The highly anticipated rise will be good for savers and investors. Losing to Inflation This article states that a rate increase from the Federal Reserve is long overdue. For savers that place money in certificates of deposit they have been actually losing money as inflation has outstripped the low interest paid on CD’s. “…if you’re looking for a way to save and invest, you’re being punished.…
CONTINUE READING >SaverNotes continues to beat alternative fixed rate investments. SaverNotes may be a place for some of your funds as the stock market continues to set new records that many are now saying is due for a major correction. As noted in the article… Treasuries have historically been viewed as the first port of call when stock markets have run aground The Fed has started raising interest…
CONTINUE READING >The Wall Street Journal ran a weekend article just before Thanksgiving that recapped the taxes paid by all taxpayers in 2014. I like articles like this that helps me put in perspective how I am doing compared to everyone else. In 2014 there were 148 million tax returns filed. Almost 125 million or 84% earned less than $100,000. The next 12% of filers earned between…
CONTINUE READING >Reason Number 3…Higher Interest Rates As a Baby Boomer I read that since January 1, 2011 we will average 10,000 people a day will turn 65 for the next 19 years or over 69 million Baby Boomers. There will be a tremendous amount of wealth transfer from the Greatest Generation to the Baby Boomers along with a conversion of their 401(k)’s into IRA’s upon retirement. …
CONTINUE READING >Reason Number 2…Saving for a home I heard Gen-Xer’s talk about earning more on their savings. They considered buying rental real estate as an investment but there were many hurdles that kept them from investing in a condo for rent. They needed a large down payment. They would have to screen potential renters, manage collecting the rent, fix repairs and commit to an investment with…
CONTINUE READING >Part 1…Low Interest Paid on CD’s I listened to the Greatest Generation talk about how little they were earning on their savings. They were concerned about inflation eating away their buying power. CD’s earn less than 1.00% and investors can’t keep pace with inflation. SaverNotes as of this writing sells notes that pay a fixed rate of return between 3.00% and 6.50% based on the amount invested…
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