Category Archives: Financial Tips & How-Tos

Adjust your eyes to the blurring lines

Source: moneymindedlearning.com

There is a popular notion held, and spread, by commentators and advisors…

Stocks outperform bonds over the long run.

There is only one issue with this assumption; it may not be entirely accurate.

“…according to research by Ibbotson Associates, as reported in “USA Today” last year, bonds actually outperformed stocks over the past 30 years. Ibbotson’s bond index, comprised of a broad cross section of bonds, returned 11.03% per year on average over the previous 30 years, compared with a 10.98% return for the S&P 500 during the same period,” according to James A. Klotz, FMSbonds, Inc. President.

Our friends over at FMSbonds, Inc. discuss this matter in more detail. For more of the story, head over to the FMSbonds website.

Here comes Peter Cottontail, hoppin’ down the money trail

Source: Dreamstime.com

Children typically think of Easter as nothing more than a day when a kind bunny leaves delicious treats for them out of the kindness of his heart.

Nonetheless, what children may not realize is that the Easter bunny relies quite a bit on the wallets of adults. Let’s take a few moments and create a list of a few of our typical Easter expenditures…

  1. Eggs and Dye
  2. Chocolate goodies and Peeps™
  3. Easter baskets
  4. The Easter meal
  5. etc.

Of course, many of the expenditures listed are small, relatively inexpensive items — but, the cost of those those small, inexpensive items tend to rack up after awhile.

Nikhil Hutheesing and Bloomberg Rankings dive into the holiday and tell you just how much Easter really costs.

To charge, or not to charge; that is the question

Source: cdn.citywirecontent.co.uk

Play along with me here:

You’re a family physician, and a pretty well-to-do one at that.

A friend of yours has four children and constantly calls you whenever his or her child has a sniffle. What do you do?

A.) Politely answer their questions, time after time, day after day, phone call after phone call.

or

B.) Recommend they pay a visit to your office and actually consult with you professionally.

Sometimes, friends may seek professional advice from other friends — and that’s perfectly O.K. But, how do you know when they cross the line of a friendly question, to a full-fledged client?

“It’s great to be an expert in your field, and it’s flattering to be asked for your opinion or advice, but sometimes people cross the limits of personal and work-life boundaries. Just because Jonas Salk gave away the polio vaccine for free and Craig Newmark refuses to charge for Craigslist, you don’t have to be a philanthropist too,” writes Jodi Glickman, CNN Money columnist.

As altruistic as you may be, you don’t have to provide unlimited counsel to friends and family around the clock. You should be helpful when you can, but you are entitled to put meaningful limits on the pro bono advice you dish out regularly.”

An individual may feel obliged to help his or her friend just because, well, it’s a friend. Nonetheless, even though the line between professional and friendly advice may be blurry from time-to-time, there is still a line and it’s probably best to know when it has been crossed.

Read on at CNN Money.

Save a few bucks in the long winter

Source: Sears.com

Punxsutawny Phil may not have been entirely accurate, which is indicated by this fantastic spring weather we’ve been having (please note the sarcastic tone).

Nonetheless, maybe we should be prepared to save a few bucks here and there jusssst in case Phil was way off.

Freshhome.com has compiled a list of 10 wise ways to save on winter heating — and seeing as how we’re still living in a winter wonderland, this list is quite relevant.

First of all, you should probably make sure you’ve sealed off any air leaks that may allow for heat to escape. The more air that stays in, the lower your thermostat has to be.

Head over to Freshhome.com and check out a few more tips to save a penny or two on winter heating.

Diagnosing your financial health

Source: 3.bp.blogspot.com

Usually, we can tell when we’re in financial dire straights.

We’re living paycheck-to-paycheck. We’re in over our heads on our mortgage. Bill budgeting has become a hassle but a necessity. Etc. etc. etc.

But, what there may be those out there who are on the complete opposite end of that spectrum. There may be those who have a magnificently clean bill of financial health. But how do you know if you’re one of those individuals?

There are certain signs, seven of them to be exact, that Yahoo! Finance’s The Exchange have compiled to figure out whether or not your finances could be given a squeaky clean bill of health.

“We spoke with a few certified financial planners to get their thoughts on what kinds of benchmarks people can use to gauge their financial health. One caveat: It’s important to note that everyone’s situation is unique and it’s not very useful to apply a blanket rule across all age groups,” writes Lisa Scherzer, The Exchange columnist.

So, what are these benchmarks?

What kind of signs should you look for?

Well, head over to Yahoo! Finance and find out.

Know your number

Source: fairfundfoundation.org

Let’s say you’re thinking about applying for an auto loan to purchase that new car you saw in a thrilling Super Bowl commercial. Well, if this is the case, you should probably be well-aware of what your credit score is.

“Why?” you might ask.

When determining your loan rate, the organization you are going through may take a good, hard look at your credit score.

This isn’t the only number that you should be aware of, though.

Yahoo! Finance has compiled a list of five financial figures that you should probably know by heart (or at least take a peek at from time to time).

Head over and take a look at what other financial numbers you should make yourself aware of.

Pinch pennies throughout life’s challenges

Source: CashNetUSA.com

As you may have noticed, we here at KriKnows are pretty fond of infographics.

Why? Because we try to inform our readers on financial matters in numerous ways, and infographics are a fun, unique, and intriguing way to do so.

Take this infographic on ways to save when considering some of life’s biggest choices like buying a car, planning your wedding, or buying your first house.

Sure, some of your relatives or friends may offer you advice on such matters, but you most likely want to conduct a bit of your own research as well. Well, CashNetUSA.com has offered up this stepping stone in finding ways to save you a few pennies here and there.

Click on the picture above to see a few more recommendations on how to save a few bucks.

Albert Einstein’s stock tips

On this day, March 14, in 1879, Albert Einstein was born.

You may know Einstein by his signature wild grey locks, E=MC², the first atom bomb, or this image…

Source: NPR

Regardless of how you know him, you are familiar with the fact that he led an intellectual revolution that changed the way we consider certain things. This statement can even hold water in the financial world.

Einstein’s Theory of Relativity is crucial in the field of physics, but how can it be applied to investments? Maybe Investopedia can help us out…

“When considering the problem of gravity, Einstein encouraged people to picture a man in a box that is traveling through space at a uniform velocity. For example, Person A on earth and Person B in a rocket – unaware that he is in a rocket – will both draw the same conclusions about their planet’s gravity. When they drop an object, it falls toward the floor. However, if the rocket stops moving, Person B will realize that he is wrong – in the split second before momentum smashes him against what he thought was the ceiling.

This theoretical situation is easily extended to the stock market. If we imagine gravity as the true value of a stock (or the true worth of the company it represents) and the rocket as a shooting star (a stock with a value that quickly inflates without reference to the value of the underlying company) we can apply relativity to tell the difference.”

For more of the story, head over to Investopedia.

It’s not too late to save in 2013

Source: Quicken Loans

KriKnows isn’t your average blog. We devote much of our efforts to bringing you tips on bettering your financial present and future.

With that in mind, we have come across an interesting infographic.

Earlier this year, we found you 25 tips on cutting costs in 2013. Now, we have discovered 13 more money-saving tips provided by Quicken Loans.

For example, with the advent of the Magic Jack, you are able to pay a one-time set-up fee in place of upwards of $39 monthly. Click on to see a few other ways to fatten up your wallet this year.

The Great Rotation: Bonds into stocks

Source: paklinks.com

In today’s economy, there are constantly new market predictions virtually on a day-to-day basis. So, what is the next hot topic?

James A. Klotz of FMS Bonds, Inc. discusses “The Great Rotation” of investment dollars from bonds into stocks in 2013.

“The theory, as espoused by Bank of America, among many others, posits that persistent market volatility in the last decade, which prompted investors to seek refuge in the bond market and cash investments, would give way this year to more sustained growth in most economies.” writes Klotz.

“Moves by governments to address deficit spending along with a rise in consumer confidence will ultimately lead to a massive flow of investment dollars into equity funds from the safe haven of bonds.”

Head over to the FMS Bonds, Inc. website to read more on this coming rotation.