Spouse Has Bad Credit? How It Affects You.

Spouse Has Bad Credit? How It Affects You

It wasn’t until a few months after my husband and I got married that I decided to check both our credit scores. While my husband’s credit score wasn’t horrible, it certainly didn’t qualify as “excellent.” This got me thinking about how newlyweds’ financial histories can affect both spouses’ finances moving forward, and how critical it is to acknowledge this reality—ideally before getting hitched.

Why It’s Important to Have a Good Credit Score

Manisha Thakor cuts right to the chase in her book On My Own Two Feet: “Your credit score is essentially your financial reputation in numeric form.”

Aiming for an excellent credit score—generally defined as 750 or more—is a worthy goal, owing to the range of ways in which it can save you money. Credit scores are critical when applying for loans—for instance, car loans and mortgages. In addition, many employers consider prospective employees’ credit scores during the hiring process.

A high credit score means you can access lower interest rates when borrowing, because creditors will view you as reliable. The perceived risk that you’ll default on your loan is lower compared to those with poor credit scores. Lower interest rates, especially on large amounts borrowed over significant timeframes, can save you thousands and thousands of dollars!

A poor credit score can indirectly hurt your financial efforts as well; consider the fact that when you’re paying over the odds in debt repayments, you’re committing fewer dollars to saving and retirement planning.

photo credit: LendingMemo via photopin cc

Till Debt Do Us Part

Marriage makes you one combined financial unit.

However, that doesn’t mean your credit scores are merged; your credit history continues to be maintained on an individual basis. One spouse’s poor credit cannot directly damage the individual score of the other spouse.

That being said, if you apply for a loan as a married couple, creditors look at both your credit scores to determine your eligibility and terms. So, if one of you has the credit of an angel whereas the other’s credit history is limited or even littered with missed payments and liens, you may find your application is denied.

But, this is not just about loan applications—poor credit can belie more than just a few bad credit card habits. Other financial follies, like paying taxes late, not focusing on saving, and day-to-day overspending, could be lurking in the closet.

What Do You Do After You’ve Said I Do?

While bad credit isn’t good news, it’s not necessarily a reason not to get married. And, it’s not necessarily the precursor to divorce! It is, however, an alarm signaling that it is time to get clear on your joint financial situation and start communicating. Make sure you do this respectfully and compassionately to minimize blame and financial stress. (If you’re the type of person who’d like to know this information from prospective partners before things get serious, there are now dating sites catering just to you.)

Once you’ve identified that one of you has less-than-optimal credit, it’s time to take action. Here are four top tips for taking immediate action:

1. Check your credit report for mistakes: Errors are, unfortunately, pretty common and can be really detrimental. Check your report at least once per year.

2. Make payments on time: Yes, this is stating the obvious, but it needs to be said! Mary Beth Storjohann of Workable Wealth says, “35% of your credit score is based on how you pay your bills (making this the biggest determining factor for your score)! Are you often late of missing payments? The impact of just one 90-day late payment goes way beyond the three months you took to pay, so set up automatic bill payments.”

3. Lower your debt-to-credit ratio: This is how much debt you have as a proportion of your overall credit limits. 30% of your credit score is based on the amount of money you owe versus the amount of credit available to you. The higher the amount of credit you’re utilizing, the more negative the impact on your score. Keep the debt level as low as possible (30% of your limits, or less).

4. Pay down your debt faster: Make more than the minimum payments wherever possible by utilizing the snowball method or targeting the balance with the highest interest rate to pay down first.

photo credit: natloans via photopin cc

Alongside these tips, it’s super important to remember that improving your credit score won’t happen overnight. The length of time it takes for your score to improve is directly related to reasons for the drop. It can take anywhere from a few months to several years for your credit report to reflect the positive changes you’re making. As Mary Beth notes, “The most important thing is to be proactive in clearing up any issues.” In addition, two of the criteria factored into your score are the length of your overall credit history and the average age of your accounts.

So, don’t be discouraged—be patient and give it time.

And, Finally, Some Tips on What Not to Do!

There are always two sides to every coin so, while you’re following the tips above, make sure that you’re not unwittingly hurting your score and negating your good work.

Be mindful of the following ways that you could be hurting your credit score:

1. Opening too many new accounts: This comes back to the point that the average age of your accounts is a key factor. Opening lots of new accounts reduces that average.

2. Closing too many old accounts: Older accounts indicate that you have managed payments for a long time and increase the average age of your accounts. When you close credit card accounts, this also decreases the amount of credit available to you, which can reflect negatively if you have other accounts that are still carrying high balances (it essentially increases your debt to credit ratio).

3. Signing up for lots of retail incentive programs: Every time you apply for credit, the company issuing the credit will request information about you from the credit bureaus. Too many of these requests can reduce your score.

4. Over-utilizing your credit. Mary Beth advises, “If you’re depending on your credit cards to fund your daily expenses and lifestyle needs, but aren’t able to pay them off in full at the end of each month, something needs to change. Start tracking your spending and get a handle on your expenses.”

In summary, start taking positive steps, be aware of actions that can hurt your credit, and focus on building solid financial foundations for the future.

This post was written by Erika Torres of GoGirl Finance. GoGirl Finance is a fast-growing community of women seeking and providing financial wisdom across money management, lifestyle, family and career. For more finance tips, follow GoGirl Finance on Twitter @GoGirlFinance

The post Spouse Has Bad Credit? How It Affects You. appeared first on MintLife Blog.

Source: mint.intuit.com

9 Ways To Successfully Balance School And Work

Advice For Balancing School And Work #balancingschoolandwork #timemanagementtipsMore and more people are choosing to attend college and work at the same time. This can be those who are going straight from high school to college or adults going back to college. Whichever applies to you, balancing school and work will be an important part of how successful you will be.

Whether you are working a part-time or full-time job, balancing school and work can be tough. There are many working students in college who are able to manage both, but there are also many who aren’t able to.

If you don’t balance them both well, it may lead to stress, lower grades, low-quality work being produced, and more.

No one wants that and I’m sure you don’t either.

This is supposed to be the time of your life where you are growing and changing, not feeling like you are drowning in everything that is going on around you.

There are ways to many ways to start balancing school and work so that you can graduate college while working a job.

I took a full course load each and every semester (usually 18-24 credits each semester), worked full-time, and took part in extracurricular activities. It was definitely hard and I won’t lie about that. However, sometimes a person doesn’t have a choice and has to do everything at once. Or, you might be choosing to multi-task and are wanting to learn how to better manage your time.

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Working while you are going to college can help you not take out as many student loans, or you may be an adult who has to work to support your family while you are going to college. Either way, time management for college students who are also working will help you succeed at every aspect of your life.

Working while I went to college helped me take out less student loans, and I am so happy I found that balancing school and work was possible.

Related post: How I Graduated From College In 2.5 Years With 2 Degrees AND Saved $37,500

Whatever your reason may be, below are my tips for time management for college students who are also working. The tips below are what helped save me!

My advice for balancing school and work.

 

Find your motivation for balancing school and work.

There are many reasons for why you are both working and going to school, but sometimes you need to remind yourself why you are working so hard.

It can be really easy to watch others around you who aren’t doing both and feel jealous, stressed, or angry. But, remind yourself why you are working so hard.

Your motivation can be any number of things, like avoiding student loan debt, providing for you family if you are going back as an adult learner, and so on. Your motivation will be what you need when you are struggling to balance both work and school.

Related: 15 Of My Best Working From Home Tips So You Can Succeed

 

Carefully plan your class and work schedule.

My first tip for working college students is to carefully plan your class and work schedule.

Some students just choose whatever classes are offered. However, it is much wiser to carefully craft your school and work schedule so that everything flows together efficiently with a minimal amount of time being wasted.

To start balancing school and work with a carefully planned out schedule, you should start by researching when the classes you need are offered and start trying to eliminate any gap that may fall between your classes. Having an hour or two break between each class can quickly add up. Also, if you happen to have time off between classes, then using this time to do your homework and/or study can be a great use of your time.

Another time management tip is to try and put as many classes together in one day so that you aren’t constantly driving back and forth between school, work, and home. Balancing school and work can be hard, but it starts with creating a schedule that uses your time efficiently.

Related post: How I’m a Work-Life Balancing Master

 

Eliminate any time that may be wasted.

There are many time sucks that you may encounter each day, especially as you are balancing school and work and switching back and forth between the two. A minute here and a minute there may add up to a few hours wasted each day.

The time you save could be used towards earning more money at your job, studying, socializing, or whatever else it is that you need or want to do. For working college students, every minute is important.

There are many ways to eliminate the things that are wasting your time, including:

  • Cut down on your commute time. If you can find a job near your college campus then you can eliminate a lot of traveling time.
  • Find a way to work remotely. If you have a job that allows you to work remotely, then this can help you start balancing school and work time even better. You may even be able to work in between class breaks.
  • Prep your meals ahead of time. If you can make your meals in bulk ahead of time instead of individually making each one, you will be able to save a lot of time. Making your own meals is more than just time management for college students, as it means you will probably eat healthier and save money.
  • Be aware of how much time you spend on social media and cutback on TV. The average person wastes many, many hours each day on social media and watching TV. Cutting back on this may save you hours each day without even realizing it. TV and social media can be very distracting too, which is why it is so important to be aware of how it might be negatively impacting how you are balancing school and work.

Related post: 75 Ways To Make Extra Money

 

Separate yourself from distractions.

Time management for college students is hard, but it is even harder for working college students because there may be even more distractions.

Noise in the background, such as leaving your TV on while you study or a party your roommate may be throwing, can distract you from what you need to be doing. If you are trying to study or do homework then you should try to find a quiet place to get work done.

There are going to be so many distractions while you are working and going to college, and learning to separate yourself from those distractions will be one of the best ways to manage your time. I know it can be hard, trust me, but I also know how eliminating distractions can be a huge help.

You may want to close your bedroom door, hide the remote from yourself (trust me, this works!), go to the library, or something else. Sometimes you will have to force the distractions out, but it will help you save time and focus on what needs to be done.

Related: How To Be More Productive: 17 Tips To Help You Live A Better Life

 

Have a to-do list and a set schedule.

Having a to-do list is extremely helpful time management for college students, especially those who are working too. That’s because a to-do list will show you exactly what has to be done and when you need to do it by. You will then have your responsibilities sitting in front of you so that you will have to face reality.

You can have a to-do list that lists out your daily, weekly, or monthly tasks. You can use a planner, a notebook, Post-It notes, you can color code things, use stickers, etc. Just find a system that works for you and stick to it.

Balancing school and work will be much easier if you make a to-do list and keep a set schedule. So, write out what needs to be done each day, and knowing your schedule will keep you on task.

I know that when I am stressed out it can be easy to forget things, so having a to-do list eliminates any valuable minutes that I may waste debating about whether or not I forgot to do something.

 

Be a productive procrastinator.

We all know how bad procrastinating is, but sometimes you can actually waste your time on things that need to be done. I know that sounds strange, but it is actually quite helpful.

Here’s an example of what I mean: If you need to write a paper but find that you are procrastinating, then procrastinate by studying for a test. Now, you will still have to write that paper, but you will have already gotten the studying out of the way.

Balancing school and work is easier if you find tricks like this that make every moment you spend a productive one.

 

Take a break when you really need one.

Good time management for college students who are working often means that you are using trying to use every moment of your day as efficiently as possible. But, there are times when balancing school and work can feel extremely stressful.

In times like those, when you feel like you need a break, take a short one to help you come back refreshed and focused on what you need to do.

You can go for a walk, read a book, get in a workout, take a nap, etc. Taking a break when you need one will help prevent you from feeling burnt out, which is a danger when you are balancing school and work.

 

Find other college students who are doing the same.

I know that you aren’t the only one who is balancing school and work, and it might help you stay focused if you are able to find others who are working and going to school like you are.

Finding a friend who is doing the same can motivate you, they can help you stay on task, and you might even find someone to study with.

 

Working students in college need to be realistic.

While one person may be able to work like crazy and attend college at the same time, not everyone can do that.

If your grades are dropping, then you may want to analyze whether you should drop your hours at work or school. What is more important to you at this time and for your future? We can’t do everything always, and being realistic will help you understand your limitations so that you don’t burn out.

With the tips I’ve listed that help with time management for college students who are also working, you’ll be able to rock both your job and your college classes at the same time. Don’t forget to fit in time for fun as well. Good luck!

Are you one of the many working college students out there? Why or why not? What tips for time management for college students can you share?

The post 9 Ways To Successfully Balance School And Work appeared first on Making Sense Of Cents.

Source: makingsenseofcents.com

Shaquille O’Neal Recruits a Buyer for a Luxury $1.85M Spread in SoCal

Shaq sells in SoCalrealtor.com, Paras Griffin/Getty Images

Rumor had it that the NBA superstar Shaquille O’Neal was dabbling in the art of home flipping, when he put his luxurious home in a gated equestrian community in Bell Canyon, CA, on the market for $2.5 million in late 2019.

The big man purchased the place in February 2018 for $1,815,000, and owned the home for only a little more than a year before he decided to sell.

However, if Shaq harbors dreams of an HGTV spinoff show, he’ll have to improve his return on investment. He recently let the home go for $1.85 million.

The five-bedroom, 4.5-bathroom, traditional-style home is on a fenced and gated acre lot, ideal for an owner who craves privacy.

Shaquille O’Neal’s SoCal spread

realtor.com

Overhead view

realtor.com

O’Neal perked up the 5,217-square-foot home with new carpeting, fresh paint, customized closets, and improved landscaping. The home was originally built in 1990, and its HVAC system, garage door, and some of the plumbing were also updated.

Living room
Living room

realtor.com

There’s plenty of proof of the property’s provenance. O’Neal’s images, trophies, and mementos greet visitors the second they set foot in the grand black-and-white, two-story formal entry, with a large staircase and circular gallery.

Grand entry hall

realtor.com

The home has a number of highlights: a wide-open floor plan, beamed ceilings, and hillside views. The kitchen, however, is the true showstopper, according to the listing agent, Emil Hartoonian of The Agency.

“Buyers loved the kitchen and its brightness. They also loved the open living space, with no shortage of natural light and flow,” he says.

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Watch: NBA’s Blake Griffin Nets Another Home In Los Angeles

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The kitchen has marble counters, a large center island, built-in stainless steel appliances, and designer cabinetry.

Kitchen

Other luxe features in the residence include a wine closet and wet bar in the great room, a media room with a convenient kitchenette, a screening room, and a spacious office with splendid views.

Home office

realtor.com

Plush screening room

realtor.com

The luxury spills into the outdoor spaces as well. Out back, there’s a rock-rimmed heated pool and spa, a fire pit, multiple seating areas, and manicured lawns.

Pool and spa

“We presented this property in the light it deserved, and helped buyers see the true value of a premier updated property behind guard-gates,” Hartoonian says.

He co-listed the property with Nicholas Siegfried, also of The Agency. Gary Keshishyan Pinnacle Properties represented the buyers.

But wait—there’s more. O’Neal’s sale in Southern California isn’t his only recent real estate success.

The famous “Shaq-apulco” in Windermere, FL, which has been on and off the market at varying prices over the past couple of years, appears to have found a buyer.

Shaquille O’Neal’s Florida estate

realtor.com

O’Neal first put the massive estate on the market in 2018, for $28 million. It was most recently listed at $16.5 million, and a sale is now pending on the 4-acre waterfront property, with its 31,000-square-foot mansion.

O’Neal, 48, is reportedly spending more time in Atlanta with his NBA on TNT gig. The Hall of Famer won four NBA titles during his 19-year NBA career.

The post Shaquille O’Neal Recruits a Buyer for a Luxury $1.85M Spread in SoCal appeared first on Real Estate News & Insights | realtor.com®.

Source: realtor.com

Prepare Yourself for the Future of Work

The future of work has been on our collective minds for some time.

Technically, you never arrive in the future. It’s always, by definition, ahead of you. Yet months into a global pandemic that has triggered major changes to how we work, many experts are saying the future of work is hurtling towards us.

I sat down with Vice President of People and Communities at Cisco Systems, Elaine Mason. Elaine is a well-read deep thinker on the subject of the future of work, and I invited her to share her own research-based reflections on the changes we’ve seen so far, and what may still be to come.

And no matter what your job, career stage, or aspiration, Elaine shared plenty of tangible advice you can put to work today to prepare for your future professional success.

We focused our conversation on four trends that have been particularly relevant in 2020. These were:

  1. The remote workforce
  2. Diversity and Inclusion as part of corporate strategy
  3. Movement in the gig economy
  4. Shifts in corporate structure and hierarchy

The future of work and the remote workforce

Remote work could be here to stay

As I write this piece in my dining room—while my kids homeschool in their bedrooms—I’m aware that working virtually has become the norm for many across the globe.

Prior to the pandemic, company philosophies on remote work were all over the map. Some organizations have worked virtually for years. Many others resisted the trend.

The world of work has probably fundamentally changed.

But as Elaine describes the current state of virtual work, “With the rare exceptions of lab work, manufacturing, healthcare, [and other frontline professions] the majority of us are now [commuting]… seven feet from our beds to our offices.”

“The world of work has probably fundamentally changed,” she says.

Companies that had previously been cynical of virtual work have been forced to acknowledge that things are getting done. In many cases, executives report higher levels of productivity than ever.

But Elaine warns that studies on productivity are not yet conclusive. Some show productivity is up. Others, however, contend that work time is up, but actual productivity is down. The jury remains out.

So what’s next in the world of virtual work and productivity?

The purpose of the traditional office will evolve

Elaine predicts that virtual work is here to stay … sort of. The way we use the traditional office will likely shift.

"Workspaces will be used more like community service centers," she said. "What you're [likely] to see is those large campuses for a lot of organizations… will probably shrink, and the use of that space will be more event-based or point-in-time-based."

Workspaces will be used more like community service centers … and the use of that space will be more event-based or point-in-time-based.

In other words, there will be an office to go to, but it won’t necessarily be everyone’s default. You’ll go if and when a project or occasion calls for an in-person working session.

The good news? “If you're a new Yorker,” she offers, “that's been dying to live in Wyoming, this [may be] your chance.”

The concept of productivity will evolve

As Elaine points out, the measurement of virtual productivity is messy. Many companies measure by the amount of time employees spend on screens. By that measure, productivity is going up. But so is burnout.

Wearable technologies (think augmented and virtual reality) will allow companies to better measure how employees engage with their work.

In the future, she explains, we will begin to see a shift toward wearable technologies (think augmented and virtual reality) that will allow companies to better measure how employees engage with their work beyond staring at screens.

We’ll see a more complex definition of productivity grounded in actual outcomes versus just minutes online.

HOW YOU CAN PREPARE

  • Rethink your geography. If you want to make a move, this may be your moment.
  • Consider your priorities. Let go of the mindset that busyness equals productiveness. What impact do you want to have, and what work do you need to prioritize in service of that?

The future of work and Diversity and Inclusion

While the pandemic has challenged companies to figure out remote work on the fly, social justice happenings have pushed Diversity and Inclusion to the forefront of corporate priorities.

Progressive organizations are weaving Diversity and Inclusion into the fabric of their business strategies.

Elain says, "Companies are focusing on the triple bottom line: People, Profit, Planet… putting social justice into how they operate.”

So what does this look like in practice?

According to Elaine, companies are moving away from having standalone diversity strategies and departments. Progressive organizations are weaving Diversity and Inclusion into the fabric of their business strategies.

Employee Resource Groups (ERG’s) are a great example of this trend. ERG’s are voluntary, employee-led groups within organizations that aim to foster a diverse, inclusive workplace. Each group typically includes participants who share a characteristic such as gender identification or ethnicity. 

Employee Resource Groups are no longer just there to serve participants—they are informing company investment decisions.

At Cisco, Elaine says, the executive leadership team has started meeting quarterly with ERG’s to understand their experiences and incorporate their ideas into business decisions. These ERG’s, in other words, are no longer just there to serve participants—they are informing company investment decisions.

ERG recommendations are helping to shape product development and positioning and marketing strategy, all of which contribute to top and bottom lines.

Organizations like Twitter are beginning to compensate ERG leaders—historically these have been volunteer roles—in recognition of their strategic value.

HOW YOU CAN PREPARE

  • Lean into diversity. Don’t just pay it lip service, but be proactive in engaging with a variety of voices and experiences.
  • Be humble. Know you’ll make mistakes along the way. “Listen. And assume you don’t know [things],” Elaine says.

The future of work and the gig economy

“Gig is having fits and starts,” Elaine said. She described the tension that many American workers face between desiring the independence of gig work but also relying on the healthcare and benefits provided by full-time employment.

Job insecurity will continue to push people to consider going out on their own, while the need for employer-provided health insurance will challenge that choice.

And she believes that tension will keep the gig economy in the US in fits-and-starts mode. Job insecurity will continue to push people to consider going out on their own, while the need for employer-provided health insurance will challenge that choice.

HOW YOU CAN PREPARE

  • Be incredibly clear about what you’re qualified to do. What do you want to do? Where those things overlap? “This requires a good degree of self-awareness and an understanding of what [you’re] known for today."
  • Decide where you need to invest. Are there experiences, credentials, references you need to accumulate? Do those things early.
  • Focus on standing out. If you do business strategy consulting, for example, is there a unique angle you can offer to help yourself stand out from other such consultants? Differentiation will matter more as the gig economy grows.

The future of work and shifts in corporate structure and hierarchy

Recent years have revealed a good deal of pendulum swinging when it comes to how much structure and hierarchy is best.

“There was a real trend in the last decade,” Elaine explained “of breaking down structures [and] silos.” She described how online shoe-retailer Zappos experimented with the Holocracy—a means of giving decision authority to groups and teams rather than individuals. (Spoiler: they’ve since moved away from this un-structure.)

Companies, in Elaine’s opinion, are working to determine the ideal balance of hierarchy and freedom. And the previous trends we discussed are having a big impact on that decision.

Everyone is trying to design for agility and resilience, two of today’s buzziest words.

So while some companies are leaning toward structure and hierarchy while others lean away, the common thread she sees is that everyone is trying to design for agility and resilience, two of today’s buzziest words.

There’s nothing like a global pandemic to remind a company that it needs to be ready for absolutely anything. As organizations assess how they’re organized, they’re asking questions like “How fast can we recover? What contingencies do we have in place? What plan Bs and plan Cs do we have?” 

Elaine doesn’t know exactly what structure the organization of the future will take on. But she does offer some actionable wisdom.

HOW YOU CAN PREPARE

  • Gain new skills. Whatever your role, function, or industry, upskill yourself on being ready for change at any moment
  • Think broadly about what “career progression” means for you. As companies evolve, titles and promotions may no longer be the thing to shoot for.

For Elaine, she measures her own progression through three lenses that you too might consider:

  • Economic. How much money do you want or need to make?
  • Impact. "How close are you to positions of power and authority that allow you to make the largest impact on an organization?"
  • Personal growth. Are you learning new things as you go?

And there you have it. No one, not even the great Elaine Mason, can predict the future. But there are some actions you can take that will be sure to serve you, no matter what the years ahead might look like.

Source: quickanddirtytips.com

Accredited Asset Management Specialist (AAMS)

What is the AAMS certification?New financial advisors need something to help them stand out. Consequently, the AAMS does just that. Designed for newcomers to the financial advice business, the AAMS trains advisors to identify investment opportunities as well as help clients with other financial goals. It also gives more experienced advisors a fast and simple way to learn more about asset management and improve their credentials. Here’s how it works.

AAMS Defined

An Accredited Asset Management Specialist (AAMS) can advise clients on college savings, taxes, and retirement savings. The course and tests for this certification are designed to ensure advisors can assist clients with their complete financial needs. It emphasizes evaluating the client’s assets and making appropriate recommendations.

The AAMS certification is granted by the College for Financial Planning, a unit of the Kaplan Company. The college oversees a large number of financial certification programs, including the Certified Financial Planner designation, one of the most valued certifications in the field.

AAMS Certification Requirements

What is the AAMS certification?

To receive an AAMS, students first have to complete a 10-module education program provided by the College for Financial Planning. Then they have to pass an examination. Finally, they must agree to abide by a code of ethics and promise to continue their education.

The courses are online and can be delivered in self-study or instructor-led formats. Courses are open-enrollment, therefore students can begin at any time without waiting for the next session.  The 10 modules cover the following material:

1.:The Asset Management Process

2. Risk, Return & Investment Performance

3. Asset Allocation & Selection

4. Investment Strategies

5. Taxation of Investments

6. Investing for Retirement

7. Deferred Compensation and Other Benefit Plans

8. Insurance Products for Investment Clients

9. Estate Planning for Investment Clients

10. Fiduciary, Ethical, and Regulatory Issues for Advisors

The College of Financial Planning provides everything necessary to study for and complete the modules and take the test. Students have access to the study materials and tests through an online portal.

Streaming video lectures, audio files, and interactive quizzes also can be found through the college’s site. Meanwhile, students can access live classes online and contact professors with questions and issues.

The AAMS Test

To get the AAMS certification, students have to pass just one test. However, they have to make their first attempt at the test within six months of enrollment and pass it within a year.

The fee for the first attempt at taking the test is included in the course tuition. There are no prerequisites for signing up to take the AAMS course.

Time and Money Requirement

Tuition for the AAMS courses is $1,300. This includes the fee for the first attempt at passing the certification exam. It also includes all needed course materials. Each additional attempt costs $100.

Students employed with certain financial services firms may be able to get tuition discounts. The college may also provide scholarships.

The College for Financial Planning recommends students plan to spend 80 hours to 100 hours on the course. Since the course is self-study, this amount of time is flexible.

To maintain AAMS certification students have to commit to completing 16 continuing education credits every two years. Also, continuing education has to cover one or more of the topics covered in the AAMS coursework.

AAMS certificate holders also have to agree to follow a professional standard of conduct. As a result, they have to maintain integrity, objectivity, competency, confidentiality and professionalism in providing financial services.

AAMS Certificate Holder Jobs

AAMS certificates are generally earned by entry-level workers in the financial advice business. Consequently, AAMS holders are typically trainees. In some cases, they may provide support services to more experienced and highly credentialed advisors.

The AAMS designation does not confer any special powers or privileges. Instead, it’s an optional credential that students may obtain to advance their careers and enhance their knowledge of financial advice.

Comparable Certifications

What is the AAMS certification?

In addition to the AAMS, the College for Financial Planning offers an Accredited Wealth Manager Advisor (AWMA) certificate. This is a somewhat more advanced designation. As a result, it requires a course equivalent to three graduate level college credits and requires 90 hours to 135 hours to complete.

Chartered Mutual Fund Counselor (CMFC) is sponsored by the Investment Company Institute along with the College of Financial Planning. It is similar to the AAMS certificate except it focuses on mutual fund assets.

Accredited Financial Counselor (AFC) is a general personal finance advice certificate from the Association for Financial Counseling and Planning Education. First, it requires 1,000 hours of financial counseling experience. Secondly, it demands three letters of reference. Finally, applicants must both complete coursework and pass an exam.

Bottom Line

The AAMS designation is usually for newly minted financial advisors, but even experienced pros can use it to bulk up their credentials. The courses and tests associated with the AAMS teach advisors how to evaluate assets and make recommendations.

While this certification doesn’t give an advisor any real powers, it’s a sign that they can identify investment opportunities specific to their clients. Above all else, it can be a great relief to a client who has a child going to college or a retirement house on their wish list. As a result of obtaining an AAMS, and advisor can point them toward the right investments for their goals.

Investing Tips

  • If you’re looking to identify investment opportunities, consider using an AAMS as your advisor. Finding the right financial advisor that fits your needs doesn’t have to be hard. SmartAsset’s free tool matches you with financial advisors in your area in 5 minutes. If you’re ready to be matched with local advisors that will help you achieve your financial goals, get started now.
  • An AAMS can help you with college savings, taxes, and retirement savings if you know what your goals are. However, if you are unsure how much you want to invest, what your risk tolerance is, or how inflation and capital gains tax will affect your investment, SmartAsset’s investing guide can help you take the first steps.

Photo credit: ©iStock.com/SARINYAPINNGAM, ©iStock.com/fizkes, ©iStock.com/Suwanmanee99

The post Accredited Asset Management Specialist (AAMS) appeared first on SmartAsset Blog.

Source: smartasset.com

Everything You Need to Know About Budgeting As a Freelancer

Could logging in to your computer from a deluxe treehouse off the coast of Belize be the future of work? Maybe. For many, the word freelance means flexibility, meaningful tasks and better work-life balance. Who doesn’t want to create their own hours, love what they do and work from wherever they want? Freelancing can provide all of that—but that freedom can vanish quickly if you don’t handle your expenses correctly.

“A lot of the time, you don’t know about these expenses until you are in the trenches,” says freelance copywriter Alyssa Goulet, “and that can wreak havoc on your financial situation.”

Nearly 57 million people in the U.S. freelanced, or were self-employed, in 2019, according to Upwork, a global freelancing platform. Freelancing is also increasingly becoming a long-term career choice, with the percentage of freelancers who freelance full-time increasing from 17 percent in 2014 to 28 percent in 2019, according to Upwork. But for all its virtues, the cost of being freelance can carry some serious sticker shock.

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“There are many hats you have to wear and expenses you have to take on, but for that you’re gaining a lot of opportunity and flexibility in your life.”

– Alyssa Goulet, freelance copywriter

Most people who freelance for the first time don’t realize that everything—from taxes to office supplies to setting up retirement plans—is on them. So, before you can sustain yourself through self-employment, you need to answer a very important question: “Are you financially ready to freelance?”

What you’ll find is that budgeting as a freelancer can be entirely manageable if you plan for the following key costs. Let’s start with one of the most perplexing—taxes:

1. Taxes: New rules when working on your own

First things first: Don’t try to be a hero. When determining how to budget as a freelancer and how to manage your taxes as a freelancer, you’ll want to consult with a financial adviser or tax professional for guidance. A tax expert can help you figure out what makes sense for your personal and business situation.

For instance, just like a regular employee, you will owe federal income taxes, as well as Social Security and Medicare taxes. When you’re employed at a regular job, you and your employer each pay half of these taxes from your income, according to the IRS. But when you’re self-employed (earning more than $400 a year in net income), you’re expected to file and pay these expenses yourself, the IRS says. And if you think you will owe more than $1,000 in taxes for a given year, you may need to file estimated quarterly taxes, the IRS also says.

That can feel like a heavy hit when you’re not used to planning for these costs. “If you’ve been on a salary, you don’t think about taxes really. You think about the take-home pay. With freelance, everything is take-home pay,” says Susan Lee, CFP®, tax preparer and founder of FreelanceTaxation.com.

When learning how to budget as a freelancer it’s necessary to estimate your income and expenses before setting aside savings for tax payments.

When you’re starting to budget as a freelancer and determining how often you will need to file, Lee recommends doing a “dummy return,” which is an estimation of your self-employment income and expenses for the year. You can come up with this number by looking at past assignments, industry standards and future projections for your work, which freelancer Goulet finds valuable.

“Since I don’t have a salary or a fixed number of hours worked per month, I determine the tax bracket I’m most likely to fall into by taking my projected monthly income and multiplying it by 12,” Goulet says. “If I experience a big income jump because of a new contract, I redo that calculation.”

After you estimate your income, learning how to budget as a freelancer means working to determine how much to set aside for your tax payments. Lee, for example, recommends saving about 25 percent of your income for paying your income tax and self-employment tax (which funds your Medicare and Social Security). But once you subtract your business expenses from your freelance income, you may not have to pay that entire amount, according to Lee. Deductible expenses can include the mileage you use to get from one appointment to another, office supplies and maintenance and fees for a coworking space, according to Lee. The income left over will be your taxable income.

Pro Tip:

To set aside the taxes you will need to pay, adjust your estimates often and always round up. “Let’s say in one month a freelancer determines she would owe $1,400 in tax. I’d put away $1,500,” Goulet says.

2. Business expenses: Get a handle on two big areas

The truth is, the cost of being freelance varies from person to person. Some freelancers are happy to work from their kitchen tables, while others need a dedicated workspace. Your freelance costs also change as you add new tools to your business arsenal. Here are two categories you’ll always need to account for when budgeting as a freelancer:

Your workspace

Joining a coworking space gets you out of the house and allows you to establish the camaraderie you may miss when you work alone. When you’re calculating the cost of being freelance, note that coworking spaces may charge membership dues ranging from $20 for a day pass to hundreds of dollars a month for a dedicated desk or private office. While coworking spaces are all the rage, you can still rent a traditional office for several hundred dollars a month or more, but this fee usually doesn’t include community aspects or other membership perks.

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If you want to avoid office rent or dues as costs of being freelance but don’t want the kitchen table to pull double-duty as your workspace, you might convert another room in your home into an office. But you’ll still need to outfit the space with all of your work essentials. Freelance copywriter and content strategist Amy Hardison retrofitted part of her house into a simple office. “I got a standing desk, a keyboard, one of those adjustable stands for my computer and a squishy mat to stand on so my feet don’t hurt,” Hardison says.

Pro Tip:

Start with the absolute necessities. When Hardison first launched her freelance career, she purchased a laptop for $299. She worked out of a coworking space and used its office supplies before creating her own workspace at home.

Digital tools

There are a range of digital tools, including business and accounting software, that can help with the majority of your business functions. A big benefit is the time they can save you that is better spent marketing to clients or producing great work.

The software can also help you avoid financial lapses as you’re managing the costs of being freelance. Hardison’s freelance business had ramped up to a point where a manual process was costing her money, so using an invoicing software became a no-brainer. “I was sending people attached document invoices for a while and keeping track of them in a spreadsheet,” Hardison says. “And then I lost a few of them and I just thought, ‘Oh, my God, I can’t be losing things. This is my income!’”

As you manage the cost of being freelance, consider digital tools and accounting services to keep track of invoices, payments and income.

Digital business and software tools can help manage scheduling, web hosting, accounting, audio/video conference and other functions. When you’re determining how to budget as a freelancer, note that the costs for these services depend largely on your needs. For instance, several invoicing platforms offer options for as low as $9 per month, though the cost increases the more clients you add to your account. Accounting services also scale up based on the features you want and how many clients you’re tracking, but you can find reputable platforms for as little as $5 a month.

Pro Tip:

When you sign up for a service, start with the “freemium” version, in which the first tier of service is always free, Hardison says. Once you have enough clients to warrant the expense, upgrade to the paid level with the lowest cost. Gradually adding services will keep your expenses proportionate to your income.

3. Health insurance: Harnessing an inevitable cost

Budgeting for healthcare costs can be one of the biggest hurdles to self-employment and successfully learning how to budget as a freelancer. In the first half of the 2020 open enrollment period, the average monthly premium under the Affordable Care Act (ACA) for those who do not receive federal subsidies—or a reduced premium based on income—was $456 for individuals and $1,134 for families, according to eHealth, a private online marketplace for health insurance.

“Buying insurance is really protecting against that catastrophic event that is not likely to happen. But if it does, it could throw everything else in your plan into a complete tailspin,” says Stephen Gunter, CFP®, at Bridgeworth Financial.

Budgeting as a freelancer allows you to select a healthcare plan that best suits your employment status, income and relationship status.

A good place to start when budgeting as a freelancer is knowing what healthcare costs you should budget for. Your premium—which is how much you pay each month to have your insurance—is a key cost. Note that the plans with the lowest premiums aren’t always the most affordable. For instance, if you choose a high-deductible policy you may pay less in premiums, but if you have a claim, you may pay more at the time you or your covered family member’s health situation arises.

When you are budgeting as a freelancer, the ACA healthcare marketplace is one place to look for a plan. Here are a few other options:

  • Spouse or domestic partner’s plan: If your spouse or domestic partner has health insurance through his/her employer, you may be able to get coverage under their plan.
  • COBRA: If you recently left your full-time job for self-employment, you may be able to convert your employer’s group plan into an individual COBRA plan. Note that this type of plan comes with a high expense and coverage limit of 18 months.
  • Organizations for freelancers: Search online for organizations that promote the interests of independent workers. Depending on your specific situation, you may find options for health insurance plans that fit your needs.

Pro Tip:

Speak with an insurance adviser who can help you figure out which plans are best for your health needs and your budget. An adviser may be willing to do a free consultation, allowing you to gather important information before making a financial commitment.

4. Retirement savings: Learn to “set it and forget it”

Part of learning how to budget as a freelancer is thinking long term, which includes saving for retirement. That may seem daunting when you’re wrangling new business expenses, but Gunter says saving for the future is a big part of budgeting as a freelancer.

“It’s kind of the miracle of compound interest. The sooner we can get it invested, the sooner we can get it saving,” Gunter says.

He suggests going into autopilot and setting aside whatever you would have contributed to an employer’s 401(k) plan. One way to do this might be setting up an automatic transfer to your savings or retirement account. “So, if you would have put in 3 percent [of your income] each month, commit to saving that 3 percent on your own,” Gunter says. The Discover IRA Certificate of Deposit (IRA CD) could be a good fit for helping you enjoy guaranteed returns in retirement by contributing after-tax (Roth IRA CD) or pre-tax (traditional IRA CD) dollars from your income now.

Pro Tip:

Prioritize retirement savings every month, not just when you feel flush. “Saying, ‘I’ll save whatever is left over’ isn’t a savings plan, because whatever is left over at the end of the month is usually zero,” Gunter says.

5. Continually update your rates

One of the best things you can do for yourself in learning how to budget as a freelancer is build your costs into what you charge. “As I’ve discovered more business expenses, I definitely take those into account as I’m determining what my rates are,” Goulet says. She notes that freelancers sometimes feel guilty for building business costs into their rates, especially when they’re worried about the fees they charge to begin with. But working the costs of being freelance into your rates is essential to building a thriving freelance career. You should annually evaluate the rates you charge.

Because your expenses will change over time, it’s wise to do quarterly and yearly check-ins to assess your income and costs and see if there are processes you can automate to save time and money.

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“A lot of the time, you don’t know about these expenses until you are in the trenches, and that can wreak havoc on your financial situation.”

– Alyssa Goulet, freelance copywriter

Have confidence in your freelance career

Accounting for the various costs of being freelance makes for a more successful and sustainable freelance career. It also helps ensure that those who are self-employed achieve financial stability in their personal lives and their businesses.

“There are many hats you have to wear and expenses you have to take on,” Goulet says. “But for that, you’re gaining a lot of opportunity and flexibility in your life.”

The post Everything You Need to Know About Budgeting As a Freelancer appeared first on Discover Bank – Banking Topics Blog.

Source: discover.com

A QDT Q&A With Ken Kwapis

Quick and Dirty Tips: Your rap sheet of shows and movies you've directed includes notable episodes and films such as #BlackAF, Sisterhood of the Traveling Pants, The Office, Malcolm in the Middle, and He Said, She Said.  Can you share a few highlights and memorable moments? Would you say any of these movies or films was a gamechanger for your career?

Ken Kwapis: My very first feature film, Sesame Street Presents: Follow That Bird, is the story of Big Bird’s journey of self-discovery. Imagining he’d be happier living with his own kind, Bird decamps for a small town in the Midwest, where he moves in with a foster bird family. He soon realizes how much he misses Sesame Street, where a diverse group of all kinds—humans, monsters, grouches—live in harmony. It’s a message that’s as vital now as it was in 1985, when I directed the film. Why was this film a gamechanger for me? I connected to Big Bird’s emotional journey on a very personal level; in retrospect, I now see that it took an eight-foot bird to teach me that my job as a director was to become a student of human nature.

QDT:  How does your directing style change between movies and TVs and the type of show/movie you're working on (rom-com, comedy, etc)? Do you have to adapt to the genre?

KK: Whether directing comedy or drama, I try to find the humanity in any given scene. Put a different way, when I direct comedic material I look for ways to ground the scene in reality. And when I'm working on a dramatic piece, I look for humor to leaven the drama. There’s always humor hiding in the drama, waiting for a good director to discover.

Working in Hollywood, the biggest lesson I’ve learned is that you need to measure success on your own terms, not Hollywood’s.

QDT: What content (books, movies, essays, etc.) should college-aged and young adults be consuming if they want to work in film or media?

KK: There are so many ways to answer this question. Let me focus on filmmakers who are noteworthy for their understanding of the human condition. I urge you to get acquainted with directors who have a talent for putting truthful human behavior on the screen. There are many to choose from, but you could do a lot worse than luxuriating in the works of William Wyler, John Cassavetes, Yasujiro Ozu, Ernst Lubtisch, Mike Leigh, Max Ophuls, and Akira Kurosawa.

QDT: What has been the most important piece of advice you've ever received or the most important lesson you've learned?  

KK: Working in Hollywood, the biggest lesson I’ve learned is that you need to measure success on your own terms, not Hollywood’s. You can’t control the outcome of your efforts. You can’t control how many people buy a ticket at the box office. You can’t control what the critics say. What you can control is the process of making a film or television show, and my personal yardstick for success is whether or not I improve the process from project to project.

QDT: Do you have any advice for aspiring directors, writers, actors, or anyone who wants to work in the film industry?

KK: The most important thing to remember is that passion wins the day every time. I can’t tell you how to get your foot in the door, but once you do, the key is to impress upon prospective employers that you are passionate about a given project—be it a prestigious feature film or a commercial for dental floss. Passion wins the day.

Source: quickanddirtytips.com

The Average Salary of an Architect

The Average Salary of an Architect

The average salary of an architect is $76,100 per year.

Have you ever wondered how much an architect earns? Becoming an architect requires an investment of money and time, but pays off in the form of a rewarding career that comes with above-average earnings. And for those lucky few who become “starchitects,” it’s a path to fame. Let’s take a closer look at the average salary of an architect. 

The Average Salary of an Architect: The Basics

The Bureau of Labor Statistics (BLS) finds that the average salary of an architect was $76,100 per year, $36.59 per hour in 2015. There is wide range of architect salaries, however. The top 10% of architects earn an average salary of $125,520 per year, $60.34 per hour. The bottom 10% of architects earn an average salary of $46,080 per year, $22.15 per hour.

Architects’ salaries are fairly high, but what do the future job prospects look like for architects? The BLS releases a “job outlook” for the fields it studies. The job outlook predicts the percent by which the number of people in a given job will grow between 2014 and 2024. For architects, the BLS job outlook is 7%, which is around the average for all the jobs the BLS studies. The field isn’t shrinking, but it’s not growing at faster-than-average rates either.

Related Article: The Average Salary of a Doctor 

Where Architects Make the Most

The Average Salary of an Architect

The BLS examines state- and metro-level data on earnings, too. Where does it pay the most to be an architect? According to BLS data, the top-paying state for architects is California, where the annual mean wage for architects is $97,880. Other high-paying states for architects are Georgia ($93,940), Massachusetts ($90,430), New Jersey ($89,130) and Minnesota ($88,680).

What about metro areas? The top-paying metro area for architects is West Palm Beach-Boca Raton-Delray Beach, FL, where the mean annual wage for architects is $117,870. Other high-paying metro areas for architects are Santa Maria-Santa Barbara, CA; Oxnard-Thousand Oaks-Ventura, CA; Syracuse, NY and Oakland-Hayward-Berkeley, CA.

Related Article: The Cost of Living in California

The Cost of Becoming an Architect

The first step to becoming an architect is to earn a bachelor’s or master’s degree in architecture. A poll by the American Institute of Architecture Students (AIAS) found that poll respondents (all architecture school graduates) had an average post-graduation student debt of $40,000. The students also reported spending thousands on extra costs such as modeling materials, textbooks and more.

After obtaining a degree (often a five-year degree), budding architects do an average of three years at an architecture internship. Finally, they must take the Architect Registration Exam (ARE). That means that even the fastest path to becoming an architect in the U.S. takes eight years, but most people take around 11 years. In the meantime, most of these aspiring architects are paying back student loans. The ARE also comes with stiff fees. Depending on which version of the exam you take, the exam fee itself is either $1,470 or $1,260. If you have to cancel your exam, the fees you pay are non-refundable.

Bottom Line

The Average Salary of an Architect

The job of an architect comes with glamour and prestige, as well as a high salary and a solid job outlook. However, the path to becoming an architect is a long and expensive one and not everyone who wants to become an architect makes it through the multi-year process. Still, if you have the discipline, talent and funds architecture is a financially rewarding career path.

Update: Have financial questions beyond an architect’s average salary? SmartAsset can help. So many people reached out to us looking for tax and long-term financial planning help, we started our own matching service to help you find a financial advisor. The SmartAdvisor matching tool can help you find a person to work with to meet your needs. First you’ll answer a series of questions about your situation and goals. Then the program will narrow down your options from thousands of advisors to up to three registered investment advisors who suit your needs. You can then read their profiles to learn more about them, interview them on the phone or in person and choose who to work with in the future. This allows you to find a good fit while the program does much of the hard work for you.

Photo credit: Â©iStock.com/Geber86, Â©iStock.com/vgajic, Â©iStock.com/monkeybusinessimages

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Source: smartasset.com

Chipotle to Hold Nationwide Hiring Event to Fill 15K New Jobs

Chipotle is kicking off the new year with a nationwide hiring blitz. With hundreds of new restaurants in the works, the fast-casual Mexican food chain plans to fill 15,000 new openings, according to the hiring announcement. To make headway on those recruitment efforts, all Chipotle locations are holding a “Coast to Coast” career event Jan. […]

This was originally published on The Penny Hoarder, which helps millions of readers worldwide earn and save money by sharing unique job opportunities, personal stories, freebies and more. The Inc. 5000 ranked The Penny Hoarder as the fastest-growing private media company in the U.S. in 2017.

Source: thepennyhoarder.com