Decline of the US dollar and benefits of rolling over part of an IRA to gold and silver bullion

 (Photo credit: Wikipedia)

Gold is perhaps the only worldwide standard for comparing the value of other currencies. Unlike any other type of monetary system, gold has withstood the test of time and it continues to defy market collapse, economic downturn, and unpredictable, catastrophic occurrences. In fact, all other currencies are based on some type of gold or silver bullion, and the currency itself is just a synthetic representation of the tangible metal.

Gold is seen as a safe-haven asset, one that investors pursue when there is trouble in the financial markets. As tensions between Russia and Ukraine over Crimea rose in the last weeks, gold price has increased. This happens over and over again in turbulent times.

Currencies, especially the US dollar, are at a higher risk for experiencing inflation because there is never a strict limitation put on the amount in circulation. Mints and other currency printing agencies around the world can essentially create more paper and coin currency than there is gold to back it up. Of course the systems do not usually intend to create a disproportionate amount of currency, but in a day’s time, currency is lost, destroyed, recollected by the mints, or put away in a collector’s safe. There really isn’t a very efficient way to maintain an accurate circulation of currency that is truly indicative of the gold reserve. In other words, there is no way to keep a running database of what currencies are actually floating around for future spending versus the currency that has been lost or destroyed.

Individual Retirement Accounts, or IRAs, are a great way to invest your savings to tap into the opportunity for interest growth. Although there are a myriad of different types of investment accounts, an IRA is either controlled by an administrator or the individual.

One way to guarantee a baseline of investment value is by transitioning your funds into the purchase of gold. Perhaps you’re curious on how to achieve a gold IRA rollover? Basically, you have to first consider whether your IRA contributions are self directed or controlled by a trustee. If they are self directed, you can make the decision, without gaining permission from anyone else, to make adjustments to your investment account. An overseer would have to approve and facilitate the rollover transaction if your account is traditional.

There are several different companies that specialize in gold transactions, and the most realistic suggestion is for individuals to research and pick a company that appears to have the assets and reputation that efficiently meet your needs. After all, this particular company that actually buys the gold will physically store it for you as well. If you were to have the gold directly disbursed to you personally, be expected to pay a hefty penalty for early withdrawal. The facilitating company is known as a gold custodian.

In order to rollover your IRA funds into gold, the gold itself must meet quality standards. There are also limitations on the time span of the process and the total amount that one can invest annually. Once you start the IRA rollover process, it should be complete in no more than 60 days. If the transaction is not expedited accordingly, the investor, or yours truly, risks having to pay a withdrawal penalty. IRA investments are limited to no more than $5000 each year, but rollovers do not have a cap. In order to buy a significant amount of gold, you must start out with a reasonably valuable IRA account.

Why should you consider investing in gold? Despite mild variations and small fluctuations in the stock value, gold tends to be one of the most stable entities that exists. Any financial expert will advise their clients to diversify their portfolio, and don’t put too many eggs in one basket. Gold is a very secure basket that maintains its value over time. Gold is an especially smart choice when the overall market itself has had a significantly varied performance. Gold is a great way to maintain your investment values over short term fluctuations. 

The Most Common Mistakes To Avoid When You Need Financial Help

At some point in life, everyone needs a helping hand. For many people, this takes the form of financial aid, whether it be food stamps, welfare, disability, social security or money for college. Unfortunately, the process of getting such support can be long and tedious with ample bureaucratic red tape to wade through. This can cause you to make several mistakes that can extend your waiting time, or worse, leave you empty-handed. Here are some common mistakes to avoid when you need financial help.

Not Making Changes

One reason people might find themselves in financial trouble is because of the way they are spending money. While you might not be overspending, you may be concentrating on the wrong things. Take a look at your finances and make changes as needed. Start paying off credit card debts that have higher interest rates, take out loans for school instead of spending savings, or find ways to better save money at home.

Not Applying

One major mistake people make is simply not applying for help, whether that be for a new job or unemployment benefits. There are many different programs that can help you get back on your feet financially, but it is often overlooked. This is often because they don't think they'll be accepted, the hassle doesn't seem worth it or they don't understand the qualification criteria. However, you never know until you try, so don't let these uncertainties prevent you from applying. These programs are in place to help people in need, so you have nothing to lose and everything to gain by trying.

Providing Incomplete or Incorrect Information

When filling out an application for financial assistance, be sure to read over it carefully once you're finished. It's easy to accidentally leave out information or provide information that isn't correct. Go over addresses, phone numbers, social security numbers, first and last names and other pertinent information. Leaving things our or getting information wrong can hold up your approval process or even get you denied.

Not Seeking Professional Help

One of the worst mistakes you can make is not seeking professional help when you're having problems. With disability and social security, the government refuses up to 70 percent of all applications the first time around, even if all qualifications are met. Even after that, many re-applications are met with rejection. Instead of re-applying and being denied repeatedly, talk to a Chico Social Security Income Lawyer. Their expertise and understanding of disability and social security law can help you get the money you need and deserve.

Filing Taxes Late

If you need student aid and you're thinking of filing your taxes late, you may want to reconsider. Student aid is provided on a first come, first serve basis and is determined by your tax information. Students who file their taxes early are at the top of that list. Those who file late, however, move to the back of the line. This doesn't only apply to students either.

Applying for financial help can be difficult and frustrating, but don't let that stand in your way. When you need money, there are a number of federal and state programs that can help, but avoiding mistakes is critical to a timely acceptance.

Personal Finance Tips for Millenials

saving and spending (Photo credit: 401(K) 2013)

According to a 2007 study by the American Psychological Association, 73% of those surveyed claimed money is a primary source of stress in their lives. But personal finances don’t have to be a formidable enemy to avoid. In fact, by making a few smart choices now, you can eliminate future financial burdens and alleviate stress. 

Reduce Debt 

Too often, millennials choose to celebrate landing that first job by making a large purchase. Before you rush out to buy a new car, know the difference between “good debt” and “bad debt.” According to Forbes.com, “good debt” is generally debt with a lower interest rate than the rate you could be earning by investing. For example, a home loan would commonly be considered “good debt,” while a car loan or credit card debt are more likely “bad debt.” 

If you already have debt from a credit card, car loan, or student loans, start by paying off the debt with the highest interest rate first. Top Ten Reviews suggests writing out a game plan for how and when you are going to pay off your debts. Pay off as much as possible, as quickly as possible. 

Start Saving 

Now Utilize a budget. Keep your spending under control and allocate a designated amount each month to your savings. A good strategy would be to have three types of savings funds. 

Emergency Fund 

According to U.S. News, in a stretch of hiring slowdowns, it is crucial to have an emergency fund to cover an unexpected period of unemployment.This fund should be enough to cover your living expenses for three to six months. 

Short Term Savings

• Planning on buying that new car after all? Want to take a weekend trip to Vegas? Minimize your debt by planning ahead and saving now. 
• Having a short term savings fund can give you the financial freedom to do the things you enjoy, without breaking the bank. Long Term Savings 
• When you’re in your twenties, “retirement” seems light-years away. However, being in your twenties is the best time to start saving for retirement, because of the power of compound interest. The earlier you start saving, the more interest you’ll earn! 
• If your employer sponsors a 401K plan, make sure you are taking advantage of this opportunity. In addition, consider opening a Roth IRA. The Roth IRA is especially a good option for someone at the early stages of their career, because once you exceed a certain level of income, you can no longer contribute. Essentially, with a Roth IRA, you can pay taxes now and avoid paying taxes on any future earnings from your investment. 
•  Consider a Target-Date Retirement Fund. Not only do these funds typically have low expense ratios, but they eliminate the added work load of trying to manage your portfolio yourself. These funds are fully diversified and managed by investing professionals. As you approach your target retirement date, the fund will automatically become more conservative. 
• It’s important to remember that withdrawing early from a 401K or an IRA will have significant financial penalties. This is why it is important to have your emergency fund and a short term savings fund; do not tap into your long-term savings. 

Put Your Technology to Work 

Today, there are so many resources available to help get your finances under control. For example, Mint.com is a great tool to monitor your budget and track your spending – and the smartphone app is both fun and user-friendly. Another example would be using annualcreditreport.com or Credit Karma to watch your credit score and prevent identity theft. 

Make your life easier by setting up automatic payments. Find out if your employer offers automatic paycheck deductions for your 401K. In addition, most banks allow you to set-up automatic scheduled transfers. Make your finances your first priority by scheduling an automatic transfer into your savings account. Pay yourself first. You can also set up automatic payments to pay off your student loans and pay your monthly bills. Automatic bank drafts ensure that you always pay on time, thus avoiding any unnecessary late charges. 

Reigning in your finances can seem like a daunting task at first, but you can conquer your financial fears by managing your debt, maximizing your savings, and using technology to your advantage. 

Chris is a blogger for his blog The Financial Park. He is also a golf fanatic and loves to be outdoors. You can find him on Twitter @ChrisLindsey23.

Six Simple Ways to Beautify Your Home on a Budget

Every family wants to make improvements to their home, but most families run into their monthly budget when they begin to make improvements. Therefore, the family must consider what they do to make their home look beautiful without spending too much money. Some of these suggestions are services, but others are permanent changes that simply do not cost much money to complete.

1. Pressure Washing

Many homeowners may look up at their home and wish that they could make the siding or brick look better. Some families may have even looked at getting the house painted and realized that they simply cannot afford it. Often, a pressure washer can gently wash the exterior of the home and give the entire house new life for a few hundred dollars rather than a few thousand dollars. Plus, you can recruit the help of your children. After-all, what did doesn't like to spray water from a hose?

2. Sinks and Fixtures

Many families may want to remodel their whole bathroom or kitchen. However, projects of this magnitude could cost so much money that the family would never consider them. Forget redoing your entire kitchen or bathroom. Simple fixes can result in amazing results. Therefore, doing something smaller is a better choice. The sinks and fixtures in a bathroom or kitchen can be easily changed to make the room look more modern and fresh without spending a ton of money on making the changes. 

3. Ceiling Fans

Every ceiling fan in the house will eventually look outdated. While it would be nice to change everything in the house, getting new ceiling fans can help to make a room look more up-to-date without spending a ton of money on the project. Plus, newer ceiling fans make less noise and use less energy than their older counterparts. 

4. Paint The Rooms

When the family wants to make a major impression on their guests, they should consider painting the walls in their kitchen, guest bathroom and living room. These painting jobs can be done by the homeowners relatively quickly, and they will bring new life to a room that may have looked drab in the past. This change only requires a few cans of paint, a brush and some time. It is also much cheaper than installing wallpaper, doing faux finishes or adding architectural additions to the rooms.

5. Change The Kitchen Cabinet Doors

The kitchen cabinets are the most obvious parts of the kitchen that are not the appliances. Plus, the entire cabinet does not need to be changed in order to make the whole room look different. Homeowners can change the door on their kitchen cabinets to give the room a new look without doing a remodel of the entire room.

Plus, kitchen cabinet hardware and knobs can be changed to make the doors look different. Because these are easily seen by anyone who comes into the house, they are a big change that doesn't cost much money.

Every homeowner who wants to make changes to their home on a budget should locations that involve home remodeling in order to learn how to make changes to the house that are inexpensive. Doing so can save the family money and make their home look brand new. 

6. Add flowers and plants

Adding flowers and houseplants to your living area lends an unmistakable beauty to your living space. Not only do plants and flowers add color to your home, but fresh cut flowers smell great and make your home welcoming for any guest. Try adding an array of plants and flowers to your home. You will notice your home becomes immediately more beautiful. Visit this site for more information on outfitting your home with beautiful fresh cut flowers.

Author Bio

Karleia is a freelance blogger. Away from work she enjoys spending time with her family.