Finance

If you are going to start working on some renovations around your home, one of the most important things to iron out before you start the work is your budget. Without a properly thought through and planned budget, you might find that you aren’t prepared to spend the money that is necessary for a quality renovation. On the other hand, you may also easily spend much more than you anticipated if you haven’t put some financial boundaries on yourself.

To help with both of these aspects of your project, here are three things to consider when creating your budget for your home renovation.

Prioritize Your Needs Over You Wants

Your budget is going to depend not only on what you can actually afford, but it will also depend on how big of a scope you’re hoping to cover within your projects. For smaller projects, you can usually get by with a smaller budget.

With this in mind, you’ll really have to think about the scope of your renovations when making your budget. If you don’t have a lot of money to work with, you’ll need to start with prioritizing your “needs” over your “wants”. But if you do have a lot of money to spend on your renovation, you can start getting into some of the things on your wishlist rather than just doing the bare minimum to make your home functional.

How Your Contactor Impacts Your Budget

Unless you’re planning on doing all of the work for your renovations yourself, you’re going to have to hire a contractor to do the actual work for you. This will add some money to your budget, since you’ll have to pay your contractor as well as paying for the materials they’ll be using.

While you might think that getting the cheapest contractor would be the best option for you financially, as with most things, you get what you pay for with a contractor. Generally, you should try to go with a contractor with a good reputation that has bid for your project in the middle of the road as far as costs. This way, you can know you’re working with someone who will give you a quality product without having to spend too much.

Think Ahead To Resale Value

It’s not only the cost of completing your home renovation project that you should consider when you’re planning your budget. With many renovations, you may end up increasing the resale value of your home along the way. And when this happens, you can recoup a lot of your costs once you sell your home. This may give you a little more flexibility in your budget if you know that you’ll be selling the home sooner rather than later and can then get a fast return on your investment.

If you’re trying to create a budget for your home renovation project, consider using the tips mentioned above to help you with this.

 

Accessorizing is underrated, especially when you are on a budget. A basic daily outfit can quickly go from dull to drama with the right accessories. You don’t have to be a fashionista to create trendy looks, and you certainly don’t need to go broke doing it. All you need are unique tips to accessorize your personal style and put your best-dressed foot forward. From phone cases and eyelashes to scarves and handbags, read on to be inspired to try something new.

Is it a goal of yours to purchase new property? Are you trying to improve your standard of living by buying a new house and moving in? If so, you may have been digging into your finances lately to see if it’s something that you can afford or seeing if it’s something that might be considered a good investment. To make this decision, you must get all of your financial materials organized as well as possible. Anything in your history that may work against you needs to be brought to the surface so you can make the best decisions possible.

Consider a few different ways that would be sensible when it comes to organizing your money. Perhaps you could get some home loan advice from reputable parties. You could put yourself on a budget and analyze any previous income and expense reports that you have access to. And comma before you purchase any new property, you should make sure that you have enough in your savings account to be resilient in case of an emergency situation such as the one that is currently happening around the world.

Home Loan Advice

Start with getting great home loan advice. Unless you’re already a financial expert when it comes to real estate, there are probably substantial knowledge gaps in your understanding of the market. There are people or companies with decades or even generations of experience working with home buying, so it absolutely makes sense for you to find someone that you trust to get tips from. You can also contact a trusted financial institution that can give you data about your best options regarding investments and purchases.

Putting Yourself on a Budget

If you haven’t already put yourself on a budget, then now is the time to do it. You can install free budgeting software that will hook up to all of your major accounts to get a good idea of where you stand financially. From there, it is a matter of following the advice of experts on a week to week and month to month basis. The more knowledge you have of your spending habits, the better you can put resources into things like real estate investments.

Making Sure Your Savings Account Is Set To Be Resilient

Do you know how much of your income should be put into your savings account? Most people have a rough idea, but even if they do, they don’t follow it. Especially now, in this period of chaos and financial nervousness, your savings account can be the most steady aspect of stable living. If you’re planning on buying a new property soon, make sure that your savings account is big enough to handle any emergencies.

 

If you’re thinking about investing in order to secure your financial future and to retire early, you’ve come to the right place. Simply continue reading to discover a few smart investments for the future which will help you increase your personal net worth.

If you didn’t study economics, finance or business at university and doubt your own abilities to read the financial markets properly, you may want to learn how to use copy trading to your advantage.

What is copy trading? Copy trading is a simple practice, in which you’ll be able to copy the real life trades of more experienced investors. Who already boast an impressive track record when it comes to profiting from wise investments.

Your job will be to research the profiles and statistics of a wide variety of copy traders, in order to find individual’s whose abilities you trust. Make sure to check how much profit each trader has made each month, over at least a 2 year period. As it’s a smart idea to copy individuals’ trades who have made consistent profits. Over traders who made incredible profits one month but made a loss the rest of the year. As sometimes platform’s will feature fly by night success stories on their copy trading pages, which you should avoid.

In order to avoid losing your hard earned money, it’s a great idea to invest smaller amounts in copying the trades of a handful of well established traders. Instead of investing thousands of dollars in copying a single trader. For more information on copy trading, you may want to learn about South Africa copy trading.

Precious metals:

As well as investing on the stock market, it’s well worth investing in precious metals. That way if the stock market takes a dip, you won’t be at risk of losing all of your money. As traditionally when stock market prices fall drastically, the prices of gold and silver increase over night. So if you invest in shares on the stock market and precious metals, you’ll cover your bases and will be able to continue to bring in money, regardless of what the future holds for the stock market.

Blue chip stocks:

Blue chip stocks are ordinary stocks which pay out regular monthly dividends. So if you don’t want to wait half a year to receive dividends from your shares, it’s a wise idea to start investing in a few blue chip stocks. As the sooner that you receive your dividends the sooner you’ll be able to reinvest your dividends in order to increase your passive income.

Property:

Property is another wise investment as most properties appreciate in value over time. You can also rent out any additional properties which you may purchase in order to earn regular rent. Which again will increase your passive income. Remember that if you work on increasing your passive income you’ll eventually bring in enough passive income per month to retire.

So if you’re passionate about investing in your future, make sure to add property, blue chip stocks, precious metals and copied trades to your investment plan.

 

Buying a home is likely going to be one of the biggest purchases you make in your lifetime. Not only will this be the place that you live for years to come, but you’re also going to be spending a lot of money in order to own this piece of property. Because of this, most people are willing to look for any way that they can save some money along the way.

Luckily, if you plan and prepare correctly, there are plenty of ways that you can save some money and pay a smaller amount for the ownership of a home. To show you how this can be done, here are three things you can do to pay less on your home loan.

Save For A Larger Down Payment

One of the first and best ways that you can save money when buying a home is to literally save as much money as you can to go toward your down payment.

According to Kathryn Vasel, a contributor to CNN Money, the larger of a down payment you’re able to have, the less money you’ll have to borrow from someone else in order to pay for your home. This means you’ll have a smaller loan to pay down, which could mean lower mortgage payments. And if you’re able to put down at least 20 percent of the cost of your home, you’ll also be able to avoid having to pay for private mortgage insurance, too.

Shorten The Life Of Your Loan

Another way you can wind up paying less on your home loan is if you’re able to refinance your mortgage and shorten the terms from your previous loan.

Debt.org shares that if you’re able to refinance from a 30-year loan to a 15-year loan, you’re essentially saving the interest that you would have paid over that extra 15-year timeframe. While this will usually mean that you’ll have a higher monthly mortgage payment, if you can afford it, this could have you paying so much less over the life of your loan.

Commit To Making Extra Payments

If you’re not ready to make a commitment to refinancing but would still like to cut down on the amount of interest you’re going to be paying on your home loan, another great option is to simply commit to making extra payments on your current mortgage.

According to Natalie Campisi, a contributor to Bankrate.com, making just one extra payment each year over the course of your loan can save you thousands of dollars in interest. Not only that, but you’ll also be able to pay off your loan quicker, so you’ll get out from under this debt at a faster rate.

If you’re wanting to cut down on the amount of interest you’ll pay on your home loan, consider using the tips mentioned above to help you find ways to accomplish this.

 

The good thing with a no deposit car finance deal is that you can get it any time you want. Since you don’t have to pay for the deposit, you just need to sign the application documents, and you can soon drive a new car. Before you get too excited, you will still need to apply for this loan. To qualify, you need to show these requirements.

Proof of capacity to pay

Since you’re not paying any amount upfront, the loan provider needs a guarantee that you have enough money to pay the monthly quotas. If you are currently unemployed or you don’t have any reliable income source, your chances of getting approved might be low.

Proof that you didn’t file for bankruptcy in the past 

Whether it’s personal or business, filing for bankruptcy under your name could reduce your chances of getting this loan. It’s already a risk on the creditor’s part to allow you to get a new car despite not paying a deposit. It’s an even bigger risk for someone who already experienced bankruptcy in the past. A low credit score holder might still have a chance to obtain this loan, but not someone with a history of bankruptcy.

Legal age and driving licence

Compared with other types of loan, it’s a lot easier to obtain this no deposit car loan. As long as you’re 18 years old or above, and you have a valid UK driving licence, you’re good to go.

Correct application documents 

Although it’s way easier to get approval for this loan, you will still go through a process. You need to submit application documents and wait for the approval. Don’t falsify any information in the hope of successfully getting the loan. When caught, you could be in serious legal problems. You will also ruin your chances of getting approved now and for any other future applications.

Read the details first

These requirements aren’t necessarily difficult to fulfil. However, you still need to think hard if you should obtain this loan. Since you don’t have to pay any amount upfront, your monthly payments might be high. When factoring in the interest rate, the monthly fees could even be higher. If that’s something you can’t afford, this loan might not work for you.

Not all companies offering this deal have the same terms. It’s crucial that you read the fine print before closing the deal. You also have to compare the choices and understand them well before determining if you will pursue the transaction. Car finance is a long-term commitment. You can’t sign up and be irresponsible with the monthly payments. The application might be easy, but it’s only the first stage of the process. You still have a lot to do to own the car finally. Don’t rush the process and wait until you’re ready. Settle your existing financial issues first, and you can finally obtain a car loan that works for you like the ones offered by car finance giant.

 

 

 

Pensions: A Beginner’s Guide

If you watch the news or read a digital or print newspaper – which we imagine applies to nearly everybody – you’ve probably read that there’s a pensions crisis brewing, and one which will have severe implications for the United Kingdom and the United States of America. If you’ve grown up and spent your life in the United Kingdom, you’ve probably always expected that the state will care for you during your retirement years. Such talk is therefore quite alarming.

Because of this, we thought it would be a good idea to put together a basic guide on where we stand with pensions, and which types of pension are available. We’ll also discuss what action you might want to consider taking to ensure that you’re adequately looked after in years to come.

We’ll start with the type of pension that almost every British citizen is entitled to expect; the state pension.

What Is The State Pension?

The state pension is a financial provision that the United Kingdom makes for every single one of its citizens, with the intention of supporting them in retirement. Every qualifying citizen automatically becomes eligible to receive the state pension when they reach their retirement age, which at the time of writing is 65 got both men and women. For a single individual, the current rate of the state pension is £168.60 for each individual claimant. Should that not be sufficient for people to survive, a state second pension is also available to some claimants, and is means-tested to maximize the level of benefit awarded to those most in need.

Does Everybody Receive The State Pension?

Almost everybody. In order to qualify for the full state pension, you must have paid 35 years worth of National Insurance contributions during your working life. You’ll still receive a partial payment so long as you’ve paid in at least ten years worth of National Insurance contributions. This is sometimes an issue for self-employed persons who haven’t maintained their tax obligations.

What If The Investments Don’t Go Well?

With this type of scheme, it’s possible that the amount of money you’ll receive will be less than the total sum you’ve paid in during your working life. That may not seem fair, but investments are a gamble. Just like not every spin of the reels on a mobile slots game will result in a win, not every fund you invest in will generate a profit. Stock traders, like mobile slots players, are betting and speculating on the outcome of their actions. A stock trader will tell you that they have more control of the outcome of their bets than someone playing Vegas Slots, but the reality is they’re just powerless to stop things going wrong when they back a loser.

Understandably, that type of scheme isn’t for everybody. That’s why there’s another form of workplace pension available.

That Doesn’t Sound Like Enough Money

It isn’t. It’s an open secret that the state pension is woefully inadequate for its intended purpose, and will likely have to be topped up with additional benefits for most claimants in order for them to avoid collapsing into poverty (hence the coming pensions crisis). It might get worse, too – the eligibility age for the state pension is due to increase to 67 in the mid-2020s, and 68 in the mid-2030s. Young people currently at university may find themselves working into their 70s before they become eligible to receive the pension – presuming it still exists by then.

Clearly, the state pension alone isn’t sufficient to support us in retirement, so what else is out there for us? One additional provision is the Government’s workplace pension initiative. Since 2017, every employer in the county has been required to make contributions into a workplace pension for their employees – unless the employee has specifically opted out of the scheme. What benefits do we get from that?

What Is A Workplace Pension?

It’s a pension plan which is usually contributed to by both you and your employer together. Unlike the state pension, the funds become available at the age of 55 – although you’re free to carry on working and adding to your pension pot if you wish to do so. The more you pay in, the more valuable it will ultimately become. Workplace pensions are set up one of two ways.

Defined Contribution Pension Plans

Under the terms of a defined pension contribution plan, the money paid into your pension scheme by yourself and your employer is invested. Provided the investment scheme goes well, this will increase the level of funding available to you when you eventually choose to draw down on the retirement plan after reaching the age of 55 or later.

Defined Benefit Pension Plans

Under the terms of a defined benefit pension plan, you receive a promise from your employer that you’ll receive a specific income when you choose to retire. That income will be based on how many years you spend working for that employer, and the level of your income when you stop working for them. You don’t stand to receive as much money as you would from a defined contribution pension plan if everything went well, but you also aren’t subject to the risks which come from underperforming funds. When you reach 55, just as in the other scheme, you’ll have three options.

What Are The Three Options?

Unlike your state pension, you have some freedom of choice when it comes to your workplace pension. You could choose to take it all as a cash lump sum at the age of 55 if you so desired, although you’d have to be conscious that you’ll receive no more money from it for the rest of your life. You could treat it like a savings account and dip into it as and when you wish to. Option three would be to treat it like a regular pension, and receive a monthly income from it for the rest of your life.

Will The State Pension And The Workplace Pension Together Be Enough?

We don’t know. Nobody knows what the state of national or personal finances will look like twenty or thirty years from now. That’s why it always makes sense to speak to a professional pensions adviser if you have concerns about your financial future when you reach retirement age.

What Might A Pensions Adviser Direct Me To Look At?

Personal pensions. These are pension schemes which are nothing to do with the Government; they’re set up by you (under the guidance of your adviser), and maintained by you (with your adviser’s assistance). Your financial adviser will assess your current income and expenditure, determine how much money you’d require to maintain your current quality of life in retirement, and address any potential shortfalls. From there, they will make a recommendation as to how much, if anything, you should consider paying into a personal pension.

What Options Might They Have For Me?

Too many for us to discuss here, and their range of products may vary depending on who they’re affiliated with! As a general rule, a fully qualified pensions adviser should be able to provide advice on a range of different pension products, ranging from those suited to people with a large risk tolerance to those who want to play as safely as possible.

This article doesn’t constitute financial advice, but the information you’d get from a qualified pensions adviser does – so go and see one!

 

Finding yourself in debt can be a very frightening experience, particularly if you are not completely financially literate. Not being able to afford the pleasantries and luxuries of life is one thing, and we all feel this stress more keenly at Christmas time. However, not being able to purchase basic necessities, like food and clothing, or not being able to keep up with rent payments is not only scary but can also be detrimental to your health, both physical and mental,

The worst thing you can do if you find yourself in debt is to panic. If you have no family or friends that you can approach to help or offer advice, it’s all too easy to jump out of the frying pan into the fire. By this, we mean doing something silly like borrowing money from loan sharks.

Loan sharks are thriving in South Africa

According to a recent report on Businesstech, there are many more loan sharks in existence than was previously thought to be the case. It is estimated that there are approximately 40,000 of these operations in business now all across South Africa.

Mashonisas, as these loan sharks are nationally known across South Africa, are illegal and unregulated. They don’t follow the rules and regulation issued by the National Credit Act, and this is where the danger lies. You can find yourself subjected to enormous pressure if you cannot make repayments in time, and in some cases, this pressure can turn into physical violence.

Part of the social fabric

Despite that popular conception that loan sharks are all violent crooks, some of them are not. They are in actual fact an established and accepted part of the South African social structure. This is because it is far easier to get loans from these illegal sources that it is from regulated sources such as Banks and NCR approved finance houses.

But nonetheless, these illegal sharks are dubious people who should be avoided where possible. They charge high interest rates, use unsavoury tactics such as taking people’s ID cards and bank cards as security on otherwise unsecured loans, and they can remove borrower’s assets if payments are late or not forthcoming.

They use weapons such as intimidation and shaming people, and occasionally they resort to physical violence. The problem though is that they do fill a niche, providing easy to obtain loans.

Using family and friends to help

Using family and friends if you have them to help when you are in financial difficulty should be prioritised over going to Mashonisas. But you do need to tread carefully. If you are not able to afford to repay any money you could be offered, it can destroy relationships if it hasn’t been agreed on beforehand. If the shoe is on the other foot and you are approached by a friend or relative for financial help you need to be aware of the options that are open to you.

The best thing you can do when you are in debt is to try and solve the problem yourself without involving people you know personally. Getting debt counselling is a good place to start – especially if you are not financially literate. Leave borrowing from friends and relatives as a last option and try to avoid contacting loan sharks completely.

 

 

A car lease may not be as expensive as purchasing a vehicle, but it will still involve spending a significant amount of money, which is why it’s something that you should do only if you’re sure about it. In a nutshell, leasing a car means that you will be paying for the use of a vehicle for a certain period, then returning or buying it when the lease term ends. Before deciding to lease a car, here are vital details that you need to know.

The lease rate will depend on the depreciation value

Depreciation is the decrease in the value of the vehicle. Cars depreciate fast. Most of them decrease in value by 50% in the first three years of their use. This will determine the cost of your lease as you will pay for its depreciation value. Find a car with a lower depreciation value within the lease term, so you will pay less.

Down payment is non-refundable

Leasing a vehicle requires a down payment too. However, the price is not as high as the down payment of a purchased car. Once you decide to get a lease, the down payment will not be refunded, which can be a drawback in case you end up returning the car earlier than expected. Moreover, cancelling the lease before the term expires will also result in fines.

A lower monthly rate is not always equal to a cheaper deal

Leased cars also have lower monthly fees than financed vehicles. Do not be easily persuaded by a lower monthly fee because this is not the only factor to determine if you are getting cheap car lease deals. Compute the total cost that you will pay and make the comparison to see which has the best offer. For example, the monthly fee may be lower, but the total cost may not be if you add up everything including the down payment and other charges.

There is a mileage limit on the leased vehicle

When you own the car, you are not limited in the mileage that you drive. It’s not the same with a leased vehicle as it has a mileage limit per year, which is usually 12,000 to 15,000 miles. Determine how often and far you will drive and if the mileage limit will be enough. You will be charged extra for the miles that you drive over that. You can also buy additional mileage or negotiate the rate.

The lease price is negotiable

The amount that the dealer gives you doesn’t have to be the final price. You can negotiate to get a lower rate. There is nothing wrong with negotiating a lease. The worse that can happen is that you get a no.

You will take care of the repairs after the warranty

Leased cars come with a warranty, which often lasts for three years. This is also why most terms are offered for three years. If the vehicle requires repair or maintenance and it’s under warranty, you don’t have to worry about the cost. However, you’ll have to pay for it once the warranty expires.

Explore your options and make sure that you understand everything in the contract before signing up for it.

To read more on topics like this, check out the finance category.

 

Have you ever dreamt of a four-poster bed, chaise longue sofa, and chest drawers with light colors like Jennifer Lopez’s bedroom? Or just a bedroom that is cozy, elegant, and a place to rest and relax? Meeting both criteria – a luxurious but relaxing bedroom is a must for those people who treat their bedroom as the place where they can celebrate their success or fame.

Personalize your dream bedroom

To achieve the kind of bedroom that you dream of, it is a must to identify the things you want, like the kind of bed – is it wooden, metal or sleigh bed frame, four-poster, canopy, or winged? How big does the wardrobe or armoire need to be? What shape should the mirror be? What colors should be chosen to complement the furniture? Having your dream bedroom gives a rewarding feeling, and all these are personal choices.

The theme of your bedroom

Harmony and balance are essential in making a dream bedroom and acquiring the right furniture will make it perfect. Choosing the right bedroom set – be it contemporary, traditional, or modern, can easily be achieved. You can have the effect provided by eclectic king bedroom sets or rustic king bedroom sets. There are many varieties to choose from based on the desired ambience to be reflected in the bedroom.

Keep a view of nature

Even the most sophisticated bedroom needs fresh air; that is why some provide space to keep in touch with nature in their bedrooms. Maybe a huge floor to ceiling window with a view of the sunrise in the morning will serve as a reminder of a new day. Or a pathway connecting the bedroom to the garden, a place to go to when needing to breathe after a week of stressful work.

It need not be too expensive

The importance of knowing first the desired design of a dream bedroom will be the guide in choosing elements needed and exploring every practical way of achieving it. Remember that no one shop can give the exact materials for what a dream bedroom should have. Having a huge budget for buying new furniture is good. But looking for auction sales of bedroom sets can be an option, too. From there, ideas may arise as to what style will be applied to your dream bedroom.

Retain a piece of you

Some people make their bedroom a reflection of self because this room gives the utmost privacy that every person needs. It can even manifest your interests and likes, or the other side of you that you want to keep for yourself, like your collection of paintings, toys from childhood, or old records. These can give the feeling of having your own personal space.

And what would complete a dream bedroom? It is the love and care shared with people special to you, like the comfort that the bedroom gives to everyone. Let it be the place for your alone time. And, lastly, let your dream bedroom be the place to make more dreams flourish.

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