Category Archives: Financial Independence

In the first UN World Conference on Women held in Mexico City in 1975 a group of women discussed the idea of financial independence for women and how it could give them control over their own lives.

At the time, this was almost a dream for many women, even in the United States, who started owning a credit card, thanks to the Credit Opportunity Act of 1974.

In a bid to make women more financially independent, three women Michaela Walsh, Merrill Lynch, US; Ela Bhatt, Self-Employed Womens Association (SEWA), India; and Esther Ocloo, a Ghanaian entrepreneur and womens development advocate founded Womens World Banking (WWB) in 1976.

WWB strongly believes financial inclusion is the key to driving economic empowerment for women, and through them, their communities.And the issue is as important now as it was in 1976.

In an interaction with SocialStory, Pallavi Tewari-Madhok, Director Advisory Services, WWB - India, says,

Pallavi Tewari-Madhok

With a global reach in 28 countries with 51 partners, WWB provides scalable, market-driven solutions to over 67 million women clients. Our direct beneficiaries are low-income women, girls, and youth in developing countries, but indirectly, everyone benefits, Pallavi says.

By 2022, the New York-headquartered organisation plans to scale its operations and reach at least eight million more un/underserved women in India.

The lack of access to financial services worsens a womans condition in society. They risk falling into poverty and getting marginalised. In fact, it doesnt allow them to fully engage in productive economic activities.

WWB seeks to drive economic growth around the world by investing in women. It focusses on expanding the economic assets, participation, and power of low-income women and their households by helping them access financial services, knowledge, and markets effectively.

WWB achieves this through research around financial inclusion, influencing policymakers toimplement initiatives necessary to support women, investing in women-focused institutions to support gender diversity, and by delivering strong leadership programmes to enhance the capabilities of women leaders.

According to a McKinsey report, if women were to have economic parity with men by 2025, it would boost the global GDP by up to $28 trillion the size of both the US and China's GDPs combined.

The 45-year-old institution started its operations in India only about two years back in 2018. Over the past few years, India has pushed out numerous government schemes for financial inclusion, including the Pradhan Mantri Jan Dhan Yojana (PMJDY). In fact, many small and new financial service platforms are reaching out to underbanked women customers.

Despite this, India posses a massive market opportunity to serve nearly 278 million underbanked women, which is why the country is among WWBs Tier I priority markets, explains Pallavi. At present, WWB caters to nearly 22 million women in India, which includes low-income women, women SHGs, and women enterprises.

Currently, it is working to build the resilience of urban low-income women by nudging them to start saving in their Jan Dhan accounts through the PMJDY scheme.

One of the customers of Ujjivan Small Finance Bank.

Nisha, a PMJDY customer in Mumbai, says, I mostly used to make payments in the Beesi (chit fund) with my neighbours. I liked the scheme, and they offered me a loan. So, I made deposits in April, May, June, and July.

In India, WWB is present across Mumbai, Delhi, and Chennai, and operates through a network of seven financial service providers (FSPs), including public sector banks, payments banks, small finance banks, fintech companies, and non-governmental microfinance institutions. These include Ananya Finance, FWWB, SEWA Bank, Ujjivan Small Finance Bank, Bank of Baroda, Kaleidofin, and Frontier Market.

It has also forged three partnerships in India supported by the Visa Foundation and the Michael & Susan Dell Foundation (MSDF) with the Bank Of Baroda, Ujjivan Small Finance Bank, and FINO Payments Bank.

To help with its operations, WWB depends on various government and private entities for funding, which includes the Visa Foundation, Bill & Melinda Gates Foundation (BMGF), Australian government, the Swedish International Development Cooperation Agency (SIDA), and several other public donors, corporate foundations, and philanthropic organisations.

In fact, it also raises money from the donations made on its website to support its women empowerment efforts.

To achieve greater scale, WWB plans to mobilise the FSPs (in the network and beyond) to adopt our proven solutions that match their needs and that of the customers they serve. These efforts could range from publishing in-depth guides, convening hands-on instructional workshops to a light strategic advisory, and providing initial guidance on how to implement solutions while contextualising them to meet each institutions needs, she explains.

The COVID-19 pandemic provided a much-needed boost to the WWB to work harder than before to help women build personal and financial resilience.

The organisation is increasing its engagement with its global network of 51 banks, insurance companies, and micro-finance institutions to help them deliver the support that WWBs women clients need at present.

Representational image

We also launched the Making Finance Work for Women Fintech Innovation Challenge in partnership with the Monetary Authority of Singapore to shine a light on fintech companies that are developing gender-inclusive solutions to serve low-income women in the wake of COVID-19, she adds.

See the original post:

This New York organisation is empowering low-income women in India through financial inclusion - YourStory

As a committed daily reader of the JJs Roundtable, I was intrigued by a January 6 entry concerning the FIRE Movement (Financial Independence, Retire Early), which is catching fire among millennials. In a nutshell, the movement encourages young people to save and aggressively invest with the hope of retiring long before turning 65, perhaps as early as the mid-forties.

There is much that can be said about the pros and cons of retiring so early, but hearing about it reminded me of a Torah lesson I learned over 40 years ago, when I was in my early twenties. As part of my part-time job to help pay for law school, I met a man in his early thirties who was selling condominiums at a high rise in Santa Monica. He was talented at his job,a devout Christian who had been an NFL football player (for the New Orleans Saints when they were known as the Aints) before selling condos.

While chatting with him, I told him he could make such a fine living selling real estate for the rest of his working career.He knew I was Jewish, and he replied that his study of the Old Testament dictated how he handled his life in this regard.

I had no idea what he was talking about, so he explained,Your Torah has a Sabbath work six days and take the seventh day off. I work as hard as I can for those six days and I make sure I take full advantage of the seventh day of rest. I knew what that was like.

But he then went on to talk about the Sabbatical in the Torah, which is fundamentally the same concept but applied to years. Work hard for six years and take the seventh year off. He told me he had decided to live his life that way.

The man told me he had decided to live his life like a Sabbatical work six years and take the seventh off.

He explained further: the man stayed in the NFL for six years and then voluntarily retired. I had assumed he was injured, knowing that a six-year career in professional football is a long one, but, as he told me, he had planned all along to retire and take a seventh year of full rejuvenation and planning for his next six-year work period.

He further explained that when you know you will take a seventh year off, you do tons of planning and saving. What will you do for that seventh year? Its not a two-week vacation. If you dont do something that expands your horizons, then whats the point? You also have to save money during the six years of work, probably for two years, as you cannot be certain what you will earn when you go back to work. About halfway through the Sabbatical year, the man would start thinking about what he would do next, using the year to focus his interest and intentions.

While on Sabbatical after his NFL career, the man knew he wanted to live near the beach, surf, sail and fish, so he picked Southern California. His love of the water and the beach directed him to pick as his next career something that would allow him to be close to it. He always enjoyed selling, so he found a job selling condos in Santa Monica.

He was halfway through the six years at this point, so I asked him what he was thinking of for his next Sabbatical. He told me he was considering moving to the mountains with his wife so that he could teach their kids the joys of fishing and hunting before they got too old. I was stunned, having never thought that way in my life.

And that is exactly what he did, after which his next working stint was starting a backcountry adventure business in Montana. I lost track of him after that and heard that he died of cancer a few years ago. Im sure that if I had seen him as he was going through the final stages of his life, he would have told me how pleased he was that he had lived life so fully in the time God had allotted him. He would thank me, as a representative of the Jews, for providing the Sabbatical framework for his life.

Now, doesnt the Sabbatical model seem to make for a more fulfilling life than Financial Independence, Retire Early, where you work like a dog so that you can retire at 50 and figure out what to do with the next 35 years? And we havent even mentioned the real FIRE that might occur youve worked yourself to the bone for those 25 year or your post-work investment and planning didnt work out too well, so that you run out of money at age 75 (25 years or more after retirement). And we havent even mentioned family, mortgages, college, etc.

Perhaps millennials should consider the Torahs alternate method of a life well lived.

Avi Peretz has lived in Los Angeles since 1958. He isimmediate past president of Temple Beth Am, Los Angeles.

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The Sabbatical Way of Living - Jewish Journal

Watch: Harry and Meghan in a very good place one year after shock Megxit statement

Prince Harry and Meghan Markle are in a good place and their organisation is doing amazing things a year after they announced they wanted to step back as senior royals.

On 8 January 2020 the royal couple surprised their family and fans as they announced on social media that they wanted to relinquish their senior royal roles, instead representing the Queen part-time and also being able to make their own money.

Now, the couple live in California with their son Archie, who turned one during lockdown last Spring.

And a source has revealed to PA that they are in a good place after the tumultuous year.

The source said: After a very turbulent 12 months for everyone in the world and massive changes of moving country and all the rest of it, they have also been very vocal about what they have gone through in their own personal life.

They have a house. They have created the financial independence that they were after.

They have launched their organisation and their organisation is under way doing amazing things already.

And so I think that they are in a very good place.

Read more: Prince Harry says 'libellous' article left former marines 'susceptible to suicide'

Harry, now 36, and Meghan, 39, said they wanted to step back in order to retain more privacy for them and their family.

The step back has given them confidence to go after newspapers when they fear their privacy is being breached, and they have been successful in securing apologies over photographs taken of Meghan and Archie in Canada during the Christmas break of 2019.

They also wanted to make their own money and have financial independence. Since stepping back, they have secured lucrative deals with Netflix and Spotify, enabling them to pay off the 2.4m renovation costs of their Windsor home, Frogmore Cottage, and buy an 11m forever home in Santa Barbara.

It has not shielded them from criticism, and they have faced backlash in the UK from commentators about their decisions, including encouraging Americans to vote in the US election in November.

Story continues

Meghan was widely supported when she revealed she had a miscarriage in the summer, but even that deeply personal article did not stop some from questioning if she was breaching her own privacy.

While the COVID-19 pandemic meant they could not get their plans into action as quickly as they hoped, they have recently been able to start their foundation, Archewell, and released their first podcast on Spotify.

They have previously said some of their first Netflix programmes were in production.

The time in lockdown afforded the couple more opportunity to decide what they want to support and focus on as they launch Archewell.

The first project through the foundation was confirmed in December, as they announced it will fund four new community relief centres around the world.

Some of the other issues Archewell is expected to focus on include racial justice, gender equity, climate change and mental health.

Read more: Will Brexit affect the Royal Family?

It was after an extended break in Canada over Thanksgiving and Christmas 2019 that Harry and Meghan decided they did not want to remain in their senior royal roles.

After an engagement at Canada House in London, where they thanked the staff for the warm reception in Canada, they posted a photo on Instagram with a caption explaining their hopes of stepping back.

But Buckingham Palace was quick to explain the issue was complicated, and within a few days it was clear their hopes would not quite be met.

There were concerns they would be seen as profiting from the monarchy if they earned money and represented the Queen.

The deal they struck was dubbed a hard Megxit and they set their final date as senior royals as 31 March. In the end, they did not carry out official duties after Commonwealth Day, on 9 March.

Watch: Prince Harrys Apple TV series delayed

Read more: How Prince Harry and Meghan Markle are choosing to speak for themselves

A 12-month review period was also set but there is unlikely to be any major announcements made immediately after 31 March 2021.

Harry and Meghan are still known as the Duke and Duchess of Sussex, but agreed to no longer use their HRH stylings. They also dont use the word royal.

Harrys honorary military appointments - Captain General of the Royal Marines, Honorary Air Force Commandant of the Royal Air Force Base Honington, and Honorary Commodore-in-Chief of the Royal Naval Commands Small Ships and Diving - were taken from him but have not been reallocated to any other royals.

They were allowed to keep patronages but are no longer representing the Queen in those positions.

With so much in their own plans for the future, its unlikely the couple will want to return to their former royal life anytime soon.

Read more here:

Prince Harry and Meghan Markle 'in a good place' and 'doing amazing things' a year after Megxit - Yahoo Sports

Of course Taylor Swift had even more songs recorded during the 2020 quarantine that has already yielded her albums Folklore and Evermore, which now gets a bonus track. Its Time to Go terse lines set against an insistent one-note guitar and four chords maps romantic and workplace setbacks against her own struggle to hold onto her multiplatinum catalog: Hes got my past frozen behind glass/But Ive got me. Its advice, rationalization, a way to move on: Sometimes giving up is the strong thing, she sings. JON PARELES

Celeste, Love Is Back

Celeste who, at least in Britain, has been on the verge of a breakout moment for the past few years rang in 2021 with a performance of her new single Love Is Back on Jools Hollands annual New Years Eve show. Amid rhythmic blasts of brass, the 26-year-old soul singer croons coolly for much of the song before a dazzling grand finale showcases the strength of her smoky voice, which recalls both Amy Winehouse and Billie Holiday. With a debut album, Not Your Muse, slated for release on Feb. 26, this could finally be Celestes year. LINDSAY ZOLADZ

The gender warfare in pop hip-hop continues with Best Friend, particularly in its video version, which opens by mocking toxic masculinity and another fake woke misogynist a bare-chested guest guy while Saweetie and Doja Cat lounge in bikinis. A twangy two-bar loop accompanies the two women as they flatly declare financial independence and, eventually, find each other. PARELES

Ideas waft up and ripple away throughout Come in Closer the smoothly elusive new single from the breathy, androgynous-voiced Canadian singer and songwriter Michael Milosh, who records as Rhye. Hardly anything is stable; not the beat, not the chord changes, not the vocal melodies or instrumental countermelodies, not an arrangement that moves from churchy organ to a string-laden R&B march to eerie a cappella vocal harmonies. The only constant is yearning: How Id love for you to come home with me is the songs closest thing to a refrain. PARELES

Virgil Abloh featuring serpentwithfeet, Delicate Limbs

Virgil Abloh is best known as a designer; no wonder Delicate Limbs begins with fashion-conscious lyrics: Those gray pants you love might bring you luck, but if they ever fray you can call on me. But Delicate Limbs even more clearly ties in with the catalog of Ablohs collaborator, serpentwithfeet, a.k.a. the singer and songwriter Josiah Wise. Its an incantatory enigma, wandering among electronic drones, jazzy drum crescendos and cinematic orchestration, building extraordinary drama. PARELES

Viewers of the recent HBO documentary The Bee Gees: How Can You Mend a Broken Heart will recall that it was not Dolly Parton nor Kenny Rogers who wrote their mammoth 1983 hit Islands in the Stream, but, actually, the Brothers Gibb. So Parton is a natural choice for a duet partner on Barry Gibbs moving and delicately crafted new album Greenfields The Gibb Brothers Songbook Vol. 1, on which the last surviving Bee Gee adds a little twang to some of the groups standards and collaborates with country artists like Miranda Lambert and fellow Aussie cowboy Keith Urban. Parton joins him for a piano-driven, gently elegiac rendition of the 1968 hit Words. On the original single and often in concert, this was the rare Bee Gees song that Barry Gibb sang solo. Reimagining it as a duet, and especially with a voice as warm as Partons, makes Words feel less like a confession of regret and more like a prelude to reconciliation. ZOLADZ

Sun June, Everything I Had

Everything I had, I want it back, Sun Junes Laura Colwell sings on the Austin bands latest single certainly a relatable refrain for these times. Its also a fittingly wistful sentiment for a band that playfully describes its sound as regret pop, blending the melodic flutter of Colwells voice with dreamy tempos that invite contemplation. (Its second album, Somewhere, will be out on Feb. 5.) The lyrics, though, conjure a certain restlessness, as Colwell considers moving all the way to Los Angeles before settling on a new apartment three doors down from where she used to live presumably just far enough to stare longingly at the old one. ZOLADZ

Weeping in the Promised Land is John Fogertys memento of 2020: pandemic, disinformation, economic crisis, Black Lives Matter. In a quasi-hymn, with bedrock piano chords and a swelling choir, he surveys the devastation overseen by a pharaoh who keeps a-preaching, but he never had a plan. It doesnt foresee redemption. PARELES

The alto saxophonist Tim Berne and the trumpeter Herb Robertson circle each other like fighters getting acquainted in the first round at the start of this itchy, low-fi recording, which Berne captured at 55 Bar in Greenwich Village 17 years ago. Hes been releasing recordings from the vault on Bandcamp, and this one which he found on a CD-R lying on his studio floor, and posted Christmas Day is especially raw and lively. The guitarist Marc Ducret joins after a minute, adding his own wiry lines and helping outline the tracks central melodic phrase before Tom Raineys drums and Craig Taborns keyboards enter and the quintet wriggles into a long, tumbling jam. GIOVANNI RUSSONELLO

At the Jazz Gallery this fall, the alto saxophonist Miguel Zenn and the pianist Luis Perdomo recorded a concert of boleros (or romantic songs, from a range of Latin American traditions), and the set was so understatedly good that after streaming it on Zenns Facebook page, the pair decided to release it as an album. This track is a ruminative lament, written by the Puerto Rican singer and polymath Sylvia Rexach for her brother, who had died in an accident; it was the title track and the most tender moment on Zenns big band album a decade ago. On the new version, as Perdomo alone carries its downward-spiraling chord progression, the pair spends nearly 10 minutes wandering into and away from the songs wistful melody, as if reliving a distant memory. RUSSONELLO

See the rest here:

Taylor Swifts Ode to Moving On, and 9 More New Songs - The New York Times

Why Global Citizens Should Care

One of Ugandas most accomplished female boxers, Hellen Baleke, is using her skills in the ring to teach women to empower and defend themselves.

Baleke has made it her mission to teach women in Katanga, one of the biggest slums in Ugandas capital city of Kampala, the importance of self-defence.

Innocent Kapalata, the coach at Katangas Rhino Boxing Club where Baleke teaches and trains, explained that more and more young women in the slum have been signing up to box as a result of women often becoming victims of violent crime.

At the age of 16, Baleke was groped by a boy on her way home from school. In an attempt to fight him off, Baleke was attacked and returned home with a bloody nose. Its a common experience for young women in Uganda according to the United Nations,more than 1 million Ugandan women are exposed to sexual violence every year. The unfortunate experience drove her to take up boxing so that she could have the skills to protect herself in the future.

Related Stories Dec. 21, 2020 9 Wins for Gender Equality in 2020 Worth Celebrating

"I started boxing because I didnt want any man to stand in front of my face,"Baleke told CNN. "In Katanga,you have to fight if you want to survive, most especially girls."

Balekes uncles taught her how to defend herself, and now she's using those skills to help empower other young women. When she decided to pursue boxing, Baleke found a make-shift gym in Katanga, where she began training and teaching others.

Baleke, now 33, has been boxing professionally for 15 years. At the 2019 African Games, she won a bronze medal and became the first Ugandan woman to bring home a boxing medal in 18 years.

Her success has inspired women in Katanga to take up boxing.

"I admired her since childhood, and I want to become like her. I want to become a senior boxer in Uganda," Christine, one of Balekes students, told CNN.

Not only is Baleke teaching women skills in the boxing ring, she also owns a tailoring business where she hires young girls and teaches them how to sew. The pro boxer aims to show young women the importance of financial independence and stability beyond a boxing career.

"If you [are] on the sewing machine making something, you can make money," she told CNN. "You cannot box for your entire life."

Although the COVID-19 pandemic has put boxing and her tailoring business on hold, Baleke told CNN that she hopes to continue training with her girls soon. The 33-year-old plans to open her own gym and start a fashion company one day.

"It doesnt matter where you are or where you live...I live [in] the worst slum...but it did not stop me from following my dreams,"she said.

Related Stories Dec. 10, 2020 Thomson Reuters Foundation She Escaped Child Marriage in Bangladesh Now She's a Martial Arts Champion

Read more:

How a Ugandan Boxing Champion Is Empowering Women to Stand Up for Themselves - Global Citizen

ARLINGTON, Va.--(BUSINESS WIRE)--E*TRADE Financial Holdings, LLC today announced results from the most recent wave of StreetWise, the E*TRADE quarterly tracking study of experienced investors. Results indicate an increasingly bullish investor mindset despite volatility and recession concerns:

Investors see that unprecedented fiscal stimulus, the Feds easy monetary policy, the vaccine rollout, and relatively healthy earnings are all positives for the market, said Mike Loewengart, Managing Director of Investment Strategy at E*TRADE Financial. Yet at the same time there is awareness that some, if not all, of these factors may already be priced in, and market corrections are a matter of when, not if. Kicking off the new year, its a good practice to reassess financial goals and take a pulse check on your comfort level with risk.

The survey explored investor views on sector opportunities for the first quarter of 2021:

E*TRADE aims to enhance the financial independence of traders and investors through a powerful digital offering and professional guidance. To learn more about E*TRADEs trading and investing platforms and tools, visit etrade.com.

For useful trading and investing insights from E*TRADE, follow the company on Twitter, @ETRADE.

About the Survey

This wave of the survey was conducted from January 1 to January 7 of 2021 among an online US sample of 904 self-directed active investors who manage at least $10,000 in an online brokerage account. The survey has a margin of error of 3.20 percent at the 95 percent confidence level. It was fielded and administered by Dynata. The panel is broken into thirds of active (trade more than once a week), swing (trade less than once a week but more than once a month), and passive (trade less than once a month). The panel is 60% male and 40% female, with an even distribution across online brokerages, geographic regions, and age bands.

About E*TRADE Financial Holdings, LLC and Important Notices

E*TRADE Financial Holdings, LLC and its subsidiaries provide financial services including brokerage and banking products and services to retail customers. Securities products and services are offered by E*TRADE Securities LLC (Member FINRA/SIPC). Commodity futures and options on futures products and services are offered by E*TRADE Futures LLC (Member NFA). Managed Account Solutions are offered through E*TRADE Capital Management, LLC, a Registered Investment Adviser. Bank products and services are offered by E*TRADE Bank, and RIA custody solutions are offered by E*TRADE Savings Bank, both of which are national federal savings banks (Members FDIC). More information is available at http://www.etrade.com.

The information provided herein is for general informational purposes only and should not be considered investment advice. Past performance does not guarantee future results.

E*TRADE Financial, E*TRADE, and the E*TRADE logo are registered trademarks of E*TRADE Financial Holdings, LLC. ETFC-G

2021 E*TRADE Financial Holdings, LLC, a business of Morgan Stanley. All rights reserved.

E*TRADE Financial engages Dynata to program, field, and tabulate the study. Dynata provides digital research data and has locations in the Americas, Europe, the Middle East and Asia-Pacific. For more information, please go to http://www.dynata.com.

Referenced Data

Do you think current stock valuations would suggest that right now we are

Q1'21

Fully in a market bubble

15%

In somewhat of a market bubble

51%

Approaching a market bubble

26%

Not close to a market bubble

8%

When it comes to the current market, are you?

Q1'21

Q4'20

Q3'20

Q2'20

Q120

Bullish

57%

52%

51%

38%

61%

Bearish

43%

48%

49%

62%

39%

Over the next quarter, do you think volatility will

Q1'21

Q4'20

Increase

60%

65%

Greatly increase

11%

19%

Somewhat increase

49%

46%

Stay the same

31%

28%

Somewhat decrease

9%

7%

Greatly decrease

0%

0%

Decrease

8%

7%

Which of the following risks are you most concerned about when it comes to your portfolio? (Top Two)

Total

Q1'21

Q4'20

Recession

32%

34%

Coronavirus and other pandemic concerns

30%

28%

New presidential administration

25%

44%

Market volatility

23%

24%

Gridlock in Washington

20%

14%

US trade tensions

15%

17%

Economic weakness abroad

14%

11%

Fed monetary policy

12%

10%

Inflation

Read the original:

E*TRADE Study Reveals Most Investors Believe the Market Is in Bubble Territory - Business Wire

Year-0ver-year, All Items inflation through November 2020, averaged 1.2 percent. Core inflation, excluding food and energy costs, averaged 1.6 percent. The U.S. Federal Reserve bank has an inflation target of 2 percent annually. Per the Fed, an annual inflation rate of 2 percent is most consistent with the Federal Reserves mandate for maximum employment and price stability. When households and businesses can reasonably expect inflation to remain low and stable, they are able to make sound decisions regarding saving, borrowing and investment, which contributes to a well-functioning economy.

There you have it, inflation as a federal policy. How does a 2 percent annual decrease in your moneys long-term buying power contribute to your personal or familys well-functioning economy?

The numbers quoted above are averages. How do price pressures impact the things you use and need frequently? The cost of food in general through October is up 3.3 percent year-over-year. If you have hungry teenagers at home, especially boys, personal food expenditures are probably up by more than the index. With work-from-home mandates, fuel costs most likely are down for the year for some workers. But as vaccinations kick in and the economy increasingly revs up, transportation expenditures are likely to increase. The new administrations emphasis on climate change will increase the cost of fossil fuels, electricity, transportation and shipping costs, etc. Infrastructure spending could increase pressures to raise fuel taxes.

What are the Big Three goals for most families? One, own a home; two, educate kids; three, retirement financial independence. New home sales have jumped to a 14-year high. Big city woes and work from anywhere trends are driving people to the suburbs, exurbs and smaller towns. List prices are up an average of 13 percent nationwide over 2019 through November 2020. Record low mortgage rates fuel demand, even as many younger couples are challenged to come up with down payments. Lumber prices are up 170 percent since April, adding $16,000 to the price of an average new single-family home.

Some students and parents are questioning the relative value of a high-priced private college education, but even costs at public colleges have outpaced inflation. Between 2008-2018, average four-year costs across all 50 states have jumped 34 percent overall, 24 percent adjusted for scholarships and grants. Georgia has cut funding to public colleges substantially over the last decade.

People in general are living longer, spurring increased longevity planning. Inflation and taxes warrant consideration. Say you want to have at least $1 million in your 401(k), IRA, or other qualified retirement plan by retirement. You want to take out 5 percent per year to fund your lifestyle, $50,000 per year. The withdrawal is taxed as ordinary income. Suppose your combined average federal and state tax rate is 20 percent. Now you have $40,000 per year, $3,333 per month to spend. How does that fit into your retirement go-go years scenario filled with travel and experiences? Need $2 million plus in your nest egg? With the deficits were running as a country, at some point, taxes will rise, and most likely, so will inflation.

If you retired 10 years ago, it now takes $1.19 to buy on average what $1 bought in 2010. Suppose you live 25 years in retirement. For someone who retired in 1995 it takes $1.71 to buy what a dollar did when they retired. But thats not the whole story. Health care costs continue to rise, and in the slow go and no go retirement years, that becomes an even bigger burden on retirees, and those that love them and who may have to care for them. Many of you reading this are senior citizens, or will be at some point. How are you planning to avoid being a strain on adult children? Many clients, especially women, who on average outlive husbands, are quick to say in essence, I love my kids, but I dont want to be a burden on them or live with them!

Elder care attorneys have seen an uptick in business as pandemic scares have forced people to confront mortality. Do you need to update your living and testamentary estate plans? Are wills, trusts, powers of attorney up-to-date? Read them again. Are executors, trustees, beneficiaries, and attorneys-in-fact still alive, still capable? At your current age, as you look forward, is your insurance portfolio (heath, life, disability, property and casualty, liability and umbrella liability) current, providing adequate what if? coverage? Inflation impacts the buying power of insurance settlement dollars.

Inflation, simply, is shrinking buying power. Taxes further diminish buying power. Save and invest wisely!

Lewis Walker, CFP, is a financial life planning strategist at Capital Insight Group; 770-441-3553;lewis@lewwalker.com. Securities & advisory services offered through The Strategic Financial Alliance, Inc. (SFA). Lewis is a registered representative and investment adviser representative of SFA, otherwise unaffiliated with Capital Insight Group. Hes a Gallup Certified Clifton Strengths Coach and Certified Exit Planning Advisor.

Excerpt from:

Inflation, goals and reality | Investment Coach | thecrier.net - Dunwoody Crier

2020 brought on tough times for so many. Drastically increasing the need for food assistance not only around the nation but here in the Tennessee Valley as well.

HUNTSVILLE, Ala. The Food Bank of North Alabama is partnered with more than 250 organizations to get more food to people in need.

Because of the pandemic, these partners are seeing an increase in people needing help with getting food on the table.

"[The pandemic is] tripling or quadrupling the amount of people they are seeing, the amount of calls they're getting. What we're hearing from them is consistent with some of the numbers we're seeing from Feeding America," said Bobby Bozeman, development director at the Food Bank of North Alabama.

In 2019, the food bank distributed nearly 9 million meals. In 2020 during the pandemic, the food bank distributed about a million pounds of food a month.

"We're able to meet some of this need because we've increased our food purchasing, our food purchasing since the pandemic is over twice the fiscal year prior," said Bozeman.

The food bank also hosts events called mobile pantries, where instead of people having to go to the food bank or any of their partners, the food is brought to them. The amount of food given out has doubled due to the pandemic.

"But now, you know, before when we would go, even in May, we would take 250 food boxes, maybe 300 boxes, depending on the community that we were going to. And now we're up to, you know, we'll take 5, 600, 700 boxes to a mobile pantry and in both instances we might have been left with 25 boxes at the end of the day," said Bozeman.

Sadly, food insecurity has always been an issue, but now that some people are losing financial independence due to the economic downturn of the virus, more and more people are going hungry to help get by in other ways.

"People, when they're listing out there needs for their budget, usually food is the last thing people budget in their needs, you know, they're gonna take care of rent, around here their gonna take care of transportation, they're gonna take care of medical bills, gonna keep the lights on, and then they're gonna budget groceries. Food insecurity factors that in, sometimes people are just eating less or going hungry more often, they might have a little food in the pantry but their rationing it out more," said Bozeman.

See the rest here:

What the Food Bank of North Alabama brought to the community in 2020 - WZDX

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Inflation, we keep hearing, is low. But thats deceptive. Lewis Walker, a financial planningand investment strategist atCapital Insight Groupin Peachtree Corners, Ga., warns about how even seemingly minimal price increases can mount up over time. And he has some ideas for how to prepare for that.

Larry Light: Simply eyeballing the latest inflation numbers suggest they are tame and we shouldnt worry about them.

Lewis Walker: Year over year, all-items inflation through November averaged 1.2%. Core inflation, excluding food and energy costs, averaged 1.6%. The U.S. Federal Reserve has an inflation target of 2% annually.

Per the Fed, an annual inflation rate of 2% is most consistent with the Federal Reserves mandate for maximum employment and price stability. When households and businesses can reasonably expect inflation to remain low and stable, they are able to make sound decisions regarding saving, borrowing and investment, which contributes to a well-functioning economy.

Light: How does a 2% annual decrease in your moneys long-term buying power contribute to your personal or familys well-functioning economy?

Walker: The numbers quoted above are averages. How do price pressures impact the things you use and need frequently? The cost of food in general through October is up 3.3% year-over-year. If you have hungry teenagers at home, especially boys, personal food expenditures are probably up by more than the index.

With work-from-home mandates, fuel costs most likely are down for the year for some workers. But as vaccinations kick in and the economy increasingly revs up, transportation expenditures are likely to increase. The new administrations emphasis on climate change will increase the cost of fossil fuels, electricity, transportation and shipping costs, etc. Infrastructure spending could increase pressures to raise fuel taxes.

Light: Yes, outside the official composite inflation gauges, some prices have really vaulted.

Walker: What are the big three goals for most families? One, own a home; two, educate kids; three, retirement and financial independence. New home sales have jumped to a 14-year high. Big city woes and work-from-anywhere trends are driving people to the suburbs, exurbs and smaller towns. List prices are up an average of 13% nationwide over 2019 through November.

Record low mortgage rates fuel demand, even as many younger couples are challenged to come up with down payments. Lumber prices are up 170% since April, adding $16,000 to the price of an average new single-family home.

Light: The burgeoning costs of education are remarkable.

Walker: Some students and parents are questioning the relative value of a high-priced private college education, but even costs at public colleges have outpaced inflation. Between 2008-2018, average four-year costs across all 50 states have jumped 34% overall, 24% adjusted for scholarships and grants. Georgia, my home state, has cut funding to public colleges substantially over the last decade.

Light: And retirement can last a long time, as inflation and taxes eat away at principal.

Walker: People in general are living longer spurring increased longevity planning. Inflation and taxes warrant consideration. Say you want to have at least $1 million in your 401(k), IRA or other qualified retirement plan by retirement. You want to take out 5% per year to fund your lifestyle, or $50,000 per year.

The withdrawal is taxed as ordinary income. Suppose your combined average federal and state tax rate is 20%. Now you have $40,000 per year, or $3,333 per month to spend. How does that fit into your retirementgo-go years scenario filled with travel and experiences? Need $2 million plus in your nest egg? With the deficits were running as a country, at some point, taxes will rise, and most likely, so will inflation.

Light: We always hear how low inflation has been for years, but that is compared to the double-digit rates of the 1970s and early 1980s. It does take a toll over time, even with small incremental increases, right?

Walker: If you retired 10 years ago, it now takes $1.19 to buy on average what $1.00 bought in 2010. Suppose you live 25 years in retirement. For someone who retired in 1995 it takes $1.71 to buy what a dollar did when they retired.

But thats not the whole story. Health care costs continue to rise, and in the slow-go and no-go retirement years, that becomes an even bigger burden on retirees, and those that love them and who may have to care for them. Many of your readers are senior citizens, or will be at some point. How are they planning to avoid being a strain on adult children? Many of my clients, especially women who on average outlive husbands, are quick to say in essence, I love my kids, but I dont want to be a burden on them or live with them.

Light: How should people prepare for this?

Walker: Elder care attorneys have seen an uptick in business as pandemic scares have forced people to confront mortality. Do you need to update your living and testamentary estate plans? Are wills, trusts, powers of attorney up-to-date? Read them again. Are executors, trustees, beneficiaries, and attorneys-in-fact still alive, still capable?

At your current age, as you look forward, is your insurance portfoliohealth, life, disability, property and casualty, liability and umbrella liabilitycurrent, providing adequate what-if coverage? Inflation impacts the buying power of insurance settlement dollars.

Inflation, simply, is shrinking buying power. Taxes further diminish buying power. Save and invest wisely.

Read more:

Why Seemingly Low Inflation Really Is A Threat - Forbes

Growing up in an Indian household means leaving the nest late, sometimes not until after 30 years of age. Indian kids grow up with a greater sense of financial security than those in other countries as independence is not expected, and in some cases even held back, from them until the age of marriage. This results in poor understanding of financial management.

The problem is heightened for young Indian girls as our society is still crawling out of traditional roles of men and women. Financial management as an essential skill is considered irrelevant for women as most are still not expected to work.

Thankfully, the situation is taking a turn for the better as more and more women are breaking the glass ceiling in the professional sphere. Young women are now seeing financial independence as indispensable in the planning of their future.

However, the coddling of the Indian household is still prevalent and women need to learn to manage their freedom better.

Here are a few suggestions to get you started into the journey of managing your finances like an absolute professional.

Read and learn about finance

Some people are natural with numbers and organisation while the rest of us suffer but fret not. What you need is guidance from those who have already played the game. From books to videos on the internet, resources on personal finance are abundant. If research is not your cup of tea, you can always speak to other women, or men, in your circles. But dont ignore your ignorance as it can be hazardous to your financial future.

Also read: An Appeal To Women: Taste the Life of Financial Independence

Have a plan

Planned investment is the way forward, ladies. This has to be the first thing you need to tick off your list. They say the bigger the gap between saving and spending, the better it is, and rightly so. You dont have to create a sturdy five-year-plan, even though thats ideal. You should have a simple plan in place that lets you define your long-term and short-term goals and helps you create a balance between your wants and needs. This gives you a monetary cushion that comes in handy when youre short of finances.

Once you start seeing the saved numbers in the bank, youll only be motivated to save more. At that point, you can trust the inertia to keep you comfortable.

Its important to invest wisely

Investing your money is the best way to let it grow while its safely locked up. There are a number of schemes available where you dont even need a job to start your investment. For instance, PPF (public provident fund) gives you the option of investing an annual sum ranging anywhere between Rs 500 to Rs 1.5 lakhs, with an annual interest of 8%. This investment plan is not only risk-free but also helps you save on tax which makes it one of the most sought-after savings plan.

If youve just started working and are looking for a safe plan to go with, try SIPs. They are relatively safe and let you start with a small amount which you can then build on with the returns. To invest intelligently, we suggest you put in the time to read about the current schemes in the market before putting your money into any.

Keep in mind that safe investments are always a slow and steady process but reliable and worth it in the future when you get your returns.

Save for emergency situations

Cost of living is increasing with each passing day. Expenses are seemingly infinite while means are limited, so you never know when that rainy day could strike. It is, therefore, imperative that you have an emergency fund in place that you can turn to in times of need.

Most of us are comfortable with living paycheck to paycheck which is not the safest model to exercise. Follow the thumb rule of saving and stacking away your hard earned money for at least six months. Keep aside a portion of your salary for the contingency fund and let it stay there.

Here's something you could do: set a limit for yourself, say, 1 lakh. As and when you reach that limit, convert that money into a fixed deposit and lock it with the bank for at least a year. The earlier you start, the better. It may seem like a lot of work, but eventually, youll know what a great step it was for your financial security.

Women have been conditioned to turn to male members of the family to manage their money. While it is absolutely okay to ask for suggestions and help, dont outsource your responsibility entirely. Do your own taxes, manage your own money, and learn to stand on your own two feet. Try and be the role model that this world needs and pass on your knowledge to as many women as you can. That is the true essence of women empowerment.

(Edited by Varsha Roysam)

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Read the rest here:

Ladies, This is How You Get Your Personal Finance on Track - Yahoo India News