Simplicity Digital Advisor
2020 is the Year to be Money Savvy
Definition of Savvy: having or showing perception, comprehension, or shrewdness especially in practical matters.
Money Savvy: smart with money, money-wise, financially astute, shrewd.
If you started saving for retirement early you are money savvy and, chances are you’ll hit your retirement goal. However, if you’re like most Americans, you didn’t start right away and will need to plan for a possible retirement savings shortfall. How can you make up the difference? Don’t put off saving more later, start now! Now is the time to start maximizing your savings, while you still have time to make up the difference. Review your saving and spending habits and assess what you can do to save more this year:
Aging in Place: Growing Older at Home
The U.S. population continues on growing older, with the baby boomer generation now the largest generation ever. By 2035, one in three heads of households will be someone age 65 and older. The American population will have one in five people age 65 or older, an increase of 30 million people over the next thirty years. Not all people in this group have recovered from The Great Recession, leaving them with lower incomes and homeownership rates than previous generations. As our population ages, the demand for affordable housing connected to accessible services will continue to increase, and many will find their own homes the only affordable option.
Until Debt Do Us Part
The thought the division of joint debt discussed when saying “I do,” to any relationship. For couples that combine both assets and liabilities, a split signals the dilemma of dividing both. About half of all marriages in the U.S. end, according to the American Psychological Association, making debt a significant hindrance to financial security for some divorcees.
Retirement Plan Contribution Limits Increase in 2020
In November 2019, the Internal Revenue Service (IRS) announced the cost of living adjustments for 2020 for most retirement savings plans. However, IRA contribution limits will stay the same. If you plan to make the maximum contributions to your retirement plan in 2020, here’s what you need to know:
10 Financial Tasks To Complete Before 2020 (Yes, You Have Time)
Here we are, already to the end of 2019! The end of a year and the start of a new one is when most people decide to clean up and implement changes in some areas of their lives. Whether it is financial or health-related, starting the New Year off with tasks completed feels good! Here are ten financial tasks that can make a difference to you now, and later:
Understanding Fixed Income: For Today and the Future
Fixed income is something many Americans don’t understand, according to the 2019 survey, “Fixed Income, Not Fixed Thinking,” by BNY Mellon Investment Management, one of the largest asset managers in the world. The study revealed that the majority of Americans surveyed have a limited understanding of fixed income investments, regardless of age, income, education level, and other demographics. The lack of understanding ranged from bonds, different fixed-income solutions including fixed-income insurance products, comprehending how fixed-income plays into retirement planning, and understanding its risk in comparison to other asset classes.
Dare to Dream: Your Success Depends on It
Dreaming and goal setting are interrelated; first, you dream about what you want, then you determine how to obtain it. Our dreams should help guide us to make the right choices at the right time and in the proper manner. But merely dreaming about something is not enough; we must set goals to achieve it. In psychology, goal setting refers to a successful plan of action that we set for ourselves.
Psychologist Frank L. Smoll, a Ph.D. and working psychologist at the University of Washington, emphasized through his studies the three essential features of goal-setting, which he calls the A-B-Cs of goals. Smoll said that effective goals are:
Is Lowering Interest Rates Good for the Economy and the Markets?
In this article we look at the effect lowering interest rates can have on the economy and the markets. Interest rates can have a positive or a negative effect on the U.S. economy, the stock markets, and your investments. When The Fed changes the Federal Funds Rate (the rate at which banks can borrow money to lend to businesses or you), it creates a ripple effect.
The raising and lowering of the Fed Funds Rate is the role the Fed plays in stimulating the economy. In theory, the lowering of interest rates should help boost the U.S. economy by encouraging borrowing and spending. Therefore consumers and businesses are more willing to make big purchases. Whereas higher interest rates slow down borrowing and restrict the flow of money into the economy.
Today’s Pre-Retirees: Financial Planning with a Contingency Plan
Financial planning with a contingency plan is a requirement for all those who expect to retire at some point. The demographics of retirement and a ‘retired person’ is rapidly changing worldwide. Over the past 200 years, there have been remarkable changes in health and wealth around the globe. Now, there is a converging demographic between countries, thanks to world aid and trade, and technology. Human life expectancy is increasing; in just the United States, thirty years have been added to our life expectancy over the past 100 years.
Retirement is no longer viewed as winding down one’s life like it was in the 1950s. Today’s pre-retirees are making plans for their second phase of life. According to Age Wave, the nation’s foremost thought leader on issues relating to an aging population, today’s pre-retirees view retirement as an ‘Aspirational Life Stage’:
World Trade: Is It Just Regulated Politics?
StaThe World Trade Organization (WTO) is the only global international organization dealing with the rules of trade on a worldwide scale. It is a place for member countries to settle arguments and negotiate trade deals. But what happens when negotiations between two counties go awry, and tariffs continue to apply for long periods? The WTO can only intervene when its members create undesirable consequences for one another by disputing or blocking economic development and citizen’s well-being.
This is important for all Americans, as the flow of trade domestically and abroad impacts the profitability and returns in our portfolios and personal savings. We continue to invest in global economies, even when world politics and trade disputes have far-reaching effects.