American Consumer News » financial planning http://www.americanconsumernews.com News for Consumers in Changing Times Tue, 31 Jan 2012 21:06:28 +0000 en hourly 1 http://wordpress.org/?v=3.3.1 Consumers Advised To Prepare for the Unexpected http://www.americanconsumernews.com/2009/09/consumers-advised-to-prepare-for-the-unexpected.html http://www.americanconsumernews.com/2009/09/consumers-advised-to-prepare-for-the-unexpected.html#comments Fri, 04 Sep 2009 15:02:27 +0000 Debbie http://www.americanconsumernews.com/?p=2995 Consumers Advised To Prepare for the Unexpected was created by and is property of American Consumer News.

]]> Those with family members who are diagnosed with Alzheimer’s or other related mental disorders are also hit with parent debtother difficulties.  These difficulties are in the legal and financial areas of life. Just as a child cannot make decisions for him or herself regarding these topics, so also, those who have been diagnosed with one of several cognitive disabilities find themselves in the same position. Planning is the key to making sure that there is a method in place to allow the flow of decision-making by those who care for those with mental disorders.
Start Early    Those who are married need to address this topic and devise a plan to handle such issues should they arise.  This can be a part of their end-of-life planning that is done as they look at retirement and all of the details that it encompasses.  Putting down on paper the methods to be employed will help remove ambiguity later on.  The part of this discussion that should be addressed is what if both are unable to make decisions that are of a financial and legal nature.
Most people will engage their children (or other family members) in the discussions, if they have any.  If there are none, then other ways need to be employed to help them.  Living wills should also be a part of this discussion.
Engage Professionals    It is wise to obtain the counsel of professional financial and legal planners who can help bring up vital points that need to be considered during the planning process.  These people can help draw up necessary documents that are legal and binding, as well.
Review Later   After years have passed, the planning needs to be revisited for the purpose of making any changes that are necessary.  These changes are often forced by a change in circumstances.  The goal, however, remains the same:  to care for both in the event of diminished mental capacity that occurs at the same time.
This subject is not a pleasant one to address.  Much like other end-of-life planning, it forces us to confront our mortality.  But it is a necessary part of life – especially if there are children involved.  You need to have a comfort level that you have done what you can to make an unpleasant situation to be handled as easily and completely as possible.  Those who love you will appreciate the effort and it will give you a measure of peace of mind as well.

Consumers Advised To Prepare for the Unexpected was created by and is property of American Consumer News.

]]> http://www.americanconsumernews.com/2009/09/consumers-advised-to-prepare-for-the-unexpected.html/feed 0 Scrimping Child Support Harder For Family Budgets http://www.americanconsumernews.com/2009/09/scrimping-child-support-harder-for-family-budgets.html http://www.americanconsumernews.com/2009/09/scrimping-child-support-harder-for-family-budgets.html#comments Wed, 02 Sep 2009 15:04:39 +0000 Debbie http://www.americanconsumernews.com/?p=3000 Scrimping Child Support Harder For Family Budgets was created by and is property of American Consumer News.

]]> As a result of the tight economy some families are feeling and extra pinch because of child support payments.  As kids2income decreases, unfortunately, child support payments do not decrease as well. While that is no different than with other monthly expenses, families feel the effect of this more because for many who pay child support, the amount is usually deducted from their weekly paycheck and they never see the money.  They are forced to live on the income that remains.
When they lose their jobs, they lose the automatic payment of child support and are left to try to find an income to not only pay regular monthly expenses, but also the child support, too. Men are hit hardest by this because more men are out of work than are women and more men are non-custodial parents and are therefore subject to child support payments.  What can be done?
Court Action    Some have chosen to petition the courts to reduce their child support amount.  This has produced limited results in courts that are slow to move and inundated with these requests.  Many courts are not inclined to lower child support amounts unless they see some aggressive action to try to replace the income that has been lost.
Mediation    Some parents have turned to mediation to try to negotiate between the divorced parents for a reduction in payments.  This mediation can be entered into the court system as an agreed upon choice by both parties which is a key to getting the support level changed.
Accept More Time    Non-custodial parents also have the right to ask for more time with their children, which should then be considered as a reason to petition the court for a lower child support amount, since the original support is based in part on the amount of time each parent spends with the children.
For some, there is no recourse and they have to find other ways to deal with child support.  Some non-custodial parents have resorted to having to move back home with parents in order to keep expenses at a minimum.  That way, they can afford the payments.
There is no clear-cut pathway to take as each case has its own merits.  The best way to approach the situation is to do all that you can to try to make changes to the child support amount without affecting the care of your children.  They have needs that they cannot meet themselves and it is the responsibility of the parents to provide for them, no matter what the economic circumstances may be at the time.
Should the time come to stand before the judge and give an account as to why child support was not paid, you should be able to provide a documented defense that emphasizes what you did in order to try to be able to afford the payments.  If the court views you as one who is just trying to avoid paying at all, that will place you in serious jeopardy with consequences that you do not want to have to face.

Scrimping Child Support Harder For Family Budgets was created by and is property of American Consumer News.

]]> http://www.americanconsumernews.com/2009/09/scrimping-child-support-harder-for-family-budgets.html/feed 5 Stuck in a Pile of Debt? Consumer Credit Counseling Can Help http://www.americanconsumernews.com/2007/11/stuck-in-a-pile-of-debt-consumer-credit-counseling-can-help.html http://www.americanconsumernews.com/2007/11/stuck-in-a-pile-of-debt-consumer-credit-counseling-can-help.html#comments Fri, 30 Nov 2007 15:13:11 +0000 ACN Staff http://www.financeispersonal.com/2007/11/stuck-in-a-pile-of-debt-consumer-credit-counseling-can-help.html Stuck in a Pile of Debt? Consumer Credit Counseling Can Help was created by and is property of American Consumer News.

]]> This is a guest post written by Jakob Jelling.

Many individuals have been helped by consumer credit counseling to take control of their finances and to eliminate debt. Consumer credit counseling can work for you by teaching money management skills which can help you throughout your lifetime.

Consumer credit counseling can help you better understand your credit situation. It can help you understand the costs associated with misusing a credit card and make you a more informed consumer.

Consumer credit counseling is especially useful for people suffering from huge debt burdens. They can benefit from consumer credit counseling as it can help them find a way out of their present financial crisis. If you have a weak credit history and low credit ratings, consumer credit counseling can show you ways to repair your credit.

By making an appointment with a credit counseling agent, you can get all of these advantages and find out what more the agent can do for you.

Many debt management companies provide consumer credit counseling agents to advise and help individuals find a way out of debt. Debt management agencies help you reduce and consolidate your loans by negotiating with your creditors. Their credit counselors are the ones that teach their clients better ways of avoiding debt in the future and to find ways to saving money to pay back their current debts.

When selecting a debt management company, be sure that they have qualified credit counseling personnel.

Their teams of expert and experienced credit counselors, who have wide knowledge in the finance field, can help the layperson better understand their credit situation and how to improve their financial standing.

The consumer credit counseling agent will first understand the situation you are in. Then they will formulate ways in which you can save more money, become debt free and start on your way towards financial freedom.

These are just some of the things consumer credit counseling services can do for you:

- They can teach you how to better manage your household expenses.
- They can help you deal with harassing collectors.
- They can teach you understand relevant financial issues surrounding your credit.
- They can advise you on how to reduce your debt burden.
- They can help you avoid situations where you may have to declare bankruptcy.

The counselors can work with you to create financial plans such as a savings and budget plan, and help you find ways to sticking to them. Comprehensive plans can lead you to better manage your cash inflows and outflows.

Taking some time for consumer credit counseling can help you get rid of your debt problems and start you on your way to a secure financial future.

If you’re in serious debt and think that the only way out is declaring bankruptcy, the best thing to do is to get impartial and expert debt help. Bankruptcy is a severe last resort if you are in serious debt and no other debt solutions, such as an IVA (Individual Voluntary Arrangement) or Debt Management Plan can save you from going bankrupt. Bankruptcy protects you from your creditors and allows you to start afresh, but you need to think very carefully about all the implications it will have.

Stuck in a Pile of Debt? Consumer Credit Counseling Can Help was created by and is property of American Consumer News.

]]> http://www.americanconsumernews.com/2007/11/stuck-in-a-pile-of-debt-consumer-credit-counseling-can-help.html/feed 1 How to Plan for Retirement If You Don’t Get a 401(k) or a 403(b) at Work. http://www.americanconsumernews.com/2007/11/how-to-plan-for-retirement-if-you-don%e2%80%99t-get-a-401k-or-a-403b-at-work.html http://www.americanconsumernews.com/2007/11/how-to-plan-for-retirement-if-you-don%e2%80%99t-get-a-401k-or-a-403b-at-work.html#comments Fri, 16 Nov 2007 14:39:27 +0000 ACN Staff http://www.financeispersonal.com/2007/11/how-to-plan-for-retirement-if-you-don%e2%80%99t-get-a-401k-or-a-403b-at-work.html How to Plan for Retirement If You Don’t Get a 401(k) or a 403(b) at Work. was created by and is property of American Consumer News.

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Recent studies have found that half of all Americans have not saved a dime for retirement, and of the half that did, a quarter of them only have enough money to pay for a years worth of retirement! Social Security just isn’t enough to pay for our living expenses during retirement years, so it’s time for us to step us as a nation and take hold of our future. It’s time for us to live on less than we make and put money away for the future. It sounds well and good in practice, but what if you don’t have a retirement plan available to you at work?

Federal Law permits anyone making under $114,000 (or $166,000 a year if you’re married) a year to invest a certain amount of money into a special type of investment account known as a Roth IRA. You will never have to pay a dime in capital gains or dividend taxes on the money you put inside of your Roth IRA, meaning that it will be able to grow much faster than if you were to put it into a taxable account. For 2007, you will be able to invest up to $4,000 into your Roth IRA and in 2008 you’ll be able to invest up to $5,000. After that the amount you can invest will increase in $500 increments every year.

Most financial advisor will recommend that you put at least 15% of your income away for retirement, and if you make more than $26,500 a year, you’re going to want to put in more money than your Roth IRA will allow. At this point, the number of tax beneficial options you have really start to dwindle, but there are still some things you can do.

If you have any sort of small business or self employed plans, you can invest inside a Simplified Employee Pension (SEP) plan or a Solo 401(k). You can deposit up to 20% of your business’s revenues or a maximum of $45,000 a year into a SEP plan. With a solo 401(k) plan, you’ll be able to deposit $15,500. It’s probably worth while to sit down with a fee-only financial planner to help you get started with either of these two options.

If you don’t have any self employment income and have already maxed out your Roth IRA, you can start looking at what are called tax-managed mutual funds. They’re essentially mutual funds which invest into bonds and the stock market and are designed to minimize the amount of taxes you have to pay. You’ll essentially pay zero tax until you decide to sell your investments then will have to pay the 15% capital gains tax on the amount of money that your investment earns for you. It’s not a great a deal as putting your money inside a retirement plan, but it’s better than paying taxes every year on your investments.

Just because you don’t have a 401(k) plan at work doesn’t mean that you can’t prepare for retirement, there are plenty of options to help you put money away on a tax-advantageous basis.

How to Plan for Retirement If You Don’t Get a 401(k) or a 403(b) at Work. was created by and is property of American Consumer News.

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