The Top 5 Reasons Seniors Stay Frugal in Retirement

Accountant
Dragon Images / Shutterstock.com

Countless workers scrimp and save for years with the goal of enjoying a comfortable retirement. Many of those folks do not abandon their penny-pinching ways once their golden years finally arrive.

Surprisingly, fear of running out of money is not the No. 1 factor that drives retirees to stay frugal, according to the Employee Benefit Research Institute’s (EBRI’s) Spending in Retirement Survey.

Instead, the survey — which asked 2,000 individuals ages 62 to 75 about their spending habits and their situation at and during retirement — found four more-common reasons that retirees keep their wallets shut.

The five reasons the retirees most often cited for not spending down assets are:

  1. Saving assets for an unforeseen cost later in retirement — 38%
  2. Feeling that spending down assets is unnecessary — 37%
  3. Wanting to leave as much as possible to heirs — 33%
  4. Simply feeling better when account balances remain high — 31%
  5. Fear of running out of money — 27%

Among these retirees, the average amount of current financial assets was $200,000, with a median of $75,000. More than two-thirds — 69% — said their standard of living is the same or higher than it was when they were working, and 61% believe their spending is appropriate for what they can afford.

The power of a fat nest egg should not be underestimated. Among survey respondents, 64% said saving as much as possible leaves them feeling happy and fulfilled. That finding seems to support recent research that has revealed that — contrary to common folk wisdom — having more money does indeed make people happier.

In fact, the retirees in the EBRI survey said they wish they had saved more for retirement. Just 18% said they saved more than was needed, while 46% reported saving less than they needed in retirement.

Saving for a great retirement

In life, it’s smart to learn from the wisdom of those who are in the place today that you are headed toward tomorrow. If many of today’s retirees wish they had saved more, chances are good you will feel the same way when you retire.

So, now is the time to begin building your retirement nest egg. The Money Talks News course The Only Retirement Guide You’ll Ever Need can get you off to a great start.

This 14-week boot camp offers everything you need to plan the rest of your life, know you’ll have enough money and make your retirement dreams a reality.

The course, intended for those who are 45 or older, can teach you everything from “Social Security secrets” to how to time your retirement.

For more tips on how to build and maintain a nest egg, check out “Your Top 5 Retirement Questions, Answered.”

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.

Source: moneytalksnews.com

How to Track Your Small-Business Expenses for Tax Deductions

As a small business or startup, keeping track of your expenses is essential. Come tax time, your business-related purchases qualify as tax deductions, reducing the total amount you owe on your return — but only if you’ve kept a record of them.

Thankfully, there are a variety of expense tracking options for you to choose from, whether you’re interested in accounting software or prefer to go the manual route.

What is Small-Business Expense Tracking?

Small-business expense tracking is how you record and manage any business-related purchases you make, such as:

  • Office supplies
  • Business travel expenses
  • Marketing and advertising costs
  • Software subscriptions
  • Home office furniture
  • Tickets to professional events and conventions

During tax season, the IRS considers many of these purchases as write-offs, allowing you to deduct them from your tax return. However, for these items to qualify as tax deductions, you will need to have a record of the purchase in the form of a physical or digital receipt.

You should keep track of your business expenses if you’re a small-business owner, startup founder, freelancer, or otherwise self-employed.


Why Track Business Expenses?

Tracking your business expenses comes with many benefits, including:

1. Reducing Your Small-Business Taxes

If you work for yourself, you already know the amount you have to pay in self-employment taxes each year can be significant. If you can reduce it, even by a small amount, that equates to more money in your pocket.

Keeping records of your deductible expenses is one of the easiest and most straightforward ways to reduce your tax return. By simply hanging on to your business-related receipts, you can save yourself a lot of money.

2. Demonstrating an Accurate Profit Margin

Tracking small-business expenses also helps to give you a more accurate understanding of your business’s profit. By monitoring both incoming and outgoing cash flow, it’s easier to see how much your business is making after your costs have been deducted.

If you only monitor profit, you’ll never really know whether your business is financially viable or not.

3. Organizing Your Business Records

Keeping clean, clear, and well-organized business records is the best way to understand and track your company’s growth over a long period of time. Tracking expenses can help you to:

  • Determine where you have opportunities to reduce your small-business expenses
  • See how your costs have increased or decreased based on the market or seasonality
  • Decide when and how to scale your business
  • Negotiate or reevaluate expenses

Even freelance records are important because they separate business costs from client-related expenses that qualify for reimbursement.

Plus, if you ever encounter a legal issue related to your business, detailed records will strengthen your case and show that you run an honest and lawful company.


How to Track Small-Business Expenses

You have a variety of different options when it comes to choosing a method to track expenses, from accounting software and applications to business banking accounts and manually recording costs.

Choose the method that works best for you and your business based on your needs, budget, and preference.

1. Accounting Software and Apps

One of the easiest methods for tracking expenses is by using accounting software. Many platforms can connect with your bank account to automatically identify and record business purchases as well as allow you to upload photos of receipts or manually enter expenses.

Some of the most popular business expense tracking platforms include:

Most of these platforms offer both a desktop version and mobile app, facilitating expense tracking in the office and on the go. This is especially convenient if you’re tracking business expenses while out of town.

Accounting software platforms and apps work best for businesses that want to use them to manage multiple aspects of their business, such as invoicing, facilitating payments, time tracking, and payroll.

Most accounting platforms also come with a monthly or annual fee, which typically qualifies as a tax deduction.

2. Business Banking Accounts

Keeping track of your business expenses is a breeze if you only make purchases using a company credit card or debit card. This way, all your purchases are in a separate bank account, making your expense reports easy to compile, review, and organize.

If you choose to open a business bank account through an online bank like Lili, make sure to keep it separate from your personal finances. Only use your business credit card or debit card to make business purchases. Otherwise, it defeats the purpose of having different accounts.

If you decide to go this route to manage your business finances, it’s recommended you open:

  • A business credit card
  • A business checking account
  • A business savings account

This way, you can deposit payments from clients and customers into your checking account and use it to pay for purchases made on your company credit card. Leftover business income can go into your savings account. This setup keeps your business finances completed separate from your personal assets.

3. Manually

If you only have a handful of clients or your expenses are relatively few and far between, keeping things simple may be the best option. Tracking expenses manually is as simple as creating a spreadsheet in Microsoft Excel and inputting expense details as you make purchases.

You can make your spreadsheet as detailed or as simple as you’d like. For example, you can include item descriptions, dates, and amounts as well as a total before and after taxes. Or, you can simply list items and their costs.

You can also use free spreadsheet software like Google Sheets if you don’t have a Microsoft 365 subscription.


Keeping Digital Receipts

Digital receipts are easier to track than their paper counterparts, but if you use multiple email addresses, bank accounts, or payment methods, keeping your expense records organized can be challenging. Three popular options include:

1. Expense Tracking Software

Most expense tracker apps and platforms help you to store digital receipts by either automatically recording them through your bank statements or letting you upload them yourself.

Many apps also allow you to categorize your business purchases, making them easier to input and record when preparing your income tax return.

Although apps and software are generally more expensive compared to other methods, they handle a lot of the administrative work for you. So, if you’re looking for a hands-off approach to keeping your digital expense records organized and well-managed, an app is probably your best bet.

2. Company Expense Email

An effective method is to use a single email address — preferably one associated with your business — to make all of your business-related online purchases. All the digital receipts associated with your company will be directed to your business email inbox.

To record paper receipts as well, take a picture of them or scan them and forward the image to your email address.

You can make this inbox accessible to your bookkeeper or accountant directly or forward your receipts to them as you make purchases. Even if you do your own bookkeeping, having your tax-deductible expense records in one place (and organized by date) will make your life easier.

Additionally, you won’t have to pay any additional costs outside of what you already pay to host your email account.

3. Cloud Storage

Your third option is to scan or take pictures of receipts and upload the images to the cloud storage of your choice, such as:

For digital receipts, you can take a screenshot, save it as an image, and upload it manually. Although not the most convenient option, cloud storage is typically free, which makes it an ideal choice for the budget-conscious.


Keeping Paper Receipts

Paper receipts are harder to manage than digital versions, but almost every small-business owner will have at least a few of them. Paper receipts usually come from:

  • Restaurants
  • Gas stations
  • In-store purchases
  • Cash purchases

And, unfortunately, identifying the debit in your bank account isn’t enough of a record to ensure that your purchase qualifies for a small-business tax deduction. You’ll need a copy of your actual receipt to document the amount, date, and item details of the expense.

Unfortunately, paper receipts are easy to lose and damage, so you need to store them carefully. Keep track of physical copies of purchase records by:

1. Scanning Receipts

Scanning or taking pictures of receipts is the safest way to keep a record of them. It’s much harder to lose or spill coffee on a digital record of a purchase than a physical one. This way, if you misplace a receipt or accidentally put it through the washer, you have a backup.

Scan or take a picture of a receipt as soon as you receive it to reduce the chances of it being lost or damaged.

You don’t even need a paid app to scan receipts, because there are a variety of options for both Apple and Android devices that allow you to scan and save documents for free.

2. Using an Envelope or Folder

Another option is to store receipts in a designated envelope or file folder in your office or filing cabinet. It’s best to store receipts by tax year so you know which ones will apply to your current return.

The hardest part of using this method is that you’ll need to make a habit of taking paper receipts from your pocket, wallet, or purse and putting them in the proper place. If you lose them, you won’t be able to claim them as write-offs.


4 Tips for Small-Business Expense Tracking

Regardless of how you track your small-business expenses, there are ways you can optimize the process to make it simpler and more straightforward.

1. Keep Business and Personal Purchases Separate

Even if you don’t have a business bank account, you can still keep business and personal expenses separate.

For example, let’s say you go to Costco and purchase groceries for your family and office supplies for your business at the same time. Instead of making one large purchase, separate your items into two transactions — one for your household items and another for your business purchases.

This makes it much easier to calculate the total amount of your write-off, including taxes, fees, or discounts, instead of having to try to extract the information from a larger bill.

2. Ask for Receipts

When tracking expenses for business purposes, you need to make a habit of asking for (and keeping) receipts. This goes for any retailer that doesn’t provide digital receipts, like gas stations and restaurants.

As a small-business owner, you need to get used to asking for receipts and keeping them safe until you have a chance to scan or store them safely.

Any receipt you don’t ask for is an expense that you can’t claim when you file your taxes.

Even if you aren’t sure whether a purchase will qualify as a deductible business expense, it’s better to ask for a receipt and talk to your bookkeeper or accountant afterward rather than miss out on a potential deduction altogether.

3. Get Digital Receipts

Many retailers offer both digital and physical receipts. Whenever possible, opt for a digital receipt. They’re easier to document, track, and store than paper receipts.

Because stores send digital receipts to an email address, use a designated email address for business purchases. This will keep your personal inbox clean and your business expenses in one place.

4. Organize Your Expense Records

Keep your tax deduction records organized by year, category, and item to make filing your tax return simple and stress-free. If you keep receipts organized as you make purchases, it will be much easier to sort through and calculate them later on.

And, if you use an accountant to file your taxes, they’ll appreciate a straightforward and clean expense report to reference.


Final Word

Tax deductions are crucial for small-business owners. But you won’t qualify for write-offs if your business purchases aren’t sufficiently recorded and documented. Tracking your expenses using accounting software, business bank accounts, or manually will help you to prove purchases, stay on top of costs, and keep your records organized.

Keep copies of both paper and digital receipts to make your next tax return more affordable and easier to file.

Source: moneycrashers.com

How to Make End-of-Year Donations

Making a charitable donation at the end of the year–or any time of year–can be a win-win-win.

The organization you give your money to benefits. You get to enjoy the good feeling that comes with supporting a project or cause that you believe in. And, you may also be able to lower your tax bill.

This year, the rewards for giving may be especially sweet. Two new tax changes for 2021 can boost donors’ tax deductions for charitable giving, meaning they may be able to give more to charity at a lower net cost.

Here are some things you may want to consider when planning and making your end-of-year charitable donations.

What Qualifies as Charitable Giving?

In the eyes of the Internal Revenue Service (IRS), a charitable donation is a gift of money, property, or other asset that you give to a qualifying organization, known as a 501(c)(3). To find out if an organization you’d like to support is eligible to receive tax-deductible contributions, you can search for it on the IRS’s database .

You may want to keep in mind that money or assets given to political campaigns or political parties do not qualify as tax-deductible donations. In fact, no organization that qualifies as a 501(c)(3) can participate in political campaigns or activities.

Organizations that engage in political activities without bias, however, can still sometimes qualify. So, a group can educate about the electoral process and remain within guidelines. They just have to go about it in a nonpartisan way.

It’s also possible for the IRS to implement measures that can affect charitable donating. For example, there was a tax relief provision passed in the form of the Coronavirus Aid, Relief and Economic Security (CARES) Act.

Under it, tax deduction limits shifted for both those individually and jointly filing. So, it’s essential to stay updated on current tax laws and provisions that may affect your charitable donations’ taxation.

Recommended: IRA Tax Deduction Rules

Can I Deduct My Year-End Charitable Donation?

In the past, charitable donations could only be deducted by tax filers who itemized their deductions. That means that rather than take the standard deduction, they chose the more complicated path of listing all of their eligible expenses.

However, the IRS has a special new provision that will allow individuals to easily deduct up to $300, and joint filers to deduct up to $600, in donations to qualifying charities in 2021, even if they don’t itemize.

This is basically an enhancement of the one-year tax break Congress put in for 2020 under the (CARES) Act that allowed a tax deduction for cash gifts to charity up to $300.

The difference is that for 2020, the deduction was limited to $300 per tax return. The new provision allows a married couple filing jointly to deduct up to $600 in cash gifts to charity for 2021.

The rules have changed for people who itemize as well. If you are itemizing on your return, the IRS has increased the limit for charitable tax deductions from 60% to 100% of your adjusted gross income (AGI). And, if you want to give more than that 100 percent threshold, the excess can be carried over into the next tax year.

Whether you’re looking to give $50 to your favorite local organization, or you’re considering a much larger charitable donation, these tax changes make it a particularly good time to do so.

Tips for Making End-of-Year Donations

To make the most of a charitable donation, here are some strategies you may want to keep in mind:

Making a Timely Donation

The deadline for charitable donations is December 31st. If you’re looking to deduct the donation in the current tax year, you will want to make sure your charity has ownership of whatever asset you are donating by the closing of business on the 31st. You may also want to make sure that your preferred payment method is accepted by the charity so it doesn’t get kicked back and cause delays.

Taking Advantage of Company Matching Programs

Your place of employment might have a matching program for charitable giving. They might, for example, match your donation amount dollar for dollar up to a certain amount. If so, it could significantly bump up the amount you could otherwise afford to give.

If you’re unsure about whether your company has a program, it can be worth reaching out to your HR department for further information.

Giving Rewards on Your Credit Card

If you are giving on a budget, you might consider donating rewards you earn on your credit cards, such as hotel points or airline miles. This can be a great way to use points or other rewards that would otherwise just expire. Many credit card companies, hotels, and airlines will make it easy to give your rewards to nonprofit organizations.

Recommended: Credit Card Rewards 101: Getting the Most Out of Your Credit Card

Donating Assets from your Brokerage Account

If you’re looking to lower your capital gains tax, you may want to consider donating assets from your brokerage account to a nonprofit. This may take some time and planning, but the benefits of donating an over-allocated position that’s outperforming can be worth it.

You may be able to receive tax advantages and rebalance your portfolio, while also helping an organization increase its assets.

Setting up a Recurring Donation

You can get a headstart on next year by creating a recurring contribution now. Many organizations allow you to donate monthly through their websites using a credit card, so you might be able to earn rewards at the same time. By establishing your donation plans now, you won’t have to even think about end-of-the-year giving next year.

Keeping Good Records

If you want to deduct your donation on your taxes, you’ll want to make sure you have the right receipts to back up the transaction.

For cash donations under $250, you’ll either need a bank record (like a canceled check or bank statement) or a written acknowledgment from the charity which includes the date and amount of your contribution.

For cash donations over $250, a bank record isn’t insufficient. Instead, you’ll need something in writing from the charity which includes the date and amount of your donation.

Noncash donations from $250 to $500 in value require a receipt that includes the charity’s name, address, date, donation location and description of items donated. If the noncash donation exceeds $500 in value, you’ll also need a record of how and when the items were acquired and their adjusted basis.

If the donation exceeds $5,000 in value, you’ll need to get a written appraisal from a qualified appraiser.

Speaking with a Professional

An accountant can help answer any questions you may have about how the new tax laws will impact your tax contribution, as well as help you make the most strategic and efficient charitable donation.

The Takeaway

Giving can be a good idea for a number of reasons, especially in 2021. In addition to helping a nonprofit organization meet its operating costs for the year, you can feel good about what you are doing with your money, and you may also benefit from special tax deductions.

Giving can also help you get the new year started on the right foot. If you’re looking for other ways to get your financial life in order (now, or any time of year), you may also want to consider signing up for SoFi Money®.

SoFi Money is a cash management account that allows you to earn competitive interest, spend, and save all in one place. And, since you won’t pay any account fees or other monthly fees, you can focus on putting your money towards more important things.

Start saving for the things in life that matter to you with SoFi Money.

Photo credit: iStock/ThitareeSarmkasat


SoFi Money®
SoFi Money is a cash management account, which is a brokerage product, offered by SoFi Securities LLC, member FINRA / SIPC .
Neither SoFi nor its affiliates is a bank. SoFi Money Debit Card issued by The Bancorp Bank.
SoFi has partnered with Allpoint to provide consumers with ATM access at any of the 55,000+ ATMs within the Allpoint network. Consumers will not be charged a fee when using an in-network ATM, however, third party fees incurred when using out-of-network ATMs are not subject to reimbursement. SoFi’s ATM policies are subject to change at our discretion at any time.
Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

SOMN0521044

Source: sofi.com

Understanding Funds Availability Rules

When you deposit money into your bank account, those funds are not always immediately available for use. Your bank or credit union may place a hold on the deposit, and you may notice that your “available” balance is lower than the total balance of your account.

Each bank has its own policy about how long deposits take to become available. There are also federal regulations about how long banks can hold on to funds before making them available to their customers.

It can be a good idea to understand your bank’s policies on holding deposits in order to make sure you don’t accidentally overdraw your account.

Below are some key things you may want to keep in mind to make sure you have access to cash when you need it.

Why Do Banks Put a Hold on Deposits?

Banks hold deposits to protect themselves, as well as their customers, from losing money. If a check you deposit bounces or some other complication arises, the bank will have an opportunity to fix the problem before you have the opportunity to spend the funds.

While a delay in being able to access your own money may seem like a nuisance, holds can actually help protect you from fraud and fees.

If your bank allows you to spend funds from a check that later bounces, you would have to repay the bank the amount that they gave you, and likely also get hit with a hefty overdraft fee. This is the case regardless of who is at fault.

How Long Can a Bank Hold a Deposit?

The amount of time it takes for funds to become available can depend on a number of factors, including how long you’ve held your account, your financial history, the type of deposit (e.g., cash, check, direct deposit), and the amount of the deposit.

Generally, a bank or credit union has until at least the next business day (a business day is a weekday that is not a holiday) to make most deposits available.

Electronic deposits are typically available on the same day. So, one way to make sure your paycheck is available to you quickly is to sign up for direct deposit.

The longest a bank can hold funds is usually five business days for money deposited at an ATM of a different bank.
While each bank or credit union has its own rules as to when it will let you access the money you deposit, federal law establishes the maximum length of time a bank or credit union can make you wait.

Recommended: How Long Does a Direct Deposit Take?

Below are the rules set by the Federal Reserve .

• Direct Deposit: Day of Deposit

• Wire Transfer: Next Business Day

• First $200 of any non-”next-day” check deposited: Next Business Day

• Cash*: Next Business Day

• U.S. Treasury Check: Next Business Day

• U.S. Postal Service Money Order*: Next Business Day

• State or Local Government Check*: Next Business Day

• Casher’s, Certified, or Teller’s Check*: Next Business Day

• Checks and Money Orders Drawn on Another Account at the Same Financial Institution: Next Business Day

• Federal Reserve Bank and Federal Home Loan Bank Checks*: Next Business Day

• Any Other Checks or Non-U.S. Postal Service Money Orders: Second Business Day After the Day of Deposit

• Deposits of Items Noted by “*” at an ATM Owned by the Customer’s Financial Institutions: Second Business Day After the Day of Deposit

• Deposits Made at an ATM Not Owned by the Customer’s Financial Institution: Fifth Business Day After the Day of Deposit

* Deposited in person

You may want to keep in mind that the hold times listed above are the maximum allowed. It’s possible that your funds will be available sooner.

You can typically find specifics about your bank’s funds availability policy in the account agreement you received when you opened your account, or you can ask the bank for a copy of their holding policies.

Understanding Cut-Off Times

When you deposit a check, you may think you did it “today.” However, you may have missed the cut-off for starting the deposit process on that calendar day.

If you make a deposit after the cut-off time, your financial institution can treat your deposit as if it was made on the next business day. If the deposit was made late in the day on a Friday, it could actually take three or more days for the money to show up in your account.

By law, a bank or credit union’s cut-off time for receiving deposits can be no earlier than 2:00 p.m. at physical locations and no earlier than noon at an ATM or elsewhere. Sometimes banks have later deposit times for mobile deposits (made via the bank’s phone app), such as 5 pm.

Deposits That May Take Longer to Become Available

There are certain circumstances under which banks are allowed to hold deposited funds for longer than the times listed above.

When these exceptions apply, there isn’t always a clearly defined limit to the amount of time the bank can hold funds. The bank can generally hold funds for a “reasonable” amount of time.

Exceptions to standard holding times include:

Large Deposits

If a customer deposits more than $5,000, the bank will typically need to make the first $5,000 of the funds available within one business day, but they are allowed to put a longer hold on the remaining amount.

Redeposited Checks

If a check bounces and then is redeposited, banks may hold the funds for longer than one business day. (You may want to be cautious about accepting future checks from a person or business that has already bounced a check.)

Accounts That Have Been Repeatedly Overdrawn

If a customer has a history of overdrawing their account, the bank may hold funds for more time before making them available for use.

Repeatedly overdrawn means that the account has had a negative balance on at least six business days within the past six months, or the account was $5,000 overdrawn more than twice within the past six months.

Reasonable Doubt

If a customer deposits a check that seems suspicious, the bank may hold funds for a longer period of time. A check may seem suspicious if it’s postdated or it’s more than 60 days old.

New Bank Accounts

If your account is less than 30 days old, you may experience hold times of up to nine days. Official checks and electronic payments, however, may be partially available the next day.

Emergency Conditions

If there is a communications outage, a natural disaster, or another circumstance that impedes normal bank functions, banks can hold funds until they are able to provide the funds.

The Takeaway

When you deposit a check, you naturally expect the money to show up in your bank account. But there may be a delay between the time you deposit money and the time that those funds are actually available for you to spend.

Banks generally make funds available on the business day after you make a deposit, but there are exceptions.

Direct deposits are typically available sooner, and some checks, such as those larger than $5,000 or older than 60 days, can take longer than a day to clear. If your account is brand new, it may take up to nine days for a deposited check to become available.

Knowing your financial institution’s policies about holding times can help ensure that you’re able to pay your bills on time, have access to cash when you need it, and don’t get hit with overdraft fees.

Looking for Something Different?

If you’re looking for an easy way to access and manage your money, you may want to consider signing up for SoFi Money®.

SoFi Money is a mobile-first cash management account that allows you to earn competitive interest, spend, and save–all in one place. And, it’s simple to add your SoFI Money account as an option for your direct deposit.

Sign up for SoFi Money, then set up direct deposit into your new cash management account.

Photo credit: iStock/solidcolours


SoFi Money®
SoFi Money is a cash management account, which is a brokerage product, offered by SoFi Securities LLC, member FINRA / SIPC .
Neither SoFi nor its affiliates is a bank. SoFi Money Debit Card issued by The Bancorp Bank.
SoFi has partnered with Allpoint to provide consumers with ATM access at any of the 55,000+ ATMs within the Allpoint network. Consumers will not be charged a fee when using an in-network ATM, however, third party fees incurred when using out-of-network ATMs are not subject to reimbursement. SoFi’s ATM policies are subject to change at our discretion at any time.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
External Websites: The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.
SOMN20038

Source: sofi.com

12 Ways Retirees Can Earn Passive Income

A senior black man uses a smartphone
wavebreakmedia / Shutterstock.com

These days, “retired” doesn’t always mean “not working.”

According to a study of U.S. retirees from the nonprofit Transamerica Center for Retirement Studies (TCRS), “nine percent … are currently working for pay, including five percent who are employed part-time, two percent who are employed full-time, and two percent who are self-employed.”

More than half — 56% — of those surveyed said their top reason to keep working was “wanting the income.” The good news: You might be able to make some extra dollars via passive income — money that comes in without you doing much work, or any work at all.

Passive income is often synonymous with a large upfront investment, such as buying rental properties or dividend-producing stocks. But the following passive-income strategies can bring in extra bucks without investing a bunch of money or time.

1. Rent out a room in your home

Got an empty nest? Someone may be willing to pay to roost there.

You can advertise your spare space on your own or list it on a vacation rental website such as:

Yes, it takes some work: You might have to keep the room tidy and wash a load of sheets and towels once the guests depart. But in some parts of the country, you can earn enough money in just a few days to cover a mortgage payment, as we detail in “Do This a Few Days Each Month and Watch Your Mortgage Disappear.”

If you’re the gregarious type, you can have fun talking up your town or even showing visitors around. If not, advertise it as a “Here’s your key, we won’t bother you” arrangement. Some people simply want an inexpensive place to sleep and don’t care about sitting around chatting with the host.

2. Rent out your vehicle or gear

Your spare bedroom is just one of many things you could rent to others to bring in extra money.

Use your imagination. Maybe you have a ladder, stroller, surfboard, bicycle, boat, camera equipment or a great selection of power tools.

Peer-to-peer rental sites like the following will help you find folks who occasionally need such things but don’t want to own them:

Whatever you’re renting, keep in mind that ordinary insurance might not cover the commercial use of your property. An insurance rider may cover some items, but you may need a separate policy, so consult your insurance agent.

3. Become a peer-to-peer lender

What is peer-to-peer lending? In short, P2P lending sites such as Prosper accept loan applications from borrowers. Investors like you can put some of your money toward loans to those borrowers. When loans get paid back, so do you — with interest.

Overall, P2P investments “can provide solid returns that are really hard to beat,” according to Clark.com, the website of financial guru Clark Howard.

As with any loan, however, there’s the possibility of default. You may not earn anything or may even lose money.

Sound too complicated? Maybe this simpler form of P2P is for you: Worthy sells 36-month bonds for $10 each. The money that comes in is loaned to U.S. businesses, with lenders who have purchased these bonds getting a 5% annual rate of interest on their investment.

To learn more about Worthy bonds, check out “How to Earn 80 Times More on Your Savings.”

4. Get rewards for credit card spending

If you’re going to shop with plastic, make sure you’re rewarded.

The form that the reward takes is up to you. Some people covet airline miles. Others take their rewards as cash or a credit against their monthly statement.

The number of rewards credit cards — and their pros and cons — can be a little dizzying. For an easy way to compare your options, stop by our Solutions Center and check out travel rewards cards or cash-back cards in the Money Talks News credit card search tool.

5. Use cash-back apps

An app called Ibotta lets you earn cash rebates on purchases from retailers, restaurants or movie theaters.

Or you can do your online shopping through cash-back portals like:

These websites enable you to earn cash back on purchases from thousands of online retailers. To learn more about them, check out “3 Websites That Pay You for Shopping.”

6. Sell your photos

Smartphones have made decent photography possible for just about anyone. The next time you capture a killer sunset or an adorable kid-and-dog situation, don’t keep the image to yourself. Apps like Foap — which is available for Android and Apple devices — will help you sell it.

You can do even better if you have a good digital SLR camera, a tripod and other equipment. Stock photo companies like Shutterstock and iStockphoto, which favor high-definition, high-quality images, are venues for selling photos on just about any subject you can find.

7. Write an e-book

It’s possible to bring in cash without a high-powered book contract, thanks to self-publishing platforms.

Amazon’s Kindle Direct Publishing, for example, allows you to write, upload and sell your words fairly easily. My two personal finance books are for sale on Kindle, and they provide a steady stream of passive income.

I also sell PDFs of the books through my personal website. I use a payment platform called E-junkie to handle payments and deliver the book downloads — and this brings me more money per book than Amazon does, even when I offer readers a discount.

If you’re fond of a particular fiction genre, write the kind of stuff you’d like to read. Nonfiction sells, too: cookbooks, travel guides, history, memoirs and how-tos are a few examples. Or maybe you have a specific skill to teach — job-hunting or food preservation or raising chinchillas.

Pro tip: Fiverr.com is a good marketplace through which to find freelancers to hire for help with formatting, design and cover art.

8. Create an online course

If you’ve got useful knowledge, why not monetize it? Sites like Teachable and Thinkific will help you build a course that could change someone’s life, either professionally or personally.

Note that online courses are not limited to computer-based topics. A quick search turns up classes on:

  • Cake-making
  • Watercolors
  • Digital scrapbooking
  • Drone cinematography
  • Free-diving
  • Blacksmithing
  • Yoga
  • Parenting
  • Novel writing
  • Job hunting
  • Building a pet-care business

And that’s just for starters. Like writing an e-book, creating a course will take some work. But again: Once it’s up, the work is done.

9. Join rewards programs

Rewards sites like Swagbucks reward you with points for activities such as searching the internet, watching short videos and taking surveys. You can cash in your points for gift cards or PayPal cash.

Maybe you didn’t retire to spend hours taking surveys. But if you’re going to search the internet anyway, why not use Swagbucks’ search engine and earn some points?

To learn more about Swagbucks, check out “6 Ways to Score Free Gift Cards and Cash in 1 Place.”

10. Wrap your car with advertising

Turn your vehicle into a rolling billboard with companies like Carvertise. They’ll pay you for the privilege of putting removable advertising decals for a business on your automobile.

Writer Kat Tretina describes the process at Student Loan Hero. You can expect to earn $100 to $400 a month, depending on how much and where you drive, she says. Requirements include having a good driving record and a vehicle that has its factory paint job.

Pro tip: Car-advertising scams make the rounds regularly. Tretina offers these tips to avoid being victimized:

  • Legitimate companies don’t charge an application fee, and they’ll have a customer service phone line that lets you talk with a real person.
  • The car-wrapping cost should be covered by the company.
  • Take a hard pass on any company that doesn’t ask questions about your driving record, auto insurance, driving routes and type of vehicle.

11. Create an app

Maybe yours is one of those minds that says, “There should be an easier way to do (whatever) — and I think I know what it is!” If so, creating an app could bring in extra income.

It could also bring in zero dollars. But nothing ventured, nothing gained, right?

For example, personal finance writer Jackie Beck — who cleared $147,000 of debt — used her expertise to create an app called “Pay Off Debt.”

Not a coder? App-builder services exist. The WikiHow.com article “How to Create a Mobile App” tells how to get started. It’s a time-consuming process. But that’s one of the beauties of retirement: You set your own hours.

12. Become a package ‘receiver’

OK, this idea is unproven — so far. But it’s a solution whose time has come. The boom in online shopping has been a boon for thieves who find it easy to swipe packages left outside front doors before the intended recipients get home from work.

You might be able to do your part to thwart those lowdown thieves by marketing yourself as a “professional package receiver.”

Try this: Put the word out — through friends, social media, places of worship — that you are available to accept deliveries. If a package is for someone in your neighborhood, you could watch the shipping company’s tracking info and be at the home to take the package in. Or you could specify that packages be shipped to Original Recipient, c/o Professional Package Receiver — that’s you.

Before asking a fee of, for example, $1 per package, ask the person who wants to hire you what it’s worth to them. You might be surprised by a response like, “I’ll give you $5.” Decide, too, whether you’ll be charging per package or per order, and whether you’ll set a weight limit, such as no packages over 30 pounds.

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.

Source: moneytalksnews.com

How to Have a Baby Shower on a Budget

It’s an honor to be asked to throw a friend or family member a baby shower. But along with that honor, often comes a hefty price tag. Between the food, flowers, decor, and favors, the cost of these soirees can add up quickly.

Fortunately, you don’t need to spend a fortune to throw a fun and memorable celebration for soon-to-be parents and their loved ones. From scoring a cheap (or free) venue to DIYing the centerpieces, there are a number of ways to cut baby shower costs without looking like you cut any corners.

Tips for Throwing a Great Baby Shower on a Budget

These inexpensive baby shower ideas can help you throw a memorable celebration for a mom-to-be and help her become better financially prepared for a baby.

Coming up with a Baby Shower Budget

Before you begin the planning process, it can help to determine the total you can spend on the event and then create a budget. You may also want to find out if family members from either side are willing to chip in financially or by offering to help make something for the party. When setting up your baby shower budget, you’ll likely want to include: the venue, invitations, decorations, food and drinks, entertainment and/or games, prizes and party favors.

Finding a Free (or Low-Cost) Venue

A baby shower doesn’t have to be at a fancy restaurant, hotel, or banquet hall to be festive. It could take place at your, or someone else’s, home. If you’re hosting a baby shower in warm weather. You might consider having it outdoors, such as in your backyard. You could even host a more casual shower with an outdoor barbeque or even a poolside party.

Other low-cost locales options include: a nearby park, the clubhouse of your (or someone else’s) apartment complex, or the meeting room at someone’s place of business.

Limiting the Baby Shower Guest List

Generally, the more people you invite to the shower, the more money you will spend. To keep costs in check, you may want to consider limiting the invite list to the parent-to-be’s closest family and friends. A smaller group not only cuts down on costs, but can also help to create a more intimate gathering that allows the guest of honor to spend time with each guest. It can be a good idea, however, to run the invite list by the expectant mom to be sure that you don’t exclude any important people.

Going Digital With Invitations

You can save money on baby shower invitations by using a digital service, such as Evite, MyPunchbowl, or Paperless Post. These sites and apps typically allow you to choose from a range of free baby shower invitation templates or, for a small fee, upgrade to a more elaborate design. These sites also make it easy to keep track of responses. And, guests will likely appreciate the ability to RSVP with the click of a button. You may, however, want to send paper invites to older guests, particularly if they don’t use an email address often.

Ditching the Caterer

Feeding guests typically takes up the biggest portion of a baby shower budget. One way to help keep the cost of food down is to forgo the caterer and head to your local warehouse club (like Costco or Sam’s Club). You’ll likely be able to create a delicious spread of appetizers, finger foods, and desserts for a lot less than ordering trays from a catering company or restaurant.

Timing it Right

You can also cut down on food costs by not holding the shower right at lunch or dinner time. That way, guests won’t arrive expecting a full meal, and you’ll be able to serve a lighter menu that includes simple appetizers and snacks. A late-morning party can be particularly wallet-friendly–you might simply offer coffee, juice, fruit, and pastries. Or, you might opt for an afternoon tea and serve sweets and finger sandwiches.

Keeping the Cake Simple

A gourmet bakery cake can look beautiful, but it could easily bust your budget. According to CostHelper , an average bakery cake runs around $3 to $4 a slice. To cut costs without sacrificing on taste, you might consider ordering a cake at your local grocery store’s bakery or the bakery at a wholesale club, then having it personalized (which the store will often do free of charge).

DIYing Centerpieces

Fresh flowers look lovely, but they can get expensive if you order arrangements from a professional florist. Instead, you may want to head to your local farmers market, grocery store, or warehouse club to find flowers at reasonable prices that fit your color scheme, then make your own centerpieces. A simple way to get great results is to use flowers in the same color family (like shades of pink or all white). You can pick up vases at the dollar store, or go with Mason jars, which look trendy and can be used for other purposes after the shower is over.

Printing Decor and Games for Free

Instead of racking up a big bill at the party store, you may want to comb the web for free baby shower printables. You can likely find food signs, games (like baby shower bingo), decorations, and favor tags that you can simply print right from your computer.

Making Edible Favors

Sweets can make great baby shower favors, and you can easily bake them yourself without spending a lot. You may also find that there is a family member who would be delighted to take on this task. Edible favors can be as simple as iced sugar cookies (in your color scheme) or as elaborate as cake pops that look like baby rattles.

Considering a Virtual Baby Shower

If the guest of honor’s family and friends are spread out all over the country, having a virtual baby shower is one way to include everyone that’s important, and also keep costs down. You can set a celebratory mood by choosing a Zoom background that fits the theme of your shower, and also include a link so guests can download the background as well. Friends and family can watch the mom-to-be open gifts that were sent to her ahead of time. You can also organize games throughout the virtual baby shower and create a digital guest book that attendees can sign and share their words of wisdom for the expecting parents.

The Takeaway

You can plan a memorable baby shower even on a limited budget. And, spending less doesn’t mean the event will be any less special.

Some easy ways to trim the cost of having a baby shower include: hosting the shower in your home or backyard, heading to your local warehouse club (for food, flowers, and even the cake), using free printables for decor and games, and giving homemade sweets as favors.

You can also make a baby shower more affordable by setting a budget and saving up enough money to cover it in advance (so you don’t end up relying on credit cards).

Looking for a good place to build your party fund? A SoFi Money® cash management account can be a good option. With SoFi Money’s “vaults” feature, you can separate your savings from your spending while earning competitive interest on all of your money. You can even set up separate vaults for separate savings goals.

Start saving for your next milestone celebration with SoFi Money.

Photo credit: iStock/vejaa


SoFi Money®
SoFi Money is a cash management account, which is a brokerage product, offered by SoFi Securities LLC, member FINRA / SIPC .
Neither SoFi nor its affiliates is a bank. SoFi Money Debit Card issued by The Bancorp Bank.
SoFi has partnered with Allpoint to provide consumers with ATM access at any of the 55,000+ ATMs within the Allpoint network. Consumers will not be charged a fee when using an in-network ATM, however, third party fees incurred when using out-of-network ATMs are not subject to reimbursement. SoFi’s ATM policies are subject to change at our discretion at any time.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
External Websites: The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.
SOMN0521042

Source: sofi.com

8 Ways to Save Money on a Bathroom Remodel or Renovation

Remodeling a bathroom is one of the costliest home improvement projects. According to HomeAdvisor, the average bathroom remodel costs around $10,911 as of April 2020. A high-end remodel for a large or master bathroom could run you $25,000 or more.

But if those numbers are too much for your budget, that doesn’t mean you have to live with your dingy, dated bathroom forever. There are ways to refresh a bathroom for considerably less. According to This Old House, homeowners have redone their bathrooms for $6,000, $4,000, $2,000, and even less than $1,000.

I also know from personal experience it’s possible to renovate a bathroom on a budget. In 2011, my husband and I redid our guest bath for less than $900, including a new sink, toilet, vanity, faucets, light fixtures, floor tiles, paint, and accessories. With a bit of ingenuity and effort, other homeowners can do the same.

Ways to Save on a Bathroom Remodel

Our budget bath remodel and those featured on sites like This Old House and Apartment Therapy all have one thing in common: The homeowners looked for ways to save money anywhere they could. We didn’t necessarily use the same techniques, but we all relied on numerous money-saving strategies to get the job done for less.

The tips that helped us and other homeowners save money on our bathroom renovations fall into several major categories.

1. Plan Ahead

During any remodeling project, one of the costliest things you can do is change your plans halfway through. At best, it delays the project while you return materials and buy new ones. At worst, it requires you to pay contractors to redo work they’ve already done.

Sometimes, in-progress changes are unavoidable, such as when you cut into a wall and discover a leak. But in most cases, you can avoid them by thinking things through carefully before anyone picks up a tool. It’s much cheaper to know in advance you don’t want the toilet to be the first thing guests see when they open the door than figure it out once you’ve already installed it.

That’s why the first step in any bathroom remodel is planning. Before you buy anything or hire anyone, think about what you want from your new bathroom. What is it about the room that doesn’t work for you now, and how can you fix it? List everything you want your remodeled bath to have, and then sort that list into must-haves and nice-to-haves.

Take your time figuring out your wants and needs. If you can’t figure out the best way to accomplish all your goals, you can hire a bathroom designer for a consultation. According to Hunker, this service typically costs $200 to $400, and it can help you avoid mistakes that cost money to fix later.

In addition to thinking about the layout, spend time comparing options for visual elements like tile, plumbing fixtures, and light fixtures. That way, when you’re finally ready to get started, you know exactly where to shop to find what you want at the best price. Buying in a hurry often means paying extra or settling for something that isn’t ideal.

2. Keep the Footprint Unchanged

One of the best ways to save on a bathroom remodel is not to remodel at all. People often use the terms bathroom remodeling and bathroom renovation interchangeably, but they’re not the same thing.

A remodeling job involves making significant changes to the room’s footprint, or its size, shape, and structure. It can include making changes to any or all of these:

  • The room’s foundation
  • Walls, especially load-bearing walls
  • Plumbing lines
  • Locations of plumbing fixtures, such as the sink and toilet
  • Electrical wiring

Renovation means freshening up the bathroom’s look — tile, wall color, flooring, lighting — while leaving its basic layout unchanged.

Changing the footprint adds time and labor costs to the project. It also usually involves getting building permits, which are a significant expense. The cheapest bathroom redos are usually renovations rather than full remodels.

There are lots of ways to change the look of a bathroom without changing the footprint. You can change the fixtures, walls, flooring, lighting, and accessories without moving anything. You can even make a small bathroom feel larger by adding a lighter paint color, a clear glass shower door, or a skylight to let in more natural light.

If you absolutely have to add square footage to your bathroom or change the arrangement of fixtures, keep the changes to a minimum. That way, you limit the number of labor hours you need from expensive contractors like plumbers.

3. Do the Work Yourself

According to HomeAdvisor, roughly half the cost of bathroom remodeling is labor costs. Homeowners spend an average of $65 per hour paying contractors, including carpenters, plumbers, electricians, drywallers, and floor tilers. Thus, the more of your bathroom remodel you can DIY instead of hiring a contractor, the more you can save.

But DIY is only a money-saver if you have the necessary skills. Some jobs, like moving plumbing lines, are best left to the pros. If you try to do them yourself with no training beyond a five-minute YouTube video, you could cause a flood. The damage that does will cost a lot more than hiring a plumber in the first place.

However, most homeowners can handle at least some of the jobs in a bathroom renovation. Depending on your skill level, you could tackle jobs like:

  • Demolition (pulling out old wallboard, flooring, and cabinetry)
  • Painting
  • Tiling
  • Replacing faucets and showerheads
  • Adding accessories like towel racks
  • Installing bathroom lights
  • Installing new plumbing fixtures

Homeowners with a little DIY experience can take on more ambitious DIY projects. For instance, when we couldn’t find a stock vanity cabinet we liked, my husband built one from plywood and beadboard.

A Texas homeowner profiled by This Old House made almost all the materials for his powder room renovation. He poured his own concrete countertops, built new doors and drawer fronts for the vanity, and even welded a new frame for the mirror. Another couple in Missouri built their own cabinetry, made custom light fixtures, and enameled an old bathtub.

4. Reuse Existing Pieces

Doing the work yourself is the primary way to save on labor costs. But when it comes to materials, there are lots of different ways to save. One of the most effective is to refurbish the pieces you already have rather than buying new ones.

With a little work, you can change the look of nearly any piece in a bathroom, such as:

  • Bathtubs. One homeowner was able to salvage an old, rust-stained tub by having it cleaned professionally. You can also fix surface damage to porcelain, cast iron, and fiberglass tubs by refinishing them. A DIY tub refinishing kit costs around $80.
  • Shower Enclosures. A tiled shower enclosure can look like new if you clean both tile and grout thoroughly. The grout may also need some patching in worn areas. To give it a fresher look, you can stain white grout a darker color. If you have acrylic or fiberglass shower walls, you can patch dented or cracked spots. A repair kit costs under $20.
  • Sinks. You can dramatically change the look of a sink by replacing the faucet. If the porcelain is cracked, you can repair it with either a porcelain repair kit or a two-part surface repair epoxy. Both cost less than $15.
  • Toilets. Rather than paying $100 or more for a new toilet, give yours a new look by replacing the toilet seat and lid for $30 or less. To add a touch of elegance, opt for a wooden toilet seat or soft-close model that doesn’t slam shut.
  • Cabinetry. You can save hundreds of dollars on cabinets by painting or refinishing the pieces you already have. If the doors are too damaged, replace them while keeping the cabinet boxes. According to HomeAdvisor, that typically costs $30 to $100 per door, not counting labor.
  • Floors. Like shower enclosures, you can refurbish tile floors by cleaning them thoroughly and replacing or staining the grout. If you have wood floors, you can have them professionally refinished for $3 to $8 per square foot, according to HomeAdvisor.
  • Walls. The cheapest way to change the look of your walls is to repaint them in a different color. If you have tile walls you don’t like, you can install new wood panels or beadboard wainscotting over the tile. At around $20 per beadboard panel, that’s cheaper than tearing it out and replacing it, and it lets you switch back to tile later if you want.

5. Use Paint Creatively

Just changing the paint color in your bathroom can make a surprisingly significant difference to its overall look. But you can do a lot more with paint than just roll it over a wall. Creative homeowners have used it for:

  • Textured Effects. You can give a wall a textured look by using two different colors. Start by giving the whole wall a base coat in one color. Then use a textured tool, such as a sponge, rag, or comb, to apply the second coat. We used a sponging-off technique in our bathroom to create a look similar to stucco.
  • Faux Wallpaper. Paint can give you the look of wallpaper with less money and effort. For instance, you can make your bathroom look larger by painting it with broad, horizontal stripes. Or use a stencil to create a pattern on the wall.
  • Faux Tile. You can also use paint and stencils on a wood or concrete floor to create the look of tile for less. Just use sturdy porch paint and three coats of polyurethane to stand up to the humid environment.
  • Real Tile. According to Sherman Williams, it’s even possible to paint over real tile. Clean the bathroom wall tile thoroughly, scuff it with sandpaper, and apply a water-based acrylic primer. Top it with a durable latex or urethane paint, and you have “new” tile without the hassle and expense of replacing the old tile.
  • Refinishing Fixtures. You can use enamel paint to salvage an old bathtub or spray paint and lacquer to change the finish of a sink faucet.

6. Use Cheaper Materials

There are limits to what you can do with paint. But there are many other ways to substitute cheaper materials for pricier ones and get the look you want for less. To stretch your dollars when renovating a bathroom, splurge on just one or two high-impact items, such as countertops or a clawfoot tub, and choose cheaper alternatives for everything else.

There are cost-effective alternatives for nearly every part of a bathroom remodel.

Walls

Tile costs a lot more than paint or paneling. To keep your costs down, limit your use of tile on the walls as much as possible. Use it only in areas that get wet regularly, such as the tub or shower enclosure.

For the rest of your walls, painted drywall is the cheapest alternative. However, wood panels can create a more interesting look at a lower price than tile.

Flooring

Bathroom flooring options fall into three price ranges. The cheapest options are laminate and vinyl, which can cost $1 or less per square foot. Wood and ceramic tile are midrange alternatives, and stone tile is the priciest flooring of all.

If you crave the look of stone, it’s often possible to get it with a cheaper ceramic. One inexpensive bathroom remodel covered by This Old House includes slate-look ceramic tiles that cost only $85 for the whole room.

Tub and Shower Enclosures

If you can’t refurbish your existing shower walls, the cheapest way to replace them is with large panels of fiberglass or acrylic. These cost as little as $100 each and are quick to install.

However, if you prefer the look of a tiled wall, go for porcelain or ceramic tile rather than pricier glass or stone. You can also save time and money by choosing larger tiles. These require less grouting, so you save on labor costs.

If you’ve fallen in love with a fancy designer tile, search for a cheaper look-alike. Alternatively, use the fancy tile as an accent, filling in most of the wall with a more affordable tile. Not only will you save money, but the expensive tile will stand out more.

As for the front of the tub or shower enclosure, a shower curtain is cheaper than a glass door and easier to install. It’s also easy to clean — just take it down and toss it in the washer. And you can easily swap it out any time you want to change the look of the bathroom.

Tub and Shower Hardware

If you need to replace your bath or shower handles, spout, and showerhead, it’s probably cheapest to buy them as a set. These sets, called trim kits, can cost as little as $100 to $200 each.

However, if the handles are still in good shape, it could be cheaper to keep them and replace the showerhead only. A good showerhead contributes a lot more to a satisfying shower than nice-looking handles. Many top-rated showerheads cost less than $50.

Countertops

A stone countertop for your vanity is cheaper than stone counters for your kitchen since it’s a lot smaller. But other options are much less expensive.

According to HGTV, the most affordable countertop choices are laminate and ceramic or glass tiles. Engineered stone and solid-surface countertops cost more, but they’re still cheaper than granite or marble.

If you really love the look of stone, there are several ways to get it for less:

  • Use Tiles. Tile your countertop using marble floor tiles instead of a slab. The DIY’ing Missouri couple used this method, paying just $9 per square foot for their marble tiles. With white grout, the joins are hardly visible.
  • Use Remnants. Ask local suppliers if they have any stone left over from a bigger job. These remnants are often cheaper than a whole slab, and you don’t need much to make a vanity top. If you’re using a contractor, you can ask them about remnants as well.
  • Try Prefab. If your vanity is a standard size and shape, you can save money by choosing a prefabricated slab. It’s cheaper than having a piece cut to size. But it limits your options for color and edge details.
  • Choose a More Affordable Grade. Natural stone slabs come in different grades. A slab with more imperfections costs less, and if the flaws are in the center — where the hole for the sink will go — they won’t even show.
  • Keep the Edges Simple. Stone and prefabricated countertop materials are cheapest with a plain beveled or bull-nose edge. You can save by choosing these edge finishes over a fancy ogee or waterfall edge.

Cabinetry

The cheapest type of storage for the bathroom is open shelving. You can create wall-mounted shelves with nothing but a plank of wood and some wall brackets. These can go on any empty wall, including behind the toilet, to use all the space in the room.

If you want to keep your bath supplies behind closed doors, stock cabinets are cheaper than custom cabinetry. You can also compromise between the two by choosing semi-custom, ready-to-assemble cabinets. This product lets you configure size and features to fit your space. But the more options you add, the more it costs.

As for cabinet materials, laminate or thermofoil cabinets are cheap and easy to clean. However, they can warp over time, so they may not save you money in the long run. You can save on wood cabinets by choosing pine, maple, oak, or alder over pricier mahogany, cherry, or walnut. If you prefer darker wood, you can buy cheaper pieces and stain them.

The style of the cabinets also matters. You save the most by choosing flat doors rather than doors with raised panels and drawers rather than pullout cabinets. Shop around to find brands of both cabinets and hardware that give you the look you want at the lowest price.

One inexpensive and trendy option for a vanity cabinet is to repurpose an old dresser. You can find dressers through secondhand sources like garage sales and Craigslist for much less than you’d pay for a store-bought vanity cabinet.

Toilets

Considering they all do the same job, there’s a surprising range in the price of toilets. As a rule, round toilets are cheaper than those with an elongated bowl, and two-piece toilets cost less than one-piece ones. Two-piece toilets take up more room and are a little harder to install, but they’re easier and cheaper to repair if they break.

One type of toilet to avoid is a wall-hung model with the tank recessed into the wall. This design saves space, but it’s harder to install and repair, costing you money.

It’s also worth considering water-saving toilets. These don’t cost significantly more upfront, and they save you money on your water bill over their lifetime.

7. Shop Secondhand

Another way to save on materials for your bathroom renovation is to buy them secondhand. The Missouri couple who created a luxury master bathroom on a $6,000 budget got nearly everything used, including a salvaged clawfoot tub, discarded cabinet doors from a kitchen and bath showroom, a scavenged marble scrap for a countertop, and a yard sale mirror.

Shopping secondhand isn’t as easy as going into a store and putting things in a cart. It pays to start early to ensure you have plenty of time to find what you want. While you’re still in the planning phase of your remodel, start checking secondhand sites for items that match your wish list.

Places to find secondhand materials include

  • Reuse Centers. If you have a reuse center in your area, you can find everything you need for your bathroom remodeling project there, from tile to light fixtures. When we redid our bathroom, we hit the Habitat for Humanity ReStore and found Italian ceramic tile for under $3 per square foot and a cultured marble sink and vanity top for $30.
  • eBay. You can find nearly anything on eBay, including bath supplies. The Texas homeowner who redid a powder room for $705 bought a sink, faucet, and light fixtures from online auctions for $390 total. Just remember to factor in shipping costs when buying online, especially since bath items can be heavy.
  • Craigslist. Check the for-sale section of your local Craigslist site for bath bargains. A quick search of the listings on my local group turned up plumbing fixtures, countertops, cabinetry, light fixtures, and even a ventilation fan.
  • Nextdoor. Nextdoor is a social media group designed to help neighbors connect. Members can buy and sell unwanted goods through the Finds section. Listings for bath pieces aren’t that common, but it’s worth a look.
  • Freecycle. Through the Freecycle Network, members give away unwanted items to people in their area at no cost. Check your local group for free stuff you could use as part of your bathroom remodel.
  • Flea Markets. Check out flea markets for antique pieces for your bath remodel, such as a clawfoot tub or an old-fashioned light fixture. Just don’t buy anything you can’t haul home since there’s no delivery service.
  • Antique Stores. Antique stores are another excellent source of vintage furniture and materials. But they’re likely to charge higher prices than other resellers.
  • Yard Sales. Shopping at garage sales is a hit-or-miss proposition. You can’t always find what you want, but when you do, the prices are terrific. The Missouri couple with the $6,000 master bath renovation made several affordable finds at yard sales, including a $35 etched glass mirror and a marble slab for just $1.
  • Your Own Home. Don’t hesitate to reuse materials left over from other projects in your bathroom renovation. Several homeowners profiled by This Old House reused leftover materials, including paint and beadboard.

8. Look for Bargains

If you can’t get all the materials for your bathroom secondhand, you can save by finding them on sale. For instance, one couple from New York found a cast-iron bathtub on sale for $350. Most new cast-iron tubs cost $1,000 or more.

The holiday season is an excellent time to find remodeling materials on sale. According to CabinetNow, the best seasonal sales on cabinetry occur on Black Friday and in the weeks before Christmas.

However, shopping sales isn’t the only way to find deals on new materials. One of the best ways to find bargains is to shop around. Comparison-shopping websites and tools can help you find the best prices when shopping online. Other money-saving browser extensions can help you find coupon codes to cut costs still more.

Also, don’t overlook discount sites like Overstock.com. This site offers everything you need for a bathroom renovation, from tubs to tile, at prices well below retail.

If you find reasonable prices for several products in one store, but its prices on other things you need are higher, find out if the store offers a price-match guarantee. If it does, you could get the best prices on everything you need at once without having to visit multiple stores.

Finally, if you buy a lot of materials from one place, ask about volume discounts. Home centers like Home Depot offer discounts on bulk sales. It’s primarily for professional contractors, but it can’t hurt to ask.


Final Word

A bathroom remodel doesn’t have to cost a small fortune. There’s no doubt that some upgrades, like a fully tiled walk-in shower or expanding the square footage of your master bath, can run into the tens of thousands of dollars. But with good planning and a little creativity, you can make your bathroom into a luxurious retreat on a much smaller budget.

Moreover, updating or adding a bathroom to your home is a home improvement project that adds value. According to the 2021 Cost vs. Value Report from industry publication Remodeling magazine, homeowners who remodel their bathrooms recover an average of 55% to 60% of the money when selling the home. And if you can manage to add the same resale value on a smaller budget, you can boost that percentage even more.

Do you have other rooms to redo? Check out our articles on budget kitchen remodels and basement remodels.

Source: moneycrashers.com

How to Find Felon-Friendly Apartments After Getting Out of Jail

Yes, you can rent an apartment as a felon — just do your research.

Do you have a felony on your record and happen to need a new place to rent? Well, it may seem daunting to try and find a place that won’t require a background check but it is possible to find felon-friendly apartments.

No background check apartments are rarer but they do exist and are a great option for renters with a not-so-appealing stain on their background. Let’s dive into how to find felon-friendly apartments if you have a record.

Can I rent an apartment if I have a felony record?

Apartment for rent sign.

The short answer is yes, you can rent an apartment with a felony record. However, renting an apartment with a felony record is tricky because almost every landlord or apartment complex runs background checks on future tenants.

They’ll often check everything from your credit score to your criminal history, so it’s best to share with the landlord that you have a felony — it will definitely show up. Unfortunately, landlords can reject your application on the spot if they see a felony.

While some may do this, there are some landlords that will look past it.

How to find apartments that accept felons

Starting the search for apartments that accept felons is overwhelming. It’s difficult to know where to look, what to put on your application, what to leave out of your application and how much to disclose.

The best thing to do is to educate yourself and know where to start looking and how to best prepare for the application process. Here are four tips for finding felon friendly apartments:

1. Search for no background check apartments

Criminal background check.

A great place to start is by searching for apartments that don’t run a background check. While many apartments include a background check as part of the standard application process, not all do. This is great news for you as you’ll be able to apply for the rental without having to worry about your felony appearing on the background check portion of the application process.

You can also take the time to search for “second chance rentals.” Here, you’ll be able to find listings that don’t typically ask for background checks and are often felon-friendly apartments. Everyone needs a place to live and there are landlords who are willing to give felons that second chance they need to get back on their feet, find stable housing and have a place to call home.

2. Find an individual landlord

Another way to go about finding apartments that have no background check is to search for individual landlords or private renters as opposed to apartment complexes.

By having an individual landlord, you’ll be able to take the time to discuss your situation one-on-one. Be honest and upfront about your background check. By doing this, they may look past your felony as they get to know you personally and not purely based on your background check.

A realtor is also a good way to find places to rent. They have different resources and may already know where to look for you. Using a realtor may cost money compared to looking on your own, but, you’ll likely be able to find a place to rent more quickly and get settled into a new home right away.

3. Use local and national resources

There are many local and national resources that help those who have felonies get housing. Start by looking into your local non-profits and see if there are any programs that help people with felonies get back on their feet.

A great place to get help is with The U.S. Department of Housing and Urban Development aka HUD. They offer low-income housing to those in need and also have a list specifically for felon-friendly apartments.

Another place to seek help is with The Lion Heart Foundation. Their goal is to help give people the tools to restart their lives. On their website, they have a list of felon-friendly apartments in every state. Again, by starting your search with places that’ll work for you right away, you’ll save time and stress in the house-hunting process.

4. Be prepared for a more challenging application process

Handshaking over a contract.

Being prepared for the application process is crucial in finding apartments that accept felons. Here are some ways you can better prepare yourself:

  • Write a letter: Handwritten letters are personal and convey a sense of caring. Take the time to write the landlord your story. This way they can start to feel a personal connection. Also, telling your story about your felony and how you’ve changed might make it so they don’t reject your application right off the bat.
  • Have a character witness: Landlords want to make sure they’re renting to good tenants who pay on time and don’t cause trouble. Having someone else vouch for you and your good character is very helpful in convincing a landlord to rent to you.
  • Offer to pay more: Whether it’s a higher security deposit or maybe two months’ rent upfront, paying more might help you to rent an apartment. This also shows that you are serious about renting and can pay on time.

Finding a home

While finding a felon-friendly apartment is difficult, it’s not impossible. There are several different resources and tools to use when searching for a new home.

Having the knowledge of where to start and who to ask for help is the best place to start. By knowing what you’re getting into, the experience will be less stressful and daunting. Like anything, it might seem overwhelming but you can do it!

Source: rent.com

15 Ways to Save Money Landscaping Your Yard

If you have a yard, you’ve probably daydreamed about what you want it to look like someday. But landscaping costs keep many homeowners from breaking ground.

Whether you want to improve your curb appeal, make your yard more functional, or plant your own botanical oasis, landscaping doesn’t have to be expensive. With a little creativity and forethought, you can have the outdoor space you’ve always wanted without emptying your wallet.

Landscaping Tips to Save Money on Outdoor Living

You don’t need to hire a professional landscaper to have a beautiful backyard. You just have to get your hands dirty. From planting perennials to making your own compost, homeowners have many options when it comes to saving on landscaping costs.

1. Choose a Purpose for Your Space

How you plan to use your outdoor space determines how you landscape it. Decide whether you want to tailor your landscape design to:

  • A play area for kids or pets
  • An outdoor dining and lounging area for yourself and guests
  • A productive herb or vegetable garden
  • A butterfly or bee garden

You can choose more than one, budget and space permitting.

But knowing how you plan to use your yard allows you to make a budget and avoid overspending on unnecessary purchases. It also helps you determine where you can cut costs and what your most significant expenses will be, such as putting in sod or building a ground-level deck.

2. Work With Your Yard

Work with the yard you have instead of trying to create something completely different. For example, if you have large, naturally occurring rocks and boulders in your yard, having them moved costs a lot of money. Rather than paying for removal, work around them by turning them into a rock garden or using flowers and mulch to create an attractive feature piece.

The more you need to change your yard, the more costly landscaping becomes. Uprooting trees, leveling terrain, and relocating rocks are all expensive endeavors. Instead of making your yard into something it isn’t, work with what you have.

3. Salvage Existing Wooden Fencing or Decking

Fences, decks, and patios are crucial components of many yards. And without proper maintenance, they can fall into a state of disrepair. But just because your outdoor wooden structures are looking a little worse for wear doesn’t mean you can’t salvage them for your new landscaping project.

Rather than spending a fortune on replacing an old fence or deck, fix it yourself by:

  • Repairing or replacing damaged and broken boards
  • Pressure-washing aged wood and chipping paint
  • Giving everything a good scrub
  • Applying paint or stain and waterproof sealant
  • Maintaining it each year

A quick trip to a home improvement store like Home Depot to rent a pressure-washer or buy some sealant is bound to cost a lot less than paying a contractor to rebuild your outdoor structure.

4. Choose Fence and Deck Materials Based on Climate and Need

Sometimes, salvaging your wooden fence or deck isn’t practical in the long run. If you need to replace or rebuild a fence, deck, or patio, save some money down the road by choosing materials suited to your climate.

For example, in areas where it’s either particularly hot or humid, wooden structures often need to be maintained and replaced more frequently since they’re constantly exposed to harsh elements like the sun or rain, which can damage and destroy them.

Instead, explore options with a longer lifespan, like brick, concrete, composite, vinyl, or metal. Do a cost-benefit analysis to determine how much you could save in the future for maintenance and replacement costs by choosing an alternative to wood.

5. Use Natural Elements

Found natural elements like rocks and stones are inexpensive alternatives to store-bought pavers and edging. You can also use tree stumps as stools or tables and natural mulch like grass clippings, shredded leaves, or pine needles in your flower beds.

These elements add a rustic and natural appeal to your yard and come at little to no cost. Pick up free rocks in new housing developments or by browsing online marketplaces like Craigslist and Facebook Marketplace. Repurpose dead trees by turning them into furniture. And simply empty your lawn mower bag for free mulch.

6. Create a Lush Lawn

If you have sparse grass coverage or weeds have overtaken your yard, you need to put in some work to grow a healthy lawn. But you don’t need to hire an expensive landscaper to bring your grass back to life. You can take care of weeds by pulling them by hand or using a lawn-friendly weed killer.

For dead or thin grass, try reseeding your lawn to bring it back to life. You can also promote its growth using a high-quality fertilizer, which can also help kill weeds.

Just ensure it’s a match for your soil type and United States Department of Agriculture plant hardiness zone, a measure of a region’s climatic conditions (such as heat and humidity) that helps gardeners determine the likelihood of a plant’s growth and survival.

Local home improvement stores and garden centers only carry plants and materials suited to your zone, so if you buy locally instead of online, you can find products suited to your zone without much effort. And you can always ask a store employee for assistance with choosing materials for your soil type.

If your lawn is too far gone, you may have to plant new grass, which takes a lot of time and effort. It involves stripping your old grass, laying down landscaping fabric and topsoil, and seeding or putting in squares or strips of pre-grown grass, which is called sod.

You can hire a landscaper to install it for you, but doing it yourself can potentially save a lot of money. According to Angi (formerly Angie’s List), it costs between $0.35 to $0.85 per square foot on average to buy sod, depending on what type of grass you get and prices in your area. You also may need to purchase fertilizer, landscaping fabric, and topsoil and rent equipment to grade the lawn.

Hiring a landscaper costs between $1 and $2 per square foot. So doing it yourself could potentially save you several hundred dollars. But it may not be worth it.

Angi also notes that it takes around 40 hours of work, though Home Depot says it only takes two to four hours. Either way, cutting corners could prevent your grass from taking root, costing you more money in the long run. So if you aren’t confident in your abilities, it may save you money to have a pro do it. Get some estimates from professionals and compare the costs of DIY.

Regardless of the state of your lawn, getting it back into tip-top shape is key to having a front yard with curb appeal or a backyard oasis.

But keep maintaining it after you complete your landscaping project. Just like most front yard and backyard landscaping, slacking on lawn care only costs more money in the long run. If you don’t stay on top of grass and weed issues each year, your lawn only gets worse with each season. Remember to weed, seed, fertilize, and water your grass to keep yourself from having to pay for extensive and expensive renovations in the future.

7. Landscape With Native Plants

Native plants are the plants that grow naturally in your hardiness zone. Native plants tend to thrive in your climate and soil, which means they’re low-maintenance and easy to grow, unlike potentially finicky nonnative plants.

Because native gardening often requires less maintenance, it helps save on costs for things like fertilizers, pesticides, and water while still growing healthy and strong. It’s particularly useful for novice gardeners since it can prevent you from wasting money on plants that aren’t suited to your soil or zone or take a lot of extra effort to grow.

As a bonus, they also attract birds, bees, butterflies, and wildlife since they provide familiar shelter and natural diets to various creatures in your region.

You can find native plants by perusing the Native Plant Database or talking to someone at your local plant nursery.

8. Plant Perennials

Unlike annuals, which only bloom for one season, perennial plants come up each year. For example, bulbs like crocuses, daffodils, and irises are typically perennials and sprout each spring. Perennials can also be herbs, ground cover plants, fruit bushes, and vegetables.

Because you only have to plant perennials once, you don’t have to purchase new flowers or plants each year. And they tend to multiply, so over time, you can separate the plants and bulbs and use them in other parts of your garden or trade them with others.

9. Plant From Seed

If you’re growing a garden or flowers, planting from seed rather than buying established plants and sprouts is a lot cheaper, although it requires more work on your part. For example, a packet of basil seeds typically costs between $1 and $3 compared to a single basil plant, which can cost anywhere from $5 to $15, depending on the variety. However, seeds can take anywhere from a few days to a few weeks to sprout.

You can either sow seeds directly into the ground or start them indoors based on their growing season and germination period.

If you choose to grow indoors, you must purchase some supplies upfront, like starter trays, a grow light, and a growing medium. But you can reuse many of these tools each year, saving you from buying it again each season.

If you plant them outdoors, you just need a garden bed or planter and some soil.

10. Build Your Own Garden Beds

Flower beds and veggie gardens are simple DIY landscaping projects. Putting in a new garden doesn’t have to be complicated or expensive. You can use flower beds or planters around trees or features as natural edging or start a simple herb or vegetable bed in an unused corner of your yard. Some popular options include raised planting beds and container gardens.

Depending on lumber costs and whether you can make one from found wood or old containers you already own, DIY planting beds can be much more cost-effective than buying prefabricated beds. And they’re definitely cheaper than hiring someone to build them for you. That’s especially true if all you want is something simple to house your veggies or keep flowers from spreading.

For more information on using found containers or repurposed materials as plant beds, read our article on saving money on gardening.

11. Join (or Start) a Plant Swap

Plants are probably part of your landscaping plan, whether you’re planting ornamental grasses, succulents, flowers, herbs, or veggies. Unfortunately, plants come with price tags — unless you join or start a local plant swap or seed exchange.

In a plant swap, local gardeners and plant enthusiasts trade their extra seeds or propagated plants. They give you a chance to diversify your garden for free as long as you have sprouts, seeds, or established plants of your own to barter with. Seed exchanges are also sometimes offered as part of the non-book-related free services at public libraries.

You’ll also meet fellow green thumbs who can offer tips and landscaping ideas that may help you to save money and have a more successful garden.

12. Buy Trees Late in the Season

Depending on what type you want and how common they are in your area, trees can come with hefty price tags, especially during peak gardening and landscaping season.

But unlike many flowers, herbs, and vegetables, you don’t have to plant trees early in the growing season. And if you wait, you can save big.

Many garden centers and nurseries offer discounts as the season progresses, with the most significant being in the late summer and early fall. And as long as you get your tree in the ground with enough time to establish roots before winter, waiting a month or two to buy and plant it doesn’t do any harm.

13. Make Your Own Compost

Compost does wonders for your garden. It helps improve your soil structure and fertility and provides beneficial nutrients.

Instead of spending money buying compost to boost your garden beds’ productivity and health, save money, reduce your waste, and help the environment all at once by making your own in a compost heap in your yard or composting container by using discarded organics like kitchen waste and grass clippings.

14. Build a Fire Pit

Fire pits are a popular garden idea that adds to the atmosphere and usability of your yard. They’re perfect for enjoying cool summer evenings and roasting marshmallows. But when purchased from a retailer, they can cost a lot of money.

Instead of buying a fire pit, build your own using rocks, bricks, concrete, or metal. Depending on the materials you use and the size of your fire pit, it could cost you less than $100 to build.

Just ensure you’re legally allowed to have one and that it meets your city’s rules and regulations. For example, most fire pits have to be a certain distance from buildings and permanent structures like fences and sheds.

15. Buy in Bulk

One of the best landscaping tips is buying in bulk to reduce your costs for supplies like soil, mulch, sand, river stones, and crushed rock. If you’re planning a large-scale yard renovation or soil amendment, calculate how much material like soil, rock, and mulch you need and put in a large order instead of making multiple one-off trips to the garden center.

Save even more by asking your neighbors if they need anything and split delivery costs on the order.


Final Word

Landscaping your yard can improve your home’s outdoor living experience and motivate you to spend more time outside. And it doesn’t have to break the bank. You can have a beautiful and inviting yard while keeping costs low.

To keep enjoying your yard year after year, continue maintaining it regularly by seeding, fertilizing, and weeding the lawn; tending to plants and trees; and repairing and sealing fixtures like fences and decks. That will keep you from having to take out a personal loan just to cover landscaping costs in the future.

Source: moneycrashers.com