How to Amend Your IRS Tax Return

It's great to do your taxes early. All the stress and aggravation is long passed and your enjoying that nice fat refund check. But in the mail today came an additional W-2 income form. You completely forgot about it, what are you going to do now? The I.R.S. has just the solution to your problem. It's called form 1040X. With this form you can amend your incorrect tax return and satisfy your obligation to Uncle Sam.

Here are a few tips to help you with your 1040X:

1. When to amend a return You should file an amended return if your filing status, your dependents, your total income or your deductions or credits were reported incorrectly.
2. When NOT to amend a return In some cases, you do not need to amend your tax return. The IRS usually corrects math errors or requests missing forms – such as W-2s or schedules – when processing an original return. In these instances, do not amend your return.
3. Form to use Use Form 1040X, Amended U.S. Individual Income Tax Return, to amend a previously filed Form 1040, 1040A or 1040EZ. Make sure you check the box for the year of the return you are amending on the Form 1040X. Amended tax returns cannot be filed electronically.
4. Multiple amended returns If you are amending more than one year’s tax return, prepare a 1040X for each return and mail them in separate envelopes to the appropriate IRS processing center.
5. Form 1040X The Form 1040X has three columns. Column A shows original figures from the original return (if however, the return was previously amended or adjusted by IRS, use the adjusted figures). Column C shows the corrected figures. The difference between Column A and C is shown in Column B. There is an area on the back of the form to explain the specific changes and the reason for the change.
6. Other forms or schedules If the changes involve other schedules or forms, attach them to the Form 1040X.
7. Additional refund If you are filing to claim an additional refund, wait until you have received your original refund before filing Form 1040X. You may cash that check while waiting for any additional refund.
8. Additional tax If you owe additional tax, you should file Form 1040X and pay the tax as soon as possible to limit interest and penalty charges.
9. When to file Generally, to claim a refund, you must file Form 1040X within three years from the date you filed your original return or within two years from the date you paid the tax, whichever is later.
10. Processing time Normal processing time for amended returns is 8 to 12 weeks.

Links:

Form 1040X, Amended U.S. Individual Income Tax Return
Instructions for Form 1040X

Grants for Adults Returning to College

NRC Chairman Klein Presents Grant Money to University of Illinois (Photo credit: NRCgov)

For 2016 an up-to-date list of current active scholarships and grant programs at the end of this post.

Many adults have never finished their college degrees or even started them. Through the many twists and turns of life we just don't do it. Either family needs take precedent or we just don't have the money. Today many adults are returning to college to start or finish a degree. 

They now have the time or have changed jobs forcing the question of returning to school to the forefront. They never have realized that there are many grants available, specifically for adults returning to school.

A grant is money given to a student that does not need to be paid back when they complete their degree. Some grants are one time events, while others are renewed yearly, as you progress through school. Usually grants are given based on your financial needs or provided when you chose a specific path of study.

Even though you are working full time, this doesn't keep you from obtaining money for college tuition. For adult students you don't have to sign up as a full-time student to receive grant money. Adult grants understand that you still have work and family obligations to juggle while going to school.

Federal Education Grants.

The largest government grant option is called Pell Grants. This money is given to you and does not have to be paid back. For the 2010-2011 school year, the value of the federal Pell grant was $5,550. In order to qualify annually for a Pell grant, you must be working toward a degree.

To apply for Pell Grants you must complete the Free Application for Federal Student Aid (FAFSA) forms. The FAFSA forms must be completed annually to continue to receive government grants. Income information is necessary for completing FAFSA forms, so it is helpful to submit your tax forms early and have your most recent tax return documentation available when you complete the forms.

You must apply before June 30th, but if you submit in early February you will get a quicker response and more grant money than those that wait till June. There is a limited amount of money and the sooner you apply the better. FAFSA forms and information can be found here: Fafsa.Gov.

Federal Supplemental Education Opportunity Grant (FSEOG).

This other federal grant is offered by the government for people with a greater financial need. Also there are grants offered based on gender, race, nationality, and other specific groups. To find other government grants, visit Students.Gov

State School Grants.

Even some states offer grants to students who attend their state college or choose a specific career path. Some states are in need of teachers so they offer specific grants for that vocation. Check your states government website, education and grants section, for more information.

College Grant Providers.

Colleges themselves often have grant monies available for students. Some colleges have separate programs for adult students, and corresponding grant programs to assist the students with tuition costs. Whether the college has a separate program for adults or not, the financial aid officers at the college should be able to direct adult students to specific grant and scholarship programs that can assist them.

Employer Grants.

Many larger companies offer grants or tuition reimbursement programs for employees that want to continue their education. Check your companies human resources department for more information.

Community Grants.

Many cities have organizations that offer grants and scholarships to adults students going back to school. Many scholarships are available by a variety of clubs, organizations, civic groups, and religious organizations. The only problem is there is no one source to track down these services. You will have to use the phone and Internet and search for these organizations one by one.

Though many grants and scholarships are generous in the amount of money they offer, remember they will not cover the totality of your education costs. You still need to have some money saved for uncovered expenses. You could fill in your need for money by taking loans, but it may be better to pay for education when you have the cash available.

Update for 2016. Here is an up-to-date list of current active scholarships. 

• Visine Students with Vision Scholarship Program
• National Hispanic Health Foundation Scholarship Program
• College Scholarships and Grants Available for Veterans
• American Psychological Association Scholarships, Grants and Awards
• State Farm Grants and Scholarships
• The Rover College Scholarship
• NSHSS Foundation STEM Scholarships
• Scholarships and Fellowships | UNCF Merck Science Initiative
• Green Home Improvement Scholarship
• Microsoft College Scholarships

List courtesy of educatorlabs.org

A few more Scholarships to update the current list.

• Global Scholarships (globalscholarship.com), a scholarship search engine
• Awareness of Smoking Essay Contest Scholarship
• Verne LaMarr Lyons Memorial Social Work Graduate Student Scholarship
• Veterans Make Great Technology and Engineering/STEM Teachers Scholarship
• The Mary Blake Single Parent Nursing Scholarship
• Kosciuszko Foundation Tuition Scholarships for Polish-American Students
• James & Patricia Sood Education Studies Scholarship
• Boom & Bucket is offering a scholarship of $1,000 to be awarded each year to a student pursuing a heavy machinery-themed program
• Student Financial Aid Search Engine: Find & Apply for Financial Aid to Pay for College
• Geneseo Migrant Center Scholarships for Migrant Students
• Print and Graphics Scholarship Foundation Scholarships
• Society of Women Engineers Scholarship Program
• ENTELEC’s Wayne V. Black Scholarship
• VFW Auxiliary’s Young American Patriotic Art Contest
• NOAA’s Ernest F. Hollings Undergraduate Scholarship
• Jeannette Rankin Women’s Scholarship Fund
• Diabetes Scholars Foundation
• Common Knowledge Scholarship Competition

List courtesy of outsidescholarships.org

How To Find The Best Mortgage Rates

If you own a home your biggest expense is your mortgage. Over the years I have lived in many homes, in many different places and finding the top mortgage deals is so important to an affordable house payment. One of the problems of my home building business is finding the lowest mortgage rates for my buyers.

When selling real estate you usually have to guide the buyers to a mortgage broker you work closely with so they will have the greatest chance of qualifying for a mortgage. But your best effort will amount to nothing if the buyers credit is bad.

If your planning to purchase a home someday it would pay to plan ahead and check your credit score long before you make any decisions. It's of ultimate importance to have a good credit score so you will be able to qualify for the lowest interest rates. You may think you have a great credit score because you always paid your bills on time. But there are occasions when an error, through no fault of your own, appears on your credit report. Many errors on credit reports are caused by you being blamed for a bad debt by someone, with the same name as yours. Human error and mistaken information can cause your credit report to be 100 points lower than it should be. It pays to check beforehand.

Finding the best mortgage rates.

1. Online. 

There are many sources available to you to find and apply for a mortgage. There are many online sources that can show what's available. Those websites can let you search for nationwide interest rates through several companies. You can narrow your search by length of loan, interest rate, points, or type of mortgage.

2. Mortgage Brokers. 

If you like the personal touch, a local mortgage broker may be what you need. I like to work with mortgage brokers because of the time saving advantage. If time is at a premium, walking into a mortgage brokers office may shorten the time of the entire process. 

You can apply and possibly be approved all within the same visit. Mortgage brokers work on commission and this puts the pressure on the broker to make sure you get approved. I have seen how a good mortgage broker can work out solutions, to tough and complicated transaction better than their online counterparts. 

This flexibility is important because local mortgage brokers have multiple sources of money available for lending much more than boiler plate online sources.

Of course, compare and compare again, do not be in a hurry. No matter who you chose to write your mortgage, there will be sales pressure. Don't let that shake your plan of taking it slow. Also be aware of new home sellers that say you must use their mortgage source. This is not set in stone and you are able to bring in your own mortgage source. But if your cornered into using a specific company then use the leverage you have to get some freebies thrown in to sweeten the deal, for using their broker.

Words of wisdom. 

At the closing be sure read your mortgage papers thoroughly before signing. Maybe even spend a few bucks and let your lawyer check it out. I have seen mortgage documents with errors in them, it doesn't happen often so read thoroughly.

The Child Tax Credit Explained

Tax (Photo credit: 401K)A very important tax money saver for families is the Child Tax Credit. It's one the most beneficial components on a tax return because it gives an actual credit of $1000 for every child you have under 17. But to be eligible for the credit your child must qualify and there is income restrictions. According to Publication 972 there are 11 things you must consider.

1. Amount. With the Child Tax Credit, you may be able to reduce your federal income tax by up to $1,000 for each qualifying child under age 17.
2. Qualification. A qualifying child for this credit is someone who meets the qualifying criteria of seven tests: age, relationship, support, dependent, joint return, citizenship and residence.
3. Age test. To qualify, a child must have been under age 17 – age 16 or younger – at the end of 2011.
4. Relationship test. To claim a child for purposes of the Child Tax Credit, the child must be your son, daughter, stepchild, foster child, brother, sister, stepbrother, stepsister or a descendant of any of these individuals, which includes your grandchild, niece or nephew. An adopted child is always treated as your own child. An adopted child includes a child lawfully placed with you for legal adoption.
5. Support test. In order to claim a child for this credit, the child must not have provided more than half of his/her own support.
6. Dependent test. You must claim the child as a dependent on your federal tax return.
7. Joint return test. The qualifying child can not file a joint return for the year (or files it only as a claim for refund).
8. Citizenship test. To meet the citizenship test, the child must be a U.S. citizen, U.S. national or U.S. resident alien.
9. Residence test. The child must have lived with you for more than half of 2011. There are some exceptions to the residence test, found in IRS Publication 972, Child Tax Credit.
10. Limitations. The credit is limited if your modified adjusted gross income is above a certain amount. The amount at which this phase-out begins varies by filing status. For married taxpayers filing a joint return, the phase-out begins at $110,000. For married taxpayers filing a separate return, it begins at $55,000. For all other taxpayers, the phase-out begins at $75,000. In addition, the Child Tax Credit is generally limited by the amount of the income tax and any alternative minimum tax you owe.
11. Additional Child Tax Credit. If the amount of your Child Tax Credit is greater than the amount of income tax you owe, you may be able to claim the Additional Child Tax Credit.

For more information go here for a .PDF of Publication 972, Child Tax Credit.

How To Effectively Complain Online

Image via WikipediaBefore the option of the Internet the only way to complain to big companies was to write letters, go to the Better Business Bureau, or just tell everyone you know. You may have gotten really mad and wrote your state agency or even Washington.

Good news, those haphazard days of complaining are over, we now have the Internet to do our work. Consumer Reports, the consumer review magazine, says "Whether it's a slap happy review of your new flat-screen TV on Amazon or a scathing critique of a car dealer on Yelp or Facebook, there are plenty of online outlets where you can post your opinions. And companies are paying attention."

Today most websites have sections where customers can leave reviews of their products or services. Companies are hoping you will share your wonderful experience with them, but many people are writing about their dissatisfaction. Companies closely monitor these feedback pages and usually contact the dissatisfied customer to try to make things right. If you ever bought something on Ebay.com or Amazon.com and noticed the ever so important feedback comments, you can see how an online reputation is more important than a real world one.

Use Good Practices.

When complaining online whether it be a companies website or a consumers rights forum, the key to success is to be business like and not emotional. If you want to get results you should state your issue in a clear and succinct way. Using profanity and slurs to ridicule a company will not gain you any constructive attention. Convey your problem in a way where the company sees you as a valuable customer with a reasonable complaint. Companies don't want to look bad in front of other companies or potential customers. These companies know that your complaint is becoming part of the Internet record and will be available by anyone that does a search of the company in question.

When you post your complaint on the Internet and the business sees the unfavorable comments, it is possible for them to file lawsuits against the complaining parties. Even Consumer Reports has been sued for unfavorable reviews from company Sharper Image. Sharper Image lost the law suit. Consumer Reports said, " The suit was in response to a critical review of the company's Ionic Breeze Quadra air cleaner that appeared in the magazine. Sharper Image was required to pay $525,000 to cover Consumers Union's legal costs."

In many states, there are laws banning such lawsuits to protect the rights of the complaining parties. Mark Goldowitz, founder and president of the Public Participation Project and a lawyer who defends clients against SLAPP suits in California says, "No matter what the laws are in your state, consider the potential repercussions before you post critical or embarrassing comments."

Bottom line, get it right when complaining online. Remember whatever you post online will probably always be online.

Best Places to Get Started with Online Complaining

1. Try the biggest sites first to get the most exposure. Social media websites like Facebook or Twitter are good places to start. Most companies have a web presence and that's where you should start you effort. Mention the companies name and a brief comment about the problem.

2. Companies websites. Most all companies have a customer service or consumer section specifically for customer complaints. There you will find a place, either a comment section or a forum, where you're able to enter a description of your problem. Be polite, business like, and respectful when leaving comments. There is no faster way to get deleted than when a slur or profanity is present. Remember you are trying to get help, not make it worse.

3. Forums and Consumer Help Websites. Search online for your specific complaint. You may find many others have the same problem as you do. As you search you will find specific websites that deal with your special complaint. Try searching for terms like "-company- problems", "-company- lawsuits", or " -company- complaints".

Many places are available to start your online complaints.

• AirlineComplaints.org - Airline-related complaints or suggestions for improvement. Includes airline contacts.
• Amazon.com - Reviews and ratings of products and Amazon merchants.
• Angie's List - Reviews and ratings of local services and health professionals. Pay site, though nonmembers can submit reports free.
• ApartmentRatings.com - More than 1 million apartment reviews and ratings.
• Avvo.com - Reviews and ratings of lawyers and doctors. Includes library of legal and medical topics.
• Charity Navigator - Charity watchdog organization with user reviews and ratings of nonprofit organizations. Includes tips and donor resources.
• CNET.com - Discussions of electronic products, services, and companies.
• Complaints.com - Complaints about products, services, companies, and professionals.
• ComplaintsBoard.com - Complaints about products, services, companies, and professionals. Includes news and resources.
• ConsumerAffairs.com - Reviews of products, services, companies, and professionals. Includes news and resources.
• The Consumerist - Reviews and complaints about products, services, and companies. Includes news and consumer tips. Site owned by Consumers Union, publisher of Consumer Reports.
• Edmunds.com - Reviews and discussions of cars and car-related products and services. Includes dozens of subject-specific message boards.
• Epinions.com - Ratings and reviews of products and services.
• MeasuredUp.com - Reviews of companies and professionals. Includes tips and contacts.
• My3cents.com - Reviews and complaints about products, services, and companies. Includes consumer tips.
• PissedConsumer.com - Reviews and complaints about products, services, companies, and professionals. Includes consumer tips.
• RateMDs.com - Reviews and ratings of doctors and dentists. Includes access to medical-board records and top 10 lists.
• RipoffReport.com - Complaints about services, companies, and professionals. Includes consumer tips.
• TripAdvisor.com - More than 45 million reviews and ratings of hotels, restaurants, attractions, vacation rentals, cities and towns, and more.
• TrustLink.org - A Better Business Bureau site with reviews and ratings of companies and professionals. Includes scam alerts.
• Yelp.com - Reviews and ratings of local companies and professionals.

Remember your trying to accomplish something with your complaining, don't use the resources of the Internet to just blow off steam. If the business responds to your efforts and contacts you, be sure to reply. The company would not reply if it did not care about the customer. If things are worked out in a amicable way be sure to got back online and use the same effort you used in complaining to note that your issues have been addressed and are now satisfied.

3 Solutions To Reduce Your Money Stress

Image via WikipediaLife gives us an abundant amount of things to worry about. We worry about our kids, jobs, spouses, families, and just about everything else. According to the American Psychological Association, Americans number one worry is money. We think way to much about our debts, budgets, and especially our investments.

Stressing and worrying about your money causes you to make mistakes when you need to plan and supervise your finances. You need to find ways to reduce this worry.

1. Budget

The number 1 reason for money stress is you don't know how to handle your finances. You don't know how much money is coming in and also where it's all going. To fix this you first have to set up some structure of organization. It's no shame to be unorganized, most people are and it shows with their poor financial actions.

You need to set aside some time in a quiet place with all your bills, statements, check stubs, and pen & paper. At the top of the sheet write monthly budget. That's right we are going to make the dreaded budget for the month. At the top of the page list your total income for the month. Then list down the page all your expenses that you need to pay for the month. Don't forget to list expenses that you need to pay like once a year bills. List home insurance, property taxes, etc. Divide the bill by 12 and list the amount you need to save each month to meet the future payment.

Sit back and go through the list. You will see how much you make and where it is all going. Doing this process every month gives you a road map to ease any anxiety about your money. Any problems or issues will become apparent and then you will be able to address them. Worrying about your finances will cease to be a cause for concern.

2. Retirement  

Retirement is the number two cause of financial stress. When worrying about retirement do you picture yourself living in your children's garage surviving on cashing in aluminum cans. As we get older this worry seems to increase. Also when the stock market takes a nose dive and we see are portfolios drop by half the stress levels go through the roof.

Investing in general is a risky business at best. Appreciation of your portfolio is never guaranteed and if you like roller coasters you are a perfect candidate for the stock market. The first move to worrying less about retirement is having some money saved in the first place. That's why part of your budget has to include a monthly contribution to a 401k or IRA.

The other part of reducing the stress of retirement is having your investments diversified according to you risk tolerance. Having all your money in a narrow choice of investments only will lead to you losing money and causing worry. You need to find a balance between stocks and bonds. Also being very diversified in these to groups is important. With bonds you need long term, medium term, and short term. With stocks you need to diversify with international, small cap, large cap, etc. A great source for building a low stress, well diversified portfolio is financial advisor Paul Merriman. Check out his website at www.fundadvice.com.

3. Life

The last thing to do if you want to reduce stress is to take a break from your finances. After you set them up and become organized put them aside and live your life. Seek out new friends and experiences. Money isn't everything. Life is passing you by if you keep on the worrying track.

How To Save Money On Your Coffee Habit

Image via WikipediaAmericans love their coffee. According to Coffee-Stastics.com , the United States is the foremost coffee-drinking country in the world. Americans are responsible for drinking down over 400 million cups a day. Sometimes I think I'm to blame for at least half that.

Coffee lovers listen up: It may be time to re-evaluate your morning jolt. Time Moneyland recently reported that Starbucks is raising prices because of increased costs for fuel and coffee beans. A "tall" (Starbucks version of a small) order of numerous coffee drinks now costs 10 cents more than last year in many parts of the U.S., including Atlanta, Boston, Dallas, Washington D.C., and New York. Not a lot as a percentage but it can add up over a year. This news comes on top of price increases instituted in 2011 by many other coffee shops.

Is their a way to tone down your coffee habit while still getting your caffeine fix?

Let's take a look.

Stop Ordering Specialty Drinks.

Those with a latte addiction should read over at Yahoo Finance that a daily $4 latte adds up to roughly $28 a week, which is the equivalent of about $120 a month and $1,460 a year. Think of all the things you could do with that cash. Making the switch to a simple cup of brewed coffee can cut your spending by nearly half.

Order a Smaller Size.

Reduce your spending further by ordering a smaller serving size. You'll still get your caffeine fix but save roughly 50 to 75 cents a day, depending on prices at your local coffee shop.

Use Your Own Cup.

Many coffee shops, from large chains to local independents, are trying to save money and reduce costs. And cutting down on disposable cups is a good way to reduce waste. Starbucks , for one, encourages customers to use their own travel mug by offering a 10-cent discount -- an easy way to offset that 10-cent price hike.

Make Your Own.

Making coffee at home is an even better way to save money. Need proof? An analysis conducted by Daily Finance that pitted a $2.29 Starbucks "grande" (medium) regular coffee against the (approximate) 17-cent cost of brewing a cup at home found the annual savings amounted to $835.85. This doesn't take into account the newest method in home brewing -- the pod, which makes quick, convenient single-serving cups but raises the per cup cost by 40 to 50 cents. Still, that's cheaper than stopping by the coffee shop every morning, although the pods aren't particularly environmentally friendly.

If you're looking to start making your own cup o' Joe, you'll have to make an upfront investment in a coffee maker. Not to worry - the expense is recouped many times over in the first year alone.

Stop the Habit Altogether.

If you're really serious about saving, forget all these suggestions on how to cut coffee costs. The best way to curb spending is to quit coffee for good. Granted, it's not easy -- if it were, no frugal consumer would be stuck with a coffee habit. The best way to quit while minimizing or avoiding withdrawal symptoms is to wean yourself gradually. Sip from smaller cups each week or try going half regular and half decaf until you can go without entirely. Once you break the habit, you might try green, black, and red rooibos teas, which all offer the same richness as coffee with much less (or no) caffeine.

I won't be doing that.

Social Security May Fail Sooner Than We Think

Image via Wikipedia

Every year the Social Security Trustees Report gives a status of the fiscal state of our Social Security system. Last year it was reported that the trust fund would likely run out of money in 2036. Dailyfinance.com says this years report offers a much worse picture at "Social Security Is Failing Even Faster Than We Thought"

The current report states by the end of the decade the trust fund would be $800 billion dollars smaller than last years projections. This adjustment means Social Security would run out of money in 2034, two years sooner.

The table shows the difference between the SSA projections and this years Congressional Budgets Office projection.

The chart shows the trend over the last 5 years:

When the Trust Fund runs out of cash in 22 years, benefit payments are expected to decline. At that point it is assumed by many experts we will see a reduction of the average Social Security check to 75% of its original amount.

What to do about a reduction in Social Security?

It all depends on your age and how far away you are from receiving your 1st check. You still have 22 years to prepare for this event. It's time to start saving if you haven't already or increase saving to accumulate a bigger nest egg. 

We are receiving more and more data concerning the inevitable demise of Social Security.  The press and others have been saying the sky is falling for many years. But now the problem is really just around the corner and will be here soon for those in their 40's and 50's. They will be the first to experience the reduction in payments by Social Security Trust fund, yet there is still time to prepare.

Essential Tips to Saving for Retirement

retirement (Photo credit: 401K)The severe economic downturn of 2008 saw millions of hard-working people lose their jobs and unfortunately much of their 401K savings. The effects of the unexpected crash have changed the way people live in the present and plan for their future. Here are some tips for seniors thinking about retirement on how to prepare:

Make realistic goals and stick to them

It is important that you set very attainable, tangible goals about your financial future. Think long and hard about what you want your senior retirement to look like. What are your needs going to be? What do you want to be able to do? Where do you want to live? After you’ve figured out the answer to these questions make a structured month by month plan about how you will save the money that you need to make your goal possible. Talk to a professional about mutual funds, savings accounts, IRAs and other instruments that you can use to safely invest your money.

Join your employer’s retirement plan

Many employers offer a retirement plan for employees that allow you to start a 401k plan. Take advantage of it! Not only will it lower your taxes and increase your deductions, your employer might even contribute money to it. This allows you to save for retirement in a very organized and comfortable fashion. You can even choose to invest the funds for your 401k to maximize your savings. Even if your employer does not offer any 401k plan, don’t be afraid to ask them if they would be willing to do so. While this may seem unnecessary during working years, you will be happy that you did it when you start thinking about calling it quits.

Have Discipline 

Once you have decided what your retirement goals are and have made efforts to prepare for it via a 401k plan, IRA, as well as other kinds of investment instruments, it is important that you have discipline. This means not digging into your retirement account, especially if you can manage without doing so. It means staying committed to your goal by consistently putting money away. It also means asking the proper questions and making sure at every turn that you have your investments under control. Far too often people start thinking about retirement, but lack the proper attitude to follow through.

Make sure that you stay the course and don’t give up. Your future depends on it.

Colleges Cutting Tuition to Attract More Students

Image via WikipediaI never thought I would see the day when a college would reduce its tuition. Colleges wanting to attract more students are lowering their tuition costs to make it more affordable. This is a new trend to lower costs which will help middle-income families who make to much to receive grants but to little to afford tuition. According to a Smartmoney.com article, Edwin Welch, president of University of Charleston, in West Virginia says "We are hoping to recruit more students from that group (middle income) than in the past".

The colleges are giving discounts to be more affordable but their costs may still be higher than public colleges. The average annual cost of tuition and fees at a four-year public college for in-state students this year is $8,244, according to the College Board. Of the private colleges cutting tuition, Seton Hall University in South Orange, N.J., will offer the lowest tuition (roughly $10,000) for incoming freshmen with high grades.

The current situation comes at a time when FASFA grants are starting to be cut. The cost cutting by government is a result of future federal budget cuts that will have to be put on the backs of college students receiving grants. Add to that the dismal performence of college saving vehicles like 529 plans are the situation worse. Something will have to give and the only other place to cut is tuition costs at your local college and university.

Here are the colleges providing tuition discounts.


Cabrini College

• tuition cut: 12.5%
• tuition and fees in 2012-13: $29,000 (down from $33,176 this year)
• located near Philadelphia
• room and board - $11,742 

Lincoln College

• tuition cut: 24%
• tuition and fees in 2012-13: $17,480 (down from $23,000 this year)
• the cost of tuition, fees, room and board is $29,000 this year
• room and board is $7,000. 
• located in Lincoln, Ill.

University of Charleston

• tuition cut: 22%
• tuition and fees in 2012-13: $20,700 (down from $26,200)
• the university decided to reduce tuition by 22% for new students and give at least $6,000 in free aid to all returning ones. 
• room and board, which averages $9,000 a year, will likely increase by 1% to 2%.

William Peace University

• Tuition cut: 7.7%
• Tuition and fees in 2012-13: $23,900 (down from $25,900)
• located in Raleigh, N.C.
• cost of dorms is $6,186 and food costs will rise to $2,814.

Duquesne University

• Tuition and fees cut: 50% in the form of a grant for freshmen who enroll in its School of Education
• located in Pittsburgh, Pa. 
• Tuition and fees in 2012-13: $14,355 (down from $28,671
• Room and board will rise next year by 3% to 4% from its current level of roughly $9,800.

Seton Hall University

• Tuition and fees cut: roughly $21,000 for incoming high achieving freshmen
• Tuition and fees in 2012-13: $10,104 (down from roughly $31,000)
• located in South Orange, N.J.
• Room and board, which costs about $11,000 a year, will rise between 1% and 5%

The days of ever increasing costs for college tuition are coming to an end. The free money coming from government programs is beginning to taper off. Colleges will have to be more competitive with their prices to vie for less tuition dollars.

Tax Filing Status Is Not Set In Stone

Tax Preparation (Photo credit: agrilifetoday)

This tax season many people will be changing their tax filing status from single to married. It's all so exciting for the newlyweds new life together. To make it more interesting you and your spouse can now file joint tax returns.

Your filing status is an important part of your tax return because if used incorrectly you could be paying to much in taxes. Many people do not realize that you don't have to continue to use the one filing status, you can change it depending on the tax implications.

“Newlyweds and married taxpayers can choose to file jointly or separately based on their individual situation, but keep in mind that this filing status can change each year,” said Mark Steber, chief tax officer, Jackson Hewitt Tax Service Inc. “Generally, using the ‘married filing jointly’ status provides the lowest tax liability and the highest standard deduction. However, if one of the filers has large deductions or expenses, the ‘married filing separately’ status may be more beneficial.”

Some rules you need to keep in mind.

• The Internal Revenue Service recognizes a couple’s marital status on the last day of the year. Even couples who wed right before midnight on December 31 are considered legally married for the full 2011 tax year;
• Couples should note that certain credits, including the Child and Dependent Care Credit, the Earned Income Tax Credit and certain education credits, are not available under the “married filing separately” status; and,
• Tying the knot often results in a new last name. Names listed in your tax return should match all forms of identification, including social security card, passport, driver’s license and documents from employers, loan holders and investment accounts.

Make sure you seek out professional tax advice when choosing a tax filing status. The money you spend on this counsel will benefit you with only paying the minimum tax owed.

A Reverse Mortgage Is A Smart Alternative For Tapping Home Equity

With the current lending climate, getting equity back out of a home is a challenge. Lenders aren't eager to do home equity lines of credit or second mortgages as they were a few years ago. However, the reverse mortgage is making a comeback, according to Annamaria Andriotis of Smart Money magazine.

You may be familiar with reverse mortgages from TV ads and infomercials. They may sound too good to be true, but reverse mortgages are backed by the Federal Housing Administration and are a legitimate government program, not a late-night TV scam. 

Smart Money says that MetLife Bank has increased its reverse mortgages by 171% from 2010 to 2011. That's a substantial increase for a single product by a single lender, even though the total number (10,512) may seem low.

Reverse mortgages are, of course, only available to people ages 62 and up. Homeowners are allowed to get a loan for a percentage of the home's value: up to 62% for a 62 year old and up to 72% for an 80 year old. There are plenty of associated fees with a reverse mortgage, including origination and HUD mortgage insurance premiums, but they can be a good way to leverage the equity in your home and use that money as long as you live there, especially if you can't get a traditional home equity loan.

How to find a good reverse mortgage lender? 

The National Reverse Mortgage Lenders Association has a website with lots of information on how to do that. You can also try Weemba.com. Weemba allows you to register and post your loan needs, including for reverse mortgages, at no cost to you. 

Because your post only shows up under a nickname, you can include information about the value of your home, how long you've been paying on it, any income that you have and a no-cost, no-impact credit score. No one can connect the information to who you really are. If a professional lender finds your post and wants to contact you, you will get an alert by email letting you know that, and you can say yes or no to it as you wish.

Besides reverse mortgages, Weemba allows you to post for all kinds of loan needs, both personal and business: HELOCs, mortgages, home improvement loans, medical loans, lines of credit, car loans, RV loans, boat loans and all kinds of business loans too. 

There is never a fee for a borrower to use Weemba; it is not a direct lender. The website simply provides users with the tools to present themselves to professional lenders in the best way possible. Weemba is changing the way that borrowers and lenders find each other online, forever.

Yearly Budget Review 'Could Help Prevent Debt Problems'

Budgeting (Photo credit: 401K)People could greatly improve their financial planning just by comparing today's finances with a year ago, according to financial solutions company Think Money.

Checking bank statements from a year earlier and comparing your spending then with today could give a good insight to how your spending habits have changed - for the better or for the worse.

"Looking back at how your finances were in January 2011 could help you to make some important changes to the management of your finances here in February 2012, and give you a clearer picture of what decisions you need to make for the year ahead," said an expert at Think Money.

"Get together all your bank statements, receipts, budget plans, invoices for bills and any other important financial documents you have from the past year. Have your finances, generally speaking, improved? Got worse? Remained largely the same? Depending on what shape your finances are in now, compared with 12 months ago, you could take various approaches to dealing with them."

In particular, Think Money said comparing debt levels with a year ago could be very important.

"If you were managing your debts successfully a year ago, but feel you've lost control now, what were you doing differently then? Did you have fewer debts of smaller amounts, a higher disposable income, or were you simply more financially organised? If you're facing debt problems, it's important to get professional advice as early as possible, so you can find an approach to budgeting and debt management that works for you."

Save Money On Prescriptions With LowestMed.com

Prices of prescription drugs vary from one pharmacy to the next. Consumer Reports market research found a 26% price variation between pharmacies on the same drug. It's not easy to shop around when filling your prescriptions. Website Lowestmed.com has come out with a solution to help you quickly and easily compare the prices of prescription drugs at many locations in your area.

Lowestmed.com has three ways to access its comparison data base. Simply go online to Lowestmed.com and click on the search button. Enter the name of the drug you want to find out the price for. Also enter in the zip code of the area where you want to shop. You can search as far as 30 miles away or narrow it down to a 10 mile radius. After you press the search button you select what milligram strength and either the 30 or 90 day amount.

How to use the website on your desktop computer.

As a test I entered Lipitor 10 mg. I got 8 results back with a price range between $118.00 to $123.00. It listed Atorvastatin as an alternate drug and displayed a price range between $63.00 and $107.00. The stores where to purchase the prescription and a map to them were part of the results. When you go to the pharmacy just present the card and you will be charged the price listed on the website.

How to use it on your phone.

You don't have to be in front of your computer to use Lowestmeds.com. There also is an iPhone and Android phone app. Or you can just use your web browser on your phone to search while you are out of the house.

Open the app and enter the drug and milligram strength written on your prescription. Search for the lowest price and tap the discount card button. Your ID#, Group#, and Bin# will appear. Just show it to your pharmacist to get the discounted price. You don't have to use the member card because the info will be on your phone screen,

If you have Medical Insurance.

LowestMed gives you three ways to get low prices on your medications by comparing; 1.the prices of your insurance plan 2. a competitive discount card and 3. pharmacy low cost cash list prices. Carry both your insurance card and the LowestMed Discount card with you when purchasing your medications. Check LowestMed’s website or mobile tools to see which payment method you should use to get the best price.

When you use the LowestMed card to purchase your prescription or purchase a low cost generic drug, save a copy of the receipt. If later in the year, you need to apply the costs of your prescriptions to meet your deductible, submit the receipt and a copy of your insurance card to your insurance plan to get deductible credit.

• LowestMed provides you with access to a mobile internet application from your smart phone to find the pharmacies with the best prices in your local area.
• Our text message tool allows you to send LowestMed a text message of your drug name and zip code and you will receive back a text message of pharmacies with the best price.
• LowestMed does not limit you to one pharmacy chain like many discount programs, but has contracted prices with 58,000 pharmacies including: Costco, Wal-Mart, Kmart, Walgreens, Rite Aid, CVS, Krogers, Target, Shopko etc. as well as local grocery store chains.
• Access to LowestMed’s web site gives you quick comparisons of prices for your medications at the pharmacies in your local area.
• LowestMed gives you access to contracted discounts that can save you 10% - 85% off retail prices. This is possible due to the volume purchasing power of 15 million consumers.
• Pharmacies have unique lists of low-cost drugs. To help you save money, every month LowestMed finds the best prices from all major pharmacy chains.

This app is something that is much needed these days because it will provide a savings to individuals who didn’t have an easy way to know if they were getting a good deal of not.

If you want to download the LowestMed app, just head over to the Apple App Store or Android Marketplace.

Suze Orman Not Pre-Approved on Her New Prepaid Card

Suze Orman is jumping on the prepaid Mastercard bandwagon with her own card and many experts are not approving. Haven't we seen many times before the celebrity endorsement of prepaid plastic. From Lil' Wayne to the Kardashians, many celebrities are seeing green from these highly lucrative, high fees milking of the un-banked. Those without checking accounts are being told that they need this card to function in the economy.

When a celebrity has to go on television to defend a product it is a bad sign of the public's opinion of such products. Suze Orman has been a respected financial guru for many years and all can agree has taught millions to save, invest and be responsible with money. But the prepaid card in general has such a bad rep. with its high gotcha fees, it sours the public's perception of Suze Orman and lowers people opinion of her. She went on CNN to defend her prepaid card.

The prepaid card itself is basically a gift card with fees. Enrollees in the program pay $3 per month for access to the plastic. After activation, consumers can add money through bank transfers or cash deposits, and then use the accrued money for a variety of purchases. "You can only spend what you load on it," according to Orman's official website. At Allpoint specific ATM's $2.00 per transaction (waived for 30 days with a qualifying Direct Deposit or Bank Transfer of $20.00 or more). Non-Allpoint ATM Withdrawal Fees $2.00 per withdrawal plus any fees charged by the ATM owner or operator. Domestic ATM Balance Inquiry Fee $1.00 per transaction (waived for 30 days with a qualifying Direct Deposit of $20 or more or Bank Transfer) plus any fees charged by the ATM owner or operator. Though some things are without cost, many are not. For a complete list of fees go to Suze's website here.

To be fair Suze does give a list of ways to minimize fees and use the card in the most inexpensive way. Her list is as follows to have only the $3.00 monthly fee:

• Sign up for Monthly Direct Deposit or bank account transfer of $20 or more and use an Allpoint® ATM
• Don’t use ATMs other than Allpoint
• Get cash back at the point of purchase
• Avoid using cash to reload; use MoneyGram® if you need to
• Use TheApprovedCard.com, text alerts and our automated telephone system to check your balance
• Pay your bills online
• Don’t call customer service more than once a month
• Don’t make over-the-counter cash withdrawals at a bank

Critics of Suze can agree this prepaid card adventure has tarnished her reputation and made her perceived as just a huckster. When Suze Orman recommends something people would follow her advice because it has always been for the benefit of the people. Now her advice is possibly for the benefit of herself. Her card is not a bad card but it's not a great card either. It's just like all the others. On twitter she got into a name calling fight with some online bloggers, even calling them "idiots", she did apologize later. 

Maybe Suze should stick with writing books and teaching, it has gotten her very far plus endured her to her fans. Suze, your fans deserve better.

5 Luxuries You Can Do Without (And Not Miss)

Image via WikipediaThink back to when you were a kid. What did you have? What didn’t you have? Now, think about what you have now. What do you have that, in reality, you don’t need? As technology has progressed, we have found more and more luxuries become necessities. But is that necessarily true? Do we need everything we think we do? What can you cut out of your budget and never even miss? 

Well, here are five luxuries you can do without. Best of all, you won’t even miss them!

1. Cable television –Everyone has a computer. And I’m not saying it is a luxury (though, in a way, it is). But since you have a computer, why are you paying for cable television? Everything you watch on TV can be found online, and for a lot cheaper. Weather you subscribe to Hulu Plus or Netflix, you can have streaming TV come to you. Best of all, no more commercials. Want to cut down even further? Well, a lot of TV stations now have the latest episodes of their shows on their website- for free! If you already own a flat screen TV, chances are that it can be hooked up to the internet. There are many ways to do that, from being info directly from your computer to inexpensive set-top boxes. Whatever the case is, you’ll save hundreds of dollars a year just cutting the cord.

2. SUV –Do you still have an SUV? What do you need it for? It’s doubtful you are dragging around more than three kids at a time, and that tank is sucking up gas like a camel in the desert. If there is no real, concrete reason for you to have an SUV; get rid of it! And don’t give me any guff about needing to haul stuff. Cars now come with foldable back seats and roomy trunks- big enough for the Christmas tree to ride comfortable. Get yourself a car with good gas mileage and save thousands.

3. Smart phone – Do you have a computer? Sure you do! So, why do you need a smart phone too? Remember the days when having a phone meant you stood next to the wall in the kitchen to talk? Or had a machine to answer when you weren’t home? Remember when you were not available twenty-four hours a day and didn’t check your email every five minutes? Get some peace and quiet back in your life and save money too. Switch your cell to a regular, everyday variety. No internet. No touch screen. Just voice and text. Think about it; do you really need, or want, to be online twenty-four/seven?

4. Bottled water –Not only are you being environmentally irresponsible when you buy bottled water, but you are being financially irresponsible as well. Think about this: over 80% of bottled water comes from tap water. That means what comes out of your sink goes into a plastic bottle and you pay extra for it. Don’t waste your money. If you have an issue with plain tap water, or live somewhere where the water’s not so great, buy a filter and stainless steel bottles. You’ll save money and room in landfills.

5. Coffee– Do you really need that four dollar cup of coffee every morning? I think we all know the answer to that question. If you can’t live without your caffeine fix, buy a travel mug and make your own. Coffee makers can be timed and ready for you every morning. If you crave your Starbucks, buy a bag at the grocery store. You’ll save money, time, and your waistline. Oh, what does your weight have to do with it? Just think about what you add to your coffee and you’ll understand. When you make it for yourself, you are virtually guaranteed to drink healthier.


There are many more luxuries out there, and you know what they are. Take a second look at your checkbook and see if you can’t cut a few things out. Most of the time, you won’t even miss them.

Author Bio:-

This is a guest post by Coleen Torres from phone internet. You can find more about her at her profile.

Older Workers Spend Less and Save More

Image via WikipediaIsn't it great when something you know is true is proved in a survey. On AARP.org there is a great article about how older workers spend less on lunches and coffee than their younger co-workers. Older workers not only spend less money on lunches but they spend a lot less.

The survey taken by recruiting and staffing firm Accounting Principles shows younger workers ages 18 - 34 spend almost twice as much on coffee than workers 45 years and older. According to the Workonomix Survey, they also spend about 40 percent more on lunches. Even though older workers are earning more money they actually spend less than their younger coworkers.

The average U.S. employee spends nearly $3,000 a year on coffee and lunches at their job. This statistic should be an eye opener to what's going on in your daily spending. Even if you just cut that number in half you would have so much more money to save toward your retirement fund.

If you are starting now in your 50's and 60's to save $3,000, at the end of ten years you would end up with a tidy sum in your IRA. Using the AARP lunch saving calculator at the end of 10 years with an 8 percent rate of return you would have $12,690. The big payoff goes to the younger worker who starts to save this way now. 

Try AARP's lunch savings calculator to see how much you could save by bringing your lunch from home.

Check out: Study: Older Workers Spend Less. And You? at AARP.org