Latest news with #finances
CNET
a day ago
- Business
- CNET
Bracing for a Recession? These Accounts Can Keep Your Money Safe
The best place for your cash depends on what you're using it for.A recession may not be as likely as it seemed earlier this year, at least according to some forecasts. But economic uncertainty is still forcing us to be cautious about our finances. From high prices to layoffs, the big financial struggles are out of our control. However, one thing we can do to help ourselves weather the ups and downs is to make sure our money is in the right place. Keeping your cash safe can help you preserve your savings and maximize your returns, regardless of an economic downturn. But not every account is the same, and some savings strategies make more sense in the long term than in the short term. Read more: Your Recession FAQs Answered: 5 Tips to Help You Prepare, Not Panic 💵 Where to keep your spending money Rewards checking account Even if your paycheck is directly deposited into your checking account, you shouldn't keep all your money there. Your checking account funds should cover everyday spending and bills, plus a cushion for other expenses. The rest of your cash should be in an account that earns a high interest rate so it can grow. Plus, when you keep money earmarked for savings in a separate account, you're not tempted to dip into it. You can still get returns with the right checking account. Some top high-yield checking accounts offer annual percentage yields of 1% or more, far better than the near 0% you'll get with a typical checking account. Why not earn some interest on your spending money if you can? With prices high across the board, every little bit helps. 🚨 Where to keep your emergency fund High-yield savings account An emergency fund is a must-have at any time but especially when the economy is shaky. Whether you're hit with a layoff or a sudden medical bill, your emergency fund can help you avoid going into debt to cover your expenses. The best place to keep an emergency fund is in a high-yield savings account where your money is easily accessible when you need it. Unlike traditional savings accounts, top HYSAs earn annual percentage yields more than 10 times the national average, with some topping 4% APY. With a higher yield, you'll benefit from compounding interest. That's when you're not just earning interest on your initial deposit but accumulating interest on top of the interest you already earned. Your money grows faster, giving you a bigger balance to draw from when the time comes. ⏲️ Where to keep savings for short-term goals Certificate of deposit If you're saving for a goal in the near future -- like buying a car or paying for home repairs -- a certificate of deposit is a smart option. Unlike savings accounts, which have variable rates, CDs offer a fixed rate that's locked in when you open the account. That means your earnings will never drop and your returns are guaranteed, regardless of what's happening in the economy. You must keep your money in the CD for the full term to avoid early withdrawal penalties. But with terms ranging from a few months to several years, it's easy to find a CD that fits your timeline. In fact, the early withdrawal fee can discourage you from tapping into your funds before you really need them. 🗓️ Where to keep savings for long-term goals It depends The best place for long-term savings goals depends on the goal. Retirement savings are best in tax-advantaged retirement accounts (more on that below) but you have plenty of options for other goals. For example, if you're saving for your child's college fund, consider a 529 plan. These state-sponsored savings plans allow relatives and other individuals to put aside money for a child's education and come with tax benefits like tax-free withdrawals if the money is used for educational expenses. You could also consider a low-risk government-backed investment like an I bond, which can preserve your purchasing power in the face of inflation. If you're saving for a down payment on a house, consider the pros and cons of accounts like homebuyer savings accounts, high-yield savings accounts and CDs. 🧑🦳 Where to keep your retirement savings Tax-advantaged retirement funds Retirement accounts like 401(k)s and IRAs are designed to help you maximize your tax advantages. Depending on the account you choose, you'll either pay taxes now or when you withdraw the funds, allowing you to account for a potentially lower income in retirement. If your employer offers contribution matching on a retirement savings plan, it's essentially free money to boost your nest egg. While brief stock market swings can cause panic, investing is still critical for long-term financial stability. The S&P 500 has historically delivered an annual return of about 10% for investors who stick it out over decades. Instead of trying to beat the market, focus more on your ideal investing strategy. A robo-advisor can help. If you're nearing retirement age, you may want to rebalance and diversify your portfolio so more of your retirement fund is in low-risk assets like CDs or bonds.
Yahoo
2 days ago
- Business
- Yahoo
City of Calgary nets $221M surplus so far this year according to financial update
It has been a good year for Calgary's finances. In an update on Tuesday, the executive committee heard that the city has a $221M surplus in just the first six months of this year, but there's not a lot of celebrating going on. Acton Clarkin spoke with some of the city's leaders on what they think of the big haul.
CBC
2 days ago
- Business
- CBC
City of Calgary nets $221M surplus so far this year according to financial update
It has been a good year for Calgary's finances. In an update on Tuesday, the executive committee heard that the city has a $221M surplus in just the first six months of this year, but there's not a lot of celebrating going on. Acton Clarkin spoke with some of the city's leaders on what they think of the big haul.
Fox News
3 days ago
- Entertainment
- Fox News
Rebecca Romijn, Jerry O'Connell admit unconventional approach to 18-year marriage
When it comes to Hollywood marriages, Jerry O'Connell and Rebecca Romijn have their own nontraditional rules. After 18 years of marriage, the longtime couple made a surprise admission about how they manage their finances. "We keep our money completely separate," Romijn, 52, confessed during an interview with Andy Cohen on Sirius XM. "There's a community pot," she said, for family expenses, also sharing that the couple contribute to the account "quarterly." O'Connell chimed in and said, "We actually throttle how much money we put into that account." "Depending on who's working more… The one who's not working gets a little bit of a break, and the one who is working puts in a little more," Romijn added. "And we really tag-team with work." After the birth of their twin daughters, the couple made the conscious decision that one of them would always stay home with their children. "No one else is ever going to raise them besides us," she said. Romijn and O'Connell welcomed Charlie and Dolly, now 16, in 2008. The conversation kicked off when Cohen joked that O'Connell's wallet likely took a hit after his hosting gig on CBS' "The Talk" wrapped up last year. O'Connell and Romijn tied the knot in 2007, two years after she divorced "Full House" star John Stamos. Romijn and Stamos were married from 1998 until 2005. The Hollywood couple's comments come after Stamos previously described the former Victoria's Secret model in a negative way while discussing their divorce. In his memoir "If You Would Have Told Me," Stamos said he felt like Romijn was the "Devil" and "evil" when their marriage was falling apart and he "hated" her at the time. He said he later realized he was "as much to blame" as her at the end of their marriage. "My wife's ex-husband recently wrote a biography and it referred to my wife in a negative manner… a lot of people have asked me about that in the press," O'Connell said in 2023. "And it would be easy for me to say like, 'Screw you, how dare you ask me that,' but really it would be bringing attention to a situation that I don't want to feed into." He added, "There's children involved. Teenage children who read everything on the internet. So you don't want to like feed that fire."
Yahoo
4 days ago
- Business
- Yahoo
Ramit Sethi: 7 Signs You're More Financially Successful Than You Think
According to a Discover Personal Loans survey, 86% of respondents reported being at least occasionally concerned about their finances in 2025. Many felt that expenses and inflation got in the way of their financial success in areas like paying off debt and preparing for the unexpected. Trending Now: Check Out: If you're living with this uncertainty or feeling like others are doing much better, look at where you really stand, since you might be pleasantly surprised. In a YouTube video, money expert Ramit Sethi shared these seven indicators that you're more financially successful than you think you are. Having a Six-Month Emergency Fund A 2025 Vanguard study found that a $2,000 emergency fund boosts your financial well-being by 21% and you get another 13% gain with at least three months of expenses saved. That's no surprise given the financial safety net and peace of mind that having substantial savings provides. Sethi said you're in good shape with six months of expenses saved, though he recommended 12 months in very unstable times, such as during the recent tariff confusion. This money will help in times of crisis, such as a job loss or big expense and give you some margin for decisions. Discover Next: Being Free of Credit Card Debt 'If you have paid off all your credit cards or, frankly, you never let a balance accumulate, you are in very good company,' Sethi said. He discussed how this shows you know how to control your spending and not get stuck racking up interest while you only make minimum payments. Being free of credit card debt also makes it easier to invest in your future. Sethi recommended a debt payoff plan if you haven't achieved this goal yet. Regularly Investing 10% of Income According to Sethi, you've reached a major wealth-building milestone if you automatically put at least 10% of your pay toward investments. Ideally, you developed this habit while young so that the contributions and compound interest can pile up over the decades before retirement. Even if you don't feel like you're accomplishing much yet with investing, Sethi explained that the long-term results are key. For example, you might be 25 years old and contribute just $300 per month. While this sounds like little progress, if you're getting a 10% return and keep up contributing that amount through age 65, you'd have about $1.6 million. Making Last-Minute Decisions Without Panic While saving for big expenses is smart, opportunities and surprise costs often still pop up. Whether you have the chance to travel with friends at the last minute or need a sudden car repair, being able to calmly make the decision and afford the cost indicates being financially successful and having options. 'You have created enough financial slack in your life that one surprise expense is not going to throw you off plan and that is a powerful place to be,' Sethi explained. Spending 15% of Income Without Guilt Sethi described joyful spending as one of the signs of financial success that you often don't hear about from traditional financial experts. He explained that intentionally (not recklessly) spending 15% or more of what you make on things you enjoy has its place in a healthy financial plan. Otherwise, you might feel tempted to hoard your money and feel like you don't have much control over it. By working out a budget that lets you buy things without guilt, you'll be able to live with more balance and enjoy what Sethi called your 'rich life' now and later. Having Healthy Money Conversations 'If you can talk about money clearly and calmly with yourself, with a partner, you have built one of the most overlooked forms of wealth: communication,' Sethi said. Money can be an uncomfortable topic that leads to arguments or makes you feel bad or secretive about your situation. So, you're doing well if you keep communication open and regularly meet with others to talk about your financial goals and ideas. Doing so also gives you chances to gain support and increase trust. Not Relying on Money Apps S&P Global's 2024 U.S. Consumer Insights survey found that 83% of Americans used financial apps. While money apps make it easier to monitor your finances, make budgets and even invest, some people become too attached to these tools, leading to wasted time and even anxiety. Sethi gave an example of someone who makes it a habit to check their money apps daily and look at their account balances so they feel some security. He explained that you're doing well if you've automated your finances and don't have to rely on money apps or spreadsheets in this way. He also recommended a clear, simple money management system over a complex one. More From GOBankingRates The 5 Car Brands Named the Least Reliable of 2025 This article originally appeared on Ramit Sethi: 7 Signs You're More Financially Successful Than You Think Sign in to access your portfolio
