Highlights for December 31st Your Safe Money Show

 Here's what we have planned for this last Your Safe Money Show of 2022. Year end financial checklist. Smart ways to gift money to children. And what is financial hoarding and how can you fix it? Listen at 8 a.m. Saturday's at Nice 95.5 FM KBEK. They stream live at kbek.com. Hear recent shows at yoursafemoneyshow.com.

Holiday hours

 Everyone at Sjoberg & Holmstrom Financial Services and Your Safe Money Show hopes you have wonderful holiday season. Our office will be closed through January 1st. Call 320 679 5183 if you need assistance, we will be monitoring calls.

Debit vrs. credit cards

 I had a question this week about debit cards and credit cards which is better? Like most things there’s pros and cons for both. Here’s some basic information. If your debit card is stolen or used without permission, it falls under the Electronic Fund Transfer Act. If you tell your bank before any charges are made, you won’t lose anything. If you tell them within two business days, the most you’ll lose is $50. If you tell them after the two-day mark but within 60 days of getting your statement, your maximum liability is $500.But if you tell your bank after that 60-day point, there’s no limit to how much you can lose.

Now if your credit card is stolen or used without permission, it falls under the Fair Credit Billing Act. If you tell the company before any charges are made, you’re not liable for anything. If you tell them afterward, the most you can lose is $50, and it probably won’t even be that. That’s because the four major card companies — American Express, Mastercard, Visa and Discover — all have $0 fraud liability policies. And remember when you use your debit card funds come out automatically. With a credit card the process takes longer usually until you pay your bill.

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Your Safe Money Show highlights for December 17th

 For our Saturday December 17th Your Safe Money Show Todd will have steps to follow to gain control of your retirement. Overcoming fear with your finances in retirement. And the reshaping of life insurance. Listen at 8 a.m. at Nice 95.5FM KBEK. They stream live at kbek.com.

Minnesota and credit scores

 I just had to share some good news about living in Minnesota and credit scores. Wallet hub did a report on information they gleaned from TransUnion. They found that with Minnesota’s low poverty rate and high employment, its residents have a credit score of 724, on average. And that’s the highest average credit score of any state nationwide, followed by New Hampshire, Vermont and Massachusetts. Meanwhile, I think we all have learned that the higher your credit score, the better off you are when it comes to getting a loan. You’re more likely to be approved, and if you’re approved you can qualify for a lower interest rate. A good score generally is above 670, a very good score is over 740 and anything above 800 is considered exceptional. It’s great to read that Minnesotans average the highest credit score, because being able to pay less for a mortgage, insurance like home and auto, get utility services more easily, get a cell phone without having to prepay or have a security deposit. I mean the bottom line: a higher credit score saves you money. Check out our website yoursafemoneyshow.com.

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Your Safe Money Show topics December 10th

Coming up on Saturday December 10th Your Safe Money Show. How to avoid mistakes with Required Minimum Distributions (RMDs) from your retirement accounts. Should you stop saving for retirement because of inflation. And how to max out your 401(k) in 2023. Listen at 8 a.m. at Nice 95.5FM KBEK. They stream live at kbek.com. Hear recent shows and get full details at yoursafemoneyshow.com.

MNSURE Open Enrollment

 MNSURE Open Enrollment, if you want your insurance to start January 1st, ends December 15th. Call 320-679-5183 to get an appointment with Todd.

Return policies are changing with some merchants

 Well, it is “prime time” for shopping right now and most of us for years, when needed, have returned items, well some retailers are rolling out stricter guidelines for returns. According to a recent survey, roughly 60% of retailers said they’re making changes to existing returns policies, with fewer promising free returns. On average, retailers expect about 18%, or $158 billion, of merchandise sold during the holiday shopping season to be returned. With rising costs squeezing margins, many retailers are rethinking their return policies, shortening the return window and even charging a return or restocking fee. During the pandemic online shopping exploded and many places offered “free returns” for customers. But now, with higher labor and shipping expenses, it is costing retailers “a tremendous amount of money. So, some retailers are charging for returns to cover a portion of that cost. It also can deter customers from overbuying, since at least 10% of returned goods cannot be resold. Just as retailers struggle with excess inventory, “often returns do not end up back on the shelf,” and that causes a problem for retailers struggling to streamline expenses and enhance sustainability. If being able to return items from online purchases or physical purchases are important to you, make sure you ask or read the fine print to see what their policy is as changes are happening.

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YSMS highlights for December 3rd

 Here's what we're planning for our December 3rd Your Safe Money Show heard at 8 a.m. at Nice 95.5 FM KBEK. There are scams that happen specifically around the holidays, so we need to get you up to speed on those. More people are using “buy now, pay later” for holiday shopping Todd will explain and have warnings about that too. And Congress may make it easier to set aside money for emergency expenses, he’ll go into details on that. By the way KBEK streams live at kbek.com. You can hear recent shows by going to our website yoursafemoneyshow.com.

Open enrollment

 A reminder Medicare Open Enrollment ends December 7th and MNSURE Open Enrollment, for your insurance to start January 1st needs to be done by December 15th. Call 320-679-5183 for an appointment with Todd.

Medicare tid- bit

 If you're new to Medicare just a factoid for you today. Many retirees have their Medicare Part B premiums deducted from their Social Security checks. The standard Medicare Part B premium is $164.90 per month in 2023. Medicare Part B payments are prohibited by law from decreasing Social Security payments for existing beneficiaries, so a Medicare Part B premium hike can't be more than your annual Social Security cost-of-living adjustment. If you have questions about Medicare call 855-22money or go to yoursafemoneyshow.com.

Your Safe Money Show Are you really ready to retire 11 26 22

Your Safe Money Show topics for 11-26-22

 Coming up on this Saturday's (November 26th) Your Safe Money Show with your host Todd Sjoberg. He'll have how much you will get from Social Security. Questions to ask yourself before you decide to retire early. And If you have held off on a Roth because of the 5 year rule Todd will explain why it might not be that big a deal. Listen at 8 a.m. at Nice 95.5FM KBEK. They stream live at kbek.com. Hear recent shows at yoursafemoneyshow.com.

Thanksgiving hours

 Everyone at Sjoberg & Holmstrom and Your Safe Money Show wish you and yours a Happy Thanksgiving! We will be closed Thursday and Friday. You can leave a message at 320-679-5183.

Dynamic pricing

 Dynamic pricing is a pricing and profit strategy that businesses use to sell to different groups of people, a tactic that’s tied into supply and demand, with a lot of emphasis on demand. Or put another way, “Dynamic pricing is a computer algorithm that balances supply and demand in response to what people are willing to pay. How is it being used? . Happy hours at bars is a form of dynamic pricing – letting customers know that if they come in during a less crowded and demanding time, they’ll be rewarded with cheaper drinks. In other cases though, charging higher prices for parking when events are going on, or higher prices for concert tickets when demand is high, these can get expensive. Learn more about dynamic pricing by going to yoursafemoneyshow.com.

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Legacy planning

 

Guides

 I have a reminder about financial materials that are available complimentary to you. There's Guides covering various topics. Don’t be a victim of scams, Medicare 101, Health Insurance Made Easy, Road to Retirement, Annuities 101, and Can Probate be avoided? He also has Your Guide to Social Security Benefits and our Safe Money Kit. To ask for any or all of these, call 855-22 money, that’s 855-226-6639 or go to yoursafemoneyshow.com. You can also stop by our office at 139 Union Street in Mora.

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Closed Veterans Day November 11th

 Sjoberg & Holmstrom Financial Services will be closed Friday November 11th for Veterans day. 

Thank you Veterans for your service!

Your Safe money show topics for November 12th

 Coming up on our November 12th Your Safe Money Show. Todd has signs your retirement is on track. He has a Social Security quiz to test how much you know about benefits before you claim them. And should you use “budget billing” for your utilities? Listen at 8 a.m. at Nice 95.5FM KBEK. They stream live at kbek.com. Hear recent shows at yoursafemoneyshow.com.

Open enrollment

 With Open Enrollment for Medicare and MNSure we get many questions. If you like your current Medicare plan you don't have to do anything. It will just continue. But now until December 7th you can look at your plan and see if it's right for you and if not check other options.

With MnSure you usually get a letter stating if you need to do something like update income information. Open enrollment for MNSure goes to December 15th for insurance to start January 1st.

Call for an appointment at 320 679 5183.

Feds rate hike implications

 According to the latest data from The Mortgage Bankers Association, the average interest rate on the 30-year fixed-rate mortgage is now near 7%. So, buyers have lost major purchasing power making it more difficult than ever if you’re looking to buy a home. Credit cards: According to Bankrate, annual percentage rates are “closing in on 19%,” on average, up from 16.3% at the beginning of the year. Auto Loans: Even though auto loans are fixed, payments are getting bigger because the price for all cars is rising along with the interest rates on new loans, so if you are planning to buy a car, you’ll shell out more in the months ahead. And then Student Loans: The interest rate on federal student loans taken out for the 2022-2023 academic year already rose to 4.99%, up from 3.73% last year and 2.75% in 2020-2021. It won’t budge until next summer: Congress sets the rate for federal student loans each May for the upcoming academic year based on the 10-year Treasury rate. That new rate goes into effect in July. On the upside, the interest rates on some savings accounts are also higher after consecutive rate hikes. You can reach us at yoursafemoneyshow.com.

Your Safe Money Show What to do if you lose your phone 11 5 22

November 5th Your Safe Money Show highlights

 Your Safe Money Show with your host Todd Sjoberg is heard Saturday mornings at 8 on Nice 95.5FM KBEK They steam live at kbek.com. Hear recent shows at the podcast page at yoursafemoneyshow.com. For this November 5th show Todd has retirement risks to avoid. What to do if you lose your phone. And the pros and cons of renting versus owning in retirement.

Open Enrollment MNSURE

 Just a reminder MNSURE Open Enrollment started November 1st so if you need assistance navigating MNSURE Todd Sjoberg is a certified navigator call 320-679-5183 for an appointment.

Contribution limits for 2023

 This week we have information from the IRS. If you want to save more for retirement in 2023, I have good news for you. The employee contribution limit for 401(k) plans is increasing to $22,500 in 2023, up from $20,500, and catch-up deposits for savers age 50 and older will jump to $7,500, up from $6,500. The new amounts also apply to 403(b) plans, most 457 plans and Thrift Savings Plans. The agency has also increased contribution limits for IRAs, allowing investors to save $6,500 in 2023, up from $6,000 in 2022. The catch-up deposit will remain at $1,000. For more information go to yoursafemoneyshow.com.

Your Safe Money Show Holiday shopping and Inflation 10 29 22

October 29th Your Safe Money Show topics

 Coming up on Saturday's (October 29th) Your Safe Money Show. Todd gets the question about signing up for Medicare while you’re still working a lot, so I thought he could go over that with us . The holiday season is coming and with inflation concerns, he will have suggestions to help your bottom line. And knowing how to retire in a slowing economy takes some special skills. We'll also get into that. Listen at 8 a.m. at Nice 95.5FM KBEK. They stream live at kbek.com. Hear recent shows at the podcast page under the Your Safe Money Show tab at yoursafemoneyshow.com.

New Guide

 Todd has a new guide all about scams. get your free copy by stopping at the office at 139 Union Street

in Mora, or at yoursafemoneyshow.com, or call 855-226-6639. 

Social Security payments

 Social Security checks are no longer mailed to most beneficiaries. You can receive your payment through two ways: Direct deposit. You can choose to have the Social Security check deposited directly into your bank or credit union account. Or Direct Express debit card. You can have the Social Security check loaded onto a debit card through the Direct Express card program. You don’t need a bank account for this setup. The card works for making purchases, paying bills or getting cash. However, there may be fees associated with some transactions. Social Security benefits are sent out the month after they are due. In other words: Social Security checks are paid in arrears, so any check received is for the month prior. Questions call 855-226-6639 or go to yoursafemoneyshow.com.

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October 22nd Your Safe Money Show information

 On this Saturday's (October 22) Your Safe Money Show Todd will have the updated information on the COLA for Social Security benefits. Hearing aids are now being sold over the counter, what you need to know about that. And Medicare Open Enrollment what's new for 2023. Listen at 8 a.m. at Nice 95.5FM KBEK. They stream live at kbek.com. Hear recent shows at the podcast page at yoursafemoneyshow.com.

Disclaimer with Medicare calls

 Something new you will notice when you call for a Medicare appointment with Todd.

We will let you know the call is being recorded and that Medicare requires us to give this disclaimer" We do not offer every plan available in your area. Any information we provide is limited to those plans we do offer in your area. Please contact Medicare.gov or 1 800 Medicare to get information on all your options". If you have any questions feel free to ask. To make an appointment call 320-679-5183 or go to yoursafemoneyshow.com.

Your Safe Money Show Retiring Early 10 15 22

Update from Social Security and this year's COLA

 The biggest increase in Social Security benefits in four decades will deliver much-needed breathing room for millions of Social Security recipients. The Social Security Administration, the federal government agency that oversees the benefits, announced a 8.7% increase in the Social Security cost-of-living adjustment (COLA) for 2023. The increase is the largest since 1981, when the COLA was 11.2%, and raises the average retiree benefit by more than $140 per month starting in January, according to the Social Security Administration. The adjustment — coupled with a decrease in Medicare Part B premiums next year hopefully will help those receiving their benefits.

Highlights for 10-15 Your Safe money Show

 On this week's Your Safe Money Show (October 15th) we will have a gal in studio who wanted to share how she was scammed out of $15,000. She doesn't want this to happen to anyone else. Todd will also share retirement dreams people look forward to. And in early retirement how to protect your hidden retirement asset. He'll explain what that asset is. Listen at 8 a.m. at Nice 95.5FM KBEK. They stream live at kbek.com. Hear recent shows by going to yoursafemoneyshow.com.

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October 8th topics for Your Safe Money Show

 Here's what we're planning for this Saturday's (October 8th) Your Safe Money Show. Congress is considering two bills that would make major changes to required minimum distributions. Could your RMDs be affected? We’ll find out. QCD’s: Qualified Charitable Distributions, can work great as a tax-savvy way to give but knowing the rules is crucial. And we have the update on Medicare Part B premium costs for 2023. Listen at 8 a.m. at Nice 95.5FM KBEK. They stream live at kbek.com. Hear recent shows at yoursafemoneyshow.com.

Free credit reports information

 They announced last week that the three major credit bureaus—Equifax, Experian, and TransUnion—agreed to extend weekly, free credit reports through 2023. There had been talks of stopping those. The Fair Credit Reporting Act requires that people be given free access to their credit report from each of the three major credit bureaus just once a year. But once the pandemic began, companies offered the annual service for free on a weekly basis instead. This is good news, as we need to be checking these reports for errors that can hurt our credit scores. Unfortunately, the error rate is high enough that we need to be more diligent than ever. If you have questions go to yoursafemoneyshow.com.

Your Safe Money Show 529 plans if the child doesn't go to college 10 1 22

Topics for Your Safe Money Show October1st

 Coming up on this Saturday's (October 1st) Your Safe Money Show. Todd will have what to do with a 529 plan if your child doesn't go to college. He will also explain how to appeal Medicare premium IRMMA surcharges. And how to delay claiming Social security until age 70. Listen at 8 a.m. at Nice 95.5FM KBEK. They stream live at kbek.com. Hear recent shows at the podcast page at yoursafemoneyshow.com.

Social Security factors for maximum benefit

 While 91% of survey respondents said they’re at least somewhat confident in their Social Security knowledge, only 7% could identify the factors that determine a maximum benefit. Here's two of the factors: Work history. Your benefits are based on average indexed monthly earnings during the 35 years in which you earned the most. Age. While you can start receiving benefits as early as age 62, you are not entitled to your full benefit until you reach your full retirement age, which varies based on birth year, and to get the maximum benefit you would have to wait until age 70. For more details go to yoursafemoneyshow.com.

Your Safe Money Show Insecurities about Social Security 9 24 22

Topics for the Saturday September 24th Your Safe Money Show

 For this Saturday's (September 24th) Your Safe Money Show heard at 8 a.m. on Nice 95.5FM KBEK, your host Todd Sjoberg will talk about insecurities about Social Security and the upcoming COLA (Cost of living adjustment). He will also look at how snowbirds can be taxed as Florida residents (or other warm weather state like Texas, Arizona ect). And he'll explain how to have the best credit score possible. KBEK streams live at kbek.com. Hear recent shows at yoursafemoneyshow.com at our podcast page.

COLA

 Every year Social Security benefits are subject to a COLA, a cost of living adjustment. That COLA is based on third-quarter data from the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). The CPI-W measures changes in a number of key goods and services on a year-over-year basis. The CPI-W is the tool of choice for determining COLAs, and data derived from it during the year's third quarter is how next year's COLA will be established. And since that data won't be available until October 13th, seniors will have to wait a while longer to see what sort of raise they'll be getting in 2023. Todd will have more details on the COLA and more on this Saturday's Your Safe Money Show at 8 a.m. on Nice 95.5FM KBEK.

What "not" to do with your Social Security card

 Here is a "heads-up" from Social Security:

The Social Security Administration says, “Do Not laminate your Social Security card”. Lamination prevents detection of many security features. However, you may cover the card with plastic or other removable material if it does not damage the card.” If you already have laminated a card, you can request a replacement. However, you will first need to return the laminated card before the SSA can process your request. You can call your local Social Security Administration office for more tips on how to return and replace your laminated card.

But before you make such a request, note that the SSA says that many people do not need a card and that simply knowing your Social Security number is good enough for most transactions where your number is needed.

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Your Safe Money Show topics for September 17th

 Coming up on Saturday September 17th edition of Your Safe Money Show heard at 8 a.m. at Nice 95.5FM KBEK. Todd Sjoberg your host will have a checklist for what to do, and not to do, after a loved one's passing. He will also have the types of IRA's. And how to spot counterfeit money. You can hear recent shows at our podcast page at yoursafemoneyshow.com.

Resources to find missing retirement accounts

 Unclaimed retirement benefits are retirement account balances that have been left behind by former participants of retirement plans.

You can use the resources of the internet to find a missing retirement account.

There are several websites you can search for unclaimed retirement benefits:

The Department of Labor's abandoned plan database.

The Pension Benefit Guaranty Corporation's trusteed plan search.

The National Registry of Unclaimed Retirement Benefits.

The National Association of Unclaimed Property Administrators operates unclaimed.org.

The Department of Labor's Form 5500 search.

Home office tax deduction

 Todd talked about homeowner tax deductions on last week's show and here's one about home offices: Home-Office Expense Deduction: If you're self-employed and work at home, you might be able to deduct expenses for the business use of your home. The home-office deduction is available for homeowners and renters, and it doesn't matter what type of home you have. The key to the home-office deduction is to use part of your home regularly and exclusively for your money-making endeavor. If that’s the case then part of your utility bills, insurance costs, general repairs and other home expenses can be deducted against your business income. You can also write off part of your rent or, if you own your home, depreciation.

There are two ways to calculate the deduction. Under the "actual expense" method, you essentially multiply the expenses of operating your home by the percentage of your home devoted to business use. The problem with this method is that it can be a nightmare pulling together all the records you'll need to calculate and substantiate the deduction. If you use the "simplified" method, you deduct $5 for every square foot of space in your home used for a qualified business purpose. For example, if you have a 300-square-foot home office (the maximum size allowed for this method), your deduction is $1,500. And just to clarify: Employees who work remotely can't deduct the costs of maintaining a home office (that includes employees working from home during the pandemic). If you have a question or concern call 320 679 5183.

Your Safe Money Show topics 9-10-22

 For this Saturday's (September 10th) Your Safe Money Show Todd will talk about tax breaks for homeowners and homebuyers. He'll stay in a "home" theme with tips for first time homebuyers as well. Listen at 8 a.m. at Nice 95.5FM KBEK. They stream live at kbek.com. Hear recent shows at yoursafemoneyshow.com podcast page.