Category: Moneywise

You probably know the importance of retiring with a hefty, well-diversified portfolio of assets. But what if you’ve spent some of your money accumulating things that look like ‘assets’ but are actually hidden liabilities.

Here are the top seven tempting but deceptive money drains that many people trap themselves into before retirement.

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1. Brand new cars

If you’re relatively older and financially secure, splurging on your ‘dream car’ can be the ultimate temptation. Why not buy the toys you’ve always wanted and resell them to someone else who’s just as passionate about motors as you?

Well, the typical new car loses roughly 30% of its value within the first two years alone, according to Kelley Blue Book. The depreciation rate slows down after those initial years, which means buying a modestly used car at an affordable price is a better way to secure your financial future.

2. Timeshares

Spending your retirement on the beach in Cabo Verde is undoubtedly attractive for many people. But there’s a difference between buying a vacation home somewhere exotic and buying a timeshare.

Unlike property ownership, timeshare ownership involves steep initial costs, recurring maintenance fees, low resale potential, and rigid usage schedules.

On top of that, the secondary market is notoriously poor, and many owners struggle to exit their agreements. Sales tactics can be aggressive, and the contracts themselves are often complex and difficult to navigate.

Consider creating an annual budget for vacation rentals in your retirement plan instead of locking yourself into these bad deals.

3. Luxury collectibles

Yes, there is an active market for luxury collectibles such as vintage cars, designer handbags and luxury watches. But a Rolex probably doesn’t deserve a spot on your retirement portfolio.

Luxury consumers are a fickle bunch and what’s considered valuable today may not be as valuable by the time you retire.

Diamonds, for instance, were a popular collectible but have seen prices decline by 26% in just the last two years, according to The Guardian.

With that in mind, avoid the glamorous “assets” and focus on safe but boring investments like corporate bonds or dividend stocks.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

4. McMansion or home upgrades

It’s nearly irresistible to think of your primary residence as the bedrock of your retirement. The median American homeowner is sitting on $327,000 in home equity as of 2024, according to the ICE Mortgage Monitor report.

However, it’s possible to go overboard with this investment. Buying a house that is far beyond your budget or too big for your needs can make it tougher to pay off the mortgage or maintain the property when you’re on a fixed income. It’s also a good idea to avoid excessive and frequent renovations to try and add value to the property.

Instead, focus on minimizing costs and debt and consider downsizing to tap into some of that built-up equity to make your retirement more flexible and comfortable.

5. Lottery tickets or speculative investments

Buying lottery tickets or pouring money into unproven and speculative investments is rarely a good idea, regardless of your age. But the risks are magnified when you’re older and approaching the end of your career.

Instead of indulging in wishful thinking that a meme-worthy cryptocurrency or random penny stock is going to make you rich overnight, consider the safer path to retirement. Focus on blue chip dividend stocks, bonds or gold.

6. Multiple or excessive mortgages

Rental income from a robust portfolio of real estate is a great way to enhance your passive income in retirement. But if you’re at the end of your career and rely on a fixed income, you should recognize the fact that your capacity for risk is much lower.

With this in mind, consider lowering or paying off all the mortgages on your rental properties. If you can’t, sell a few units to pay off the loans on others in your portfolio.

As a retired landlord, you can’t afford a sudden housing market crash or interest rate volatility.

7. Whole life insurance

Despite what the insurance salesman has probably told you, whole life insurance isn’t an ideal retirement vehicle.

These plans can be five to 15 times more expensive than term life insurance, according to Investopedia, and you have limited control over how the capital is invested.

Instead, focus on relatively simple financial instruments that offer steady cash flow and greater control.

What to read next

• Don’t have the cash to pay Uncle Sam in 2025? You may already be eligible for a ‘streamlined’ handshake with the IRS — here’s how it works and how it can potentially save you thousands
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in great wealth. How to get in now

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

If there’s one agricultural staple Florida is known for, it’s oranges.

Polk County, Florida, houses more acres of citrus than any other county in Florida. But in 2023, more people moved to Polk County than any other county in the country, leaving less room for citrus growers to do what they do best.

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However, the problem isn’t limited to Polk County. The combination of population growth, extreme weather and citrus greening disease have battered the Florida orange industry. Many citrus growers across the state are shutting down operations and making the tough decision to sell groves that have been in their families for generations.

And not just farmers and businesses reliant on oranges stand to lose. If this trend continues, consumers could also feel the impact.

A dire situation

Citrus greening disease, also known as Huanglongbing (HLB), has been devastating Florida citrus crops since it was first detected in 2005. It has ripped through the state, reducing citrus production by 75% and more than doubling production costs.

Florida’s citrus industry was already in poor shape when Hurricane Irma hit in 2017. In its aftermath, a major freeze followed, along with additional hurricanes that further exacerbated the situation. A tree that loses branches and foliage in a hurricane can take up to three years to recover.

All told, these events have contributed to a 90% decline in Florida’s orange production over the past two decades. The state’s citrus industry footprint has also shrunk from 832,000 acres to just 275,000.

“This industry is … so ingrained in Florida. Citrus is synonymous with Florida,” said Matt Joyner, CEO of trade association Florida Citrus Mutual.

Alico Inc., one of Florida’s biggest growers, announced plans this year to wind down its citrus operations across 53,000 acres. That decision has ripple effects for producers like Tropicana, which rely on Alico to produce orange juice. Meanwhile, U.S. orange juice consumption has also been declining for two decades.

But natural disasters aren’t the only challenge. Booming real estate is also taking a toll.

Florida’s population increased by more than 467,000 people last year, reaching 23 million and making it the third-largest state in the nation. But more people mean more homes — homes that encroach on orange groves.

The good news is that researchers are developing a genetically modified tree that can kill the tiny insects responsible for citrus greening. However, those trees are still at least three years away from being planted.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Could your grocery bills be affected?

The cost of orange juice has been rising steadily since the pandemic, with prices soaring in 2023 and 2024. In March 2020, a 12-ounce can of frozen orange juice concentrate cost $2.28. By February 2025, the price had jumped to $4.49.

The reason is simple: supply and demand. When supply dwindles, prices rise. If Florida’s citrus output continues to shrink, consumers may have to pay even more for orange juice and related products.

But that’s problematic. According to the Consumer Price Index, grocery prices were up 1.9% year over year as of February 2025, and many Americans are struggling to keep up.

Rampant inflation has been hurting consumers for years. A Swiftly survey in October found that 70% of consumers were having difficulty affording groceries. Meanwhile, Northwestern Mutual’s 2025 Planning & Progress Study found that 43% of respondents cited rising grocery prices as a significant financial burden.

If U.S. citrus production continues to decline, the country may need to rely more on imports. However, recent tariff policies and international trade tensions could drive prices even higher.

There’s also the issue of job losses. As of 2021, Florida’s citrus industry contributed $7 billion to the state’s economy and supported more than 32,000 jobs.

If citrus production continues to decline, many workers — especially those with long histories in agriculture — could find themselves unemployed. Whether they’ll be able to pivot successfully into new industries is unclear.

What to read next

• Don’t have the cash to pay Uncle Sam in 2025? You may already be eligible for a ‘streamlined’ handshake with the IRS — here’s how it works and how it can potentially save you thousands
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in great wealth. How to get in now

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

As of 2022, the typical American aged 75 and over had $130,000 in retirement savings, according to the Federal Reserve. However, Americans 65 to 74 had a median retirement savings balance of $200,000.

The reason older people have less money may boil down to the fact that by age 75, a lot of people have been retired for quite some time and have been steadily dipping into their nest eggs.

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On the other hand, there are people in their mid-70s and even beyond who continue to work. For some, it’s because their jobs are a labor of love. For others, it’s a matter of financial necessity.

Let’s say your father has hit 75 and he’s still plugging away at his desk job. Having just $31,000 saved for retirement, it’s natural you’re both worried about how he’ll get by. That frankly isn’t a ton of money, even for a shorter retirement.

But if your father still works and earns a comfortable salary of $70,000 a year, his situation is far from hopeless. And if he’s able to work a few more years, he has a prime opportunity to boost his savings.

The upside of working later in life

Axios analyzed data from the Bureau of Labor Services and found that almost 19% of Americans ages 65 and over were still working as of 2024. And that alone can help compensate for a lack of savings.

If your father is 75, it means he’s beyond the point where it makes sense to delay Social Security. In fact, he hopefully claimed Social Security at 70, since there’s no financial incentive to hold off on taking benefits beyond that point.

If not, encourage him to file right away and see how much of a retroactive benefit he can get. Those retroactive benefits max out at six months, but at least it’s something.

Meanwhile, if your father is collecting a $70,000 annual salary plus Social Security, he may have more than enough income to cover his expenses. At this point, he should, conceivably, be able to either save some of his salary and/or the majority of his Social Security income.

One thing you should know is that while there are age limits for traditional IRAs, they don’t apply for those funding Roth IRAs or 401(k)s. This year, your father can contribute up to $8,000 to his IRA or $23,500 to his 401(k) plan. If there’s a match in his 401(k), it’s worth capitalizing on it. It pays to save in one of these accounts for the tax benefits.

Of course, one thing to keep in mind is that if your father is 75 years old with a traditional IRA, hey may already be on the hook for required minimum distributions (RMDs). With a 401(k), RMDs can sometimes be deferred if the plan holder is still working. Roth IRAs and 401(k)s do not force savers to take RMDs, though. In this case, your father may want to consider rolling over his traditional IRA into a Roth account.

Of course, given your father’s age, it’s important that he not invest any savings he builds too aggressively. He may end up wanting to retire soon, so he needs a good portion of his portfolio in stable assets, like bonds. Your father should also maintain enough cash savings to cover at least a year of expenses.

How much does it take to pull off a comfortable retirement?

A recent Northwestern Mutual survey found that Americans think it takes $1.26 million to retire securely. But the savings data above reveals that most people don’t have anywhere close to $1.26 million by the time they reach retirement age.

The reality is that the amount of savings it takes to retire comfortably depends on your needs and age. Someone who’s still working at 75 may not need as much savings as someone who decides to retire at 65.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

What someone in the situation above needs to do, though, is estimate their annual expenses and see how much savings it will take to cover them in the absence of a paycheck — because at 75, it’s unclear as to how much longer it will be possible to keep plugging away.

Now with regard to your savings, you may want to assume a 4% withdrawal rate. With $31,000 saved, that amounts to $1,240 per year, which isn’t a lot. However, keep in mind that’s on top of Social Security.

The average retired worker today collects about $1,980 per month, or $23,760 per year, in benefits. And with $1,240 from his savings, that would bring him to about $25,000 for the year.

However, someone still working at 75 may have delayed Social Security until age 70 for larger monthly checks. So your dad’s total income may be higher.

Running the numbers

Let’s say his monthly retirement expenses come to $2,800, requiring an annual income of $33,600. Let’s also say he’s getting about $2,600 a month from Social Security because he delayed his claim past his full retirement age of 66 — thereby boosting his benefits by 32% by waiting to take them at 70.

That leaves your dad with $31,200 per year. With $31,000 in savings, that gives you $1,240 per year, you still have a small shortfall to get to $33,600.

But if you can get your savings up to $60,000, a 4% annual withdrawal rate gives you $2,400 from your nest egg. Add that to $31,200 in Social Security, and you’re where you need to be.

Of course, this does mean doubling his savings. But it may be doable with some strategic moves. Your dad is 75 and is fortunate he has a grown child who cares about your financial well being — maybe your or another family member could allow him to move in for a few years to boost his nest egg. There may also be other expenses he can look into reducing.

Keep in mind, too, that he may have leeway to withdraw from his savings at a higher rate than 4% a year because he’s older. If you use a 5% withdrawal rate, $31,000 in savings gives him $1,550 per year. If you use a 6% rate, you’re looking at $1,860. And if you work with a financial advisor to maximize your savings and trim expenses, you may find that your dad doesn’t need to save so much more to get to a place where he can retire and cover his costs.

What to read next

• Don’t have the cash to pay Uncle Sam in 2025? You may already be eligible for a ‘streamlined’ handshake with the IRS — here’s how it works and how it can potentially save you thousands
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in great wealth. How to get in now

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

If you’ve ever met someone whose lifestyle just doesn’t quite add up, you might be dealing with a high-class illusionist — someone pretending to be wealthy.

Amidst all the social pressure to keep up with your neighbors and achieve that dream lifestyle, many ordinary Americans are simply faking it until they make it.

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• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

However, that’s a recipe for financial disaster according to financial experts Rachel Cruze and George Kamel.

"If you live fake rich, you’ll become real broke," Kamel quipped on a recent episode of The Ramsey Show.

Cruze pointed to the other end of the spectrum where the richest families are adopting a “stealth wealth” lifestyle to cover their true fortune.

“People that are actually really wealthy, you won’t really know it,” she said.

With that in mind, they offer a list of the top six signs that someone is pretending to be upper-class and living a lifestyle they probably can’t afford.

Sign 1: Flashy designer brands

Many consumers are buying fashion they can’t afford. Roughly 51% of Americans surveyed by LendingTree last year said they overspent to impress others, with 29% of them saying they wanted to feel successful.

The most common way to achieve this feeling, for 19% of respondents, was to spend on clothes, shoes and accessories. However, this perception of luxury brands and expensive clothing is an illusion.

If you’re looking to save money and build genuine wealth, maybe it’s time to ditch the flashy logos and invest in your future, especially when a potential recession could be looming.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Sign 2: Expensive wine on a beer budget

Being a wine snob is something most people would consider a sign of affluence, but research suggests expensive wine isn’t necessarily better than the budget bottles.

A study published in the Journal of Wine Economics found that members of the Princeton Wine Group, which has blind tested over 1,700 different wines since the 1980s, found little correlation between a wine’s taste, quality and price.

So the next time you’re at a restaurant, focus on your own preferences rather than the judgment of others.

Sign 3: Talking about money too much

During Cruze and Kamel’s conversation, Kamel took a dig at “crypto bros” who never miss an opportunity to tell you about how many billions the currency is worth “for the moment.”

“All these people talking loudly about money is usually a red flag to me,” Kamel said.

A 2023 study by Empower found that 62% of Americans actually struggle to discuss money with their friends and family, which also isn’t great.

But, excessively bragging about your finances could be a sign of insecurity that you may need to deal with.

Sign 4: Flaunting wealth on social media

Influencer and hustle culture has been around long enough that a growing number of social media users are suspicious of the glamorous lifestyles they see on their feed.

In 2021, HBO’s documentary “Fake Famous” pulled back the curtain on the industry’s underhanded tricks by turning three “nobodies” into relatively successful online influencers.

So, the next time you see someone posting pictures of a luxury resort or designer purse on Instagram, swap your sense of financial anxiety for a healthy dose of skepticism.

Sign 5: Leasing luxury cars

Leasing cars has become more common in recent years as consumers struggle with rising interest rates and look for more affordable options.

According to Experian, roughly 25% of new vehicles were leased in 2024, up from 21% in 2023 and 19% in 2022.

That means one in every four cars you see on the road are probably rented. Your friends or neighbors with fancy SUVs are likely stretching their budgets to keep those wheels.

"If you’re a dude and you’ve ever posed in front of any vehicle, it’s a hard no for me,” Kamel joked. “Your dad didn’t hug you enough.”

Sign 6: Over-accessorizing

One last sign that you may be faking your riches is if you’re going above and beyond with your appearance.

“Over accessorizing, flashy nails, expensive watches, loud hair/makeup,” are all indicators of an unsustainable need to appear wealthier, according to Cruze.

Genuinely rich people don’t necessarily feel the need to remind everyone about it. Ditching the bling may be the first step to rescuing your bank account.

If any of the above signs sound like someone you know, remember you’re only seeing the tip of the iceberg. What really counts is living within your means and feeling confident that if you were to stumble into a period of financial misfortune, you’d have enough saved to bridge the gap.

What to read next

• Don’t have the cash to pay Uncle Sam in 2025? You may already be eligible for a ‘streamlined’ handshake with the IRS — here’s how it works and how it can potentially save you thousands
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in great wealth. How to get in now

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

Do you know how your landlord sets the rent? In many parts of the country, it may be done using algorithms.

These third-party-run algorithms use proprietary and public data and may allow landlords to indirectly collude to charge higher rents.

"What these companies are doing is they’re replacing what used to be a smoke-filled back room with a computer algorithm,” Rep. Javier Mabrey of Colorado told ABC Denver 7 News in March.

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• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

These algorithms have cost renters a lot of money, with a report released under the Biden administration estimating them to have cost U.S. renters $3.8 billion in 2023, with Denver renters in particular having paid, on average, $136 more per month.

Now, lawmakers in Colorado, including Rep. Mabrey, are trying to ban them in House Bill 25-1004. The bill cleared the state Senate on April 29, with its fate now in the hands of Gov. Jared Polis.

So, what would the bill do? And, how would the ban affect renters and landlords? Here’s what you need to know.

How do rent-setting algorithms work?

This predictive software uses extensive market data to offer landlords profit-maximizing recommendations about rental terms, including pricing. A system, the American Economic Liberties Project says, can allow landlords to “limit supply and drive up rents without explicitly sharing data … exploiting a loophole in laws that prohibit price-fixing.”

But states have begun to take notice, and Colorado joined a lawsuit with seven other states and the Department of Justice against RealPage, a commercial revenue management software provider based in Texas. According to Economic Liberties, RealPage’s clients comprise around 90% of investment-grade multifamily rental housing units in the U.S.

The lawsuit, even if successful, may not be enough to fully protect consumers from all rent-setting algorithms, say some Colorado lawmakers. That’s why they are trying to ban such software altogether.

"We need to stand up and say, ‘Enough is enough,’” Rep. Mabrey told Denver 7. “We’re not going to wait for the courts, and this is illegal in the state of Colorado.”

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

What would a ban on rent-setting algorithms mean for landlords and renters?

The proposed bill would prohibit algorithmic devices if they are intended “to set or recommend the amount of rent, level of occupancy, or other commercial term associated with the occupancy of a residential premises” by two or more landlords in the same or related markets. It would also ban algorithmic devices that recommend any of these terms “based on data or analysis that’s similar for each landlord.”

Violations of the law would be considered “an illegal restraint of trade or commerce” and would be punishable under Colorado’s antitrust laws.

The Colorado House of Representatives has approved the bill already, and it now heads to the state Senate. If it becomes law, unlike a similar bill that failed in 2024, Colorado would be a pioneer in passing this legislation — although other states have tried.

Proposed bills prohibiting these algorithms also stalled in Illinois, New York and Rhode Island in 2024, while a similar bill did pass the Washington Senate and is now awaiting a House vote.

Four cities have successfully instituted bans, including Minneapolis, most recently, as well as San Francisco, Philadelphia and Berkeley.

Not everyone is in favor of these new laws, though.

“I just don’t think we need more regulation, more legislation in this space where any time the government interferes, we distort the market, and the results are going to be unexpected," Rep. Chris Richardson told Denver 7 in March.

Richardson said many landlords are small business owners or elderly homeowners who could be hurt by the new rules. Meanwhile, the Colorado Apartment Association told Denver 7 that the algorithms are a “critical tool” for assessing the market.

It remains to be seen which argument will win out — and how rent prices will be affected in cities and states where bans pass.

However, with housing costs already inflated in the post-pandemic era, renters would most likely appreciate any efforts to try to bring prices in check, especially if they are being artificially increased by modern methods of price collusion.

What to read next

• Don’t have the cash to pay Uncle Sam in 2025? You may already be eligible for a ‘streamlined’ handshake with the IRS — here’s how it works and how it can potentially save you thousands
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in great wealth. How to get in now

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

DoorDash is best known as an app that allows people to order food for delivery. That’s why it may come as a surprise that it’s partnered with a service called Klarna that allows customers to finance purchases.

It may seem odd to finance — or pay over time — for takeout food, but the company’s head of money products recently explained why DoorDash made this choice.

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• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

"As we expand DoorDash’s offerings — from groceries and beauty to electronics and gifts — flexible payment options are essential to meeting our customers’ needs,” Anand Subbarayan, the company’s head of money products, explained in an announcement about the new partnership.

Regardless of the reasoning, however, there are many experts who are concerned that this "eat now, pay later" arrangement will only add to America’s debt binge and lead people into financial trouble that makes it harder for them to make ends meet.

Understanding the new payment options on DoorDash

Under the new partnership with Klarna, DoorDash users will have three choices when they pay for their purchases. They can:

• Pay in full at the time of the order.
• Pay in four, breaking up the payment into four equal installments that are interest-free.
• Pay later, which allows customers to defer payments until a specific time, such as the day that they get paid.

"This partnership empowers customers with maximum choice and control over how they pay – from groceries and the season’s big-ticket electronics to home improvement supplies, beauty and even their DashPass Annual Plan membership," the DoorDash announcement said.

Both the pay in four and pay later options are considered buy now, pay later (BNPL) products. On May 22, 2024, the Consumer Financial Protection Bureau (CFPB) issued new rules confirming that BNPL lenders should be treated like credit cards and consumers must be extended the same protections card issuers provide, including the right to dispute charges and to demand a refund after returning products purchased using BNPL.

Unfortunately, even with these protections in place, BNPL increases the risks of financial problems for consumers. Research published in Harvard’s Journal of Marketing shows that consumers who used BNPL were likely to spend more, with the likelihood of completing a transaction increasing from 17% to 26%. Basket sizes for BNPL orders were also 10% larger on average, and the increase in spending that resulted persisted for six months.

Financially constrained shoppers who often rely on credit were the most vulnerable to these spending increases, increasing their basket size by 14%.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Experts are concerned about BNPL for DoorDash

The addition of Klarna as a payment method did not go unnoticed, with experts having a lot to say about the idea of borrowing money for takeout food.

“Eat now, pay later is an awful trap,” Douglas Boneparth, president of Bone Fide Wealth, said on X. “If you need to borrow to have a burrito delivered to you, you are the product. Nothing more. These companies aren’t helping people. In fact, they are taking advantage of them.”

There’s also concern that offering this easy access to credit could worsen the debt binge already going on in the United States. Debt binge is an over-reliance on credit of all types. As data from the Federal Reserve in February showed:

• Credit card balances were up $45 billion and hit $1.21 trillion by the end of December 2024.
• Auto loan balances increased $11 billion to $1.66 trillion.
• Mortgage balances increased by $11 billion to $12.61 trillion.
• HELOC balances increased by $9 billion to $396 billion.
• Retail credit cards and other consumer loans grew by $8 billion.
• Student loans grew by $9 billion and hit $1.62 trillion.

Continued borrowing at these levels may be unsustainable, and now consumers could add DoorDash debt to this list.

Unfortunately, researchers from the CFPB found that once people begin to rely on BNPL services, they do so again and again. In fact, the CFPB showed 63% of borrowers originated multiple simultaneous BNPL loans at the same time at some point during 2022.

So, while it may be tempting to pay for a food purchase in installments or defer payments until payday — especially if you feel like you need a treat and don’t have much cash to your name — you likely want to avoid this option.

Instead, you should stick to a budget that includes a set amount of spending for things like DoorDash so you can splurge guilt-free without borrowing while also saving for the future. If you can’t afford an unnecessary purchase like DoorDash, just consider saying no to it and cooking at home.

Deleting apps that make overspending easy may be the next move. Getting back to classic home cooking can make a big difference in your total expenditures — even if you aren’t financing your deliveries.

What to read next

• Don’t have the cash to pay Uncle Sam in 2025? You may already be eligible for a ‘streamlined’ handshake with the IRS — here’s how it works and how it can potentially save you thousands
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in great wealth. How to get in now

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

Arizona father and son, Randy and Chad Miller, have reportedly been indicted in an alleged scheme that targeted investors looking to fund a sports complex.

The elaborate plot, which resulted in more than $280 million in defrauded funds, involved municipal bonds linked to a large sports complex in the city of Mesa.

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Federal prosecutors allege the pair deceived investors about prospective interest in the use of Legacy Park (formerly Bell Bank Park). The Millers used forged documents to sell what were essentially worthless bonds, according to prosecutors.

The father–son duo now face four major charges, with victims ranging from individuals to organizations, including one that promotes athletes living with disabilities.

What happened?

According to federal investigators, the Millers orchestrated an elaborate fraud centered on Legacy Park, a massive sports venue near Mesa Gateway Airport.

The pair reportedly created fake demand by forging "binding" letters of intent from sports groups and customers, falsely claiming that the venue would be fully occupied and generate more than $100 million in its first year — more than enough to cover bond payments.

In some instances, prosecutors allege that the Millers directed others to sign letters without permission or copied forged signatures onto fabricated documents.

“Essentially, the Millers made solicitations … particularly through bonds that were based on false statements and misrepresentations,” criminal defense attorney Jason Lamm told AZ Family.

The fraudulent documents misled investors into believing the project had significant, credible backing. However, the project began unraveling soon after opening in 2022.

By October of that year, the park had defaulted on its bond payments and filed for bankruptcy the following spring. Despite the estimated $284 million raised, federal officials say less than $2.5 million was ultimately used to repay bondholders. The complex was eventually sold for less than $26 million.

The FBI’s assistant director in charge, Christopher G. Raia, remarked to AZ Family: “Randy and Chad Miller allegedly chose to use a planned sports complex as a means to exploit and defraud investors … the FBI will continue to ensure a level playing field by holding fraudsters accountable.”

Prosecutors said the money was allegedly used to enrich the Millers personally, with things like a home, SUVs and inflated salaries.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

The father-son duo has been charged with conspiracy to commit wire fraud and securities fraud, one count of securities fraud, one count of wire fraud and one count of aggravated identity theft.

“The Millers allegedly executed the scheme using fraudulent documents to lie about the status of the proposed project in order to raise hundreds of millions of dollars which they used to enrich themselves,” Raia said.

How to spot similar investment scams

Investment scams involving municipal bonds or large development projects often prey on good intentions, especially when tied to community efforts.

Awareness and skepticism are your best defense. Here are some red flags and practical tips to avoid being deceived.

Lack of transparency. If financial documents, contracts or project plans aren’t readily available, that’s a warning sign.

Pressure to act quickly. Scammers often create a sense of urgency to discourage due diligence.

Unrealistic returns or projections. Promises of high or guaranteed returns, especially on municipal bonds, should raise suspicion.

Missing independent verification. If third-party audits or evaluations are unavailable, it may signal fraudulent intent.

Follow these tips to protect yourself:

• Verify bond issuers. Check with the Municipal Securities Rulemaking Board and Electronic Municipal Market Access database to confirm a bond offering’s legitimacy.
• Consult financial advisors. Before investing significant sums, especially in unfamiliar financial products, speak with a licensed investment advisor or securities attorney.
• Research the project thoroughly. Look for third-party confirmations, such as news reports, planning commission documents or business filings.
• Don’t rely on just the pitch. If the only source of information is the promoter, it’s time to ask questions and dig deeper.

What to read next

• Don’t have the cash to pay Uncle Sam in 2025? You may already be eligible for a ‘streamlined’ handshake with the IRS — here’s how it works and how it can potentially save you thousands
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in great wealth. How to get in now

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

To combat America’s declining birth rate, the Trump administration is reportedly considering a $5,000 “baby bonus” for new mothers.

According to The New York Times, a chorus of proposals have been floated at the White House to encourage Americans to get married and have more children. One idea gaining attention: a $5,000 cash bonus for every new mother after delivery.

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• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

When asked Tuesday at the White House whether his administration was considering such a bonus, Trump didn’t hesitate. “Sounds like a good idea to me,” told reporters.

America’s total fertility rate (TFR) has been declining for decades. In 1960, it stood at 3.65 births per woman. By 1990, it had fallen to about 2.1 — roughly the replacement level needed for a population to replace itself from one generation to the next — and by 2023, it had dropped further to just 1.62, according to a March 2025 report from the CDC.

But while $5,000 is nothing to sneeze at, some experts and parents say it’s unlikely to move the needle — especially given the soaring cost of raising a child in America today.

According to SmartAsset, the median annual cost for two working parents to raise one child in the U.S. is $22,850.

And although Trump appears to like the idea of a $5,000 baby bonus, there’s no guarantee it will move forward. A White House official told CBS MoneyWatch that no final decision has been made.

In the meantime, soaring living costs — from housing to groceries to healthcare — are putting pressure on Americans across the board, whether they have children or not. In an environment where every dollar counts, finding ways to build additional income streams can make a real difference.

Here’s a look at three simple ways to start earning passive income — sources of money that keep flowing with little day-to-day effort.

Real estate

Real estate is a popular way to generate recurring income. When you own a rental property and tenants pay rent, you earn a steady monthly cash flow.

It’s also a time-tested hedge against inflation, as property values and rental income tend to rise alongside the cost of living.

Of course, purchasing a property requires significant capital — and finding the right tenant takes time and effort. But thanks to new investment platforms like Arrived, you don’t need to own a property outright to gain exposure to real estate.

With Arrived, you can invest in shares of rental homes with as little as $100, all without the hassle of mowing lawns, fixing leaky faucets or handling difficult tenants.

The process is simple: browse a curated selection of homes that have been vetted for their appreciation and income potential. Once you find a property you like, select the number of shares you’d like to purchase, and start generating potential regular income — all while Arrived handles the responsibilities of property management.

Another option is First National Realty Partners (FNRP), which allows accredited investors to diversify their portfolio through grocery-anchored commercial properties, without taking on the responsibilities of being a landlord.

With a minimum investment of $50,000, investors can own a share of properties leased by national brands like Whole Foods, Kroger and Walmart, which provide essential goods to their communities. Thanks to Triple Net (NNN) leases, accredited investors are able to invest in these properties without worrying about tenant costs cutting into their potential returns.

Simply answer a few questions – including how much you would like to invest – to start browsing their full list of available properties.

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Dividend stocks

Investing in dividend stocks — shares of companies that regularly distribute a portion of their profits to shareholders — is another time-tested way to generate passive income.

Dividends are payments made to investors, typically on a quarterly basis, providing a steady income stream without requiring the sale of shares. While stock prices fluctuate, companies with a strong dividend track record allow investors to earn consistent payouts, and some even increase their dividends over time, further boosting returns.

Of course, not all dividend stocks are created equal. For those looking to diversify easily, dividend-focused exchange-traded funds (ETFs) offer an attractive option. These funds pool together dozens or even hundreds of dividend-paying companies, reducing the risk tied to any single stock. Dividend ETFs can provide broad exposure across industries and often focus on companies with strong histories of paying — and growing — their dividends.

The beauty of ETF investing is its accessibility — anyone, regardless of wealth, can take advantage of it. Even small amounts can grow over time with tools like Acorns, a popular app that automatically invests your spare change.

Signing up for Acorns takes just minutes: link your cards, and Acorns will round up each purchase to the nearest dollar, investing the difference — your spare change — into a diversified portfolio. With Acorns, you can invest in a dividend ETF with as little as $5 — and, if you sign up today, Acorns will add a $20 bonus to help you begin your investment journey.

High yield savings accounts

High-yield savings accounts offer a low-risk way to generate passive income while keeping your funds accessible. These accounts typically offer much higher interest rates than traditional savings accounts, allowing your money to grow without needing to lock it away in long-term investments. This option is ideal for those who want a secure, liquid source of passive income with minimal effort or risk.

These days, some banks and financial institutions are offering high-yield savings accounts that pay up to 4.5%.

In the U.S., most savings accounts are insured by the Federal Deposit Insurance Corporation (FDIC) up to $250,000 per depositor, per insured bank. This insurance provides protection to depositors in the event that the bank fails, ensuring that their funds are safe and accessible.

If you’re unsure which path to take amid today’s market uncertainty, it might be a good time to connect with a financial advisor through FinancialAdvisor.net.

FinancialAdvisor.net is a free online service that helps you find a financial advisor who can help you create a plan to reach your financial goals. Just answer a few questions and their extensive online database will match you with a few vetted advisors based on your answers.

You can view advisor profiles, read past client reviews, and schedule an initial consultation for free with no obligation to hire.

What to read next

• Don’t have the cash to pay Uncle Sam in 2025? You may already be eligible for a ‘streamlined’ handshake with the IRS — here’s how it works and how it can potentially save you thousands
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in great wealth. How to get in now

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

So, you’ve left planning for your golden years to the mid-century mark — don’t worry. You’re not the only one.

About 20% of Americans aged 50 and older have nothing saved for retirement, according to a recent survey by AARP.

For those starting late, the challenge to save enough in time might seem daunting. Americans, on average, believe they’ll need nearly $1.46 million for a comfortable retirement, based on a 2024 study by Northwestern Mutual.

Even if you’re one of the many Americans falling short of what you expected to have stashed away for retirement by now, you still have options — here are five ways to catch up fast.

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• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

Automatically invest your spare change

You don’t always have to put away large sums to move toward your retirement goals. Ten dollars a week could make a difference – if you’re smart about what to do with your spare change.

When you make a purchase on your credit or debit card, Acorns automatically rounds up the price to the nearest dollar and places the excess — the coins that would wind up in your pocket if you were paying cash — into a smart investment portfolio.

Let’s say you purchase a doughnut for $2.30. Before you’re done licking the sugar off your fingers, Acorns will round the amount to $3.00 and invest the 70-cent difference for you. Look at this math: $2.50 worth of daily round-ups add up to $900 per year — and that’s before your savings earn money in the market.

Plus, if you sign up now, you can get a $20 bonus investment.

Supercharge your retirement contributions

Take advantage of your employer’s 401(k) matching program if that’s an option. Work toward increasing contributions whenever you receive a raise or bonus.

Those looking to incorporate precious metals into their retirement strategy can benefit from modern investment solutions, like those offered by companies like American Hartford Gold.

American Hartford Gold is a leading precious metals dealer – allowing you to invest directly in gold or silver.

With secure storage, expert guidance, and customizable investment plans, American Hartford Gold helps investors diversify their portfolios while protecting against inflation. Gold IRAs provide a tangible safeguard for retirement savings, combining financial security with significant tax advantages, making them an appealing choice for long-term wealth preservation.

Maximize your current savings

57% of Americans put their money in traditional savings accounts, which have an average percentage yield of only 0.41%, according to the Federal Deposit Insurance Corporation (FDIC).

If you want to grow your savings more efficiently, you can do just that with a high-yield cash account like the one offered by Wealthfront.

Wealthfront is a financial services platform offering a range of products, from automated investing to cash accounts. The Wealthfront Cash Account offers 4.00% APY — almost 10x the national average.

With full access to your money at all times, Wealthfront also offers fast (and free) transfers to internal Wealthfront investing accounts, as well as external accounts.

To get started, you can fund your cash account with as little as $1 and start stacking up your savings.

Find additional sources of capital

With home values higher than ever, you can make your home work harder for you by making the most of your equity. The average homeowner sits on roughly $311,000 in equity as of the third quarter of 2024, according to CoreLogic.

Having access to your home equity could help to cover unexpected expenses, fund a major purchase like a home renovation or supplement income from your retirement nest egg.

Rates on HELOCs and home equity loans are typically lower than APRs on credit cards and personal loans, making it an appealing option for homeowners with substantial equity.

Unlock great low rates in minutes by shopping around. You can compare real loan rates offered by different lenders side-by-side through LendingTree.

Just answer a few simple questions, and LendingTree will match you with up to 5 lenders¹ with low rates today.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Ensure your loved ones are taken care of

Many retirees are part of a couple, relying on the income from two people to make ends meet.

If the worst should happen, you’ll want to ensure your partner has the funds they’ll need to cover unexpected costs.

Life insurance can offer a versatile solution to help support your family, providing coverage to potentially replace lost income or settle outstanding debts in the event of your death.

Opting for term life insurance through a provider like Ethos, ensures that as you age, your loved ones are protected from unexpected costs. With term life insurance, you can secure affordable coverage while managing your other financial responsibilities.

Ethos offers an easy online process that allows you to get up to $2 million in coverage with terms spanning from 10 to 30 years. To get a free quote, simply answer a few questions about yourself. Then, you can compare various policies and choose one that best suits your needs.

What to read next

• Don’t have the cash to pay Uncle Sam in 2025? You may already be eligible for a ‘streamlined’ handshake with the IRS — here’s how it works and how it can potentially save you thousands
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in great wealth. How to get in now

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.