creative, where we are hearing stories of creatives around the world who came up with a creative response to the challenges of the pandemic. Today we meet Amrita Kumar, the co-founder and CEO of Candid Marketing, an innovative marketing agency in India. [â¦]
The post Launching a New Business in the Pandemic with Amrita Kumar appeared first on Creative Coach | Mark McGuinness | Since 1996.
Marketing is a word that strikes fear into the heart of a lot of creatives. Itas an area where a lot of us feel we donat have a natural talent a weare far more comfortable making work than telling the world about it, let alone trying to get people to buy it. One reason for [â¦]
The post Make Your Marketing Personal with a Media Dashboard appeared first on Creative Coach | Mark McGuinness | Since 1996.
Welcome to Episode 3 of the CREATIVE DISRUPTION season of The 21st Century Creative, where we are hearing stories of creatives around the world who came up with a creative response to the challenges of the pandemic. Today we are looking at the world of film and TV production, which was massively disrupted by the [â¦]
The post Rebooting Global Filming with Hometeam appeared first on Creative Coach | Mark McGuinness | Since 1996.
A lot of creative professions involve submitting work to gatekeepers of various kinds: agents, editors, publishers, gallerists, funders, producers, studios and competition judges and so on. Yes, the 21st century gives us plenty of options for creating things without gatekeepers a you can sell direct, build your own platform, launch your own event, self-publish or [â¦]
The post Why Rejection Doesnat (Necessarily) Mean Your Work Isnat Good Enough appeared first on Creative Coach | Mark McGuinness | Since 1996.
Welcome to Episode 2 of the CREATIVE DISRUPTION season of The 21st Century Creative, where we are hearing stories of creatives around the world who came up with a creative response to the challenges of the pandemic. This week we are off to South Africa, to hear from Earl Abrahams, an artist and filmmaker who [â¦]
The post Lockdown Series: Windows on a Changed World with Earl Abrahams appeared first on Creative Coach | Mark McGuinness | Since 1996.
aEat a live frog first thing in the morning and nothing worse will happen to you for the rest of the day.a This quote is often attributed to Mark Twain. Apparently thereas no hard evidence linking it to him, but that hasnat stopped it from concentrating the minds of many people when they ask themselves [â¦]
The post Eat that Frog (But Eat the Cake as Well) appeared first on Creative Coach | Mark McGuinness | Since 1996.
Today we kick off Season 6 of The 21st Century Creative, the podcast that helps you thrive as a creative professional amid the demands, distractions and opportunities of the 21st Century. The theme for this season is CREATIVE DISRUPTION. Every episode will feature an interview with a creator whose work was disrupted by the Covid-19 [â¦]
The post The Rocky Road for Theatre through the Pandemic with Steven Kunis appeared first on Creative Coach | Mark McGuinness | Since 1996.
I hope this finds you as well as can be. Here in the UK weare bracing for what we are assured will be a large wave of Omicron. I know things may be very different for you, depending on where you are in the world. But whatever the circumstances, I hope you are finding your [â¦]
The post Video: Forget the Career Ladder a Start Creating Assets appeared first on Creative Coach | Mark McGuinness | Since 1996.
Today is the launch of my new podcast, and itas something Iave been planning and dreaming of sharing with you for years. Itas called A Mouthful of Air. And in several ways, itas the opposite of my 21st Century Creative podcast. I designed the two shows to work together from the start, although itâs taken [â¦]
The post My new podcast (and why itas the opposite of The 21st Century Creative) appeared first on Creative Coach | Mark McGuinness | Since 1996.
Last night I was about to go to bed when I suddenly remembered an idea Iad had for an article a few months ago. Though I say so myself, it was a great idea, and I was keen to revisit it, so I opened up the Scrivener project where I had written it downa| and [â¦]
The post Ideas Are Leprechauns appeared first on Creative Coach | Mark McGuinness | Since 1996.
Todayas guest on The 21st Century Creative is Michael Bungay Stanier, a returning guest whose interview way back in Season 1 proved very popular. And his book The Coaching Habit turned out to be even more popular, as it went on to sell three quarters of a million copies. Michael is back with some excellent [â¦]
The post Avoiding the Advice Trap with Michael Bungay Stanier appeared first on Creative Coach | Mark McGuinness | Since 1996.
A lot of productivity advice tells us that we need to stop procrastinating, beat Resistance, and get things done. The Americans like to talk about ashippinga, meaning finished and sent out for delivery. This emphasis on getting things done and out to market is part of their extraordinary entrepreneurial culture. Famously, Guy Kawasaki even said [â¦]
The post Every Creative Project Is a Revolving Door appeared first on Creative Coach | Mark McGuinness | Since 1996.
Todayas guest on The 21st Century Creative is Krystal Lauk, an illustrator who took an unconventional path by creating illustrations for tech companies, and founded a studio that counts Google, Uber, Facebook and The New York Times among its clients. Itas a fascinating story of discovery and enterprise at what Krystal calls athe intersection of [â¦]
The post The 21st Century Illustrator with Krystal Lauk appeared first on Creative Coach | Mark McGuinness | Since 1996.
Iave recently started taking one-to-one Japanese conversation lessons. It hasnat been easy. In fact, itas been a bit of a humbling experience. Between work and family responsibilities, I only have 30 minutes a day to study Japanese, and Iave spent this time every day for the past two years memorising kanji characters, vocabulary and grammar [â¦]
The post You Have to be Bad to Get Good appeared first on Creative Coach | Mark McGuinness | Since 1996.
Todayas guest on The 21st Century Creative is Cynthia Morris, a coach for creatives who shares insights on the book-writing process, based on her latest book The Busy Womanas Guide to Writing a World-Changing Book. So if you are contemplating writing a book â whether itas your first one or your twenty-first â there is [â¦]
The post Writing a World-Changing Book with Cynthia Morris appeared first on Creative Coach | Mark McGuinness | Since 1996.
If you think about overhearing something, you probably think of listening to someone elseas conversation, whether deliberately or accidentally, and picking up a titbit of information that you would never otherwise have been privy to. It might be funny, or shocking or useful, or â as in the case of so many loud phone calls [â¦]
The post The Art of Overhearing Yourself appeared first on Creative Coach | Mark McGuinness | Since 1996.
Todayas guest on The 21st Century Creative is Emily Kimelman, a thriller author who has travelled the world in a boat and criss-crossed the USA in an Airstream trailer while writing and publishing her books, and selling hundreds of thousands of copies in the process. Emilyas adventurous spirit shines through in her writing as well [â¦]
The post The Adventure of Writing with Emily Kimelman appeared first on Creative Coach | Mark McGuinness | Since 1996.
There are several obvious reasons to give a hoot about your credit score, and very few reasons you should ignore it. After all, you'll need a good credit score and a solid credit history if you ever plan to purchase a home or take out an auto loan. A bad credit score can even come back to bite you if you want to rent an apartment or apply for certain jobs.
But your score isn't the only detail you need to pay attention to. You also need to keep an eye on your credit report — the document that lists your formal credit history including any accounts you have open, balances due, and payments you've made.
Your report and your score are intricately intertwined. If bad information gets on your credit report due to fraud or misreporting, this can easily cause your credit score to nosedive. Likewise, a clear credit report with nothing but true (and positive) information can help your credit score reach greater heights.
That's why, every single year, you should get a free copy of your credit report from all three credit reporting agencies — Experian, Equifax, and TransUnion. Fortunately, this part is easy to accomplish via AnnualCreditReport.com.
Once you have a copy of your credit report from all three bureaus, you'll want to look over all the details to make sure they're correct. Incorrect information you might notice on your report may include:
Thanks to the Fair Credit Reporting Act (FCRA), both the credit bureau and whoever is providing them with information are responsible for correcting misinformation on your credit report. This means that, if a specific retailer or bank is reporting an account that isn't yours or an incorrect balance, both the credit bureau and the retailer or bank have to work together to make things right.
If you find an error, here are the steps you should take right away:
The first step you should take is informing the credit reporting agency of their error, keeping in mind that it's possible not all the credit bureaus will have the same information. You should let them know about the mistake in writing, taking special care to list important details about the mistake with proper documentation. The Federal Trade Commission (FTC) even offers a sample letter you can use if you need help.
Note that credit bureaus usually have 30 days to investigate your claim and they are required to get back to you with a response. They are also required to forward the information you sent them to the provider who shared the information with them in the first place.
You'll also want to provide the company reporting the incorrect information with copies of any documentation that prove an error has occurred. Make sure to include all details required to prove your claim along with copies of documentation that backs you up. The FTC offers another sample dispute letter you can use for this instance.
Generally speaking, credit reporting agencies are required to inform you in writing of the results of your case. They are also legally required to give you another free copy of your credit report if your dispute caused a permanent change.
You also have the option to ask the credit bureau to send notices of any corrections to anyone who has requested your credit report within the last six months. You can even have an updated copy sent to anyone who has asked for a modified version of your credit report for reasons regarding employment.
While the steps above may sound tedious, it's crucial to understand the damage incorrect information on your credit report can do. If you have inaccurate late payments on your report, for example, you could see your credit score plummet through no fault of your own. And if there are accounts on your credit report that aren't even yours, that could signify a much larger problem, such as outright identity theft.
Fortunately, the small amount of time required to dispute an item on your credit report really can pay off in a big way. After all, any negative information you manage to get wiped clean should immediately stop dragging your score down.
However, you should also note that you'll only be able to get false negative information removed from your credit reports. Any damaging information that's true will have to linger on your report until enough time has passed. Generally speaking, negative information and reporting can remain on your credit report for up to seven years and bankruptcy can stay on your report for 10 years.
Errors happen all the time, and they may never be uncovered if you don't find them yourself. In addition to staying on top of your credit reports, it can help to sign up for a free service that gives you updates on new accounts in your name or fluctuations in your credit score. CreditKarma.com and CreditSesame.com are two that offer a similar free service with these features, so they are both worth checking out.
Some of my most memorable vacations have centered around money — and didn't require spending much of it at all. I had my photo taken next to a $1 million stack of bills at Binion's on a recent trip to Las Vegas. Another memorable experience was visiting the Bureau of Engraving and Printing in Washington, D.C. to see millions of dollars of being printed on the production floor.
If you get excited about money, check out these unique attractions across the U.S.
Get a free souvenir photo of yourself standing next to $1 million in cash at Binion's Gambling Hall and Hotel in Las Vegas. Stop by to have your photo taken and come back about an hour later to pick up your free printed copy. It's pretty incredible to see that much cash up close.
You can take self-guided tours on foot, or there are other tour options available for free or under $40. (See also: 6 Confidence-Inspiring Facts About the Stock Market)
Visit the home of the trading floors of the Chicago Board of Trade and the Chicago Mercantile Exchange to see traders at work in the pits as they buy and sell commodities. The Chicago Board of Trade building was once the tallest building in Chicago. Although it has been eclipsed by other taller buildings, it remains an Art Deco historic landmark with a glass observation deck with views of the skyline. Tours last an hour, and cost $20 per person.
Unfortunately the bullion vault at Fort Knox is closed to visitors, but there is a place you can see tons of gold — literally. The gold vault at the New York Federal Reserve Bank houses approximately 508,000 gold bars, weighing in at 6,350 tons. Tour the gold vault for free and learn about the Federal Reserve System as you tour the Federal Reserve Bank.
Visit the Learning Center and Money Museum at the Federal Reserve Bank of Cleveland for interactive exhibits and activities. Try your hand at bartering, see if you can correctly identify counterfeit bills, and even try making your own currency. Take a look inside the impressive building that houses the Cleveland Fed and learn how central banks operate. Admission and tours are free.
Identity theft wears many different faces. From credit cards to student loans, thieves can open different forms of credit in your name and just like that, destroy your credit history and financial standing.
If this happens to you, getting the situation fixed can be difficult and time-consuming. But you can set things right.
If someone took out a loan in your name, it's important to take action right away to prevent further damage to your credit. Follow these steps to protect yourself and get rid of the fraudulent accounts.
The first thing you should do is file a police report with your local police department. You might be able to do this online. In many cases, you will be required to submit a police report documenting the theft in order for lenders to remove the fraudulent loans from your account. (See also: 9 Signs Your Identity Was Stolen)
If someone took out a loan or opened a credit card in your name, contact the lender or credit card company directly to notify them of the fraudulent account and to have it removed from your credit report. For credit cards and even personal loans, the problem can usually be resolved quickly.
When it comes to student loans, identity theft can have huge consequences for the victim. Failure to pay a student loan can result in wage garnishment, a suspended license, or the government seizing your tax refund — so it's critical that you cut any fraudulent activity off at the pass and get the loans discharged quickly.
In general, you'll need to contact the lender who issued the student loan and provide them with a police report. The lender will also ask you to complete an identity theft report. While your application for discharge is under review, you aren't held responsible for payments.
If you have private student loans, the process is similar. Each lender has their own process for handling student loan identity theft. However, you typically will be asked to submit a police report as proof, and the lender will do an investigation.
If someone took out student loans in your name, contact the school the thief used to take out the loans. Call their financial aid or registrar's office and explain that a student there took out loans under your name. They can flag the account in their system and prevent someone from taking out any more loans with your information. (See also: How to Protect Your Child From Identity Theft)
When you find evidence of fraudulent activity, you need to dispute the errors with each of the three credit reporting agencies: Experian, Equifax, and TransUnion. You should contact each one and submit evidence, such as your police report or a letter from the lender acknowledging the occurrence of identity theft. Once the credit reporting bureau has that information, they can remove the accounts from your credit history.
If your credit score took a hit due to thieves defaulting on your loans, getting them removed can help improve your score. It can take weeks or even months for your score to fully recover, but it will eventually be restored to its previous level. (See also: Don't Panic: Do This If Your Identity Gets Stolen)
As soon as you find out you're the victim of a fraudulent loan, place a fraud alert on your credit report with one of the three credit reporting agencies. You can do so online:
Experian
Equifax
TransUnion
When you place a fraud alert on your account, potential creditors or lenders will receive a notification when they run your credit. The alert prompts them to take additional steps to verify your identity before issuing a loan or form of credit in your name. (See also: How to Get a Free Fraud Alert on Your Credit Report)
In some cases, it might be a good idea to freeze your credit. With a credit freeze, creditors cannot view your credit report or issue you new credit unless you remove the freeze.
Finally, check your credit report regularly to ensure no new accounts are opened in your name. You can request a free report from each of the three credit reporting agencies once a year at AnnualCreditReport.com. You can stagger the reports so you take out one every four months, helping you keep a close eye on account activity throughout the year. (See also: How to Read a Credit Report)
Sharing is caring — at least that's what has been drilled into our minds. And for the most part, it's true.
However, if you're contemplating making the ultimate step in sharing — adding someone to the deed on your home — it's a good idea to consider the consequences. It's important to understand that when you add someone to your deed, you are entitling them to the same "bundle of rights" — control, enjoyment, possession, exclusion and disposition — that you have as a property owner. Before adding a loved one to your deed, it's important that you speak to an estate attorney and your mortgage lender to ensure you understand your rights, and to determine if this is the right move for you.
Here are five things you should consider before adding someone to your deed.
When you add someone to the deed, all or a portion of your ownership is transferred to that person. Once it's done, you can't take it back unless the person you've added provides consent to be removed from the deed. He or she can take out a loan on the property, tear it down, or even sell their share of the property. And in some cases, there's nothing you can do about it.
Even if you transfer only a portion of your interest in the property, that person will have full control of their portion and may be able to force a sale of the property. If you want to refinance or sell your home, you must get permission from the individual you've added. This can lead to time consuming and costly legal battles that can tie up the property for years. Make sure you fully understand the implications and consequences before you sign on the dotted line.
The law doesn't forbid adding people to a deed on a home with an outstanding mortgage. Mortgage lenders are familiar and frequently work with deed changes and transfers. Most lenders incorporate a loan "due-on-sale clause," which gives them the ability to call in the loan if the deed is transferred or if the home is sold. When you "deed" your home to someone, you've effectively transferred part ownership, which could activate the "due-on-sale" clause.
It is imperative that you understand the rules governing your particular situation. And you should obtain permission from your mortgage lender before adding someone to the deed. (See also: Why You Should Call Your Mortgage Lender Every Year)
Let's say you decide to add your brother to the deed. If he fails to pay taxes and incurs a tax lien, has problems with creditors, or goes through a nasty divorce, the IRS, his creditors, or his ex-spouse can lay claim to your home, or at least to his portion. In that situation, the entity owed can place a lien on your property and attempt to force a sale to collect the debt or tie up the property and prevent you from selling.
Adding someone to the deed of your home can also generate income tax liabilities when the residence is sold in the future.
When you add someone to your deed, the IRS sees it as a gift. That person becomes subject to IRS regulations concerning gifts. As of 2018, the IRS allowable gift limit is $15,000 annually, per person. Gifts that exceed this amount are subject to the gift tax.
The important take away here is that you should ensure you consult a tax attorney or Certified Public Accountant (CPA) before you add someone to your deed to ensure that you understand all of the implications and don't run into any surprises down the road. Your good intentions can be costly if not accompanied by due diligence. (See also: 4 Things You Need to Know About Gift Tax)
There are so many hidden risks and pitfalls to adding someone to the deed. Remember, you become a joint owner rather than the exclusive owner. This change can impact your eligibility to sell or refinance. And for older homeowners near retirement age, transferring assets can adversely affect Medicaid eligibility.
Another thing to consider is that adding someone to the deed does not make them responsible for the debt. Unless the original loan agreement is modified, you are still solely responsible for repayment and the other person has ownership rights.
We are in the midst of a major economic shift. While workers in the past could expect to keep a stable job with a traditional employer for decades, workers of today have found they must either cobble together a career from a variety of gigs, or supplement a lackluster salary from a traditional job by doing freelance work in their spare time.
Though you can make a living (and possibly even a good one) in the gig economy, this kind of work does leave gig workers vulnerable in one very important way: retirement planning.
Without the backing of an employer-sponsored retirement account, many gig workers are not saving enough for their golden years. According to a recent report by Betterment, seven out of 10 full-time gig workers say they are unprepared to maintain their current lifestyle during retirement, while three out of 10 say they don't regularly set aside any money for retirement.
So what's a gig worker to do if they don't want to be driving for Uber and taking TaskRabbit jobs into their 70s and 80s? Here are five things you can do to save for retirement as a member of the gig economy. (See also: 15 Lucrative Side Hustles for City Dwellers)
Many people don't have a clear idea of how much money they have. And it's impossible to plan your retirement if you don't know where you are today. So any retirement savings should start with a look at what you already have in the accounts in your name.
Add up how much is in your checking and savings accounts, any neglected retirement accounts you may have picked up from previous traditional jobs, cash on hand if your gig work relies on cash tips, or any other financial accounts. The sum total could add up to more than you realize if you haven't recently taken stock of where you are.
Even if you truly have nothing more than pocket lint and a couple quarters to your name, it's better to know where you are than proceed without a clear picture of your financial reality. (See also: These 13 Numbers Are Crucial to Understanding Your Finances)
If you don't already have a retirement account that you can contribute to, then you need to set one up ASAP. You can't save for retirement if you don't have an account to put money in.
IRAs are specifically created for individual investors and you can easily get started with one online. If you have money from a 401(k) to roll over, you have more options available to you, as some IRAs have a minimum investment amount (typically $1,000). If you have less than that to open your account, you may want to choose a Roth IRA, since those often have no minimums.
The difference between the traditional IRA and the Roth IRA is how taxes are levied. With a traditional IRA, you can fund the account with pre-tax income. In other words, every dollar you put in an IRA is a dollar you do not have to claim as income. However, you will have to pay ordinary income tax on your IRA distributions once you reach retirement. Roth IRAs are funded with money that has already been taxed, so you can take distributions tax-free in retirement.
Many gig workers choose a Roth IRA because their current tax burden is low. If you anticipate earning more over the course of your career, using a Roth IRA for retirement investments can protect you from the taxman in retirement.
Whether you choose a Roth or a traditional IRA, the contribution limit per year, as of 2018, is $5,500 for workers under 50, and $6,500 for anyone who is 50+.
While no investor wants to lose portfolio growth to fees, it's especially important for gig workers to choose asset allocations that will minimize investment fees. That's because gig workers are likely to have less money to invest, so every dollar needs to be working hard for them.
Investing in index funds is one good way to make sure investment fees don't suck the life out of your retirement account. Index funds are mutual funds that are constructed to mimic a specific market index, like the S&P 500. Since there is no portfolio manager who is choosing investments, there is no management fee for index funds. (See also: How to Start Investing With Just $100)
One of the toughest challenges of being a gig worker is the fact that your income is variable — which makes it very difficult to plan on contributing the same amount each month. This is where technology comes in.
To start, set up an automatic transfer of an amount of money you will not miss. Whether you can spare $50 per week or $5 per month, having a small amount of money quietly moving into your IRA gives you a little cushion that you don't have to think about.
From there, consider using a savings app to handle retirement savings for you. For instance, Digit will analyze your checking account's inflow and outflow, and will determine an amount that is safe to save without triggering an overdraft, and automatically move that amount into a savings account. You can then transfer your Digit savings into your retirement account.
An excellent way to make sure you're maxing out your contributions each year is to change your view of "found money." For instance, if you receive a birthday check from your grandmother, only spend half of it and put the rest in your retirement account. Similarly, if you receive a tax refund (which is a little less likely if you're a gig worker paying quarterly estimated taxes), send at least half of the refund toward your retirement.
Any gig workers who often receive cash can also make their own rules about the cash they receive. For instance, you could decide that every $5 bill you get has to go into retirement savings. That will help you change your view of the money and give you a way to boost your retirement savings.
The first major home renovation my husband and I ever undertook was insulating the walls of a 1921 Craftsman bungalow we shared in Columbus, Ohio. This project made the house a great deal more comfortable in the winter and the summer, since the existing insulation was the least expensive option available in the 1920s — making it completely inadequate for maintaining heat in the winter or coolness in the summer.
Unfortunately, despite the undeniable improvement to our comfort, we found that our new insulation did nothing for our resale value. Even though we had put nearly $5,000 worth of work and materials into this renovation, we didn't see that money and effort reflected in our sale price when we had to move several years later.
Not all renovations are going to increase your resale value. That doesn't necessarily mean you should forgo working on your home if you won't see the value when it's time to sell. For instance, I would definitely insulate that house again, even knowing that the money is only going to improve my comfort.
But there are some home renovation projects that you just can't expect to recoup your investment on. Knowing that, you should consider how long you intend to live in your house and whether you're renovating just to increase your home's value before jumping into any of these home improvement projects.
Insulating our bungalow was the kind of invisible improvement that had to be done, but didn't appear to change the house. Unlike "sexier" improvements like updating a kitchen or bath, or even putting on a new roof, invisible improvements don't change the look of the house. These are things like re-grading the yard to keep water from getting into the basement, updating the HVAC system, tuck-pointing bricks and chimneys, and replacing gutters.
While these improvements often have to be done to protect your house, the downside is that you may not recoup the cost of these improvements when it comes time to sell. It can be helpful to think of these renovation expenses as a way of protecting your home's current value, rather than as a way to increase your future resale value.
While homeowners in Arizona, Florida, Hawaii, and Southern California may find that having a swimming pool is a big selling point for their homes, this isn't going to be the case nationwide. According to HomeAdvisor, the average cost to install a pool is over $27,000. That doesn't include the annual maintenance costs, ranging between $500 and $4,000. It's these maintenance costs, plus the work that homeowners will have to either do themselves or contract out in order to keep their pool sparkling clean that will turn off many potential buyers. Add in the additional insurance requirements that homeowners with pools will need to purchase, and it should be clear why many prospective buyers would rather not invest in a home that comes with a pool.
This is why you should only commit to the cost of installing a pool if you truly want to use it yourself and expect to stay in your home for at least five years. Otherwise, it might make more sense to invest in a membership to your local pool.
Remodeling your bathroom and/or kitchen is an excellent way to increase your home's value, right? Yes and no. While replacing dingy tiling and updating old appliances will definitely help your home shine for potential buyers, there's such a thing as going overboard with your bathroom or kitchen upgrades.
Specifically, if you add granite countertops, custom-made cabinets, stainless steel appliances, and ceramic tiles to your kitchen and bathroom, but the rest of the home is still an ordinary suburban home, potential buyers will see the house as a work-in-progress, rather than a home that feels move-in ready. Over-improving the bath and kitchen could make buyers think that it's not worth the effort to try to get the rest of the house to match. (See also: 9 Home Improvements You Should Always Negotiate)
We may all dream of living in a George Jetson house — where every possible electronic need you have is already built in — but committing to this kind of renovation may hurt your resale value.
There are a couple of reasons for this. First, while your personal movie theater (with remote-controlled state-of-the-art projector) may be exactly what you want from your home, a potential buyer may just see a room that will need to be torn out and remodeled as soon as they move in. Plus, technology advances at a breakneck speed, so your cutting-edge electronics will soon look as dated as shag carpeting and harvest gold refrigerators.
If you need or want built-in high-end electronics in your home, make sure you're installing them for your own pleasure and comfort, because it's unlikely a buyer will appreciate them too.
Making improvements to your landscaping requires a gentle touch. On the one hand, landscaping is often touted as an important aspect of curb appeal, and making sure your yard and garden look attractive and welcoming is certainly a great way to draw in potential buyers.
On the other hand, an elaborate landscaping remodel can turn off buyers. Those with black thumbs might look at your vast flowering garden with sculpted shrubs and pond and decide they are not up for the challenge of keeping it up, and those who do love to garden might not like your vision and want to start over.
If recreating the gardens of Versailles is how you make your house feel like a home, then there's nothing wrong with investing in this kind of renovation. But make sure you're doing this kind of work for yourself, and not because you hope to make back the money you spent once you're ready to sell. (See also: 14 Ways to Make Your Yard Look Awesome for Under $100)
While many experts focus on resale value as the deciding factor on whether to take on a home improvement project, the important thing to remember is that you live in your house now. Deciding which home renovations to work on based on what someone else might like is the way madness lies.
When you make improvements to your home, make sure you take your own comfort, your plans for living in the home, and the potential resale value into consideration. They all matter.
Last fall, I received an email that appeared to be from my web host. The email claimed that there was a problem with my payment information and asked me to update it. I clicked on the link in the email and entered my credit card number, thinking that a recent change I'd made to my site must have caused a problem.
The next morning, I logged onto my credit card account to find two large unauthorized purchases. A scammer had successfully phished my payment information from me.
This failure of security is pretty embarrassing for a personal finance writer. I know better than to click through an email link claiming to be from my bank, credit card lender, or other financial institution. But because the email came from a source that wasn't specifically financial (and because I was thinking about the changes I had made to my website just the day before), I let myself get played.
Thankfully, because I check my credit card balance daily, the scammers didn't get away with it. However, it's better to be proactive about avoiding credit card theft so you're not stuck with the cleanup, which took me several months to complete.
Here's how you can protect yourself from credit card theft.
Stealing your physical credit or debit card is in some respects the easiest way for a scammer to get their hands on your sweet, sweet money. With the actual card in hand, a scammer has all the information they need to make fraudulent purchases: the credit card number, expiration date, and the security code on the back.
That means keeping your physical cards safe is one of the best ways to protect yourself from credit card theft. Don't carry more cards than you intend to use. Having every card you own in a bulging wallet makes it more likely someone could steal one when you're not paying attention and you may not realize it's gone if you have multiple cards.
Another common place where you might be separated from your card is at a restaurant. After you've paid your bill, it can be easy to forget if you've put away your card (especially if you've been enjoying adult beverages). So make it a habit to confirm that you have your card before you leave a restaurant.
If you do find yourself missing a credit or debit card, make sure you call your bank immediately to report it lost or stolen. The faster you move to lock down the card, the less likely the scammers will be able to make fraudulent charges. Make sure you have your bank's phone number written down somewhere so you're able to contact them quickly if your card is stolen or lost. (See also: Don't Panic: Do This If Your Identity Gets Stolen)
Credit card thieves also go high-tech to get your information. Credit card skimmers are small devices placed on a legitimate spot for a card scanner, such as on a gas pump or ATM.
When you scan your card to pay, the skimmer device captures all the information stored in your card's magnetic stripe. In some cases, when there's a skimmer placed on an ATM, there's also a tiny camera set up to record you entering your PIN so the fraudster has all the info they need to access your account.
The good news is that it's possible to detect a card skimmer in the wild. Gas stations and ATMs are the most common places where you'll see skimmer devices. Generally, these devices will often stick out past the panel rather than sit flush with it, as the legitimate credit card scanner is supposed to. Other red flags to look for are scanners that seem to jiggle or move slightly instead of being firmly affixed, or a pin pad that appears thicker than normal. All of these can potentially indicate a skimmer is in place.
If you find something that looks hinky, go to a different gas station or ATM. Better safe than sorry. (See also: 18 Surprising Ways Your Identity Can Be Stolen)
Your home is another place thieves will go searching for your sensitive information. To start, you likely receive credit card offers, the cards themselves, and your statements in the mail. While mail theft is relatively rare (it's a federal crime, after all), it's still a good idea to make sure you collect your mail daily and put a hold on it when you go out of town.
Once you get your card-related paperwork in the house, however, you still may be vulnerable. Because credit card scammers are not above a little dumpster diving to get their hands on your credit card number. This is why it's a good idea to shred any paperwork with your credit card number and other identifying information on it before you throw it away.
Finally, protecting your credit cards at home also means being wary about whom you share information with over the phone. Unless you've initiated a phone call of your own volition — not because you're calling someone who left a voicemail — you should never share your credit card numbers over the phone. Scammers will pose as customer service agents from your financial institution or a merchant you frequent to get your payment information. To be sure, you can hang up and call the institution yourself using the main phone number.
You should never provide your credit card information via a link in an email purporting to be from your financial institution or a merchant. Scammers are able to make their fake emails and websites look legitimate, which was exactly the reason I fell victim to this fraud.
But even with my momentary lapse in judgment about being asked for my payment information from my "web host," there were other warning signs that I could've heeded if I had been paying attention.
The first is the actual email address. These fake emails will often have a legitimate looking display name, which is the only thing you might see in your email. However, if you hover over or click on the display name, you can see the actual email address that sent you the message. Illegitimate addresses do not follow the same email address format you'll see from the legitimate company.
In addition to that, looking at the URL that showed up when I clicked the link could've told me something weird was going on. Any legitimate site that needs your financial information will have a secure URL to accept your payment. Secure URLs start with https:// (rather than http://) and feature a lock icon in the browser bar. If these elements are missing, then you should not enter your credit card information. (See also: 3 Ways Millennials Can Avoid Financial Fraud)
In addition to these precautions, you can also protect your credit cards with the everyday choices you make. For instance, using strong, unique passwords for all of your online financial services, from shopping to banking, can help you prevent theft. Keeping those strong passwords safe — that is, not written down on a post-it note on your laptop — will also help protect your financial information.
Regularly going over your credit card and banking statements can also help ensure that you're the only one making purchases with your credit cards. It was this daily habit of mine that made sure my scammers didn't actually receive the computer they tried to purchase with my credit card. The fact that I check my balance daily meant I was able to shut down the fraudulent sale before they received the goods, even though I fell down on the job of protecting my credit card information.
You have all kinds of financial goals you want to achieve, but where should you begin? There are so many different aspects of money management that it can be difficult to find a starting point when trying to achieve financial success. If you're feeling lost and overwhelmed, take a deep breath. Progress can be made in tiny, manageable steps. Here's are 16 small things you can do right now to improve your overall financial health. (See also: These 13 Numbers Are Crucial to Understanding Your Finances)
The biggest step toward effective money management is making a household budget. You first need to figure out exactly how much money comes in each month. Once you have that number, organize your budget in order of financial priorities: essential living expenses, contributions to retirement savings, repaying debt, and any entertainment or lifestyle costs. Having a clear picture of exactly how much is coming in and going out every month is key to reaching your financial goals.
Simply put, your net worth is the total of your assets minus your debts and liabilities. You're left with a positive or negative number. If the number is positive, you're on the up and up. If the number is negative — which is especially common for young people just starting out — you'll need to keep chipping away at debt.
Remember that certain assets, like your home, count on both sides of the ledger. While you may have mortgage debt, it is secured by the resale value of your home. (See also: 10 Ways to Increase Your Net Worth This Year)
Your credit history determines your creditworthiness, including the interest rates you pay on loans and credit cards. It can also affect your employment opportunities and living options. Every 12 months, you can check your credit report from each of the three major credit bureaus (Experian, TransUnion, and Equifax) for free at annualcreditreport.com. It may also be a good idea to request one report from one bureau every four months, so you can keep an eye on your credit throughout the year without paying for it.
Regularly checking your credit report will help you stay on top of every account in your name and can alert you to fraudulent activity.
Your FICO score can range from 300-850. The higher the score, the better. Keep in mind that two of the most important factors that go into making up your credit score are your payment history, specifically negative information, and how much debt you're carrying: the type of debts, and how much available credit you have at any given time. (See also: How to Boost Your Credit Score in Just 30 Days)
Transferring a set amount of money to a savings account at the same time you pay your other monthly bills helps ensure that you're regularly and intentionally saving money for the future. Waiting to see if you have any money left over after paying for all your other discretionary lifestyle expenses can lead to uneven amounts or no savings at all.
The first step to maintaining a good credit standing is to avoid making late payments. Build your minimum debt reduction payments into your budget. Then, look for any extra money you can put toward paying down debt principal. (See also: The Fastest Way to Pay Off $10,000 in Credit Card Debt)
Your retirement savings and saving rate are the most important determinants of your overall financial success. Strive to save 15 percent of your income for most of your career for retirement, and that includes any employer match you may receive. If you're not saving that amount yet, plan ahead for ways you can reach that goal. For example, increase your saving rate every time you get a bonus or raise.
An IRA is an easy and accessible retirement savings vehicle that anyone with earned income can access (although you can't contribute to a traditional IRA past age 70½). Unlike an employer-sponsored account, like a 401(k), an IRA gives you access to unlimited investment choices and is not attached to any particular employer. (See also: Stop Believing These 5 Myths About IRAs)
Certain assets, like retirement accounts and insurance policies, have their own beneficiary designations and will be distributed based on who you have listed on those documents — not necessarily according to your estate planning documents. Review these every year and whenever you have a major life event, like a marriage.
The monetary value of your employment includes your salary in addition to any other employer-provided benefits. Consider these extras part of your wealth-building tools and review them on a yearly basis. For example, a Flexible Spending Arrangement (FSA) can help pay for current health care expenses through your employer and a Health Savings Account (HSA) can help you pay for medical expenses now and in retirement. (See also: 8 Myths About Health Savings Accounts — Debunked!)
The W-4 form you filled out when you first started your job dictates how much your employer withholds for taxes — and you can make changes to it. If you get a refund at tax time, adjusting your tax withholdings can be an easy way to increase your take-home pay. Also, remember to review this form when you have a major life event, like a marriage or after the birth of a child. (See also: Are You Withholding the Right Amount of Taxes from Your Paycheck?)
In general, if someone is dependent upon your income, then you may need a life insurance policy. When determining how much insurance you need, consider protecting assets and paying off all outstanding debts, as well as retirement and college costs. (See also: 15 Surprising Insurance Policies You Might Need)
First, make sure that the banking institutions you use are FDIC insured. For credit unions, you'll want to confirm it's a National Credit Union Administration (NCUA) federally-covered institution. Federal deposit insurance protects up to $250,000 of your deposits for each type of bank account you have. To determine your account coverage at a single bank or various banks, visit FDIC.gov.
Set up an online account at SSA.gov to confirm your work and income history and to get an idea of what types of benefits, if any, you're entitled to — including retirement and disability.
An important part of financial success is recognizing where you need to focus your energy in terms of certain financial goals, like having a fully funded emergency account, for example.
If you're overwhelmed by trying to simultaneously work on reaching all of your goals, pick one that you can focus on and achieve it by the end of the year. Examples include paying off a credit card, contributing to an IRA, or saving $500.
Unfortunately, you can never take a break from paying your bills, but you do have complete control over how you spend your discretionary income. And that may be the only way to make some progress toward some of your savings goals. Try trimming some of your lifestyle expenses for just one month to cushion your checking or savings account. You could start by bringing your own lunch to work every day or meal-planning for the week to keep your grocery bill lower and forgo eating out. (See also: How a Simple "Do Not Buy" List Keeps Money in Your Pocket)
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