Some Companies Pay Nothing

USA Today recently reported that 20 of the United State’s best known companies paid 0% in taxes in their second quarter. This revelation has brought to light many of the flaws that exist in the nation’s corporate tax system.

Tax Rates by Country

Corporate tax rates have long been the highest of anywhere in the world at a whopping 35%. When you add on that so many big companies don’t pay corporate taxes because they know how to work the system and “cheat” in legal ways, the severity of the problem is even more evident.

Big companies included on the non taxpaying list include:

l  Merck

l  General Motors

l  Seagate

l  Public Storage

l  Kimco Realty

l  Citrix Systems

l  First Solar

l  Thermo Fisher

These companies get away with not paying taxes in a variety of ways. Sometimes, they make it so that they qualify for more tax credits than they do payments. Others will actually relocate their headquarters to an offshore location to circumvent tax laws.

Many financial experts think the answer is for all companies to pay a lower tax, while others argue that doing away with corporate income taxes completely would solve the problem.

In spite of all of the ideas being thrown around, a solution is far out of reach. Until then, all companies can do is hire knowledgeable financial services companies to help them to make the best decisions possible and to avoid taking a major hit due to corporate tax rates.

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Understanding Co-Signing

So, you’re not quite ready to barter with brokerage services or open an IRA. If you’re just starting out in the financial game, that’s okay. After all, everyone has to start somewhere. Just be aware that not having a lot of credit can sometimes be a challenge. However, it’s certainly one that can be overcome.  

If you find that your lack of credit is getting your applications for credit cards or loans turned down, you do have options. One of those options is to enlist a trustworthy, financially smart family member to act as a “co-signor” on your loan. A co-signor is essentially someone who agrees to be responsible for your debt should you fail to pay it.

The best co-signors are close family members with stellar credit. A friend or someone you haven’t known for long usually doesn’t make a good co-signor; many creditors and lenders will deny co-signors who aren’t related to or otherwise closely and demonstrably tied to you. Also remember that a co-signor is not an excuse to not pay your debts. If you’re smart and honest, your co-signor will simply act as a stepping stone to establishing and building (or rebuilding!) your own credit history.

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Building Your Credit from Scratch

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Sometimes, it can seem like the whole world has money and is simply obsessed with asset management, meaning what to do with the money they have. Of course, not everyone is at that stage in life. If you’re at a point where you don’t have much or any credit to your name, just getting established financially can feel impossible, but it’s really not.

To get started, check out your credit report. Do this even if you think you have no credit to speak of. Oftentimes, credit reports can contain errors, particularly if you have a parent or other family member with the same or a similar name. Clear up any discrepancies on your credit report and just be aware of where you stand. If you have no credit at all, don’t panic. That just means you have a blank slate to work with, and there’s nothing wrong with that.

If you find yourself in a “no credit” situation, try opening a bank account, preferably a checking and a savings account. Having these accounts in good standing, even if you don’t have a lot to put into them, can help you to start building your credit.

Also, take advantage of any bills you accumulate. Though they may seem like a pain, paying them on time is a step in the right direction when it comes to credit. Credit does have to be built slowly, but if you’re patient and smart about the process, you can make a good name for yourself in the credit world.

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Evaluating Assets

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Many people wrongly believe that the secret to wealth management is to accumulate as many assets as possible. In reality, though, that’s not true. When it comes to assets, it’s all about quality, not quantity. Instead of just trying to get a giant stockpile of assets, focus on accumulating a few high quality assets.

One thing to keep in mind when evaluating an asset’s quality is how well that asset will perform over time. Don’t make an investment just because it will net you a nice profit right away. Actually take the time to think about whether that asset will be working for you a year from now or even five years from now. If something doesn’t have the potential to be a good long-term investment, you should probably steer clear.

Secondly, always consider risk when assessing a potential asset. If an investment seems too good to be true, it probably is! If you must engage in high risk investments, be aware of the risk and have a back-up plan in case the risk proves itself to be true.

If you can keep these strategies in mind and maybe get some help from a professional investment advisor, there’s no reason you can’t expect good things to happen in your financial future.

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Saving Money 101

There are many businesses in the world today that make their money by teaching you how to save yours. And, while these types of financial services can certainly be helpful, you shouldn’t rely on them alone to help you save money. In addition to using “smart savings” techniques, which any financial expert worth his salt can teach you, you should also be finding little ways to save big in your everyday life.  

For starters, why not ditch your cable provider? Even if you regularly veg out in front of the tv, cable is expensive, and you can find your entertainment for free elsewhere. In the modern world, many shows and movies are available for free online, or for a very small monthly fee (much smaller than the average cost of even the most basic cable packages), you could stream your favorite entertainment online.

Speaking of cutting things out of your life, why not say good-bye to that overpriced gym membership? Chances are you don’t use it as often as you thought you would when you signed up, and you can get fit for free by taking a walk or doing exercise videos online.

The bottom line is that, if you can cut unnecessary expenses out of your life and take advantage of proven savings techniques, you can have a much brighter financial future.

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Who Can You Trust?

When it comes to financial planning, it’s definitely advisable for all people to have a trusted financial consultant who can help them with saving, investing, and just managing their money in general. Unfortunately, however, not all financial advisers are as trustworthy or as skilled as they might present themselves to be. That’s why you need to be aware of the indicators that point toward a less-than-reputable adviser. 

To start with, you should never hire a particular financial advisor until you’ve checked up on his or her background. Luckily, in today’s world, there are many ways for you to do that. To learn more about your potential adviser, check out background-checking websites, like FINRA BrokerCheck and the SEC Investment Adviser Public Disclosure site.

If everything is all good and clear in your potential adviser’s past, then just make sure that the two of you communicate well, that your adviser asks you about your own goals and plans for your future, and always makes you feel like he or she is on your team and in your corner!

To choose from a wide range of financial planning experts whom you can most definitely trust, check out Platinum Financial Associates, Inc. of Naperville.

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Low Cost Living

Personal Finance (Photo credit: 401(K) 2013)

Forbes.com recently released a list of the very best places to live, financially speaking. These were places where, on average, most residents could more than handle the average cost of living per month. In fact, for most of the areas on the list, residents could even save and/or invest a large chunk of their leftover monthly income.

So, what places made the cut? Well, coming in in first place, there was the Baltimore Metropolitan area, which boasted a median after-tax income of $73,815 and a low median annual expenditures total of $49,566, leaving plenty of money left over for saving and investing.

Other areas that topped the list were the Washington D.C. Metro area, Cleveland, Chicago, and Dallas. Do these results mean that you have to move if you want to save big money? Absolutely not. A lot of factors, other than just location, go into how much you save.

If you’d like to try saving more money without moving across the country, take advantage of professional financial services in your area. In Naperville, you’ll find the best financial services assistance at Platinum Financial Associates, Inc.

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Investment Advisors Can't Do it All

2005 US cent, obverse side] (Photo credit: Wikipedia)

If you have extra money and want to take that money and turn it into even more money, then investing is the answer. And, luckily, you don’t have to separate the good investments from the bad investments on your own. No, that’s what an investment advisor is for.

One mistake many people make, however, is expecting their investment advisors to do it all. They expect them to help with financial planning, general money management, and all matters related to their money. However, it still takes commitment and dedication on their part. While most investment advisors do have enough general knowledge to provide you with a few tips in these areas, it’s really best if you let your investment advisor focus only on what he or she knows best: investing. Leaving some of the other tasks to perhaps an accountant.

When you do that, your advisor can devote more time to making smart investments for you. If you need help with other financial matters, then hire the financial professionals who can best assist you; it’s great to have a whole financial team working for you!

Fortunately, in Naperville, you can turn to Platinum Financial Services, Inc., which has all of the great financial professionals you need for a successful life all in one place.

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Get a Better Understanding of Your Finances

It’s National Financial Literacy Month, a time of year when people are encouraged to better understand their own finances and how to work them to their benefit. So many people walk around completely clueless about “money matters,” and, as a result, often don’t realize how much further their money could go and how much harder it could be working for them.

Finance maze (Photo credit: RambergMediaImages)

Fortunately, there are several things you can do to better understand your finances. For starters, try going to your local public library. Not only do libraries offer books full of financial information, but many also hold personal finance workshops, tax filing sessions, and more to help you take control of your money.

Another super smart thing you can do is to take advantage of companies that offer financial services in your area. While hiring a professional might make you feel like you’re relinquishing control of your finances, the right professional won’t just do everything for you. No, he or she will educate you on how to make smart financial choices both now and in the future. You can find a friendly, expert voice at Platinum Financial Associates of Naperville.

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How Americans Waste Their Money

USA Today recently exposed twenty of the major ways in which Americans are wasting their money—money they could be using to plan for the future. It’s no surprise that credit card interest costs were included as one of the “money wasters” on the list. The article even provided some not so nice figures: the average credit card debt per household in the United States is a whopping $15,270!   

Articles (and numbers!) like that one should really make you take a close look at yourself. Are you anywhere in that average credit card debt range? Maybe even above it? If the answer to either question is “yes,” then that’s probably a good indicator that you’ve been doing some poor financial planning and making poor financial decisions.

It’s never too late to turn things around though, especially if you get professional help! The financial gurus at Platinum Financial Associates can look at where you currently are financially (no judging!) and come up with a financial planning strategy to help you make smarter decisions in the future and maybe even ditch that credit card debt.

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Bitcoins Treated as Property

Most people have at least heard of Bitcoins, a virtual currency that is becoming quite popular (and more accepted) around the world. Perhaps you’ve even accumulated some Bitcoins yourself. If so, you may be wondering how exactly to treat those Bitcoins on your taxes.

 Apparently, a lot of other people were too because the IRS recently released a statement saying that Bitcoins should be included on taxes as property, not currency. That means that Bitcoins will be treated just like regular assets and potentially subject to capital gains taxes.

If you’re using Bitcoins, you need to learn more about this relatively new currency and the effect that its use could potentially have on your financial status. Fortunately, there are many companies that provide skilled financial services and that know the ins and outs of Bitcoins.

And, even if you’re not using Bitcoins, you could probably still use some help navigating today’s ever-changing financial world. No matter where you are in life, rely on qualified financial services, such as Platinum Financial Associates of Naperville, for assistance.

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Smart Finance Tips

Everyone knows that financial planning is important and necessary, but, unfortunately, few people know how to actually go about it. One of the first steps to smart planning is to set clear and realistic goals and expectations for the future. When it comes to your money, you should always be working toward something, whether it’s saving for retirement, your child’s education, or anything in between.  

Another major tip to keep in mind is that you do not have to handle financial planning matters on your own, nor should you. There are excellent organizations out there that can assist you with planning for your future and with enjoying your life, free of debt, right now. One of those organizations is Platinum Financial Associates of Naperville, and it’s just a phone call away! You can take the first step toward a better, brighter financial future by calling the office today and speaking with a qualified, experienced financial advisor who will put your needs first.

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Financial Predators

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Everyone knows that financial planning is important and necessary, but, unfortunately, few people know how to actually go about it. One of the first steps to smart planning is to set clear and realistic goals and expectations for the future. When it comes to your money, you should always be working toward something, whether it’s saving for retirement, your child’s education, or anything in between.

Another major tip to keep in mind is that you do not have to handle financial planning matters on your own, nor should you. There are excellent organizations out there that can assist you with planning for your future and with enjoying your life, free of debt, right now. One of those organizations is Platinum Financial Associates of Naperville, and it’s just a phone call away! You can take the first step toward a better, brighter financial future by calling the office today and speaking with a qualified, experienced financial advisor who will put your needs first.

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Get Retirement Ready

When you’re young and healthy, your focus is likely on your career, not on what happens once that career is over. Everything does come to an end, however, and if you’re smart, the end to your career can be a happy and relaxing retirement. A good retirement experience doesn’t just materialize out of thin air, however; no, a happy retirement takes planning and forethought on your part.

One of the most important things you can do is to develop a plan for your retirement. There are many companies that specialize in retirement planning, and the sooner you can start taking advantage of their

services the better. In addition to general retirement planning, you should also focus on creating goals related to savings and understanding and preparing for what your retirement needs are likely to be. Don’t go it alone, however; contact the friendly retirement experts at Platinum Financial Associates of Naperville.

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Bad News for the Housing Market

Things are not looking up for the housing market. In fact, according to a recent report from The Daily Ticker, sales on previously owned homes have dropped five times in the last six months, with a drop of a whopping 5.1% this past January. Things are going equally badly on the home construction front, with a 16% decline in new home construction in January. While many causes have led to the recent declines in the housing industry, one of the main factors being blamed is an increase in the average student loan debt

amount.

If you never want to see your children in this kind of situation or if you need to get yourself out of a bad financial situation, know that there is help and hope. There are companies, such as Platinum Financial Associates of Naperville, that offer a wide range of financial services that can help you to plan for the future and/or clear up past debts. Get the Naperville financial services help you need by calling today!

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