Latest news with #KerryHannon
Yahoo
4 days ago
- Business
- Yahoo
What Trump's tax bill means for your HSA
US President Trump's tax package includes changes to health savings account (HSA) rules. Yahoo Finance Senior Columnist Kerry Hannon joins Wealth to break down these changes. To watch more expert insights and analysis on the latest market action, check out more Wealth here.
Yahoo
21-05-2025
- Business
- Yahoo
The theme for the 2025 summer travel season: Be flexible!
Memorial Day Weekend is coming up, a key indicator of not only grillmaster talents, but what the summer travel season may entail as well. Yahoo Finance senior columnist Kerry Hannon weighs in on gas prices (RB=F) ahead of this crucial travel holiday and what forecasts are saying about domestic and international travel trends to come in the summer months and early fall. To watch more expert insights and analysis on the latest market action, check out more Wealth here. Earlier this year, many Americans were on the fence about whether or not to take that summer trip, but now there's a rising tide of travelers planning those summer vacations. Here to offer some words of wisdom about financially planning for your next vacay is Yahoo Finance senior columnist Carrie Hannon, and Carrie, you just came back from an early summer trip. So I wish we had this segment and chatted beforehand, but where are we seeing the demand for this travel right now? Well, yeah, I mean, the thing is people are planning to spend even more this summer than than last, which is kind of a surprise based on what, you know, what you just mentioned, but the folks at Triple A told me sort of Memorial Day weekend is sort of the bellwether and shows what might be happening and they expect airports to be absolutely packed uh over Memorial Day weekend this coming weekend to places like Orlando, New York City, Vegas. Um, but you know what's really happening, Ali, is that falling prices. Airfares are at the lowest they've been in about four years and gasoline is down. So this is making a whole set of possibilities for people. Um, now road trips are particularly cool this year. Um, for some reason, I can think of a few myself, but you have more control and so that we're seeing a lot of domestic travel happening. People jumping in the car and planning for a road trip and those gas prices certainly help there. Um, for people going overseas international trips, the big places seem to be Asia, Tokyo in particular, and of course, you know, the big three, you know, going to London, Paris, Rome. Um, and Bangkok is kind of getting interesting again because of the white Lotus series. I think people are intrigued by it. So, uh, hotels are still pricey, but those are kind of the big trends. I was going to say must be from uh the white Lotus when it comes to some of that Asia travel demand. So what are some financial travel tips from some of the pros that you've been speaking with? Yeah, exactly. You know, some of the things are tried and true that we should all always remember, but if you can be flexible, it's the key, right? If you can travel on midweek uh dates, you can drop airfares by 20%. So this is really something to consider. Um, look for and also traveling early June, those first two weeks of June or the end of August. Otherwise, peak summer is still going to be expensive. Um, that's important to remember, so if you can shift and if you can do, I mean, the fall season is actually quite good if you have that flexibility. Um, again, you know, plan for um refundable fairs because things happen, right? Now, we know that those are a little bit more expensive, but it does give you that flexibility if the world shifts on you and for whatever reason you need to cancel. Um, I think it's also important for people to do these price monitors. So if you know where you're going and what dates you want to go, Hopper has one, Google Flights has one, Kayak, a lot of them, then it dings you when the prices go, the fair goes up or down and they can sort of give you a framework of when you got to get going. Um, another big tip is truly if if you know where you want to go, don't procrastinate. As I said before, fairs are incredibly low right now. So jump on it. I mean, look where you want to go if it's international, maybe have a two weeks or something, but really, you know, get going. If you want to go somewhere, these fairs are pretty sweet. I've been looking at them myself to go to Paris and I'm like, I got to do it. Um, another thing is we all know, we've heard all the headlines that recently about New York Airport, disruptions are part of the game in the airport world right now. So, um, one travel expert I spoke to who I um respect, Haley Berg at at Hopper, she said, you know, trip insurance is something really people should consider this year because these things are happening and it's worth considering. I feel like I'm talking so fast, but one more thing to tell you, if you don't want, you can save by not going to that big flashy city like Barcelona and maybe picking something nearby. You get the culture vibe, but it's not as expensive. Um, and another sort of important thing, Ali, to think about is that um, you know, try if you're using credit cards, which all of us do when we travel, try to make sure you have one that does not charge foreign transaction fees. That can really surprise you at the end when you get home and have them charge in the local currency. The final thing is follow the road rules. You need to have real ID now uh in the US so that uh it's real ID is important to have. Um, going overseas and UK, you need an electronic travel authorization uh now and later this year, um in throughout the EU, you're going to need a travel authorization as well. So these are things that are shifting in the travel world. They'll just make your life a little bit smoother and you can buckle up and go have some fun. All right, some fantastic tips there. Be flexible, don't procrastinate. Carrie Hannon, thank you so much. Thanks, though. 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Yahoo
21-05-2025
- Business
- Yahoo
Social Security payment schedule & debt vs. retirement savings
The Social Security Administration's benefit payment schedule varies based on recipients' date of birth. Yahoo Finance Senior Columnist Kerry Hannon joins Wealth to break down the payment schedule, and also explains how growing credit card debt is hurting retirement savings. To watch more expert insights and analysis on the latest market action, check out more Wealth here. Millions of Americans get their social security benefit checks on most Wednesdays every month. How does the payment schedule work though? Here with more, we've got Yahoo! Finance Senior Columnist, Kerry Hannon. Kerry, what do we know on this? Hey, Brad. Um, yeah, people get a little confused about this, but you figure Social Security Administration has 70 million people that are sending checks out. So they do these in batches based on your birthday. So, if your birthday is between the first and the 10th of the month, you will get your payment sent on the second Wednesday of the month. If it's between the 11th and the 20th, it's the third Wednesday. And if it's between the 21st and the 31st, it's the fourth Wednesday. If you get supplemental security uh payments, income from that, that's the first of the month. But here's the deal, if you're getting benefits based on your spouse's benefit, um, that is going to be based on their birthday, not yours. So just remember that. Now, here's the thing, most people do get their benefits deposited electronically in their bank accounts these days. Um, and that's usually by 9:00 a.m. on that Wednesday that you're designated for. If you do get a paper uh check, it you need to allow for three business days for that to get to you. But if you have a problem, Brad, there are things you can do. You should call the 800 number if it's more than three days late, call the social the 800 number. You can go to your local Social Security office. You can go to your my Social Security account online and see what's happening. I definitely recommend if you don't do direct deposit, do it, uh, if it's at all possible. That's the safest way to get make sure you're paid on time. Um, make sure the bank has all and Social Security has your accurate bank account information and your address. And you can even sign up from alerts from Social Security that they will ding you whenever that payment has been deposited. Kerry, another story that you're following here, credit card debt is getting in the way of saving for many workers nearing retirement. What are you hearing on that front? Yeah, Brad. This has been a problem that's been steadily growing and and it's concerning. Um, nearly half of those 50 plus are carrying credit card debt from month to month and this is from a study by AARP. And what's troubling about that is that with interest rates, credit card interest rates are, you know, topping 21%. This is really onerous and super hard to get out of if you start accumulating these interest charges. It's very difficult to get out from under that. And as a result, people have been pulling back on saving uh often. I'm not saying everyone is, but often pull back from saving for retirement. They say, I can't. I'm trying to pay down this debt or they're taking, we've seen an uptick in people taking uh loans from their 401k plans, which isn't a horrible thing in the sense that you're paying down debt and you are going to repay yourself. You're missing out on on other things during that time, but it is is one solution. But the the other one is people are are actually raiding their accounts and withdrawing for hardship withdrawals to pay some of these debt expenses. And and that, if you're under 59 and a half, you're paying the 10% penalty, you're paying tax on that. And so that's something we we really like to to shy away from. So I think that one of the big drivers though, I will add is medical costs and people say it's unexpected expenses that's putting them in the situation. And if for people over 65, I'm just going to note this one number I just saw that one in 10 uh people over 65 with healthcare debt have, they owe more than $10,000. I mean, this is this is something that a lot of people are grappling with, Brad. So what are some strategies that people can use to cut both their credit card and their overall debt? Yeah. So number one, you've got to face it, right? Face the music, do the numbers. Really don't stuff those bills away. Look at them and find out what what your situation is. So number one, uh know what your situation, your picture is. Number two, if it's credit card debt, pick up the phone and call your credit card insurer. This isn't a guarantee, but you can often negotiate with them to lower your rate. And this is particularly if you've been a good, someone who's paid regularly on time, you've been a customer of them for for a period of time. So it's worth a shot to see if you can get them to lower your interest rate there. The second thing is to look for balance transfer cards, which these are credit cards that have a 0% balance for say 21 months. Uh and that you pay a small fee of 3% perhaps to switch that to this card. But it's a very good way to give yourself some breathing room to start whittling down some of that debt during that period of debt of interest rate relief. Um, another thing I encourage people do automatic payments so you don't get, you don't miss a payment and you don't uh pay late and these cause extra fees and charges. So that's a great way to get control of it. Um, and again, there are two methods to how people like to pay down debt and one is called the snowball effect, which is, you know, you basically start with your smaller debt and you move up until you get through them. And psychologically, that can be a nice way to feel like you're accomplishing something. The other way is the avalanche method and that's starting with the highest interest rate and whittling down from there. And I personally think that's the best way because you're getting rid of that high interest uh interest first if you can do that. Um, some other tips are you could get a personal loan from a bank, but again, those can be eight around 8% to 12%, but you have to have a pretty good credit rating. But that's one way in order to consolidate some of your debts, pull them all together and have a three-year loan that helps you pay them off. And finally, uh you can turn to a credit counseling um agency, a non-profit one to help you in the sense that they will go negotiate with some of those lenders for you. Um, and and the Justice Department uh has a list of some of those they approve, but that's one method. But I think the most important thing is to take control, to face your debt and try really hard to start tackling it now. Kerry, thanks so much for breaking all this down. Appreciate it. Sign in to access your portfolio
Yahoo
19-05-2025
- Business
- Yahoo
The theme for the 2025 summer travel season: Be flexible!
Memorial Day Weekend is coming up, a key indicator of not only grillmaster talents, but what the summer travel season may entail as well. Yahoo Finance senior columnist Kerry Hannon weighs in on gas prices (RB=F) ahead of this crucial travel holiday and what forecasts are saying about domestic and international travel trends to come in the summer months and early fall. To watch more expert insights and analysis on the latest market action, check out more Wealth here.
Yahoo
15-05-2025
- Business
- Yahoo
What You Need to Know About the New Social Security Changes
Massive changes at the Social Security Administration are raising red flags among retirees and those nearing retirement. Between field office closures, staff cuts, and scaled-back phone service, seniors are facing longer wait times, tougher verification steps, and growing anxiety about when their benefits will arrive. Among all groups, some 41.7% of U.S. households rely on Social Security for 50% or more of the households' income. That's no small number The recent changes have led to a surge in questions, many directed at Yahoo! financial columnist Kerry Hannon, who recently fielded thousands of reader concerns about everything from benefit timing to tax strategies. At the heart of it all is uncertainty: When will my check arrive? Should I file early? Is the system stable? One major worry is customer service. 'Where I live, the closest Social Security office is a four-hour drive,' one reader wrote. Others described endless wait times on SSA's 800 number, an issue exacerbated by a 25% spike in call volume in April. In some areas, it's not just inconvenient—it's unworkable. Field office closures and an estimated 7,000 job cuts are only making matters worse. Experts warn these reductions will likely lead to even longer delays and more frustration, especially for those who rely on in-person help. Meanwhile, financial planning questions continue to dominate retirement discussions. Many Americans are still opting to claim benefits at age 62—not because it's the best financial move, but because they simply don't have a choice. Age discrimination, job loss, and lack of savings are forcing early retirements. The result? Smaller monthly checks and limited options. For those able to delay, the benefits can be significant amounting to up to 8% more per year by waiting until age 70. But as one reader put it bluntly, 'Most of us don't have the luxury to wait.' Between system strain and growing demand, the outlook remains cloudy. The best advice for now: plan early, stay informed, and be ready for delays.
