News Direct

Category: Moneywise

  • After the storm: How to financially weather home repairs and rising insurance costs

    After the storm: How to financially weather home repairs and rising insurance costs

    Some Florida homeowners hardest hit by hurricanes Milton and Helene must now also see their homes completely demolished or, if they’re lucky, elevated.

    This follows a federal mandate that impacts majorly damaged homes — those impacted by natural disasters. Federal Emergency Management Agency’s (FEMA) 50% rule dictates that if a house is in a flood zone and local building officials deem it to be substantially damaged, straightforward repairs may not be sufficient.

    The complex regulation kicks in when the repair costs exceed 50% of the home’s market value (the test for “substantially damaged”), amounting to hundreds of thousands of dollars for the homeowners.

    Don’t miss

    The impact of hurricanes Milton and Helene

    Hurricane Milton took at least 24 lives in Florida and caused over $34.3 billion in damages last October, while just days prior, Hurricane Helene’s aftermath killed 34 in the state and caused over $78.7 billion in damages across the U.S.

    The west coast barrier islands of Pinellas County were one of the state’s most impacted areas. Redington Shores resident Derek Brunney has lived in his home for over 20 years and has had to contend with it being demolished.

    “You start seeing different events you had on the property. Weddings, birthdays, things like that. It just rehashed everything," Brunney told WFLA News Channel 8 On Your Side about the aftermath. "It’s one step forward, two, or three steps back. You get punched in the eye at the same time.”

    The trouble for many homeowners like Brunney is that they still must pay for their insurance and utilities. But he — and many other Florida homeowners — still hold out hope for a better future.

    “It’s slow,” he said. “It’s daunting. It’s exhausting, but it’s the only way you’re going to move forward right now until you get to the end of it.”

    How to budget for the unexpected

    When it comes to home repairs and rising insurance costs, you often can’t anticipate when they’ll hit. The key is to be prepared. While this isn’t a simple feat for many, there are some practical things you can start doing today to budget for the future and any rebuilding efforts.

    Set aside emergency savings. Aim to save what you can each year for emergency repairs and maintenance. Ideally, your fund will cover three months worth of minimum monthly expenses, but if you’re in a disaster-prone area, you’ll need to prepare for more than the bare minimum because such expenses fall beyond the parameters of regular expenses. To get a sense of what you’d need to put away, you can try using a savings goal calculator, or plain old pencil and paper. While those funds sit tight, invest them independently in something that earns interest yet keeps them separate and accessible, like a high-yield savings account.

    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

    Understand your insurance plan and exactly what you are and aren’t covered for. Review your home insurance policy in detail every year, and don’t hesitate to contact your agent to clarify terms. Ask questions. Document answers. Make sure you understand deductibles, exclusions and any limits on claims.

    Prepare and save for increased premiums. Track trends in local insurance rates and adjust your budget accordingly. Even if you aren’t in an area of direct impact when it comes to natural disasters like fires and hurricanes, you may be surprised to learn, your premiums may still be going up. Others in “high-catastrophy states” may also need to prepare. Understand why this may be the case, and prepare to shop around for the best rates for the coverage you need, if necessary.

    Future-proof your home against natural disasters. Start with small projects like installing storm shutters and sump pumps, reinforcing your roof and replacing lighter materials with more durable alternatives. Then, consider larger upgrades like hurricane resistance or seismic retrofits, and flood barriers. Fireproofing his home made all the difference for this California resident.

    Look into state-wide programs to help offset costs. For example, Elevate Florida, the state’s first elevation mitigation program, was designed to "enhance community resilience by mitigating private residences against natural hazards." It provides eligible homeowners with at least 75% of their costs for structure elevation, mitigation reconstruction, acquisition/demolition or wind mitigation. Research and use all the programs and funds available to you.

    With these measures, you can rest assured you are being proactive in protecting your home and your future.

    What to read next

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

  • A New Jersey man borrowed $20K from his brother to go to law school, but bought a car instead — then crashed it. Here’s the advice he got on John Mulaney’s new Netflix talk show

    A New Jersey man borrowed $20K from his brother to go to law school, but bought a car instead — then crashed it. Here’s the advice he got on John Mulaney’s new Netflix talk show

    When a loved one is in need, lending a helping hand can feel like second nature — even with a price tag.

    On a recent episode of his new Netflix talk show, Everybody’s Live With John Mulaney, the comedian explores what it really means to help someone — and the consequences that can follow.

    Don’t miss

    He’s joined by actor Michael Keaton and Jessica Roy, a personal finance columnist for the San Francisco Chronicle. Their first caller was Dylan from Montville, New Jersey, who borrowed $20,000 from his brother to attend law school. But instead of cracking open textbooks, Dylan bought a car. Then he crashed it. After selling the wreck for scrap, only $1,200 of the original $20,000 remained.

    Now, Dylan finds himself in a bind: no money, no law degree, a totaled car and a $20,000 lie he has to repay.

    It’s a cautionary tale and one that might hit closer to home than you’d expect. Whether you’ve loaned money to a loved one or considered asking for help yourself, navigating finances within personal relationships can be tricky.

    Being a good friend

    When money enters the mix between friends and family, the emotional toll can often outweigh the financial loss. A LendingTree survey found that 31% of Americans are owed money by a loved one — with friends and siblings being the most common borrowers.

    The top reason? Covering debt payments and everyday expenses like meals and gas. But personal lending often comes with strings attached: nearly half of the respondents said they regretted lending money to someone close, and one in six admitted it had damaged a relationship.

    In the episode, Roy emphasized that lending money to someone you care about requires a mental shift.

    “Any money you loan someone you need to be psychologically detached from it,” she explained. “It’s a gift and I’m not going to get it back.”

    It’s a mindset that protects more than just your wallet — it safeguards your relationships, too. When lending to friends and family, boundaries are just as valuable as budgets.

    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

    Stuck in a tough spot

    Dylan found himself in a messy situation. Not only did he lie to his brother about using the $20,000 loan for law school, but now he has no way to pay it back. He mentioned buying a van for $500, which led Roy to suggest he start a side hustle — like driving for Uber — to begin earning money.

    According to LendingTree, 38% of Americans have a side hustle, whether it’s delivering food, freelancing or picking up seasonal work. For many, these gigs aren’t just for extra cash: 61% say their life would be unaffordable without one.

    But earning money is only part of the solution — Dylan also needs to come clean. His brother still believes he’s in law school.

    “I would talk to your brother and come up with a good faith repayment plan of however much you can commit to,” Roy advised.

    Dylan should also consider building a budget to get his finances back on track. That means taking stock of any income — including side hustle earnings — and mapping out monthly expenses like gas, food and debt payments.

    Even setting aside small amounts consistently — say, $50 or $100 a week — can build momentum toward repaying the loan. Beyond that, budgeting can help Dylan understand where his money is going, avoid future financial missteps and rebuild trust — not just with his brother, but with himself.

    What to read next

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

  • I’m a 32-year-old single mom with two kids and my $2,000 monthly rent eats up half of my take-home pay. How can I cover my other expenses?

    I’m a 32-year-old single mom with two kids and my $2,000 monthly rent eats up half of my take-home pay. How can I cover my other expenses?

    Redfin puts median rent at $1,610, so if you’re paying $2,000 a month in rent, that doesn’t seem so out of line – especially if you live in a city with higher rent prices, or if you’re renting a larger unit because you need more than one bedroom.

    Don’t miss

    Housing is the largest expense for Americans. But if you’re spending $2,000 a month on rent and your take-home pay after taxes is only $4,000, you may be in a position where it’s tough to impossible to cover your remaining bills.

    The popular 50/30/20 budgeting rule says 50% of your take-home pay should cover your needs, 30% should go towards wants and 20% is for savings and debt repayment. However, such guidelines are not realistic or wise for everyone, so don’t worry if you can’t meet those goals.

    Your situation isn’t hopeless. But some changes may be in order so that you don’t fall behind on either your rent or your non-housing expenses.

    How to cope when rents are high

    One thing you can do is create a budget for yourself and try to identify areas you can cut back on. You can use one of several budgeting apps available to make this process easier.

    Housing may not be one that immediately comes to mind. But if you live in a walkable area, it may be possible to get by without a car and rely on buses and the occasional rideshare.

    AAA puts the average cost of owning and operating a new car at $1,024.71 per month. But even used vehicles can be expensive to own and maintain. So if you’re able to unload that expense, it could help.

    You can also look into getting a side job to boost your income. However, if you’re 32 with two kids, your children may be on the young side. And that means childcare costs could eat into your side hustle profits. So you may want to focus on opportunities you can do from home, like data entry.

    You can also see if your state has a rental assistance program you can apply for. You may, for example, be eligible for subsidized housing. Contact your local public housing agency to find out more.

    Finally, do some research to see if moving to a different neighborhood results in lower rent prices. If you have children in school, moving may not be easy, as it could mean having to switch districts. But if you’re struggling to keep up with your bills, it may be your only choice for the time being until your income increases or other costs of yours start to go down.

    Once you feel like you’re covering your basic costs, focus on building an emergency fund that will protect you from taking on debt in the future.

    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

    Why so many Americans are rent-burdened

    An estimated 21 million renter households in the U.S. are cost-burdened, says the U.S. Census, meaning they spend more than 30% of their income on rent. That represents nearly 50% of all renter households based on 2023 data.

    Rents soared after the pandemic, and the reason largely boils down to limited supply and high demand. According to Zillow, the U.S housing shortage grew to 4.5 million homes in 2022, up from 4.3 million the year before. "This balance reached a tipping point when the Great Recession ushered in a decade of underbuilding and millennials — the biggest generation in U.S. history — reaching the prime age for first-time home buying. The result has been worsening affordability, now exacerbated by stubbornly high mortgage rates," it said in a press release.

    The National Low Income Housing Coalition recently said the U.S. has a shortage of 7.1 million affordable housing units. Only 35 affordable and available rental homes exist per 100 extremely low-income renter households.

    The good news is rents have been gradually decreasing over the past year and a half. The bad news? This makes multifamily housing less appealing to investors, according to Realtor.com, which could result in lower rental unit inventory going forward and, in turn, cause rent prices to go up.

    What to read next

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

  • ‘The last thing our country needs’: The door has been opened to big Medicaid and SNAP cuts — how this could affect your finances and what you can do to prepare

    ‘The last thing our country needs’: The door has been opened to big Medicaid and SNAP cuts — how this could affect your finances and what you can do to prepare

    The administration under President Donald Trump has promised it won’t make cuts to Social Security, Medicare and Medicaid benefits. But the GOP budget plan appears to conflict with that notion.

    On April 10, House Republicans narrowly passed a budget resolution that calls on the House Energy and Commerce Committee — which has jurisdiction over Medicaid — to cut $880 billion in programs it oversees over the next 10 years. In addition, the GOP wants the chamber’s Agriculture Committee, which manages the Supplemental Nutrition Assistance Program (SNAP), to find $230 billion in savings. Critics say achieving these budget goals would require deep cuts to these popular programs, which provide health care and food assistance to tens of millions of low-income Americans.

    Don’t miss

    In some parts of the country, such as Cuyahoga County in Ohio, the impact of cuts to these programs has the potential to be devastating.

    “Medicaid and SNAP are the largest programs we run,” Kevin Gowan, head of Job and Family Services in the county, told News 5 Cleveland in a story published March 25. He noted up to 30% of the population uses Medicaid.

    SNAP cuts could also devastate Ohioans, says Kristin Warzocha, President and CEO of the Greater Cleveland Food Bank. She told the broadcaster that the food bank served 424,000 unduplicated people in six counties last year alone.

    “The last thing our country needs is cuts to SNAP,” she said to News 5 Cleveland.

    A potentially dire situation

    Roughly 72 million Americans were enrolled in Medicaid as of November. Meanwhile, an estimated 41 million people received SNAP benefits in fiscal year 2024. Given such high enrollment levels, cuts to both programs could have far-reaching consequences.

    A reduction in SNAP benefits could leave millions of households without access to adequate food or nutrition. The Department of Agriculture reports a whopping 18 million households were food insecure at some point during 2023. And food insecurity impacted almost 18% of households with children that year.

    Families removed from SNAP could lose a number of key benefits, including access to free or affordable school meals and the Summer EBT program, which can provide a subsidy to help feed children when school is not in session. Advocates also fear food programs not tied directly to SNAP could feel the ripple effects of any cuts.

    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

    Meanwhile, cuts to Medicaid could result in millions of Americans losing access to critical care services. Low-income households unable to afford private insurance could find themselves plunged into an even deeper financial hole as they scramble to address health care needs as they arise.

    Cuts to Medicaid and SNAP may also harm state economies, according to research from the Commonwealth Fund. Not only are employees who work for these programs at risk of losing their jobs, but the impact could trickle down to related businesses.

    The Commonwealth Fund estimates that states’ gross domestic product (GDP) could be $95 billion smaller and total economic output lost would be about $157 billion, if Medicaid cuts come to life. SNAP cuts could cost states nearly $18 billion in GDP and total economic output could be $30 billion lower.

    How to prepare for potential cuts

    Although we don’t yet know the fate of Medicaid and SNAP, as well as how deep cuts might be, if you benefit from these programs it may be a good time to prepare an action plan.

    Talk to your health care provider about medication assistance programs, and start researching marketplace health insurance plans to see if buying coverage is feasible. There may also be health clinics in your community that offer low-cost care or care on a sliding-scale basis tied to income.

    At the same time, explore resources in your community for food access, whether it’s food banks, soup kitchens or programs run by local houses of worship. Local charities may also be able to provide assistance if you lose some of your food benefits.

    You can also experiment with different ways to save money on food. That could mean taking advantage of a discount grocery store or turning to your local dollar store to load up on non-perishable supplies.

    Finally, do your best to cut back on spending to free up more money for essential needs like food and health care. It may not be easy to do, as you may already be on a tight budget. But a close examination of your expenses might reveal a few small opportunities to cut back.

    What to read next

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

  • ‘It’s been truly surreal’: Seattle man has benefits clawed back after Social Security declares him dead

    ‘It’s been truly surreal’: Seattle man has benefits clawed back after Social Security declares him dead

    While Elon Musk has claimed that millions of dead people are fraudulently receiving Social Security benefits — an assertion that has been debunked by experts — one Seattle man experienced the opposite problem.

    “You wake up one day and discover you’re dead,” Ned Johnson told The Seattle Times in an article published March 15. “It’s been truly surreal.”

    Don’t miss

    But Johnson, 82, is still very much alive. For reasons unbeknownst to him, he ended up on the Social Security Administration’s (SSA) “death master file,” according to the Times, and had his benefits clawed back to November — the month he supposedly died.

    Funds were deducted from his bank account for retirement benefits received in December and January, for a total of $5,201. And he hadn’t yet received his February or March checks. His Medicare insurance had also been canceled and his credit report marked him as deceased and ineligible for a loan.

    It took nearly two weeks and multiple calls per day to Social Security before he was able to make an appointment. But the appointment was then delayed, which prompted him to make a spontaneous trip to the agency’s downtown office. He described it as a “Depression-era scene” with a long queue and only two tellers.

    Once in front of a human, he was able to prove he is, in fact, alive. The agency pledged to fix his predicament.

    “When I was in that line, I was thinking that if I was living solely off Social Security, I could be close to dumpster diving,” he recalled.

    Social Security mistakes

    It’s unclear what led to Johnson being considered deceased by the SSA, however, the agency notes that among the millions of death reports it receives each year, “less than one-third of 1% of are erroneously reported deaths” that require correction. Death reports often come from family, friends or funeral homes and are considered “first-hand” accounts.

    But the agency has also been prone to other mistakes. The SSA’s Office of the Inspector General reported last year nearly $72 billion in improper Social Security payments were made from fiscal years 2015 through 2022. That amount represents less than 1% of the benefits paid over that seven-year period — and most of those were overpayments.

    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

    If you’ve been receiving overpayments — even through no fault of your own — you’re on the hook for them. Under Trump-appointed acting commissioner Leland Dudek, the SSA is reinstating the default overpayment withholding rate to 100% of a person’s monthly benefit until reimbursement is complete. This only applies to new overpayments as of March 27. The withholding rate was previously capped at 10% due to potential financial hardship of beneficiaries. This latest move is expected to save about $7 billion over the next 10 years.

    In an article published by the Center on Budget and Policy Priorities, Directory of Social Security and Disability Policy Kathleen Romig insisted that, despite these errors, the agency’s overall payment accuracy rate is well over 99%.

    “Only 0.3 percent of Social Security benefits are improper payments, which are typically caused by mistakes or delays,” she wrote.

    What to do if it happens to you

    Mistakes will always happen, whether from a data entry error or administrative delay in updating a beneficiary’s information. And that can result in delayed benefits, clawbacks or overpayments that require repayment — regardless of who’s to blame for the error.

    If you or a loved one are affected by a Social Security error, you’ll want to report it as soon as possible. In Johnson’s case, the error became glaringly obvious when money disappeared out of his bank account. But in other cases it may not be so obvious, so it’s good practice to regularly review your earnings statement for each calendar year to look for any discrepancies.

    Contact the SSA as soon as possible to request a correction, either through your Social Security account, by calling 1-800-772-1213 or by visiting a local field office. Make sure you can provide them with the necessary documentation, such as pay stubs or W-2s.

    If your request for correction is denied, you can file an appeal. For complex matters, you may want to seek assistance from a financial adviser or attorney. And, as in Johnson’s case, it may require an in-person visit to speed up the process.

    Additionally, if your benefits are being withheld in order to reimburse any overpayments, you can make an appeal to the SSA to adjust the amount or waive the collection if you believe the error wasn’t your fault and you can’t pay it back.

    What to read next

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

  • ‘I’d love to bring sanity back’: Ron Paul says Elon Musk asked him to advise the Dept. of Government Efficiency — but warns Americans of an ‘urgent threat’ to their retirement funds

    ‘I’d love to bring sanity back’: Ron Paul says Elon Musk asked him to advise the Dept. of Government Efficiency — but warns Americans of an ‘urgent threat’ to their retirement funds

    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.

    Former U.S. Congressman Ron Paul is stepping back into the spotlight.

    Earlier this year, Tesla CEO Elon Musk wrote on X, “Would be great to have Ron Paul as part of the Department of Government Efficiency!”

    Don’t miss

    Musk, along with former GOP presidential candidate Vivek Ramaswamy, are leading President-elect Donald Trump the new Department of Government Efficiency.

    Paul, a longtime advocate for smaller government, appears eager to contribute. He recently announced on X, “Elon Musk asked me to advise the new Dept. of Government Efficiency. I’d love to help bring sanity back!”

    Musk has set ambitious goals for reducing the federal budget with this new entity. Speaking at a Trump campaign event, Musk claimed he could cut “at least $2 trillion” from the federal budget, though he did not specify which areas he would target for these reductions.

    Paul, who has spent decades championing limited government and fiscal responsibility, seems like a natural fit for the initiative.

    But the 89-year-old isn’t just focused on this new venture. He’s also sounding the alarm about what he sees as an urgent risk.

    “However, I still think Americans need to shield their retirement funds ASAP from this much bigger threat,” Paul warned in a post that linked to a letter addressed to his audience.

    ‘This can save your 401(k)’

    In the letter, titled “My New Partnership With Elon Musk (This Can Save Your 401k),” Paul delved into Musk’s invitation while shining a spotlight on what he calls a ‘more urgent threat’ than Washington’s notorious wasteful spending: inflation.

    “Yes, government waste is stealing your tax dollars. But inflation is stealing something far more precious — your life savings,” Paul wrote.

    Inflation impacts everyone by eroding the purchasing power of money. For savers, this erosion can be particularly damaging, as it diminishes the real value of their accumulated funds over time, making it harder to achieve long-term goals like retirement.

    Paul underscored how this problem has already taken a toll. “Government inefficiency may cost taxpayers billions. But inflation has already stolen 18% of your purchasing power since 2021,” he explained.

    Indeed, data from the Bureau of Labor Statistics shows that the U.S. Consumer Price Index has risen by 20% since the beginning of 2021, reflecting how inflation continues to drive up the cost of goods and services.

    To combat this threat, Paul suggests diversifying savings into physical gold.

    “Gold has been the ultimate protection against both government mismanagement and currency devaluation for thousands of years,” he wrote.

    Gold is widely regarded as a hedge against inflation. Unlike fiat currency, the precious metal cannot be printed in unlimited quantities by central banks, and its value is not tied to a single economy or currency. These traits make gold a favored “safe haven” asset, particularly during times of economic uncertainty.

    Investors seem to be taking note. So far in 2024, gold prices have surged by 28%, surpassing $2,600 per ounce.

    When you open a gold IRA with the help of Priority Gold, you get access to IRS-approved gold and silver bars and coins through your self-directed gold IRA account. You can also roll over existing 401(k) or IRA accounts into the precious metals IRA without any penalties.

    If you’d like to convert an existing IRA into a gold IRA, Priority Gold offers 100% free rollover, as well as free shipping, and free storage for up to five years. Qualifying purchases will also receive up to $10,000 in free silver.

    To learn more about how Priority Gold can help you save for your retirement, download their free 2024 guide on how to invest in precious metals or book a free consultation with one of their specialists.

    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

    Protect purchasing power

    Paul isn’t alone in sounding the alarm about inflation. Experts across the political spectrum view it as a significant threat to America’s economic stability.

    Larry Summers, former Treasury Secretary under President Bill Clinton, recently highlighted the issue on CNN, warning that “I am fearful that the Fed is going to be more like once burned, twice burned, rather than once burned, twice shy, on inflationary risks.”

    If you share these concerns, it’s worth noting that gold isn’t the only asset investors use to shield themselves from inflation’s corrosive effects. Many have also turned to real estate.

    In March 2022, just before U.S. inflation reached a decades-high peak, Musk advised: “It is generally better to own physical things like a home or stock in companies you think make good products, than dollars when inflation is high.”

    Real estate offers a unique combination of stability and growth potential. During periods of inflation, property values often rise as the cost of materials and labor increase.

    Additionally, rental income can provide a steady cash flow that adjusts to inflationary pressures, offering a hedge against the declining value of fiat currency.

    You can tap into this market by investing in shares of vacation homes or rental properties through Arrived.

    Backed by world-class investors including Jeff Bezos, Arrived allows you to invest in shares of vacation and rental properties, earning a passive income stream without the extra work that comes with being a landlord of your own rental property.

    To get started, simply browse through their selection of vetted properties, each picked for their potential appreciation and income generation. Once you choose a property, you can start investing with as little as $100, potentially earning quarterly dividends.

    What to read next

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

  • ‘I learned the hard way’: Dave Bautista said his house was foreclosed on and he ‘lost everything’ after leaving WWE — but got the ‘best’ money advice from ‘The Undertaker’

    ‘I learned the hard way’: Dave Bautista said his house was foreclosed on and he ‘lost everything’ after leaving WWE — but got the ‘best’ money advice from ‘The Undertaker’

    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.

    Dave Bautista is among the few professional wrestlers who successfully transitioned to a career in Hollywood. Millions of fans followed his journey from the ring to the silver screen, yet they may be unaware of his struggles with money.

    “I came out of wrestling – I literally lost everything. My house got foreclosed on,” he shared in an interview with YouTube’s School of Hard Knocks posted on Sept. 29.

    Don’t miss

    Bautista, who was known as "Batista" in the WWE, credits fellow wrestler Mark “The Undertaker” Calaway with helping him realize one of the secrets to financial success is living below your means.

    “[It was] the best advice that I ever got,” Bautista said. “I learned the hard way.”

    But you don’t need to be an ultra-high earner to see the wisdom in Calaway’s advice. Here’s how you can use this basic principle to boost your financial position.

    Prioritize needs over wants

    Differentiating between what’s necessary and what’s simply tempting is a key part of living within your means. Bautista agrees.

    “I know I can live more lavishly, more luxuriously,” he said. “That money in the bank means more to me than something I don’t really need.”

    By resisting indulgences, you could limit your chances of overspending and overborrowing, putting you on a clearer path to financial freedom. But it’s easier said than done. According to a survey conducted by Clever Real Estate, 74% of those surveyed reported having a spending problem, with 55% admitting that they often spend recklessly.

    If you find it difficult to stop overindulging, you can start by building savings habits into everyday spending. With Acorns, you can automatically invest spare change from your everyday purchases into a diversified portfolio of ETFs managed by experts at leading investment firms like Vanguard and BlackRock.

    For instance, if you buy a donut for $3.25, Acorns will round up the purchase to $4 and invest the change in a smart investment portfolio. So a $3.25 purchase automatically becomes a 75-cent investment into your future.

    Sign up today and get a $20 bonus investment.

    Add a margin of safety to your budget

    Sticking to a budget may seem like common sense, but 51% of Americans confessed to overspending to impress someone else, according to a 2024 survey commissioned by LendingTree. Among those who overspent to show off, 56% admitted it drove them into debt.

    Since it’s common to go over your budget, it makes sense to add a margin of safety. If you assume that all your expenses will be 10% to 15% higher, for example, you can limit the chances of overspending and relying on credit.

    In cases where exceeding your budget is a necessity rather than a compulsion, it pays to have an emergency fund to fall back on. Stashing away three to six months’ worth of expenses can help you stay afloat if your life takes a sudden financial downturn.

    If you’re looking for a way to grow your money steadily over time, a certificate of deposit (CD) could be a smart choice. CDs offer a fixed interest rate for specific terms, allowing your savings to grow more efficiently. Just keep in mind that if you need to withdraw your funds before the term is up, you’ll likely face a penalty fee.

    If you’re looking for safe, high-return options, certificates of deposit (CDs) are a great choice, and SavingsAccounts.com makes finding the best ones easy. Their comparison platform provides real-time data on CD rates and terms from various banks, offering tailored recommendations to maximize returns.

    Ideal for conservative savers and long-term planners, this tool simplifies the decision-making process, helping you grow low-risk, high-return investments without the stress.

    If you’re looking to build an emergency savings fund, a high-yield savings account is another possible place to begin. While the national interest rate average is an APY of 0.4%, online banks can offer you much more competitive returns – in some cases up to 10x more.

    You can check out the Moneywise list of the Best High-Yield Savings Accounts of 2025 and find an offer that fits with your savings goal.

    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

    Avoid or minimize credit

    Any form of credit can allow you to spend beyond your means. American households collectively had $17.94 trillion in debt as of the third quarter of 2024, according to the Federal Reserve Bank of New York. That includes $1.17 trillion in credit card debt — a record high.

    If you carry credit card debt from month to month, you’re not the only one. According to a November 2024 survey from Bankrate, nearly 53% of respondents were in credit card debt for at least one year. With rates averaging over 20%, it can pile on before you even realize it.

    Paying down debt — especially if it comes with a high interest rate — could put you on solid footing. One way to achieve this is to consolidate your debt using a personal loan.

    Credible is an online marketplace that can help you compare rates offered on personal and debt consolidation loans from top lenders near you. The best part? The process is entirely free and won’t impact your credit score.

    Credible will match you with a custom loan offer in just three easy steps. What’s more, if you close with a better rate than you prequalify for, you can get a $200 gift card from Credible.

    What to read next

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

  • Elon Musk claims DOGE will lead to a ‘fall’ in US Treasury yields — and says ‘all Americans’ will gain from low interest on mortgages, credit cards, other debt. This is why and what to do

    Elon Musk claims DOGE will lead to a ‘fall’ in US Treasury yields — and says ‘all Americans’ will gain from low interest on mortgages, credit cards, other debt. This is why and what to do

    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.

    The Department of Government Efficiency (DOGE) — an initiative led by Tesla CEO Elon Musk — was created to reduce wasteful spending and eliminate unnecessary regulations. But according to Musk, it could come with unexpected benefits for the American people.

    “As it becomes clear that @DOGE is working, you will see the long-term Treasury bill yields fall,” Musk wrote in a recent post on X. “And all Americans will benefit from lower interest payments on mortgages, small business debt, credit card and other loans.”

    Don’t miss

    The idea seems to have struck a chord. As of this writing, Musk’s post has received 33.3 million views, 309,000 likes, and 12,000 comments.

    Some users are enthusiastic. One top comment reads, “There is at least 150 basis points of premium priced-in to the 10Y Note Yield due to deficit spending. Eliminate deficit spending and rates go down for Americans.”

    Musk’s claim isn’t entirely unfounded. If DOGE successfully cuts federal spending and reduces the deficit, it could theoretically lower borrowing needs and put downward pressure on Treasury yields.

    However, the relationship isn’t so straightforward. Treasury yields are influenced by a wide range of factors, including overall economic conditions, Federal Reserve policy, and global demand for U.S. debt.

    Moreover, the scale of potential savings remains uncertain. Responding to Musk, economist Peter Schiff wrote, “You are doing a great job at DOGE, but the cuts you make will not be enough to offset other spending increases and tax cuts.”

    Navigating high mortgage rates: what homebuyers need to know

    Over the past few years, Americans have felt the sting of high interest rates on their wallets. But those rate hikes were a necessary move — inflation soared to a 40-year high of 9.1% in June 2022, forcing the Federal Reserve to take aggressive action to cool the economy.

    The Fed’s series of rate hikes drove up borrowing costs but successfully helped ease inflation. While the central bank began cutting rates toward the end of 2024, it has since held steady at a range of 4.25% – 4.50%, citing concerns that “inflation remains somewhat elevated.”

    That’s not exactly good news for homebuyers. According to Freddie Mac, the average 30-year fixed mortgage rate currently sits at 6.87%, meaning borrowing remains expensive. If you’re in the market for a home, expect to pay significantly more in interest compared to pre-pandemic levels.

    While it remains to be seen whether DOGE’s cost-cutting efforts will lead to lower mortgage rates, homebuyers still have options. Freddie Mac recommends shopping around, obtaining quotes from three to five lenders to secure the best possible mortgage rate possible. Even a small rate reduction can translate into significant savings over the life of a loan.

    To make this process easier, places like the Mortgage Research Center (MRC) can help you quickly compare rates and estimated monthly payments from multiple vetted lenders. By entering basic details — such as your zip code, property type, price range and annual income — you can view mortgage offers tailored to your needs and shop with confidence.

    One of the key reasons people are drawn to real estate is the same factor keeping the Fed cautious about lowering rates — inflation. When inflation rises, property values often climb as the cost of materials, labor, and land increases. At the same time, rental income tends to rise, allowing landlords to benefit from a revenue stream that naturally adjusts with inflation.

    These days, you don’t need to buy a house to start investing in real estate. For instance, platforms like First National Realty Partners (FNRP) allow accredited investors to own shares in grocery-anchored properties without the hassle of finding and managing deals themselves — with a minimum investment of $50,000.

    FNRP properties are leased to national brands like Whole Foods, Kroger, and Walmart, which provide essential goods to their communities. With Triple Net Leases (NNN), investors can enjoy the potential to collect stable, grocery store-anchored income every quarter, without worrying about tenant costs cutting into the bottom line.

    There are drawbacks and risks involved with real estate crowdfunding, like illiquidity, that ordinary investors should be aware of before they take the plunge.

    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

    Get the most out of your credit card

    It’s no secret that high interest rates can make credit card debt a financial burden. If balances aren’t paid off in full, they can quickly snowball, making it harder to keep up with payments. As of November 2024, the average credit card interest rate stood at a staggering 21.47%, according to the Federal Reserve Bank of St. Louis.

    Given these high rates, many financial experts stress the importance of paying off your credit card balance in full each month. Suze Orman, for example, warns: “If you can’t afford to pay off a credit card in full, then that is money that shouldn’t be spent.”

    That said, credit cards remain a valuable financial tool when used responsibly. They can help build credit, offer perks like cash back rewards and airline miles, and even provide fraud protection.

    With so many credit card options out there, finding the right one can feel overwhelming. But with CardRatings.com, it’s quick, easy and personalized. Whether you’re after cash back, travel rewards, a low APR or zero annual fees, their CardFinder matches you with the best offers from leading providers.

    Take the guesswork out of credit card shopping — let CardRatings find your perfect match and recommend a card that maximizes your rewards, savings and benefits — all tailored to you.

    What to read next

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

  • How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement

    How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement

    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.

    During your working years, it’s important to have cash savings for unplanned expenses. These could run the gamut from home repairs to medical emergencies to a period of unemployment.

    But what if you’re retired and are therefore relying on your savings and investments to fund your lifestyle? In that case, the guidelines for keeping cash on hand change quite a bit.

    Here’s what you need to know before you retire.

    Don’t miss

    Why do retirees need cash?

    In the context of retirement, cash can mean funds in a checking or savings account, or certificates of deposit (CDs) —essentially, money that’s shielded from market fluctuations.

    Here are some reasons you’ll need cash as a retiree.

    1. You’re living off of savings now

    While Social Security offers income, the average benefit of $1,918 per month may not cover all expenses. Once that’s spent, cash allows you to handle surprises like car repairs or home maintenance without selling stocks or draining your savings.

    If you want to grow your savings more efficiently, you can so 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 5.00% APY — that’s 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.

    To compare all the best savings options, you can check out Moneywise’s Best High Yield Savings Accounts of 2025 to find some savvy savings options that earn you more than the national average of 0.4% APY.

    Like the sound of high-yield account rates?

    Then you might also be interested in exploring certificates of deposit (CDs). A CD is a low-risk savings option that can yield interest comparable to, or even higher than, the top savings accounts. The trade-off for this higher rate is that your money stays locked in the account for a set period.

    With SavingsAccounts.com you can shop and compare top certificates of deposit rates from various banks nationwide.

    Their extensive database shows the most competitive rates, with daily rate updates and personalized recommendations based on your risk preferences and time horizon so you can find the right CD to meet your retirement savings goals.

    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

    2. You will face unplanned expenses

    For workers, an emergency fund doesn’t just safeguard against a job loss. It can also be the ticket to covering surprise expenses without going into debt. And being retired doesn’t make you immune from surprises.

    Many retirees face home repairs as their properties age alongside them. Your monthly Social Security check may not be enough to replace a water heater, or cover hospital expenses if you encounter a medical emergency.

    If you’re concerned that Medicare might not cover your expenses, there are other insurance options you can consider.

    Long-term care insurance offers coverage for the costs of in-home assistance, nursing homes or assisted living facilities.

    Without proper planning, paying for long-term care could deplete your retirement fund. In many cases, the burden of paying for care often falls on family members – potentially straining their finances.

    When considering long-term care insurance, GoldenCare offers different options based on your needs, including hybrid life or annuity with long-term care benefits, short-term care, extended care, home health care, assisted living, and traditional long-term care insurance..

    If your health is excellent, you may be able to cover your health care expenses with relative ease. If you have multiple health issues, it’s a good idea to stockpile extra cash in case your bills start to mount at a time when it’s not advantageous to tap your investments.

    3. You want to protect yourself from investment losses

    You may have the majority of your retirement savings in a portfolio of investments that include stocks, bonds, and mutual funds. The upside of holding these investments in retirement is that they can continue to generate growth, giving you access to more money. The downside is that their value can change based on market conditions.

    If you have a riskier portfolio more concentrated in stocks, then you may want more cash on hand to balance that out. If your portfolio is largely bonds, you might get away with less cash, since bonds are less volatile than stocks and can provide predictable interest payments that you can use as income.

    If you’re optimizing your investments for stability, gold is typically more stable than stocks during economic downturns and recessions. In fact, gold has increased in value sevenfold over the last 100 years.

    Opting for a gold IRA gives you the opportunity to hedge against market volatility by allowing you to invest directly in physical precious metals rather than stocks and bonds.

    These days, you don’t even have to go to a bullion shop to buy precious metals. There are plenty of online platforms that offer a wide selection of gold and silver bars and coins and fair pricing.

    Priority Gold is an industry leader in precious metals, offering physical delivery of gold and silver. Plus, they have an A+ rating from the Better Business Bureau and a 5-star rating from Trust Link.

    If you’d like to convert an existing IRA into a gold IRA, Priority Gold offers 100% free rollover, as well as free shipping, and free storage for up to five years. Qualifying purchases will also receive up to $10,000 in free silver.

    To learn more about how Priority Gold can help you reduce inflation’s impact on your nest egg, download their free 2025 gold investor bundle.

    How much cash should you aim for in retirement?

    Just as there are different opinions when it comes to building an emergency fund for your working years, the guidance varies over how much cash you might need in retirement.

    Remember that it’s never a bad idea to speak with a qualified financial advisor.

    Based on your expenses, needs, and investment portfolio, services like Advisor.com may help you find a financial professional who can strike the ideal balance in your portfolio so you have enough cash on hand without going overboard.

    WiserAdvisor matches you with vetted financial advisors suited to your unique needs. Getting connected with an advisor through their platform is free and easy — just answer a few questions about yourself and their algorithm will match you with advisors, with no obligation to hire.

    You can browse your advisor matches with WiserAdvisor’s comparison tool and book a free consultation.

    What to read next

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

  • What to expect when you’re expecting: First year cost for pets

    What to expect when you’re expecting: First year cost for pets

    It’s easy to go overboard when you’re getting a new pet. Whether it’s supplies, toys or even clothes, some things are just too cute to pass up. But these things quickly add up, even if you try to stick to necessities. It’s possible to budget and plan for your new furry addition, and we’ve put together a list of expenses to plan for during that first year.

    Canadians love their pets

    Pet ownership in Canada has reached new heights, with about half of households sharing their homes with furry family members. According to the Canadian Animal Health Institute, that equates to 7.9 million dogs and 8.5 million cats. While these furry companions bring immeasurable happiness and joy to our lives, it’s important to recognize and plan for the financial responsibilities that come with pet parenthood.

    The commitment extends far beyond the initial adoption or purchase costs. Pet parents need to provide essential care, including quality nutrition, regular grooming services, veterinary care and various other necessities. Statistics from Rover.com highlight a significant 12% increase in pet-related expenses since 2022, mainly due to inflation that’s caused everything from pet food to vet bills to go up in price, making financial planning more crucial than ever.

    Fortunately, by being proactive, you can manage and reduce pet care costs.. By understanding and anticipating both immediate and long-term expenses associated with pet ownership, you can develop a practical budget that ensures your beloved companion receives the best care while maintaining financial stability.

    If this is the year you’ve decided to bring home a pet, we’ve broken down the costs you can expect in the first year for a new dog or cat. We’ve focused on dog and cats for the purpose of this article as they are the most popular (and expensive) pets, but I do know there are other pets out there, such as bunnies and guinea pigs, that people love to have in their homes.

    Bringing a new dog home: First-year costs

    When you bring a new dog into your home, there are several initial expenses to consider. These one-time costs include both the price of acquiring your pet and essential supplies needed to provide proper care.

    We’ll also cover the must-have items you’ll need before welcoming your new companion, including feeding equipment, grooming tools and walking accessories.

    While these are typically considered one-time purchases, it’s important to budget for eventual replacements. Items may need to be replaced due to normal wear and tear, and puppies will outgrow their initial supplies as they mature into adult dogs. You may want to spend more on quality, brand name products that will last years instead of months. For instance, a well-made harness will cost more up front, but replacing it with a cheaper model every few months or years will add up over time.

    You can expect to pay upwards of $5,000 to $7,000 in the first year of getting a puppy (it’ll be closer to the higher end if you’re purchasing a purebred puppy from a breeder, and of course, it depends on the dog breed).

    You’re thinking to yourself “What? That much for a puppy?! But I’m planning to adopt, won’t that bring down the amount?” While most adoptable dogs are cheaper than ones from a breeder (plus, they come spayed or neutered), that’s just one piece of the puzzle. If you’re planning on bringing home an adult dog, it’s a bit cheaper — the price is more like $4,000.

    Read More: A surprise trip to the vet can cost $1,000 or more. Don’t get caught off guard. See how pet insurance can ease the stress — and cost — of caring for fur babies. Protect yourself now

    Here are just a few of the common costs that can come with the first year of puppy/dog ownership (these are approximate costs):

    • Breeder costs: $1,000 to $4,500
    • Adoption fees: $200 to $800
    • Total veterinarian bills: Around $2,000
    • Veterinary exams with vaccines: $500 to $600
    • Neuter/spay: $750 to $1,200
    • Microchip dog cost: $45 to $95
    • Deworming medication: $70 to $80
    • Pet Insurance: $600 to $1,800 per month
    • Pet food: $1,100
    • Grooming: $60 to $150
    • Collar and leash: $50
    • Bed: $30 to $70
    • Crate: $100 to $300
    • Obedience classes: $500
    • Licence: $35

    Additional costs to consider when owning a dog include pet care services like dog walkers or doggy daycare, especially if you work full-time out of the home. These services ensure your pet gets proper exercise and attention during the day. When planning vacations, you’ll need to factor in boarding facilities or pet sitting services, unless you opt for pet-friendly travel destinations.

    Property damage is another financial consideration of dog ownership. Dogs may occasionally have accidents indoors, and puppies or anxious dogs might exhibit destructive behavior like chewing furniture or causing damage to flooring and carpets (I know this one too well). It’s important to budget for potential repairs or replacements of damaged items.

    Bringing a new cat home: First-year costs

    The financial commitment of cat ownership is less than that of dogs, with Canadian pet parents spending an average of $2,542 annually on their feline friends, according to Statista. First-time kitten parents should prepare for higher initial costs compared to subsequent years of cat ownership. The Ontario Veterinary Medical Association reports that the first year of kitten care typically costs between $3,091 and $3,231. This higher first-year expense is due to one-time purchases and essential medical procedures that set your kitten up for a healthy life.

    Here are just a few of the common costs that can come with the first year of kitten/cat ownership (these are approximate costs):

    • Total veterinarian bills: $1,500 to $1,800
    • Vaccinations: $500 to $600
    • Spay/neuter: $600 to $800
    • Microchip: $45 to $95
    • Deworming medication: $70 to $80
    • Peet insurance: $29 to $35
    • Pet food: $500 to $700
    • Collar: $20
    • Bed: $50
    • Scratching post: $40
    • Litter and litter box: $275
    • Licence: $15

    Final word

    It’s easy to get in over your head when it comes to the first year of pet ownership costs. But by planning ahead and budgeting, your new dog or cat will have everything they need when you welcome them into your home.

    Sources

    1. Canadian Animal Health Institute: Biennial pet population survey shines a light on how pet population statistics changed over the course of the COVID-19 pandemic, and pet owner habits.

    2. Rover.com: Home page

    3. Statista: Annual cost of caring for a cat in Canada

    4. Ontario Veterinary Medical Association: Annual cost of caring for a cat in Canada

    This article What to expect when you’re expecting: First year cost for petsoriginally appeared on Money.ca

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