9 Ways For Kids To Make Money

young friends run a lemonade stand. A boy in a yellow shirt holds a coin jar and smiles.The best way to teach a child financial responsibility is by encouraging her to earn and manage money on her own. As the weather warms and summer nears, there are many opportunities for your kids to pull in some extra money.

If money-making is not on your children’s minds, you may need to direct them toward that line of thinking. The next time they ask you to buy something that’s out of budget, tell them they can earn the money to buy it themselves. As an alternative, suggest that you’ll cover half the cost if they earn the other half. Talk to them about finding a summer job, the work they can do on weekends, or suggest a one-time gig they can initiate.

In honor of Youth Savings Month, let’s take a look at 9 easy ways your kids can earn some extra cash.

1. A lemonade stand
It may be old-fashioned, but kids can bring in good money by selling cups of America’s favorite hot-weather drink. For optimal exposure, let your kids set up their stands near a local yard sale or another neighborhood event. Don’t forget to check local municipality laws to make sure your stand is completely legal.

2. Help a senior
Your pre-teen can be a huge help to a local senior while earning money on the side. Let your child run some errands, take out the trash, clean the litter box or just chat with a lonely senior. If your own parents or in-laws live nearby, speak to them about having your child help them out for payment.

3. Hold a yard sale
Spring-cleaning season is the perfect time to host a yard sale on your front lawn. Let your kids be in charge by having them choose the items to feature, set the prices and run the sale. You’ll want to be available to oversee their work and to make sure the prices are fair, but let them make most decisions on their own. Take off your helicopter-parent helmet and let your kids learn lessons that will stay with them for life.

4. Do yard work
If your children are old enough to handle a gas-powered mower and can be relied upon to trim shrubs and weed gardens, let them hire themselves out to do yard work. Your neighbors will be glad to have the help, and your kids will be out in the sunshine while earning some money on the side.

5. Help with pets
Are your kids animal-crazy? Let them use their penchant for pets to help people with pet-related chores. They can walk dogs around the neighborhood and offer to pet-sit for the afternoon while a neighbor is out. If your child is truly a budding entrepreneur and has the necessary skills, they can even set up a pet-grooming station out in the yard. Let them scrub the neighborhood dogs and cats, brush the hair and trim claws for some extra cash.

6. Be junior tech-support
Generation Z kids are practically born holding smartphones in their hands. Let your kids use those skills to help some older folks who may not be as tech-savvy. They can offer to organize digital photos and create albums, assist with data entry and filling out online forms, or help a senior create a Facebook page or learn how to use a new phone or device.

7. Help a mom
Your child may be too young to babysit on their own, but they can offer their services assisting a neighborhood mom while she’s at home. Let your child take the kids out to the yard while mom watches from the deck, play with the kids at home while mom does laundry or help them with their summer homework while mom’s busy in the kitchen.

8. Collect recyclables
Call up a local recycling plant to find out how much they pay for every pound of recyclable materials. Then help your child gather empty bottles, cans, cardboard boxes and old newspapers to bring to the plant. You’ll be keeping the planet green and helping your child earn some pocket money at the same time.

9. Wash cars
Let your child try out her car-washing skills on the family car. Once she’s got the technique down pat, have her offer the service to the neighborhood. Your neighbors will cross another weekend chore off their list and your child will be learning that hard work can really pay off.

Encourage your kids to earn their own money and you’ll be teaching them financial responsibility in the best way possible.

Your Turn:
How do your kids earn money? Tell us about it in the comments.

SOURCES:
https://www.moneytalksnews.com/10-ways-for-preteens-make-money-this-summer/

https://www.thebalancecareers.com/how-can-kids-make-money-2085398

How to Make Money as a Kid: Young Elementary Kids

Twitter: #Summer #jobs are alive and well, and your #kids can get it on the #cash! We’ve got a list of #ideas that will help any aspiring young entrepreneur cash in!

Dollar Stores: Are They Worth The Price?

Young caucasian woman with her hair in a bun shopping in a dollar storeQ: I love browsing my local dollar store, but I often end up spending more than I planned or regretting my purchases. Are dollar stores worth the price?

A: Dollar stores can be tremendous spending traps, but they can also be a great way to snag a bargain. It’s all in how you plan your visit.

Read on to learn how to get the best deal at the dollar store.

Before you start browsing
Everything is just a buck, you say. How can you possibly go wrong?

Unfortunately, with that mindset, you might find yourself going way overboard with your spending. Before you set out for the dollar store, create a physical or mental list of what you need to purchase.

Love to throw just-for-fun products into your cart? The dollar store is a great place to do that, so exercise caution. You don’t want to blow tens of dollars on stuff you don’t really need and might never use. Establish a limit of how many of those items you can pick up on your trip before you set out. If you always find yourself pushing your self-imposed limit, only shop with cash so you’re forced to stick to your budget.

What’s hot at the dollar store …
Here are some products that are great bargains at the dollar store:

  • Cleaning supplies: Get clean for less by stocking up on Ajax, bleach, glass cleaner, scouring pads, spray bottles, off-brand Swiffer refills, sponges, dryer sheets and ammonia.
  • Seasonal: Visit the dollar store before hitting chain stores for your holiday decorations. Halloween decor, cheap gift boxes and wrapping paper can all be had at the dollar store.
  • Toys: Load up on bubbles, sidewalk chalk, balls, card games and kites.
  • Groceries: Get your frozen fruit and veggies, string cheese, spices, name-brand condiments, rice, oatmeal and snack foods at the dollar store.
  • Kitchenware: Stock up on bargain-priced storage bins and containers, whimsical kitchen decor and glasses. Paper plates, cups and napkins can also be bought at super low prices.
  • Party gear: Greeting cards, wrapping paper, balloons, ribbons, streamers, birthday candles, party decorations and gift bags can all be bought for, you guessed it, a dollar each.
  • School/office supplies: You won’t be able to find every item on your school supply list that’s actually worth the price, but you can load up on project display boards, tab dividers, binder clips and poster boards at the dollar store.
  • Kids’ activities: The dollar store is a great place to stock up on rainy-day supplies for the kids. You’ll find some great books, puzzles, craft supplies, colored papers, stickers, activity books, coloring books and more.

… And what’s not
Not everything you’ll find in the dollar store is worth as much as a dollar. Plus, there are lots of things you can get elsewhere for a better price.

  • Cleaning supplies: The following cleaning supplies at the dollar store are either made too cheaply to be worth the price or can be bought for less in other stores: dish washing soap, tissues, toilet paper, paper towels, garbage bags, laundry detergent.
  • Toys: Small toys for young children that aren’t made well can quickly become choking hazards. Also, dollar-store dolls and toy cars are likely to break the day you bring them home.
  • Groceries: These foods can be bought for cheaper in a grocery store: pasta, soda, gum, canned goods, chocolate.
  • Kitchenware: Plastic cutlery from the dollar store is too cheaply made to be worth the few cents you’ll save. Ditto for disposable baking dishes. You’ll also want to stay away from can openers, knives and oven mitts, as these items need to be well made to do their jobs.
  • School/office supplies: The following supplies can be bought for less money and of better quality in stores like Walmart and Target: lined paper, composition notebooks, glue, crayons, markers, Post-its, pens, pencils and highlighters.
  • Self-care: Cheaply made soap, shampoo and cosmetics can be harmful to your skin. Don’t buy name-brand travel-size toiletries either; you can usually get tiny shampoo and soap bottles for less than a buck at big-box stores.

When it’s not a bargain
When making a purchase at the dollar store, hold it up to this checklist. If your item fits any of these criteria, you’re better off without it:

  • It’s sold in tiny quantities. Often, what looks like a bargain is just a product in a really small package. Check the size on food items and cleaning products; you can often get more for less money when you buy a product in a bigger size at a larger store.
  • It’s made with harmful toxins. Check all health and beauty products for toxic and carcinogenic ingredients.
  • You don’t need it. A dollar spent on something you don’t need is a dollar wasted.
  • It’s made super-cheaply. If it’s going to break during the first day of use, or even the first hours, leave it in the store.
  • It isn’t food-safe. Check all products that will come into contact with food, like serving platters or dishes, for a label that proclaims them food-safe.
  • It’s expired. Be careful to check the “Sell by” date on candy and other foodstuffs so you’re not paying for expired products.

Learn how to shop smart at the dollar store and you’ll go home with true bargains!

Your Turn:
What are your favorite dollar store picks? Tell us all about it in the comments!

SOURCES:
https://www.onegoodthingbyjillee.com/dollar-store-dos-and-donts/

https://www.bradsdeals.com/blog/things-you-always-should-buy-at-the-dollar-store

https://www.cheatsheet.com/money-career/the-real-reason-everything-at-the-dollar-store-is-so-cheap.html/

Step 3 of 12 Toward A Debt-Free Life

Middle-aged black gentleman talking to a femal in the forgroundNegotiate a Lower APR

If the majority of your outstanding debt is credit card debt, you may be spending hundreds of dollars just on interest alone. Aside from wasting money, this keeps you from moving forward and paying down your debt.

Most people don’t know you can call up a credit card company and negotiate for a lower APR. Take the time this month to do that. Explain that you are working on paying down your debt and that the interest payments are impeding your progress. You can even research competing cards and cite their interest rates in a bid for a lower APR from your current credit card company.

Lowering your interest rates will allow you to make another real step toward getting rid of debt.

Your Turn:
Have you ever negotiated for a lower APR on your credit cards? Share your success stories with us in the comments!

How Do Minimum Wage Hikes Affect The Economy?

Young female at a retail bakery shop pulls fresh bread off shelf for a customerThe United States has one of the lowest minimum wages of any modern country in the world. Our modest salary floor impacts our economy on every level, from the rising underemployment rates to a bloated welfare program that chiefly rests on the backs of the struggling middle class.

But all of this is subject to change: The arrival of 2019 has brought a wave of minimum wage hikes at many state and local levels along with a push to bring the national minimum wage up to $15 by the year 2024. In total, 21 states and Washington DC have increased their minimum wages, with the biggest jump of $1.00 per hour more being passed in California, Maine and Massachusetts. There are now a total of 29 states with a minimum wage that surpasses the federal level, which has remained stagnant at $7.25 for more than a decade.

The recent wage increases impact 5.2 million workers across the country. While at first glance this might seem like fantastic news for the economy, financial experts are dubious about how recent hikes and the proposed increase in the federal wage will impact the national economy.

The push to boost the federal minimum wage to $15 an hour is more dramatic than any wage hike this country has ever seen. This factor makes it impossible for economists to draw on studies and actual history for conclusions about the effects of the proposed hike. However, based on market trends and the fundamental laws of economics, they’re predicting several negative fallouts from the hikes.

Let’s explore what happens when minimum wages increase.

How do wage increases affect the job market?

Economists are predicting the proposed hike in the federal minimum wage, along with the local and state increases that have already passed, will have two negative effects on the job market:

1.) A surge in move-outs to the suburbs
An increase in local and state government minimum wages will likely push employers to move across borders to avoid paying higher wages, particularly from central cities to suburbs.

For example, Washington, D.C. has raised its minimum wage to $14 an hour. This may lead to a mass exodus of Washington businesses as they move toward locations with lower minimum wages in surrounding areas. A move to a suburb like Arlington, Virginia, where business owners can pay their workers almost half the hourly wage they’d need to cover in Washington, will help them remain profitable.

2.) Businesses cutting corners
Businesses forced to double their workers’ pay or even to modestly increase it will need to find a way to continue turning a profit. They will likely attempt to cut corners any way they can. This may translate into letting workers go, replacing humans with robots where possible, or even cutting down on their level of service to reduce the need for human resources. For example, fast food joints might start using machines instead of human workers and hotel chains may start skimping on their cleanups between guests to compensate for increased payroll.

Regardless of the way that businesses choose to cut corners, it will likely lead to an increase in unemployment rates and underemployment rates across the country. It may also trigger a surge of illegal work among workers who suddenly find themselves out of a job.

How do wage increases affect the consumer?
When all the dust settles, it is the average consumer who will likely bear the brunt of the minimum wage hike.

Most companies hiring minimum-wage employees are small businesses with profit margins that are too thin to absorb a serious hike. These businesses will be forced to pass on their higher expenses to consumers. Grocery prices will shoot up, labor costs for services and repair persons of any kind will rise, and fast food meals will see a noticeable price increase.

Predictably, the consumers most likely to be affected by the hike are the poor and middle class, who tend to frequent businesses that hire minimum-wage workers. Ironically, the same workers rejoicing over the proposed hike will likely be those who have to pay for it most.

How do wage increases affect federal taxes?
One positive impact of a minimum wage hike is the hope that an increase in wages will reduce the number of workers who are dependent upon government assistance programs, thus reducing the average taxpayer’s burden. Of course, this is pure speculation and is not based upon any studies of similar increases.

Also, when low-wage workers are pushed over the qualifying threshold for government assistance, they may be coming home with less pay after a wage hike.

While no one can say for sure how a minimum wage hike will affect the economy on a national and individual level, economists predict it is far more likely to have a negative effect than a positive impact.

Your Turn:
Do you support a dramatic minimum wage hike? Why, or why not? Share your opinion with us in the comments, below.

SOURCES:
https://www.google.com/amp/s/www.washingtonpost.com/amphtml/news/wonk/wp/2018/01/11/what-does-a-15-minimum-wage-do-to-the-economy-economists-are-starting-to-find-out/

https://www.google.com/amp/s/www.forbes.com/sites/adammillsap/2018/09/28/how-higher-minimum-wages-impact-employment/amp/

https://www.google.com/amp/s/www.brookings.edu/opinions/a-15-hour-minimum-wage-could-harm-americas-poorest-workers/amp/

https://www.heritage.org/jobs-and-labor/report/15-minimum-wages-will-substantially-raise-prices

https://www.google.com/amp/s/www.usnews.com/news/best-states/articles/2018-12-31/minimum-wage-increases-in-20-states-in-2019%3Fcontext%3Damp

https://www.google.com/amp/s/amp.businessinsider.com/minimum-wage-2019-state-map-2018-12

5 Ways To Pay Off A Loan Early

Young couple plans out payments at kitchen tableIf you’re like most Americans, you owe money toward a large loan. Whether that means carrying thousands of dollars in credit card debt, having a hefty mortgage in your name or making car loan payments each month, loan debt is part of your life. This means you’re looking at hundreds of dollars in interest payments over the life of the loan(s). There’s also the mental load of knowing you owe perhaps tens of thousands of dollars and that you’ll be paying back the loan for years to come.

It can all get kind of depressing—but it doesn’t have to be that way.

Did you know there are simple, but brilliant, tricks you can employ to lighten the load? With a carefully applied technique, you can pay off your mortgage, auto loan, credit card debt and any other debt you’re carrying quicker than you thought possible. These tricks won’t hurt your finances in any dramatic way, but they can make a big difference to the total interest you’ll pay over the life of the loan and help you become debt-free faster.

You can free up more of your money each month, use your hard-earned cash for the things you want instead of forking it over in interest and live completely debt-free sooner than you’d dreamed. It’s all possible!

A note of caution before we explore these tricks: Check with your lender before employing any approach, as some loan types have penalties for making extra or early payments.

1. Make bi-weekly payments
Instead of making monthly payments toward your loan, submit half-payments every two weeks.

The benefits to this approach are two-fold:

  • Your payments will be applied more often, so less interest can accrue.
  • You’ll make 26 half-payments each year, which translates into an extra full payment on the year, thereby shortening the life of the loan by several months or even years. If you choose this method with a 30-year mortgage, you can shorten it to 26 years!

2. Round up your monthly payments
Round up your monthly payments to the nearest $50 for an effortless way to shorten your loan. For example, if your auto loan costs you $220 each month, bring that number up to $250. The difference is too small to make a tangible dent in your budget, but large enough to knock a few months off the life of your loan and save you a significant amount in interest.

For a potentially even bigger impact, consider bumping up your payments to the nearest $100.

3. Make one extra payment each year
If the thought of bi-weekly payments seems daunting but you like the idea of making an additional payment each year, you can accomplish the same goal by committing to just one extra payment a year. This way, you’ll only feel the squeeze once a year and you’ll still shorten the life of your loan by several months, or even years. Use a work bonus, tax refund, or another windfall to make that once-a-year payment.

Another easy way to make that extra payment is to spread it out throughout the year. Divide your monthly payment by 12 and then add that cost to your monthly payments all year long. You’ll be making a full extra payment over the course of the year while hardly feeling the pinch.

4. Refinance
One of the best ways to pay off your loan early is to refinance. If interest rates have dropped since you took out your loan or your credit has improved dramatically, this can be a smart choice for you. Contact [credit union] to ask about refinancing. We can help even if your loan is currently with us.

It’s important to note that refinancing makes the most sense if it can help you pay down the loan sooner. You can accomplish this by shortening the life of the loan, an option you may be able to afford easily with your lower interest rate. Another means to the same goal is keeping the life of your loan unchanged and with your lower monthly payments, employing one of the methods mentioned above to shorten the overall life of your loan.

5. Boost your income and put all extra money toward the loan
A great way to cut the life of your loan is to work on earning more money with the intention of making extra payments on your loan. Consider selling stuff on Amazon or eBay, cutting your impulse purchases and putting saved money toward your loan, or taking on a side hustle on weekends or holidays for extra cash. Even a job that nets you an extra $200 a month can make a big difference in your loan.

Triumph over your loans by using one or more of these tricks to make them shorter and pay less interest. You deserve to keep more of your money!

Your Turn:
Have you used any of these methods or a different approach for paying off a loan early? Tell us about it in the comments.

SOURCES:
https://www.thebalance.com/how-to-pay-off-debt-early-315571

https://www.google.com/amp/s/www.huffpost.com/entry/top-6-ways-to-pay-off-any-loan-faster_b_1624242/amp

https://www.payoff.com/life/money/6-ways-to-pay-off-your-car-loan-early/

Step 1 Of 12 Toward A Debt-Free Life: Take Stock Of Your Debt

Young black woman working on her budget on a laptopYou’re determined that this will be the year you finally pay down (or pay off) that debt. Get ready, because every month, our Do It Today plan will have you taking another step on your journey toward living a debt-free life.

First, sit down and take stock of all your debts. Don’t let the numbers scare you; you need to do this to move forward. Get out every single credit card bill, personal loan, student loan, and any other debt you’re carrying (except your car and mortgage payments). Tally up the numbers to give yourself an idea of what you’re dealing with.

Next, organize your debt into different categories, such as credit card debt, student debt, personal loans etc. Use a spreadsheet to list your debt, the remaining term of each loan (if applicable), the minimum payment and the interest rate.

Finally, designate one hour each week for working on your finances.

Your Turn:
Did you take stock of all your debt? Did the numbers surprise you?

Your Complete Guide To Renter’s Insurance

Nicely manicured female hand with expensive pen signing rental insurance policy agreementQ: I’ve just signed a lease on a new apartment and I’m wondering if I should be taking out a renter’s insurance policy as well. What do I need to know?

A: Purchasing a renter’s insurance policy when signing a lease on a new apartment is a good idea.

Thanks to rising market prices and stricter loan qualifications, more people are choosing to rent living space instead of buying. Renting affords you mobility and the freedom from stressing over costly household repairs and maintenance.

One downside to renting, though, is if something catastrophic happens to your rental property, your landlord bears no responsibility toward having your damaged belongings replaced or repaired. This is where renter’s insurance comes in.

Renter’s insurance involves paying a monthly premium toward coverage against financial responsibility and liability in the event of an accident, theft or natural disaster. Specifically, renter’s insurance offers three aspects of financial protection: coverage for personal possessions, liability protection and additional living expenses (ALE).

Renter’s insurance is fairly inexpensive and the payoff can be tremendous. The National Association of Insurance Commissioners estimates the average monthly premium for renter’s insurance is $15-$30 a month. When you think about the peace of mind and financial cushion renter’s insurance provides, taking out a policy is a no-brainer.

Despite its convenience, renter’s insurance policies can be confusing to navigate. No worries, though, [credit union] will walk you through it!

Read on for all your questions about renter’s insurance answered.

Should I choose replacement-cost coverage or actual cash-value coverage?
You can choose to purchase a policy that covers the cost of replacing a damaged or stolen object, or one that offers you the actual cash value of the damaged or lost item(s). To illustrate, if your flat-screen TV is stolen, a replacement-cost coverage plan will fund the purchase of a new TV, while a cash-value coverage plan will only pay you what the used TV was worth at the time of the theft.

Replacement-cost plans will have pricier premiums, but the robust coverage they offer is usually worth the extra expense.

How much coverage do I need?
When considering policies, you’ll need to decide how much coverage you actually need. Each policy will offer coverage to replace your possessions up to a certain limit. It’s best to take out a policy that will protect the full value of your belongings.

The only way to determine how much coverage you actually need is to take a complete inventory of your assets. If you’re choosing a replacement-cost plan, you’ll need to note how much it would cost to replace each item. If you’re going with a cash-value plan, note each item’s current worth. Tally up the total and, when purchasing a policy, be sure to choose one that provides sufficient coverage for your belongings.

Are all disasters covered by renter’s insurance?
Most renter’s insurance will cover damage caused by the following circumstances:

  • Fire or lightning
  • Accidental discharge or overflow of water or steam from an appliance or plumbing system
  • Freezing of a plumbing system or of a household appliance
  • Windstorm or hail
  • Explosion
  • Riot or civil commotion
  • Damage caused by aircraft
  • Damage caused by vehicles
  • Smoke
  • Vandalism
  • Theft
  • Volcanic eruption
  • A falling object
  • The weight of ice, snow or sleet

The two major events that most renter’s insurance policies do not cover are floods and earthquakes. If you live in an area that is prone to any of these happenings, you may want to purchase a separate flood or earthquake policy.

Should I choose a policy with a lower deductible?
Like all insurance policies, the deductible for your renter’s insurance is the amount of money you are responsible for paying in the event of disaster before your policy kicks in.

Many people automatically choose a policy with a lower deductible, but that is not always the smartest choice. A high-deductible policy will give you a lower monthly premium. The amount you save each month will likely offset the cost of the higher deductible if you need to file a claim.

Do I need a floater?
A floater, also known as a rider, will provide additional coverage for pricier items if they are lost or stolen. Most policies will include a cap for replacing a specific kind of lost or stolen items. This includes expensive jewelry, furs, collectibles, heirlooms, costly sports equipment and musical instruments. If you own one or several of these items, it may be worthwhile for you to add a floater to your policy.

Does my insurance offer any coverage outside damage to my possessions?
Your renter’s insurance policy will also offer you liability protection to cover you against lawsuits for bodily injury or property damage caused by you, your family members or your pets. This coverage will pay for legal counsel in a court of law and no-fault medical coverage for anyone who gets injured on your property.

What is ALE?
Additional living expenses (ALE) refers to any extra expenses you may have, such as hotel bills, food costs, etc., if your home is destroyed or otherwise unlivable because of a disaster that is covered in your policy. If you have ALE, you won’t need to worry about these extra costs while you wait for your home to be repaired.

A renter’s insurance policy will help you recover from a disaster until you can get back on your feet. With the affordable monthly premiums and generous coverage, it’s a wise investment in your financial future.

Your Turn:
Do you have a renter’s insurance policy? Tell us what you love about it in the comments.

SOURCES:
https://smartasset.com/mortgage/top-5-tips-for-buying-renters-insurance

https://www.iii.org/article/your-renters-insurance-guide

https://www.nerdwallet.com/blog/insurance/what-renters-insurance/

https://www.google.com/amp/s/www.zumper.com/blog/2017/09/heres-everything-you-need-to-look-for-in-a-renters-insurance-policy/amp/