Home » Posts tagged 'Financial Goals'
Tag Archives: Financial Goals
What Is the CVV on a Credit Card?
If youâve made a purchase online or over the phone, youâre probably familiar with the three sets of credit card numbers you have to hand over. These numbers include the credit card number, the expiration date and the CVV. If youâre an online shopping pro, youâll know where to find the CVV. But what exactly is the CVV on a credit card?
What Is the CVV on a Credit Card?
A credit cardâs CVV acts as another line of security against fraud. The CVV, or card verification value, can also be referred to as the CSC, or card security code. These numbers serve as one of the most important anti-fraud measures for a credit (or debit) card, especially with the rise of virtual transactions. So when you make a purchase online or over the phone, giving the CVV assures a merchant that the purchase is legitimate and authorized.
When you use your card in person, retailers can check your ID to make sure youâre the cardholder. But merchants canât do the same when you make an online purchase. Instead, the CVV serves a substitute for personal identification. Plus, your card carrier can verify your cardâs unique CVV in the event verification is needed.
Not all merchants require you to enter your CVV when making a purchase. This doesnât make a merchant illegitimate, however. In any case, you always want to make sure youâre handing over your credit card information to a merchant you trust.
Where to Find Your Cardâs CVV
Card carriers print their CVVs in different places on their cards, so itâs important to know where the CVV is on your card(s). If you have a Visa, Mastercard or Discover card, you can find the three-digit CVV on the back of your card to the right of the signature strip. The number may also be adjacent to either your full credit card number, or just the last four digits of it.
However, if you have an American Express card, you can find the CVV on the front, right side of your card. Also note that Amex calls this number a card identification number (CID). An Amex CID is also four digits instead of three.
How a CVV Protects You
A cardâs CVV comes in handy mostly for online purchases. Again, it acts as another line of defense against fraud. So even if a hacker gains access to your credit card number, expiration date and full name, they still need your CVV to complete the transaction. Luckily, CVVs arenât as easily obtainable as your other credit card information.
This is due to the Payment Card Industryâs Data Security Standard (PCI DDS). This was created by Amex, Discover, Mastercard, Visa and other credit card leaders to establish standard rules for credit card information storage. One of its main stipulations states that merchants cannot store your CVV after you make a purchase. However, thereâs nothing preventing merchants from storing the rest of your cardâs information, like the credit card number. This makes it harder for criminals to find the CVV attached to your credit card number.
The CVV also works in tandem with a credit cardâs magnetic strip and the newer EMV chip technology. The printed CVV on your card is embedded in the cardâs magnetic strip. The chip has a digital CVV equivalent called the Integrated Chip Card Card Verification Value (iCVV). So when you use your card in person, whether you swipe or insert the chip, your CVV will still be confirmed.
Limitations of a CVV
Typically, the issues that arise with CVVs are often self-inflicted by the cardholder. Since itâs hard for fraudsters to obtain your CVV through a credit card database, they turn to other illegal means. This includes phishing and physically stealing your cards.
These scams occur as the occasional email or pop-up on your computer, enticing you to make an online purchase. Some scams are easy to spot, due to misspelling or other obvious errors. However, because online merchants so often ask you to enter your CVV, hackers can also include that requirement on their fraudulent page. If you enter your credit card information, including the CVV, the hackers have easily gained access to your account.
Of course, there is always the possibility of getting your credit card physically stolen. In this case, the thieves donât need to hack anything since all your information is there on the card. Your best bet is to cancel your card as soon as possible, request a new card from your issuer and dispute any unauthorized charges made to the account.
Final Word
While in-person purchases arenât entirely foolproof, online transactions put you and your information more at risk of fraud. To combat this, credit card providers created CVVs and their associated regulations to help keep your personal credit information safe. You can help protect yourself, too, by only entering your card information on websites you trust.
Tips for Keeping Your Cardâs Info Safe
- Itâs important to research and find the right credit card for you. When youâre looking through a cardâs features, you should look at its security features. Make sure youâre comfortable with its limits.
- Never engage with any emails, ads or websites that you donât immediately recognize as legitimate. This includes not clicking on suspicious links and not entering your credit cardâs account number, expiration date and especially the CVV.
- Be sure to look for a âSecureâ tag to the left of the web address of any site youâre making an online purchase through. Only encrypted sites feature these tags, so you can feel confident your cardâs information will be safe in these transactions.
Find the Top 3 Financial Advisors for You
Finding the right financial advisor that fits your needs doesnât have to be hard. SmartAssetâs free tool matches you with top fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by Smartasset and is legally bound to act in your best interests. If youâre ready to be matched with local advisors that will help you achieve your financial goals, get started now.
Photo credit: ©iStock.com/Georgijevic, CVVnumber.com, ©iStock.com/ShotShare, ©iStock.com/wutwhanfoto
The post What Is the CVV on a Credit Card? appeared first on SmartAsset Blog.
Source: smartasset.com
The Average Salary of a Pilot
The job of an airline pilot has a certain glamour to it. However, unconventional working hours and plenty of time away from home can be a recipe for stress and burnout. This could be why airline and commercial pilots are compensated fairly well, earning a median annual salary of $115,670. That one number doesnât tell the whole story, though, as it varies depending on whom you fly for and where youâre based.
The Average Salary of a Pilot
According to the Bureau of Labor Statistics (BLS), the median salary of the group the BLS calls airline and commercial pilots was $115,670 per year in May 2018. The BLS also tracks the job outlook for the careers it studies, measuring how many jobs the career will add between 2016 and 2026. The BLS job outlook for Airline and Commercial Pilots is 4%, which is about as fast as the average across all careers. According to the BLS, the U.S. will add 4,400 airline and commercial pilots between 2016 and 2026.
Where Pilots Earn the Most
When it comes to tracking state- and city-level earnings data, the BLS looks at commercial pilots and âairline pilots, copilots and flight engineersâ separately. Letâs take a look at where commercial pilots earn the most.
The mean annual wage for commercial pilots is $96,530 per year. According to BLS data, the top-paying state for commercial pilots is Georgia, where commercial pilots earn a mean annual wage of $130,760. Other high-paying states for commercial pilots are Connecticut, New York, Florida and Maryland. The top-paying metro area for commercial pilots is Hilton Head Island-Bluffton-Beaufort, SC, where the annual mean wage for commercial pilots is $128,600. Other high-paying metro areas for commercial pilots are Savannah, GA; Seattle-Tacoma-Bellevue, WA; Bakersfield, CA; Fayetteville-Springdale-Rogers, AR-MO and Spartanburg, SC.
Now letâs take a look at where airline pilots, copilots, and flight engineers earn the most. The top-paying state in this field is Washington, with a mean annual wage of $237,150. Other high-paying states for this profession are Michigan, Nevada, Oregon and California. Of the metro areas for which the BLS has data, the top-paying metro area for airline pilots, copilots and flight engineers is San Francisco-Oakland-Hayward, CA, with a mean annual wage of $247,120. Other high-paying metro areas for this field are Seattle-Tacoma-Bellevue, WA; Las Vegas-Henderson-Paradise, NV; Denver-Aurora-Lakewood, CO; Tampa-St. Petersburg-Clearwater, FL and Chicago-Naperville-Elgin, IL-IN-WI.
Becoming a Pilot
Typically, itâs easier to become a commercial pilot than an airline pilot. Because of this, many airline pilots start their career as commercial pilots. To be a pilot of any kind, youâll need to have a commercial pilotâs license from the Federal Aviation Administration (FAA). To be an airline pilot, youâll need an additional document known as a Airline Transport Pilot (ATP) certificate. This is also issued by the FAA.
In terms of education, you will need a high school diploma and a commercial pilotâs license to become a commercial pilot. To become an airline pilot, you will likely need a bachelorâs degree, although it can be in any subject.
The typical path to becoming a commercial pilot is to complete an FAA-certified flight training program. These are held both at independent flight schools and through colleges and universities. Once youâve assembled enough flying hours, you can get a job as a commercial pilot.
Regional and major airlines typically require significantly more flight experience for new hires. This is another reason why many people start out as commercial pilots and then move on to working for an airline. According to the BLS, many commercial pilot jobs require a minimum of 500 flying hours, whereas entry-level airline jobs require somewhere around 1,500.
Bottom Line
Have you ever flown out of an airport and wondered what it would be like to be a pilot? With an average annual salary of $102,520, pilots earn a good living. Not just anyone can become a pilot, however. Commercial pilots must earn a commercial pilot certificate, while airline pilots, copilots and flight engineers must earn the Federal Air Transport certificate and rating for the specific aircraft type they fly. Being a pilot is also a dangerous job, so itâs not surprising that pilotsâ compensation is high.
Tips for Saving Responsibly
- The median pilot salary is enough to live comfortably in most areas of the country, but itâs still important to make sure youâre saving some of that money for emergencies and retirement.
- A financial advisor can be a big help in managing your money and choosing smart investments that grow your nest egg. Finding the right financial advisor that fits your needs doesnât have to be hard. SmartAssetâs free tool matches you with financial advisors in your area in 5 minutes. If youâre ready to be matched with local advisors that will help you achieve your financial goals, get started now.
Photo credit: ©iStock.com/xavierarnau, ©iStock.com/Jacob Ammentorp Lund, ©iStock.com/amesy
The post The Average Salary of a Pilot appeared first on SmartAsset Blog.
Source: smartasset.com
15-Year Fixed vs. 30-Year Fixed: The Pros and Cons
It’s that time again, where I take a look at a pair of popular mortgage programs to determine which may better suit certain situations. Today’s match-up: “15-year fixed mortgage vs. 30-year fixed mortgage.” As always, there is no one-size-fits-all solution because everyone is different and may have varying real estate and financial goals. For example, [&hellip
The post 15-Year Fixed vs. 30-Year Fixed: The Pros and Cons first appeared on The Truth About Mortgage.
Source: thetruthaboutmortgage.com
Everything You Need to Know About Budgeting As a Freelancer
Could logging in to your computer from a deluxe treehouse off the coast of Belize be the future of work? Maybe. For many, the word freelance means flexibility, meaningful tasks and better work-life balance. Who doesn’t want to create their own hours, love what they do and work from wherever they want? Freelancing can provide all of thatâbut that freedom can vanish quickly if you don’t handle your expenses correctly.
“A lot of the time, you don’t know about these expenses until you are in the trenches,” says freelance copywriter Alyssa Goulet, “and that can wreak havoc on your financial situation.”
Nearly 57 million people in the U.S. freelanced, or were self-employed, in 2019, according to Upwork, a global freelancing platform. Freelancing is also increasingly becoming a long-term career choice, with the percentage of freelancers who freelance full-time increasing from 17 percent in 2014 to 28 percent in 2019, according to Upwork. But for all its virtues, the cost of being freelance can carry some serious sticker shock.
.block-quote_5back { background-image: url(https://865cd2fc18498405a75a-f8cbe8cb758c89f0cd738fe08520ecb9.ssl.cf5.rackcdn.com/online-banking/banking-topics/wp-content/uploads/2017/09/5back-730×500.jpg); } @media (min-width: 730px) { .block-quote_5back { background-image: url(https://865cd2fc18498405a75a-f8cbe8cb758c89f0cd738fe08520ecb9.ssl.cf5.rackcdn.com/online-banking/banking-topics/wp-content/uploads/2017/09/5back-1600×600.jpg); } }
“There are many hats you have to wear and expenses you have to take on, but for that you’re gaining a lot of opportunity and flexibility in your life.”
Most people who freelance for the first time don’t realize that everythingâfrom taxes to office supplies to setting up retirement plansâis on them. So, before you can sustain yourself through self-employment, you need to answer a very important question: “Are you financially ready to freelance?”
What you’ll find is that budgeting as a freelancer can be entirely manageable if you plan for the following key costs. Let’s start with one of the most perplexingâtaxes:
1. Taxes: New rules when working on your own
First things first: Don’t try to be a hero. When determining how to budget as a freelancer and how to manage your taxes as a freelancer, you’ll want to consult with a financial adviser or tax professional for guidance. A tax expert can help you figure out what makes sense for your personal and business situation.
For instance, just like a regular employee, you will owe federal income taxes, as well as Social Security and Medicare taxes. When you’re employed at a regular job, you and your employer each pay half of these taxes from your income, according to the IRS. But when you’re self-employed (earning more than $400 a year in net income), you’re expected to file and pay these expenses yourself, the IRS says. And if you think you will owe more than $1,000 in taxes for a given year, you may need to file estimated quarterly taxes, the IRS also says.
That can feel like a heavy hit when you’re not used to planning for these costs. “If you’ve been on a salary, you don’t think about taxes really. You think about the take-home pay. With freelance, everything is take-home pay,” says Susan Lee, CFP®, tax preparer and founder of FreelanceTaxation.com.
When you’re starting to budget as a freelancer and determining how often you will need to file, Lee recommends doing a “dummy return,” which is an estimation of your self-employment income and expenses for the year. You can come up with this number by looking at past assignments, industry standards and future projections for your work, which freelancer Goulet finds valuable.
“Since I don’t have a salary or a fixed number of hours worked per month, I determine the tax bracket I’m most likely to fall into by taking my projected monthly income and multiplying it by 12,” Goulet says. “If I experience a big income jump because of a new contract, I redo that calculation.”
After you estimate your income, learning how to budget as a freelancer means working to determine how much to set aside for your tax payments. Lee, for example, recommends saving about 25 percent of your income for paying your income tax and self-employment tax (which funds your Medicare and Social Security). But once you subtract your business expenses from your freelance income, you may not have to pay that entire amount, according to Lee. Deductible expenses can include the mileage you use to get from one appointment to another, office supplies and maintenance and fees for a coworking space, according to Lee. The income left over will be your taxable income.
Pro Tip:
To set aside the taxes you will need to pay, adjust your estimates often and always round up. “Let’s say in one month a freelancer determines she would owe $1,400 in tax. I’d put away $1,500,” Goulet says.
2. Business expenses: Get a handle on two big areas
The truth is, the cost of being freelance varies from person to person. Some freelancers are happy to work from their kitchen tables, while others need a dedicated workspace. Your freelance costs also change as you add new tools to your business arsenal. Here are two categories you’ll always need to account for when budgeting as a freelancer:
Your workspace
Joining a coworking space gets you out of the house and allows you to establish the camaraderie you may miss when you work alone. When you’re calculating the cost of being freelance, note that coworking spaces may charge membership dues ranging from $20 for a day pass to hundreds of dollars a month for a dedicated desk or private office. While coworking spaces are all the rage, you can still rent a traditional office for several hundred dollars a month or more, but this fee usually doesn’t include community aspects or other membership perks.
.post__breaker–9087 { background-image: url(https://865cd2fc18498405a75a-f8cbe8cb758c89f0cd738fe08520ecb9.ssl.cf5.rackcdn.com/online-banking/banking-topics/wp-content/uploads/2020/04/Everything-You-Need-to-Know-About-Budgeting-As-a-Freelancer_4-FULL-450×200.jpg);}@media (min-width: 450px) { .post__breaker–9087 { background-image: url(https://865cd2fc18498405a75a-f8cbe8cb758c89f0cd738fe08520ecb9.ssl.cf5.rackcdn.com/online-banking/banking-topics/wp-content/uploads/2020/04/Everything-You-Need-to-Know-About-Budgeting-As-a-Freelancer_4-FULL-730×215.jpg);} }@media (min-width: 730px) { .post__breaker–9087 { background-image: url(https://865cd2fc18498405a75a-f8cbe8cb758c89f0cd738fe08520ecb9.ssl.cf5.rackcdn.com/online-banking/banking-topics/wp-content/uploads/2020/04/Everything-You-Need-to-Know-About-Budgeting-As-a-Freelancer_4-FULL-992×400.jpg);} }@media (min-width: 992px) { .post__breaker–9087 { background-image: url(https://865cd2fc18498405a75a-f8cbe8cb758c89f0cd738fe08520ecb9.ssl.cf5.rackcdn.com/online-banking/banking-topics/wp-content/uploads/2020/04/Everything-You-Need-to-Know-About-Budgeting-As-a-Freelancer_4-FULL-1200×400.jpg);} }@media (min-width: 1200px) { .post__breaker–9087 { background-image: url(https://865cd2fc18498405a75a-f8cbe8cb758c89f0cd738fe08520ecb9.ssl.cf5.rackcdn.com/online-banking/banking-topics/wp-content/uploads/2020/04/Everything-You-Need-to-Know-About-Budgeting-As-a-Freelancer_4-FULL-1600×400.jpg);} }
If you want to avoid office rent or dues as costs of being freelance but don’t want the kitchen table to pull double-duty as your workspace, you might convert another room in your home into an office. But you’ll still need to outfit the space with all of your work essentials. Freelance copywriter and content strategist Amy Hardison retrofitted part of her house into a simple office. “I got a standing desk, a keyboard, one of those adjustable stands for my computer and a squishy mat to stand on so my feet don’t hurt,” Hardison says.
Pro Tip:
Start with the absolute necessities. When Hardison first launched her freelance career, she purchased a laptop for $299. She worked out of a coworking space and used its office supplies before creating her own workspace at home.
Digital tools
There are a range of digital tools, including business and accounting software, that can help with the majority of your business functions. A big benefit is the time they can save you that is better spent marketing to clients or producing great work.
The software can also help you avoid financial lapses as you’re managing the costs of being freelance. Hardison’s freelance business had ramped up to a point where a manual process was costing her money, so using an invoicing software became a no-brainer. “I was sending people attached document invoices for a while and keeping track of them in a spreadsheet,” Hardison says. “And then I lost a few of them and I just thought, ‘Oh, my God, I can’t be losing things. This is my income!’”
Digital business and software tools can help manage scheduling, web hosting, accounting, audio/video conference and other functions. When you’re determining how to budget as a freelancer, note that the costs for these services depend largely on your needs. For instance, several invoicing platforms offer options for as low as $9 per month, though the cost increases the more clients you add to your account. Accounting services also scale up based on the features you want and how many clients you’re tracking, but you can find reputable platforms for as little as $5 a month.
Pro Tip:
When you sign up for a service, start with the “freemium” version, in which the first tier of service is always free, Hardison says. Once you have enough clients to warrant the expense, upgrade to the paid level with the lowest cost. Gradually adding services will keep your expenses proportionate to your income.
3. Health insurance: Harnessing an inevitable cost
Budgeting for healthcare costs can be one of the biggest hurdles to self-employment and successfully learning how to budget as a freelancer. In the first half of the 2020 open enrollment period, the average monthly premium under the Affordable Care Act (ACA) for those who do not receive federal subsidiesâor a reduced premium based on incomeâwas $456 for individuals and $1,134 for families, according to eHealth, a private online marketplace for health insurance.
“Buying insurance is really protecting against that catastrophic event that is not likely to happen. But if it does, it could throw everything else in your plan into a complete tailspin,” says Stephen Gunter, CFP®, at Bridgeworth Financial.
A good place to start when budgeting as a freelancer is knowing what healthcare costs you should budget for. Your premiumâwhich is how much you pay each month to have your insuranceâis a key cost. Note that the plans with the lowest premiums aren’t always the most affordable. For instance, if you choose a high-deductible policy you may pay less in premiums, but if you have a claim, you may pay more at the time you or your covered family member’s health situation arises.
When you are budgeting as a freelancer, the ACA healthcare marketplace is one place to look for a plan. Here are a few other options:
- Spouse or domestic partner’s plan: If your spouse or domestic partner has health insurance through his/her employer, you may be able to get coverage under their plan.
- COBRA: If you recently left your full-time job for self-employment, you may be able to convert your employer’s group plan into an individual COBRA plan. Note that this type of plan comes with a high expense and coverage limit of 18 months.
- Organizations for freelancers: Search online for organizations that promote the interests of independent workers. Depending on your specific situation, you may find options for health insurance plans that fit your needs.
Pro Tip:
Speak with an insurance adviser who can help you figure out which plans are best for your health needs and your budget. An adviser may be willing to do a free consultation, allowing you to gather important information before making a financial commitment.
4. Retirement savings: Learn to “set it and forget it”
Part of learning how to budget as a freelancer is thinking long term, which includes saving for retirement. That may seem daunting when you’re wrangling new business expenses, but Gunter says saving for the future is a big part of budgeting as a freelancer.
“It’s kind of the miracle of compound interest. The sooner we can get it invested, the sooner we can get it saving,” Gunter says.
He suggests going into autopilot and setting aside whatever you would have contributed to an employer’s 401(k) plan. One way to do this might be setting up an automatic transfer to your savings or retirement account. “So, if you would have put in 3 percent [of your income] each month, commit to saving that 3 percent on your own,” Gunter says. The Discover IRA Certificate of Deposit (IRA CD) could be a good fit for helping you enjoy guaranteed returns in retirement by contributing after-tax (Roth IRA CD) or pre-tax (traditional IRA CD) dollars from your income now.
Pro Tip:
Prioritize retirement savings every month, not just when you feel flush. “Saying, ‘I’ll save whatever is left over’ isn’t a savings plan, because whatever is left over at the end of the month is usually zero,” Gunter says.
5. Continually update your rates
One of the best things you can do for yourself in learning how to budget as a freelancer is build your costs into what you charge. “As I’ve discovered more business expenses, I definitely take those into account as I’m determining what my rates are,” Goulet says. She notes that freelancers sometimes feel guilty for building business costs into their rates, especially when they’re worried about the fees they charge to begin with. But working the costs of being freelance into your rates is essential to building a thriving freelance career. You should annually evaluate the rates you charge.
Because your expenses will change over time, it’s wise to do quarterly and yearly check-ins to assess your income and costs and see if there are processes you can automate to save time and money.
.block-quote_1back { background-image: url(https://865cd2fc18498405a75a-f8cbe8cb758c89f0cd738fe08520ecb9.ssl.cf5.rackcdn.com/online-banking/banking-topics/wp-content/uploads/2017/09/1back-730×500.jpg); } @media (min-width: 730px) { .block-quote_1back { background-image: url(https://865cd2fc18498405a75a-f8cbe8cb758c89f0cd738fe08520ecb9.ssl.cf5.rackcdn.com/online-banking/banking-topics/wp-content/uploads/2017/09/1back-1600×600.jpg); } }
“A lot of the time, you don’t know about these expenses until you are in the trenches, and that can wreak havoc on your financial situation.”
Have confidence in your freelance career
Accounting for the various costs of being freelance makes for a more successful and sustainable freelance career. It also helps ensure that those who are self-employed achieve financial stability in their personal lives and their businesses.
“There are many hats you have to wear and expenses you have to take on,” Goulet says. “But for that, you’re gaining a lot of opportunity and flexibility in your life.”
The post Everything You Need to Know About Budgeting As a Freelancer appeared first on Discover Bank – Banking Topics Blog.
Source: discover.com
CIT Bank Savings Account: How Much Can You Earn
A CIT Bank Savings account will help you boost your savings, earning 20 times more than what a traditional bank account will offer you.
If you have a regular checking and savings account at your local bank, you may notice that your rate on the savings account is less than a tenth of a percent.
You can keep your savings account at your local bank if you choose to. But you don’t have to.
Instead of getting crummy interest rates, you can switch to or open a CIT Bank savings account.
CIT Bank savings accounts are offered online, where you can earn a competitively high yield.
*TOP CIT BANK PROMOTIONS* | ||
---|---|---|
PROMOTIONAL LINK | OFFER | REVIEW |
CIT Bank Money Market | 1.00% APY | Review |
CIT Bank Savings Builder | 0.95% APY | Review |
CIT Bank CDs | 0.75% APY 1 Year CD Term | Review |
CIT Bank No Penalty CD | 0.75% APY | Review |
CIT BANK: AN OVERVIEW
In brief, CIT Bank is an online-only bank. That means, there is no local branch.
There are no ATMs. You will perform every transactions online. However, the bank does not charge its customers when they use another bank’s ATMs.
And if the bank charges you a fee, CIT will reimburse you up to $15 every month.
The bank currently offers some of the highest interest rates on its savings accounts and its other products, such as CDs, checking account and money market account.
Lastly, there no are no account maintenance fees on any of the bank’s products.
HOW MUCH CAN I EARN WITH A CIT BANK SAVINGS ACCOUNT?
With a CIT Bank savings account, you will earn a 0.95% APY through the Savings Builder option and 1.00% APY through Premier High Yield Savings account.
But certain conditions will apply (more on this below).
CIT Bank Savings accounts offers interest rates that are 20 to 25 times higher than what a traditional, brick and mortar bank is currently offering.
Because of that big difference between CIT Bank’s high-yield savings accounts between a traditional savings account, you’ll earn more money.
For example, if you have $5,000 in a traditional savings account with a 0.10 APY%, you would get just $5 in a year.
But if you have that same amount of money in an account earning 2%, you return will be $100.
CIT Bank offers two savings accounts options: 1) the Savings Builder and the Premier High Yield Savings account.
Both accounts require a minimum opening deposit of $100. But neither has monthly maintenance fees.
Here’s a quick table of CIT Bank two savings accounts.
CIT Bank Savings Account |
Minimum deposit | APY |
---|---|---|
Savings Builder | $100 or $25,000 | 0.95% |
Premier High Yield Savings | $0 | 1.00% |
The Savings Builder:
The CIT Bank Savings Builder will allow you to earn 0.95% APY, but only if you make at least one monthly deposit of $100 or more.
Or, if you keep a balance of at least $25,000. Interest in this high-yield savings account compounds daily to boost your earning.
Click here to learn more about CIT Bank’s Savings Builder.
The Premier High Yield Savings account:
With this account, you will earn 1.00% APY regardless of your account balance or monthly fees.
Interest in this savings account is also compounded daily to maximize your earning.
PROS AND CONS OF CIT BANK SAVINGS ACCOUNTS
Pros:
- No monthly fees on deposit accounts;
- a minimum deposit requirement of $100;
- Refunds ATM fees — because the bank does not have ATMs, it does not charge customers who use another bank’s ATMs. And if there is a fee, CIT will refund you up to $15 per month.
Cons:
- No bank branches or ATM;
- No 24/7 customer support — as with all high yield savings accounts, most inquiries are handled online. While live telephone is available, hours are limited.
HOW TO OPEN A CIT BANK SAVINGS ACCOUNT?
To open an account, simply go to the CIT Bank homepage, and create the account online.
You’ll need to provide your name, address, phone number, and ID. You’ll also need to provide your social security number.
Note that CIT does not have any branches. Everything must be done online.
If you’re opening a CIT Bank Builder Savings account, you will need to make an initial minimum deposit of $100.
You will also need to make monthly deposit of $100 to take advantage of the 0.95% APY. Or, you will need to have a $25,000 balance.
If you’re opening the Premier High Yield Savings account, you’re not required to make any initial minimum deposit.
So, you can open the account first and fund it later.
HOW MUCH TO KEEP IN YOUR CIT BANK SAVINGS ACCOUNT?
How much should you keep on your savings account will depend on your savings goals.
If you’re opening the account to serve as an emergency fund, experts have recommended to keep at least three to six months of living expenses.
That money is reserved in case of an emergency like a loss of job, you fell ill, or need money for a major car repair.
But one thing you should know is that deposits at any banks are covered by the federal government up to $250,000.
So if you have more than that, you should split your money into multiple accounts.
WHO IS A CIT BANK ACCOUNT GOOD FOR?
A CIT Bank savings account is good for anyone who:
- Wants to earn a higher yield on the savings accounts;
- Does not mind having their banking online;
- Can commit saving at least $100 every month; or
- Can carry $25,000 balance.
WHAT OTHER PRODUCTS CIT BANK OFFERS?
In addition to the two savings accounts, the bank also offers a checking account, money market accounts and Certificate of deposits (CDs).
The checking account is called “eChecking.” It is the only account the bank offers. There is no monthly fees and you can open the account with as little as $100.
Note that CIT Bank does not have ATMs. But the bank does not charge you for using another bank’s ATM.
And CIT will refund you for ATM fees other banks charge you.
CIT bank also offers one money market account. This money market account has no monthly fees and requires an opening minimum deposit of $100.
CIT Bank has several terms CDs, which range from 6 months to 5 years.
There is also a no penalty 11-month term, where customers can withdraw money with no penalty.
CIT Bank also offers jumbo CDs, ranging from two to five years. You can open a term CD, including the no-penalty CD, with a minimum of $1,000.
The Jumbo CDs require a minimum of $100,000.
Click here to learn more about CIT Bank CDs.
THE BOTTOM LINE
A CIT Bank savings account, is a high yield savings account, where you can a higher yield than regular savings accounts.
You will earn a 0.95% APY through the Savings Builder option and 1.00% APY through Premier High Yield Savings account.
So, whether you’re saving money for an emergency fund, saving money to go on a vacation, or saving money to buy a house in the next few years, CIT Bank is the right bank for you.
Speak with the Right Financial Advisor
If you have questions about high interest savings accounts, you can talk to a financial advisor who can review your finances and help you reach your goals. Find one who meets your needs with SmartAssetâs free financial advisor matching service. You answer a few questions and they match you with up to three financial advisors in your area. So, if you want help developing a plan to reach your financial goals, get started now.
The post CIT Bank Savings Account: How Much Can You Earn appeared first on GrowthRapidly.
Source: growthrapidly.com
A Beginnerâs Guide to Insurance Premiums
To benefit from insurance coverage, youâll need to pay a premium. A premium is a payment to your insurer that keeps your coverage in place. Insurance companies determine your premium by deciding what the risk is to insure you. Hereâs a breakdown of the basics to help you understand what a premium is, why you have to pay it, how it works and ways to reduce your costs.
What Is a Premium?
An insurance premium is effectively the cost of your insurance, whether for health, auto or life insurance. Most companies allow you to pay the annual premium via monthly installments. However, some companies may require you to pay your premium on an annual basis or a semi-annual basis. Some may even want the entire insurance premium up front. Companies often decide they want the insurance premium up front if you have previously had your insurance policy canceled for non-payment.
The price of a premium is usually decided by an actuary or underwriter who takes a base calculation. The base calculation determines what the risk is to insure you. After the base calculation, the company may discount it based on your health, driving record, location and other personal details. This is all based on the type of insurance youâre looking to secure, too.
Your premium may also be determined based on your insurance history. Every insurance company uses different criteria to determine premiums. Some companies use insurance scores based on personal factors like credit rating, car accident frequency, personal claims history and occupation. If your personal factors are attractive to certain companies, you may want to secure a plan with one of them. It could mean a lower cost premium.
You may also pay more money for higher amounts of coverage, whether youâre purchasing life insurance, car insurance, health insurance or any other kind of insurance.
The value and condition of what you are insuring can also change the amount of coverage you need. For example, if youâre a healthy 28-year-old with no kids, your life insurance premium may be very inexpensive because you might not need a large policy. However, the price could increase as you age and your health and family situations change because you may need more coverage.
How Can You Lower Your Rates?
The type of coverage you purchase affects your premium. If you get more comprehensive coverage with your insurance policy, it may raise your insurance premium. For example, if you insure your vehicle for all risks, you may have to pay more than if you insured it with a policy that doesnât include collision coverage.
Deductibles can reduce your insurance premiums, as well. An insurance deductible is the cost you pay before the insurance company pays anything. If your car is insured and you have a $1,000 deductible, you have to pay $1,000 before the insurance company will begin to cover any costs. If there are $3,000 in damages to your vehicle, you would have to pay $1,000 and the insurance company would pay the other $2,000. As a general rule, the higher your deductible, the lower your premiums.
In the case of health insurance, taking on a higher deductible, higher co-pays or longer waiting periods may lower your costs. However, if you can afford a plan with a lower deductible, you may want to take that. Lower deductible health plans offer customers more predictable prices for higher amounts of coverage.
Your homeowners insurance premium may be affected by the coverage limits you choose, your deductible amount, optional coverages you select, your homeâs age and condition, your claims history and your credit rating.
Car insurance premiums may be affected by your age, your credit score, your driving record, the age of your car, the type of coverage you chose, coverage limits you select, where you live and drive, and how often you drive.
Your life insurance premium may be affected by the amount of life insurance coverage you buy, the type of life insurance policy you select, the length of your policy, and your age, health, and life expectancy.
Insurance Limits
Some companies, specific policies or types of coverage have insurance limits. An insurance limit is the maximum amount of money the company will pay. Typically, the higher your insurance limit, the higher your premium. Itâs also the inverse of a deductible. You pay the part of the claim or claims thatâs more than the limit on your policy.
Insurance limits can be on a per occurrence basis or on an aggregate basis. For example, a per occurrence basis could be a $20,000 insurance limit on bodily injuries per person, per car accident. An aggregate insurance limit might be a $100,000 limit on construction costs in the event of a natural disaster.
Car Insurance
Car insurance laws and policies typically list liabilities as a set of three numbers that stand for the coverage limits when youâre responsible for an accident. If your numbers were 22/66/15, your insurance would cover $22,000 for bodily injuries per person, $66,000 in total bodily injury coverage per accident and $15,000 for property damage per accident. For personal injury protection, collision and comprehensive coverage, the numbers are listed as a single amount for each type of coverage. Your state may have specific minimum limits for certain coverages, so make sure youâre getting a fair rate.
Health Insurance
Healthcare laws often change, and many lifetime and annual health insurance limits are illegal. However, some health insurance policies still list annual limits or limits on the number of times certain treatments will be covered, such as acupuncture, chiropractic services and orthotics. Companies may also place limits on prescription medication to keep costs down. There may be policies such as âstep therapy,â which requires you to try less expensive drugs first, or quantity limits, such as only covering 30 pills in 30 days.
Homeowners Insurance
Your homeowners insurance policy will often list separate limit amounts for different types of coverage. The limit amounts for liability coverage â in case youâre sued by someone for property damage or injuries that occur on your property â may be different than the limit amount for damage to your home and personal property. Make sure you review all of your homeowners insurance coverage limits, such as the amount it may cost to rebuild your home (dwelling coverage), liability coverage and personal property coverage.
Shopping Around
Itâs important to shop around for insurance because different companies have different target clients. You may be the target client for one company, but not for another. That means your premium may be lower with one company than another. The price you pay for your insurance may include taxes or fees, as well. And these could differ from company to company. Before shopping around, call your insurance company and see if theyâre willing to lower your premium.
In addition, insurance companies may decide to pursue a new market segment. That can lower rates on a temporary basis, or on a more permanent basis if that works for the company. In either case, you can get a better deal on your insurance if you are part of the demographic that insurance company wants to attract.
The best insurance company for you may not be the best insurance company for your parents or your best friend. It all depends on your age, location and many other factors.
The Bottom Line
Your insurance company will assess the financial risk of insuring you. The greater they perceive that risk to be, the more your premium will cost. Itâs important to make sure you let your insurance company know all the ways in which you are a low-risk or lower risk client in order to get premium reductions. After shopping around, youâll be able to find the insurance policies that are best for your financial situation.
Tips for Reducing Insurance Costs
- Consider all of the insurance options available based on your individual circumstances. This can help you save money. A comprehensive budget calculator can help you understand which option is best.
- If you need extra help weighing your insurance options, you might want to consider working with an expert. Finding the right financial advisor that fits your needs can be easy. SmartAssetâs free tool will match you with financial advisors in your area in five minutes. If youâre ready to learn about local advisors that will help you achieve your financial goals, get started now.
Photo credit: ©iStock.com/skynesher, ©iStock.com/kate_sept2004, ©iStock.com/AndreyPopov
The post A Beginnerâs Guide to Insurance Premiums appeared first on SmartAsset Blog.
Source: smartasset.com
How Much Your Monthly Food Budget Should Be + Grocery Calculator
.food-budget-calculator{margin:30px auto;border:2px solid #ebebeb;border-radius:8px;border-top:0;border-top-left-radius:8px;border-top-right-radius:8px;padding:30px 30px 0;padding-top:0;position:relative}@media(max-width:610px){.food-budget-calculator{padding:0 20px 0}}.calc-header{font-family:Avenir,sans-serif;font-size:35px;color:#fff;font-weight:700;width:calc(100% + 62px);border-top-left-radius:8px;border-top-right-radius:8px;background-color:#33a6a5;padding:40px 0 40px 0;text-align:center;-webkit-box-sizing:border-box;box-sizing:border-box;margin:0 -31px}.calc-subheader{display:block;text-align:center;font-size:18px;margin:20px -31px 0;border-bottom:1px solid #75767b;padding:10px 10px 25px;position:relative}.calc-subheader.arrow:after,.calc-subheader.arrow:before{top:100%;left:40%;content:”;display:block;position:absolute;width:0;height:0;border-left:30px solid transparent;border-right:30px solid transparent;border-top:20px solid #bcbcbc;margin-top:1px;z-index:10}.calc-subheader.arrow:after{z-index:20;border-top:20px solid #fff;margin-top:0}@media(max-width:609px){.calc-header{width:calc(100% + 42px);margin:0 -21px}.calc-subheader{margin:10px -21px 25px}}.calc-household-wrap{display:-webkit-box;display:-ms-flexbox;display:flex;margin:0 -31px;-webkit-box-shadow:0 1px 0 0 #75767b6b;box-shadow:0 1px 0 0 #75767b6b;overflow-x:auto;-ms-scroll-snap-type:x mandatory;scroll-snap-type:x mandatory;scroll-padding:60px;scroll-behavior:smooth;-webkit-overflow-scrolling:touch;position:relative;scrollbar-width:thin;scrollbar-color:#33a6a5 #beecf1}@media(max-width:608px){.calc-household-wrap{margin:-25px -20px 0}}.household-wrap-arrow,.household-wrap-arrow-prev{display:none;position:absolute;top:318px;bottom:auto;width:28px;right:0;height:405px;background:linear-gradient(to right,transparent 0,rgba(255,255,255,.99) 100%);z-index:12}.household-wrap-arrow-prev{left:0;background:linear-gradient(to left,transparent 0,rgba(255,255,255,.99) 100%)}.household-wrap-arrow span,.household-wrap-arrow-prev span{position:absolute;top:40%;left:48%;font-size:60px;line-height:1;cursor:pointer;color:#2c77bf;opacity:.5;transition:opacity .25s ease-in-out}.household-wrap-arrow-prev span{left:auto}.household-wrap-arrow span:hover,.household-wrap-arrow-prev span:hover,.household-wrap-arrow-prev:focus-within span,.household-wrap-arrow:focus-within span{opacity:1}.calc-household-wrap::-webkit-scrollbar{width:12px;height:12px}.calc-household-wrap::-webkit-scrollbar-thumb{background:#33a6a5;border-radius:10px}.calc-household-wrap::-webkit-scrollbar-track{background:0 0}.calc-person{display:none;padding:30px;scroll-snap-align:start;-webkit-transform-origin:center center;-ms-transform-origin:center center;transform-origin:center center;-webkit-transform:scale(1);-ms-transform:scale(1);transform:scale(1);-webkit-transition:-webkit-transform .5s;transition:-webkit-transform .5s;-o-transition:transform .5s;transition:transform .5s;transition:transform .5s,-webkit-transform .5s;position:relative}@media(max-width:480px){.calc-person{min-width:330px}}.calc-person.active{display:block}.calc-person:nth-child(even){background-color:#f8f8f8}.calc-group{margin-bottom:15px}.calc-group:last-of-type{margin-bottom:0}.calc-group label{font-weight:400;color:#2e2f30;font-size:18px}.calc-group:not(.dietary){display:-webkit-box;display:-ms-flexbox;display:flex;-webkit-box-align:center;-ms-flex-align:center;align-items:center}@media(max-width:480px){.calc-group:not(.dietary){flex-wrap:wrap}}.calc-group:not(.dietary) label{width:260px}.calc-person input[type=checkbox]{border-radius:0;height:18px;width:18px;-moz-appearance:none;-webkit-appearance:none;-o-appearance:none;border:1px solid #75767b;outline-offset:-1px;-webkit-transition:all .2s;-o-transition:all .2s;transition:all .2s}.calc-person input[type=checkbox]+label{margin-left:12.5px;margin-right:20px;position:relative;top:-2.5px}.calc-person input[type=checkbox]:checked+label:after,.calc-person input[type=checkbox]:not(:checked)+label:after{content:”;background-image:url(https://blog.mint.com/wp-content/uploads/2020/09/check@2x.png);position:absolute;top:6.5px;left:-29.5px;font-size:1em;line-height:.8;color:#09ad7e;-webkit-transition:all .2s;-o-transition:all .2s;width:16px;transition:all .2s;background-repeat:no-repeat;height:17px;background-size:100% auto}.calc-person input[type=checkbox]:not(:checked)+label:after{opacity:0;-webkit-transform:scale(0);-ms-transform:scale(0);transform:scale(0)}.calc-person input[type=checkbox]:checked+label:after{opacity:1;-webkit-transform:scale(1);-ms-transform:scale(1);transform:scale(1)}.calc-person input[type=checkbox]:checked{background-color:#2c77bf}.calc-person input[type=checkbox]:checked+label:after{color:#fff}.calc-person h3{margin-top:0;margin-bottom:20px;color:#00a6a4;font-weight:700;font-size:18px}.dietary-label{display:block;margin-bottom:8px}.food-budget-calculator select{font-size:16px;padding:9px 8px;margin-left:20px;width:87px;-ms-flex-item-align:center;-ms-grid-row-align:center;align-self:center}@media(max-width:480px){.food-budget-calculator select{margin-left:0;margin:10px 0}}.food-budget-calculator select#household{width:57px}.placeholder{margin-left:auto;margin-right:auto}.calc-container{width:100%;font-family:Avenir,sans-serif;border:2px solid #ebebeb;border-radius:8px;border-top:0;border-top-left-radius:0;border-top-right-radius:0;padding:30px;-webkit-box-sizing:border-box;box-sizing:border-box}.calculation-section{display:-webkit-box;display:-ms-flexbox;display:flex;-webkit-box-orient:horizontal;-webkit-box-direction:normal;-ms-flex-direction:row;flex-direction:row;-webkit-box-pack:justify;-ms-flex-pack:justify;justify-content:space-between;-webkit-box-align:center;-ms-flex-align:center;align-items:center}.calculation-section p{font-size:18px;color:#333;font-weight:700}.user-input{-ms-flex-item-align:start;align-self:flex-start;padding-top:0;padding-left:0;padding-right:10px}.user-input p{margin-top:0}.user-input label{font-size:14px;color:#75767b;font-weight:500;position:relative}.user-input input{border:1px solid #bababd;padding:10px;-webkit-box-sizing:border-box;box-sizing:border-box;margin-top:10px}.result-display p{font-weight:700;color:#33a6a5;font-size:14px;text-transform:uppercase;text-align:center;margin:0}.result-display{background-color:#f8f8f8;padding:25px 15px 25px 15px;-webkit-box-sizing:border-box;box-sizing:border-box}.rent-text{color:#333!important;font-weight:700;font-size:48px!important;padding:20px 0 20px 0;-webkit-box-sizing:border-box;box-sizing:border-box}.calc-gen-p{font-size:18px;color:#333;margin-top:30px;margin-bottom:30px;text-align:center}.bold-p{font-weight:700}.slider-section{border:1px solid #75767b;padding:30px;padding-left:26px;padding-right:26px}.slider-directions{font-weight:700;text-align:center;width:73%;margin-left:auto;margin-right:auto;margin-top:0;margin-bottom:30px}.slider-div{width:100%;-webkit-box-sizing:border-box;box-sizing:border-box}.slider{-webkit-appearance:none;-moz-appearance:none;appearance:none;height:12px;width:calc(100% + 35px);border-radius:8px;background:-webkit-gradient(linear,left top,right top,from(#5da3a3),color-stop(25%,#5da3a3),color-stop(25%,#6ebf7d),color-stop(50%,#6ebf7d),color-stop(50%,#edbd46),color-stop(75%,#edbd46),color-stop(75%,#e7984c),to(#e7984c));background:-o-linear-gradient(left,#5da3a3 0,#5da3a3 25%,#6ebf7d 25%,#6ebf7d 50%,#edbd46 50%,#edbd46 75%,#e7984c 75%,#e7984c 100%);background:linear-gradient(to right,#5da3a3 0,#5da3a3 25%,#6ebf7d 25%,#6ebf7d 50%,#edbd46 50%,#edbd46 75%,#e7984c 75%,#e7984c 100%);margin-bottom:30px}.slider:focus{outline:0!important}.slider-spender>div.active::before,.slider::-webkit-slider-thumb{-webkit-appearance:none;appearance:none;width:35px;height:35px;border-radius:50%;background:#f8f8f8;-webkit-box-shadow:0 2px 4px 0 rgba(0,0,0,.2),0 3px 6px 0 rgba(0,0,0,.19);box-shadow:0 2px 4px 0 rgba(0,0,0,.2),0 3px 6px 0 rgba(0,0,0,.19);cursor:pointer}.slider-spender>div.active::before,.slider:focus::-webkit-slider-thumb{border:1.5px solid #33a6a5}.slider-spender>div.active::before,input[type=range]::-moz-range-thumb{-webkit-appearance:none;-moz-appearance:none;appearance:none;width:35px;height:35px;border-radius:50%;background:#f8f8f8;box-shadow:0 2px 4px 0 rgba(0,0,0,.2),0 3px 6px 0 rgba(0,0,0,.19);cursor:pointer;margin-left:-17.5px}.slider-spender{display:block;margin-bottom:30px;height:12px;width:100%;border-radius:10px}.slider-spender-wrap{margin-bottom:50px}.slider-spender>div{display:inline-block;width:25%;height:100%;position:relative;cursor:pointer;transition:all .25s ease-in-out;z-index:1;margin:0 -2.5px;}.slider-spender>div.active{transform:scale3d(1.125,1.55,1);z-index:2}.slider-spender .thrifty{background-color:#00a6a4;border-radius:10px 0 0 10px}.slider-spender .cost-conscious{background-color:#21c374}.slider-spender .moderate{background-color:#ffdc00}.slider-spender .generous{background-color:#ff9331;border-radius:0 10px 10px 0}.spender-wrap{padding:30px 0;margin-top:45px}.moderate-budget{font-size:18px;text-align:center;margin-bottom:30px}.slider-results{display:-webkit-box;display:-ms-flexbox;display:flex;-webkit-box-orient:horizontal;-webkit-box-direction:normal;-ms-flex-direction:row;flex-direction:row;-ms-flex-wrap:wrap;flex-wrap:wrap;-webkit-box-pack:center;-ms-flex-pack:center;justify-content:center}.slider-text{display:-webkit-box;display:-ms-flexbox;display:flex;-ms-flex-pack:distribute;justify-content:space-around}.slider-text p{font-size:18px;font-weight:800;width:25%;text-align:center;white-space:nowrap;position:relative}@media(max-width:644px){.slider-text p{display:none}.slider-text p.active{display:block;width:auto}}@media(min-width:768px){.slider-text p{font-size:13px;font-weight:600}}@media(min-width:900px){.slider-text p{font-size:15px;font-weight:800}}@media(min-width:1100px){.slider-text p{font-size:18px}}.kind-spender{margin:70px 0 0;text-align:center;font-size:24px}.result-box{width:258px;margin:4px;padding:10px;height:100px;-webkit-box-sizing:border-box;box-sizing:border-box;background-color:#f8f8f8;position:relative}.result-2-header{font-size:14px;text-transform:uppercase;text-align:center;font-weight:700;margin:0;margin-bottom:10px;width:-webkit-max-content;width:-moz-max-content;width:max-content;display:block;margin-left:auto;margin-right:auto;position:relative;-webkit-box-sizing:border-box;box-sizing:border-box}.tooltip-icon{position:absolute;right:-25px;bottom:17%;width:13px;height:13px}.tooltip-text{background-color:#75767b;color:#fff;font-family:Avenir,sans-serif;font-size:14px;padding:8px;position:absolute;border-radius:12px;width:150px;display:none;position:absolute;left:85px;top:52px;z-index:1;text-transform:none;font-weight:400;text-align:left;white-space:normal}.tooltip-icon:focus+.tooltip-text,.tooltip-icon:hover+.tooltip-text{display:block}.slider-text p .tooltip-icon{left:0;right:0;top:50px;margin:auto}.slider-text p .tooltip-text{left:0}.result-box p .tooltip-text{left:110px;top:30px}@media(max-width:600px){.result-box p .tooltip-text,.slider-text p .tooltip-text{left:auto;right:0}}.tooltip-wrapper{position:relative;width:-webkit-max-content;width:-moz-max-content;width:max-content}.rent-tip{left:55px}.rent-header{color:#33a6a5}.other-header{color:#2683e6}.discretionary-header{color:#ff9331}.savings-header{color:#00cadc}.silder-result-number{font-size:36px;color:#333;text-align:center;font-weight:700;margin:0}.printables-button,.signup-2{width:60%!important;margin-right:auto}.printables-button,.signup-calc{font-family:Avenir,sans-serif;font-size:16px;color:#fff;background-color:#ff9331;text-align:center;height:48px;width:158px;border:none;border-radius:5px;cursor:pointer;width:100%!important;display:block;margin-right:auto}.printables-button{background-color:#1a7de5;height:60px;width:300px!important;margin-top:10px;margin-bottom:10px}.printables-button:focus,.printables-button:hover{color:#1a7de5;background-color:#fff;border:2px solid #1a7de5}.cta-p{display:-webkit-box;display:-ms-flexbox;display:flex;-webkit-box-pack:justify;-ms-flex-pack:justify;justify-content:space-between;-webkit-box-align:center;-ms-flex-align:center;align-items:center;margin-top:80px}.signup-calc:focus,.signup-calc:hover{color:#ff9331;background-color:#fff;border:2px solid #ff9331}.signup-2{height:60px;width:300px!important;margin-top:10px;margin-bottom:10px}@media screen and (max-width:645px){.calc-gen-p a{margin-left:10px}}@media screen and (max-width:500px){.printables-button,.signup-2{margin-left:auto;margin-right:auto}.calc-container{display:-webkit-box;display:-ms-flexbox;display:flex;-webkit-box-orient:vertical;-webkit-box-direction:normal;-ms-flex-direction:column;flex-direction:column;width:90%;border:2px solid #babbbe;border-top:none;margin-left:auto;margin-right:auto;border-radius:0}.calculation-section,.slider-results{display:-webkit-box;display:-ms-flexbox;display:flex;-webkit-box-orient:vertical;-webkit-box-direction:normal;-ms-flex-direction:column;flex-direction:column;width:90%;margin-left:auto;margin-right:auto}.user-input{margin-left:auto;margin-right:auto}.user-input p{font-size:25px;padding-bottom:20px;margin-bottom:20px;border-bottom:1px solid #75767b}#income{width:100%}.slider-section{border:none;border-top:1px solid #75767b;padding-left:0;padding-right:0;padding-bottom:0}.result-display{margin-top:30px;width:100%;margin-left:auto;margin-right:auto}.result-box{width:100%}.calc-gen-p{width:80%;margin-left:auto;margin-right:auto;font-size:15px}.calc-gen-p a{margin:auto}.cta-p{text-align:center;margin-top:0;margin-left:auto;line-height:1.2222;margin-right:auto;width:100%;font-size:20px;-webkit-box-orient:vertical;-webkit-box-direction:normal;-ms-flex-direction:column;flex-direction:column}.signup-calc{margin-top:30px;margin-left:0;width:80%}.signup-2{height:60px;width:300px;margin-left:30px}.slider{height:22px}.slider::-webkit-slider-thumb{height:45px;width:45px}input[type=range]::-moz-range-thumb{height:45px;width:45px}.user-input label{font-size:18px}.user-input input{font-size:14px}.slider-directions{font-size:18px}.silder-result-number{font-size:27px}.result-2-header{font-size:12px}.rent-text{font-size:40px!important}}
Your grocery bill can add up fast. From dinner entrées to snacks, the amount you spend directly affects your other financial goals. Luckily, there are some guidelines to ensure youâre not overspending.Â
Use the grocery calculator below to estimate your monthly and weekly food budget based on guidelines from the USDAâs monthly food plan. Input your family size and details below to calculate how much a nutritious grocery budget should cost you. Of course, every family is different. Some love coupons and leftovers, while others prefer fresh fish and aged cheese. Once youâve established your budget, use the slider to adjust your estimate to your spending habits.Â
Getting your food budget on point takes practice. With this grocery calculator and the right spending habits, youâll have enough for your living expenses and exciting financial goals like paying off loans or buying a house.
Grocery Budget Calculator
Person 1
Person 2
Person 3
Person 4
Person 5
Person 6
Person 7
Person 8
Person 9
Person 10
A moderate grocery budget will run you:
What kind of spender are you?
Does your estimate look right? If your spending habits don’t add up, explore these other budget options and choose what’s best for your lifestyle.
See where the rest of your budget is going Sign up for Mint
Monthly Grocery Budget
Ever wonder how much you should spend on groceries? The average cost of food per month for one person ranges from $150 to $300, depending on age. However, these national averages vary based on where you live and the quality of your food purchases.
Hereâs a monthly grocery budget for the average family. This is based on the national average and likely varies by location and shop. For instance, New York City grocers are going to be far more expensive than Kansas City shops. Additionally, organic grocery stores like Whole Foods are pricier than places like Walmart or Aldi.
Youâll also want to consider dietary choices, like gluten-free or vegan diets. These can significantly affect your budget, so consider planning your grocery list online to compare prices and find your preferred alternatives.
FAMILY SIZE | SUGGESTED MONTHLY BUDGET |
---|---|
1 person | $251 |
2 people | $553 |
3 people | $722 |
4 people | $892 |
5 people | $1,060 |
6 people | $1,230 |
Finding a reasonable monthly grocery budget ensures you and your family have what you need, while not overspending. Look back at previous months using a budgeting app or credit card statements to see what youâve spent at the grocery store. Decide if you want to maintain your current budget or cut back.
Purchasing Groceries vs. Dining Out
Donât forget what you spend at restaurants when you consider your food budget. According to the U.S. Department of Agriculture, Americans spend 11 percent of their take-home income on food. It doesnât all go towards groceries, though. Approximately six percent is spent on groceries, while five percent is spent dining out â including dates, lunches with coworkers, and Sunday brunch.
With this framework in mind, you can calculate your total food budget based on your take-home income. For example, Rita makes $3,500 per month after taxes. She would budget six percent for groceries ($210) and five percent for restaurants ($175). So sheâll need a total of $385 for food each month. With a little practice, sheâll better learn her habits and be able to accurately adjust her budget.
Tips for Reducing Your Budget
There are several ways to cut back on what you spend without sacrificing the quality and taste of your food. Trimming your food budget can help you stow away more for your financial goals, such as building an emergency fund or saving for a dream vacation.
Cut Coupons
Coupons are easy to find in the mail, in store, in your inbox, and even in a Google search. Many popular grocery stores are rolling out apps that track your coupons and savings. Be sure to download and register your email for new updates and sales. These usually work in person or online, so you can shop when and how you like.Â
While a single coupon might not give you a large discount, you can save a lot with multiple coupons. Itâs also important you make sure you actually need the item youâre purchasing instead of buying it for the sale. This can quickly get out of hand and push you over budget.Â
Freeze Your Food
Freezing your fresh food before it goes bad helps your wallet and the environment. You can plan ahead and freeze prepared produce to save time on weekday cooking, or chop and freeze last weekâs produce before shopping for more. Frozen vegetables are great in soups and stews, and you can use frozen fruits for healthy breakfast smoothies.Â
Plan a Weekly Menu Ahead of Time
Plan your meals ahead of time to determine the food items and quantities you need before you head to the grocery store. This way youâre more likely to buy the exact items you need and can plan for breakfast, lunch, and dinner. Try to plan for recipes that use the same ingredients so thereâs less to purchase. You can also make larger meals and plan leftovers for lunch so you have less to plan and purchase.
Bring Lunches to WorkÂ
A $13 lunch out might not seem like much, but it can blow your food budget fast if it becomes a habit. Push your monthly food budget further with delicious lunches from home. Salads, sandwiches, and leftovers are all easy, inexpensive, and nutritious.Â
Buy Store BrandsÂ
Many packaged products have a huge price disparity between brand name and generic items, and store brand items tend to be cheaper without sacrificing much quality. You can easily save 10 cents to a dollar per item, which adds up quickly over many trips.Â
Shop at a More Affordable Store
Your local farmers market, chain grocery, and organic store will all offer different specialties and sales. Check out the different shops in your area to find the best combination of quality and price. Some stores might even offer bulk items â great for your favorite products and those with a long shelf-life. Choosing cheaper staple items like milk and yogurt can also make a huge difference over time.Â
An accurate food budget that works for you helps you feel more confident and in control of your finances. Build a budget, learn your spending habits, and keep a grocery list to keep you on track and responsible so you can reach bigger goals, like a new vehicle or a down payment on a house.Â
Sources:Â USA Today |Â EurekAlert | Persistent Economic Burden of the Gluten-Free Diet
The post How Much Your Monthly Food Budget Should Be + Grocery Calculator appeared first on MintLife Blog.
Source: mint.intuit.com