It’s looking like more Americans will be paying off their holiday gifts and spending long after the holidays have ended. That’s due to increased use of credit cards and the growing popularity of other methods of delayed payment. A big part of the reason why consumers are using plastic to pay for Christmas and other holiday celebrations this year is economic. Inflationary pressures have caused U.S. households to take on more debt this year. But it also reflects shifts in shopping habits and marketing efforts such as loyalty programs and cash back rewards, as well as widespread Buy Now, Pay…

The Latino economic story is like two sides of a single coin. One tells the story of contributions, growth, and strength, and the other tells the story of struggles and financial instability. Latinos are Making Significant Economic Contributions The Latino economy in the U.S. is strong and growing, so says the Latino Donor Collaborative (LDC), a California-based think tank that focuses on economic issues. They point out that annualized income growth for Latinos has outpaced four times what it is for non-Latinos. The LDC also notes that if the Latino economy in the U.S. were treated as a separate country,…

Welcome to NerdWallet’s Smart Money podcast, where we answer your real-world money questions. In this episode: Learn how to distinguish neobanks from traditional banks, understand FDIC insurance, and get tips for affordable holiday hosting.What is the difference between a neobank and a traditional bank? Is my money safe in an online bank or neobank? Hosts Sean Pyles and Sara Rathner discuss how to distinguish a neobank from a traditional bank and ways to safeguard your savings, helping you understand what to look for in financial institutions. But first, they begin with a discussion of affordable holiday hosting, with tips and…

Many financial advisors and economists with in-depth knowledge of Social Security recommend that people delay claiming their retirement benefits for as long as possible, preferably until age 70 when benefits are maximized. But only 10% of pre-retirees intend to wait until age 70 to claim the maximum monthly benefit. A significant majority won’t even wait until their normal retirement age when they would receive what Social Security calls the “full retirement benefit,” according to the recent Schroders 2024 U.S. Retirement Survey. About 43% of non-retirees said they plan to claim benefits before 67, the full retirement age for those born…

Navigating contribution limits for saving can easily have you missing out on opportunities to save on your taxes. Whether you are a Baby Boomer, Gen X, or Millennial, understanding the rules for retirement plans like IRAs and 401(k)s can help you make the most of your savings. This article will break down key aspects of employer-sponsored and individual retirement accounts for 2024 and offer actionable tips to optimize your contributions. Employer sponsored 401(k) vs Solo(k)The following shows how much you can save: · 401(k), 403(b), and 457 plans: $23,000 (or $30,500 with the catch-up contribution for those 50 and older).…

Additional reporting by Patricia Louis, Optimization Editor, Forbes Advisor. If you’re hosting Thanksgiving dinner this year, prepare yourself for a more expensive feast. Food prices continue to be a pain point for many Americans, with groceries up 25% since March 2020, according to the Bureau of Labor Statistics. While the rate of increase has slowed in 2024, prices are still climbing due to less-than-stellar crop conditions, increased consumer demand and supply chain issues. As you make your shopping list, here’s what you can expect to spend more on, as well as a few tips to prevent them from gobbling up…

Estate planning is the process of organizing how your assets—like your money, property, and belongings—will be managed and distributed after you pass away or if you become unable to make decisions for yourself. If you are not familiar with your estate plan or haven’t reviewed it recently, you are not alone. Many families execute documents and there is no need to change them for years. As you finalize your divorce and your family dynamics evolve, it is important to take time to revisit your plan to ensure your loved ones are taken care of according to your preferences. Your former…

Some of the most profound truths are those, once revealed, that seem self-evident. And that may also be the most potent gift possessed by the greatest writers and thinkers—the ability to reveal something we already know with such clarity that we can act on it. One of my favorite contemporary thinkers, Shane Parrish, recently shared a quote from one of the greatest writers of (at least) the 20th century, C. S. Lewis, that can be a helpful guide in any number of pursuits, especially financial wellness. Implicit in his counsel is the answer to the question, “How do we fix…

Financially successful people find ways to get out of credit card debt. However, staying out of credit card debt is more challenging than ever. Many merchants no longer take cash making the cash envelope system difficult to implement. We use credit cards for everything: checking out in online shopping carts, tapping at grocery stores, and swiping at restaurants. It’s no wonder that the average credit card balance is over $10,800 per household as of August 2024, according to a WalletHub credit card debt survey. With fees and new charges, your balance continues to grow unless you pay off the whole…

Markets are on fire but if you’re nervous about scorching returns slipping away, here’s an easy guide to buying some protection. By John Dobosz, Forbes Staff Wizards of wealth creation like Warren Buffett counsel that the key to stock market success is to buy into a great business, sit back and let it make you rich. It’s sound advice, but even people as patient as Buffett sell stocks from time to time, as Berkshire Hathaway did in 2024, trimming stakes in big gainers like Apple and Bank of America, and completely ditching other stocks like Snowflake. If you’ve been holding…