Following Your Money Blog Archives

Do you know your Return on Spending?

You may have heard of return on investment (ROI), but what about return on spending (ROS)?

Return on Spending (ROS) is a metric that measures the financial return on non-investment expenditures.

Ok, but how do I generate a return on my non-investment spending?

If you use a credit card with cash-back rewards to make purchases, then you can monetize the financial benefits of “paying later” to generate a return on your spending.^*

To learn more about ROS, including how to calculate and the positive impact it has on your Purchasing Power, please read on.

Why you should set up your Social Security account online as soon as possible

If you’ve been collecting a regular paycheck in the U.S., then your employer has been deducting Social Security taxes. These deductions are typically itemized on your paystub as “FICA SS TAX”. Your employer matches these contributions and sends both portions to the Social Security Administration.

Even if you already know about this deduction, you may not have realized that information about your Social Security tax payments and future benefits are available to you online at the Social Security Administration (SSA) website.

If you have not already created your my Social Security account online, then you should do so as soon as possible. Read on to find out why you should set up an online account and how to do it.

How to protect your credit reports

In my prior post on protecting yourself from cybercriminals, I shared steps you can take to stay ahead of fraudsters trying to use your personal data against you and steal your identity. While all of those actions should be used to protect yourself, there is one action I recommend you consider implementing now:

Create a fraud alert or freeze access to your credit reports.

Protecting yourself from cybercriminals

Financial damages from cybercrime are growing at an alarming rate. The total global impact of cybercrime to individuals, businesses, and governments in 2023 was estimated to be an astounding $11 trillion, and is expected to cost the global economy more than $20 trillion by 2026. In the U.S alone, the FBI recorded more than 880,000 cybercrime complaints by individuals with potential damages totaling $12.5 billion in 2023, up from $3.5 billion only four years ago. By some estimates, roughly one-third of U.S. residents have experienced some form of identity theft and that figure is expected to rise.

How biased are your information sources?

As a personal finance author and advocate, I do my best to create useful content based on unbiased information. I’m able to do this because I don’t take compensation to promote products and services offered by others so I’m free to “tell it like it is.” A benefit of being financially independent.

A financial services company or advisor that advertises or sells specific investments or brands, may have an inherent bias and conflict of interest. In other words, if an advisor is compensated to push specific products or services, then they are biased. This doesn’t necessarily mean you are getting ‘bad’ advice, but you may not be getting the ‘best’ options.

When it comes to media sources, even financial media, there are different degrees of bias. If you are interested in expanding your media literacy by learning more about news and information biases and how to ensure you’re getting the most impartial information, then please read on.

How the NAR settlement will impact your house closing costs

When buying or selling a house, you will incur costs to close on the sale of the property. It is important that you understand these costs since they can add:

3% to 4% to the cost of buying a house;
1% to 3% to the cost of selling a house, excluding the commission a seller pays to realtors involved in the sale which typically ranges from 5% to 6% of the sale price.

The actual amount you will owe as a buyer or are owed as a seller will be detailed in your Closing Disclosure form.

For sellers that use the services of realtors, the current scheme of also paying the buyer’s realtor commission at closing will no longer be the norm thanks to a groundbreaking settlement with the National Association of Realtors (NAR).

Help! How do I control my Fun Money spending?

If you regularly track your Fun Money spending but are struggling to stay within your budget, then you will benefit from my Fun Money Spend Analysis Tool.

Which US higher education institutions offer the best ROI?

Getting the greatest value or highest return on your invested money should be a goal for every dollar you spend in life. As the dollar value of that investment goes up so does the importance of making a more-informed decision. Investing in college is one of those investments. Included in this post are frameworks and tools to help you better understand:

Self-publishing a book has never been easier

I’m often asked by friends and family why I wrote a book, and was it difficult to self-publish. Here are my responses to those questions.

Why did I write a book?

There are a number of reasons why people write books. Some want to increase credibility in a particular field or profession, or create passive income. Others simply have a desire to entertain or enjoy writing. I wrote a book for two reasons: Continue reading “Self-publishing a book has never been easier”

Do you know if your vehicle has been recalled?

If you’re unfamiliar with the term “recall” as it relates to your vehicle then you’re either fortunate or uninformed (or both). A recall means that the vehicle manufacturer recognizes there is a problem with one of its vehicles that could jeopardize your safety and must fix the problem at no cost to you. Although a manufacturer is required to notify you of any recalls, sometimes those notices don’t get to you. There’s a good chance you’ve been impacted by the massive recall of nearly 50 million Takata airbags; a recall that impacted vehicles made by 19 different automakers with the airbags installed in cars with model years 2002 through 2015. Continue reading “Do you know if your vehicle has been recalled?”