Our office is closed Memorial Day

 Sjoberg & Holmstrom Financial Services and Your Safe Money Show want to wish you a safe and relaxing Memorial Day. The office will be close. We will reopen on Tuesday June 1st at 8 .m. you can leave a message at 320-679-5183.

Your Safe Money Show topics for May 29th

 Coming up on our Saturday May 29 Your Safe Money Show. If you are a caregiver, I have tax breaks for you to consider. If you received a tax refund, I have smart ways to have some of that money work for you. And what is inflation? A lot of my clients are concerned about inflation right now. I'll go over why prices rise and when to worry. Listen at 8 a.m. at Nice 95.5 FM KBEK. They stream live at kbek.com. Hear recent shows at our podcast page at yoursafeoneyshow.com.

Your Guide to Social Security

 We have a revised edition of "Your Guide to Social Security" available. If you'd like your free copy message us here on Facebook or call 320-679-5183. For all our complimentary financial materials or contact information go to yoursafemoneyshow.com.

Compounding Interest

 You know last week we talked about money saving challenges, and if you missed the show (Your Safe Money Show) go to the website yoursafemoneyshow.com and listen at the podcast page. Anyway we talked about different ways to save money and I wanted to touch on compound interest today, which is one of the best ways to save. So, what is compounding interest? Compounding is the process where interest is credited to an existing principal amount as well as to interest already paid.

Compounding is interest on interest—so you can magnify returns with interest over time, the so-called "miracle of compounding."

When banks or financial institutions credit compound interest, they will use a compounding period such as annual, monthly, or daily. My safe money strategies use compounded interest. You also get a reasonable rate of return. When the market rises you get the gains but when it falls you stay the same. Your principle is protected. And if you are looking for lifetime income this strategy is for you. If you'd like more information call 320-679-5183 or go to yoursafemoneyshow.com.

Your Safe Money Show Forced into Retirement 5 22 21

May 22 Your Safe Money Show highlights

 Here's what's coming up on our Saturday May 22nd Your Safe Money Show. I’ll have ways to bounce back after being forced into retirement. I get questions about taxes on Social Security while still working, I’ll break that down for you. And most couples have to find a way to merge their finances and we’ll see what those options are. Listen at 8 a.m. at Nice 95.5 KBEK. They stream live at kbek.com. Hear recent shows at the podcast page at yoursafemoneyshow.com.

Savers tax credit

 I have a couple random facts for you today. First, the most abused Social Security number ever used in fraud by at least 40,000 different people. It belonged to a secretary at a wallet company. The story goes in 1938, Social Security cards were new, and the secretary’s boss wanted to see how they looked in a wallet. So, every one of their wallets came with a sample Social Security card inside… with her number on it.

The other random fact is about the savers tax credit. For 2021, single filers with adjusted gross income of $33,000 or less may be eligible. Taxpayers married filing jointly must have an AGI of $66,000 or less. (For 2020, the thresholds are $32,500 and $65,000, respectively.) Fall within the income limits and you can claim a tax credit worth up to 1,000 for singles or $2,000 for joint filers. The credit is based on 10%, 20% or 50% of the first $2,000 ($4,000 for joint filers) you contribute to retirement accounts, including 401(k)s, traditional IRAs and Roths. The lower your income, the higher the percentage you get back via the credit. Some people can’t claim the Saver’s Credit, regardless of income. Taxpayers under 18, full-time students and those claimed as dependents aren’t eligible. But if you do qualify, every dollar you claim is one dollar less you have to pay in taxes. To claim the credit, you'll need to complete Form 8880 and submit it with your tax return. We have until Monday the 17th to complete our taxes for 2020 but this savers credit information obviously can be used for 2021, so good to know. Questions call 320-679-5183 or go to yoursafemoneyshow.com.