Category Archives: Personal Finance

Car Insurance

Car insurance is very important, but it can be hard to know which one to pick! Liability coverage is required everywhere, which just covers the cost if you do damage to someone else’s property or person. Collision covers your stuff too, but can have a big impact on cost!

IRS Audits

An “Audit” is what happens when the IRS picks your return out from the pile for extra scrutiny. The auditing process is designed to catch errors in the tax returns, verify the correct amount of tax or return is being paid, and preventing fraudulent tax claims.

Tax Credits and Deductions

When you file your income taxes, you can “write off” certain expenses, and get extra tax credits based on your living situation. This can make a big impact on your bottom line, but only if you have proper documentation to back up your claims!

Income Tax Filing and the Form 1040

Income tax is the tax you pay on your income, usually directly taken out of your paycheck. Additionally, if you earn rents from rental properties, investment income, interest on your savings account or bonds, or any other revenue stream, you will probably owe some income tax on it.

All About Sales Tax

“Sales Tax” is a tax that is charged on goods sold to end customers, and is a set percentage of the price of the good. Different states and countries have different sales taxes – some have none at all!

Short Term Financing

“Short Term” financing means taking out a loan to make a purchase, usually with the loan term at less than a year. Short-term financing usually has a higher interest rate than long-term loans – and can even include credit card debt.

Credit Cards

Credit cards is a form of unsecured credit (meaning a loan without collateral) that you can use to make everyday purchases. All credit card purchases are made using a loan – you borrow money from your credit card issuer, and later pay it back with interest. Read this article for information about the differences between credit and debit cards, the types of credit balance, how finance charges and interest rates work with credit cards and gives details about the CARD Act of 2009.

Debit – Credit Cards Without Credit

Before debit cards became popularized, people had to carry cash and cheques or use credit cards or short-term financing for everyday payments. Debit cards became the most popular method since they are easier and are associated with less fees that credit cards!