Personal Finance Blog

Tips And Stories To Help You With Managing Money

Distribution of Wealth Between Young, Old is Growing

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The recession that keeps dragging along has had a serious effect on the difference in what older Americans have accumulated and what younger Americans are expected to end up with over time. A relative dearth of work opportunities for young adults, coupled with housing and college debt, has doubled the disparity since 2005, Census figures show. And the gap is nearly five times what was evident a quarter century ago, after adjusting for inflation.

Older Generation May Be Better Off

It is expected that older people who have accumulated over a lifetime, would be better off than those who are just starting down the economic trail. But the current figures show the gap growing wider at an escalated pace. The Census figures were prepared for a special congressional committee that is working to find where they can cut $1.2 trillion out of federal budgets over a 10-year period. The figures tend to pit the benefits paid to older Americans in the form of Social Security and Medicare against programs that benefit those at the younger end of the scale, such as education and assistance for the poor. The debate is narrowing down to whether some of the money allocated to the elderly might be better spent at the opposite end of the spectrum.

Net Worth Of Younger Generation

The current economic downturn has hit younger Americans particularly hard. Many of them are paying for higher education and many are accumulating debt while they wait for the job market to regain its equilibrium. Many are paying for homes, sometimes for homes that are worth less now than when they bought them during the housing boom that preceded the economic slide. The Census figures show that the median net worth of households headed by someone 65 or older was $170,494 — 40 percent more than in 1984. The median net worth for households headed by younger people was $3,662, down by 68 percent compared to a quarter-century ago, according to the Pew Research Center. The older folks often have paid off their mortgages and built up more savings than their younger peers. In 2009, households headed by someone under 35 saw their median net worth reduced by 27 percent, largely due to credit card debt and student loans. It was the largest hit in any age group. Those in the 35-44 age category saw a 10 percent dip.

In all, 37 percent of younger-age households have a net worth of zero or less. That’s nearly double the figure posted in 1984. Among households headed by a person 65 or older, the percentage of those labeled at zero net worth has hovered nearly unchanged at 8 percent. While the young face the highest unemployment rate since World War II, older Americans are staying on their jobs longer.

Social Security accounts for 55 percent of the annual income for the older-age households. The payments are indexed to inflation, so have not lost relative value. Young people, on the other hand, have seen increases far in excess of inflation in such items as college tuition. At the same time, college aid has dwindled. While Pell Grants to needy students have increased somewhat, they cover a smaller portion of higher education costs.

If the current trends continue, experts say, the rising generations may be the first in America for whom the long-held expectation that each generation will do better than the one before will not come to fruition.

Free Mortgage Calculator Widget

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If you have a personal finance blog or your site is about helping people improve their financial situation, then you might enjoy using this finance widget on your web site. Buying a new home and getting a mortgage can be a daunting process. Some people are scared that they won’t be able to afford the monthly payments. This calculator will show you what your payments would be on a loan based on the interest rate and the length of time of the loan.


Instructions for installing this widget are easy. Just click the get free calculator and then copy and paste the text onto your web site. If you run a WordPress site, just simply add the code to a widget text block.

Please leave any comments or suggestions for improvements and we will try to implement them. Enjoy this free mortgage calculator for your blog or web site.

Customize Your Personal Checks

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Personal checks can be customized  any way you like. They don’t have to be plain. Check printing companies offer a variety of ways to put your own imprint on those checks, so that you can create checks that meet your particular needs or desires.

The thing to do is compare. The options may vary, including such things as choice of designs, personal message lines, one-time offers of a few personal checks or a free box with the second at a reduced price. Be aware that some check printing businesses offer these options only to first-time customers. Look around and evaluate such things as the number of personal checks and the terms of the transaction, designs and shipping costs.  Then compare the variables to determine which appeals most to you. Some companies may offer free recycled checks or duplicates to entice you into an upgrade. Some require a coupon code, so make sure if you have such a code that it is still valid.

Follow these steps to complete your process:

1. Select a design. Companies will vary in how many designs they offer that you can choose among, ranging anywhere from four to 25.  If the special you choose includes a second box free, you’ll be set for a long time.

2. Select lettering styles. Some companies may throw in a monogram or symbol next to your name and address or add a personal message line gratis.

3. Be certain of the status of a register to keep a record of checks. If the deal you opt for does not include a register, you may want to add one to your shopping cart.
If you love the design you chose, consider coordinating with other items such as address books or labels to extend the effect.

4. When your check order arrives, be certain to look at the invoice to ensure that the fees and terms are what you agreed to. If you are certain everything is as it should be, submit your payment.

5. Print a copy of the invoice so you have a record of all the shipping terms, estimated shipping dates and customer service number just in case a question should arise after the fact. A printed copy is easier to access if it is required than having to look up the details online if references are needed later.

Personalizing your checks can be fun and rewarding. There is such a wide range of designs and photos that appeal to almost any age, women, men and young buyers.

Christmas Shoppers Leaving Credit Cards at Home

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With the Christmas shopping season in full bloom, more Americans say they are doing the job without resorting to credit cards. A poll conducted by Marist College in New York indicated that overall, 56 percent of the shoppers say they will not use their plastic this year. Another 26 percent indicated they will pick up part of their presents using a card and  9 percent said they will not resort to credit at all.

Income level is a factor. Those who earn less—under $50,000— said they wouldn’t use their cards. Only 47 percent of those whose incomes tops $50,000 said they would not buy gifts with a credit card. That translates into age groups as well. The younger the demographic, the  less likely they are to resort to credit buying—likely because they have less “wiggle room” for debt. Seventy percent of those in the survey who were in the 19-29 year age group said they were not likely to use a card; 57 percent in the 30-44 year age group; 56 percent in the 45-59 bracket; and 48 percent in the 60-plus category.

Will You Buy Christmas Presents Online?

The Marist pollsters said they found more shoppers this year inclined toward making purchases online. Eleven percent said they would wrap up all their Christmas shopping  online; 42 percent that they would make some online purchases and 47 percent that online wouldn’t be an option for them. Those poll results compare with a similar survey in 2007, when 58 percent of the respondents said they would not make online purchases at all; 37 percent said they would use the online approach for some of their purchases and 4 percent that they would spend their time at the computer instead of in the stores.

How Much Will You Spend This Christmas?

When it came to the amount they plan to spend on Christmas this season, 57 percent of those who responded to the Marist poll  planned to spend the same as last year, despite the ongoing economic pressures spawned by a long-lasting downswing. Forty percent said they will spend less and only 9 percent that they were opening their wallets wider.  Again, the age groups seemed to reflect the effects of the recession.

Forty-three percent of the women surveyed said they are likely to spend less this year, and they tend to be more prone to shopping than their male counterparts, 37 percent of whom said they are likely to spend less during the annual gift-buying frenzy.

Credit Card Benefits For Christmas Shopping

In favor of using credit cards for shopping are people who make purchases and the merchant goes out of business. Credit card users were the only ones able to get refund for defective merchandise. If you plan to use your credit cards for shopping, make sure you check your budget.

Check writing not going out of style

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Although a pocket full of plastic has become the norm for many Americans when they shop and pay bills, the online sales of personal checks show that writing checks remains a very viable option for millions, the experts at coolchecks.net say. In fact, the country’s two largest producers of personal and business checks posted revenues in the hundreds of millions of dollars from sales in 2009. Obviously, it is too soon to say that credit and debit cards have nudged checks entirely out of the picture. Companies such as coolchecks.net are nowhere near ready to throw in the towel and they continue to provide a wide choice for those individuals and companies that find checks the best way to do business.

The 2009 annual report from Deluxe Corporation showed that more than 63 percent of its $1.3 billion in revenues came from the sale of checks. And Harland Clarke noted that 72 percent of its $1.2 billion in revenues was related to checks and other personal items. The Federal Reserve estimates that some 33 billion checks are written in this country every year—no small number.

There is evidence that Americans, dealing with a depressed economy, are now paying the price for over-use of credit cards They have racked up more than $1 trillion in such debt, a 25 percent increase in the past five years., the Federal Reserve reports. The experts predict that a return to personal checks may be one solution to this trend. The tendency to make a flip-of-the-wrist credit card purchase may be cooled by the necessity of actually writing the amount of the purchase on a piece of paper, they say. The immediacy of the deal cancels out that false sense that “I don’t have to pay until later” that accompanies a credit purchase. Many people find a canceled check to be a more tangible method of keeping track of finances.

And if checks online are your choice, they should say something about you. Being able to make a personal statement with every use is one of the good reasons to use checks. Coolchecks.net has hundreds of designs ranging from the simply classic to the Disney whimsical, with nature, hobbies and personal interests in between. And they come at prices that are up to half what a bank would charge. Check us out.