Investors have been pouring money into high-yield bonds, which typically pay more interest for taking on greater risk. But these investments are also known as “junk bonds,” and financial experts urge caution before piling in. After a rocky start to 2022, U.S. high-yield bond funds received an estimated $6.8 billion in net money in July, […]
Firefighters pull up to a burning house during the Kincade fire in Healdsburg, California, on Oct. 27, 2019. Josh Edelson | Afp | Getty Images As climate change threatens the U.S. with more natural disasters, it’s becoming increasingly costly for Americans to insure their homes — and it’s only expected to get worse, according to […]
Anti-abortion activists demonstrate outside the Supreme Court of the United States in Washington, June 13, 2022. Evelyn Hockstein | Reuters Residents of Georgia may now claim embryos as dependents on their state income tax returns. Any “unborn child with a detectable human heartbeat” may qualify for a $3,000 state income tax deduction for 2022, effective […]
How employee stock purchase plans works Typically offered to all employees, ESPPs may allow you to purchase company stock at a discount of up to 15%, capped at $25,000 per year for tax-qualified plans. The plan collects after-tax contributions from each paycheck during an “offering period,” and uses the funds to buy company stock on […]
JGI/Jamie Grill | Tetra images | Getty Images As the U.S. economy shrinks for a second straight quarter — one definition of a recession — many Americans aren’t prepared for an economic downturn. However, financial advisors say there’s plenty that is in your control. Fewer than half of Americans feel “financially secure enough” for another […]
Marko Geber | DigitalVision | Getty Images After battling downturns in the stock and bond markets, more financial advisors looking to further diversify their clients are turning to alternative investments, according to a recent survey from Cerulli Associates. Falling outside of traditional asset classes, alternative investments are typically added to portfolios for more diversification, income and the […]
With increased fears of a possible recession, investors seeking steady income may turn to stocks paying quarterly dividends, which are part of company profits sent back to investors. Historically, dividends have significantly contributed to an asset’s total return, sometimes providing a boost during economic downturns. From 1973 to 2021, companies paying dividends earned a 9.6% […]
seksan Mongkhonkhamsao | Moment | Getty Images 1. Review tax withholdings When starting a new job, you fill out Form W-4, covering how much your employer withholds from your paychecks for federal taxes. But you need to revisit those withholdings, especially for major life changes such as marriage, having children or starting a side business. […]
The demand for Series I bonds, an inflation-protected and nearly risk-free asset, has skyrocketed as investors seek refuge from soaring prices and stock market volatility. While annual inflation rose by 8.6% in May — the highest rate in more than four decades, according to the U.S. Department of Labor — I bonds are currently paying […]
designer491 | iStock | Getty Images With the threat of a recession looming, more financial experts are sharing how to prepare — including how much cash it may be smart to set aside. The end of June marked a turbulent six months for the S&P 500 Index, which dropped by more than 20% since January, […]